News Release Details

MUNCIE, Ind.--(BUSINESS WIRE)--July 27, 2006--

First Merchants Corporation (Nasdaq:FRME), a $3.4 billion financial holding company, elected Terry L. Walker to its Board of Directors this week at a regular meeting. Mr. Walker is the Chairman, President and Chief Executive Officer of Muncie Power Products, Inc., a manufacturer of power take-offs and hydraulic systems for the truck equipment industry.

"We are very pleased that Terry has joined our Board. He has long been a business leader in Muncie. His extensive business background and dedication to the region make him an ideal addition to the team," said Michael L. Cox, President and Chief Executive Officer of First Merchants Corporation.

A Certified Public Accountant, Mr. Walker is a lifelong resident of East Central Indiana and serves the community through his work with local organizations including Ivy Tech, the United Way, Community Foundation, Cornerstone Center for the Arts, and Minnetrista. He received his undergraduate degree from Ball State University.

Mr. Walker has received recognition for his service including induction into the American Red Cross Hall of Fame and selection as recipient of the "Benny" Award for dedicated leadership and service to Ball State University.

About First Merchants Corporation

First Merchants Corporation (Nasdaq:FRME) is a financial holding company headquartered in Muncie, Indiana. Since its organization in 1982, the Corporation has grown to include eight affiliate banks with 68 locations in 17 Indiana and three Ohio counties, a trust company, a multi-line insurance company, and a title company. Bank subsidiaries of the Corporation include:

-- First Merchants Bank in Delaware, Hamilton, and Henry counties

-- Madison Community Bank in Madison County

-- United Communities National Bank (UCNB) in Randolph, Union,

Fayette, Wayne, and Butler (OH) counties

-- First National Bank in Jay County

-- Decatur Bank & Trust Company in Adams County

-- Frances Slocum Bank in Wabash, Howard, and Miami counties

-- Lafayette Bank and Trust Company in Tippecanoe, Carroll,

Jasper, and White counties

-- Commerce National Bank in Franklin and Hamilton counties in

Ohio

The Corporation also operates First Merchants Insurance Services, a full-service property, casualty, personal lines, and health care insurer, and is the majority owner of the Indiana Title Insurance Company LLC. First Merchants Trust Company unites the trust and asset management services of all affiliate banks of the Corporation and represents one of the largest trust companies in the State of Indiana, with assets in excess of $1.5 billion.

For more information, visit www.firstmerchants.com.

Source: First Merchants Corporation