Company: FRME
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000712534-25-000197
Chunk: 139

Company: FIRST MERCHANTS CORP
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 139
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 Securities with a carrying value of approximately $3.3 billion were pledged at September 30, 2025 and December 31, 2024 to secure certain deposits and securities sold under repurchase agreements, and for other purposes as permitted or required by law.The book value of securities pledged and available under agreements to repurchase amounted to $143.8 million at September 30, 2025 and $173.0 million at December 31, 2024.Gross gains and losses on the sales of investment securities available for sale for the three and nine months ended September 30, 2025 and 2024 are shown below. Three Months Ended September 30,Nine Months Ended September 30,2025202420252024Sales and redemptions of investment securities available for sale:  Gross gains$— $7 $— $7 Gross losses— (9,121)(8)(9,172)Net losses on sales and redemptions of investment securities available for sale$— $(9,114)$(8)$(9,165)

15

PART I. FINANCIAL INFORMATION ITEM 1. NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS(table dollar amounts in thousands, except share data)(Unaudited)

NOTE 4

LOANS AND ALLOWANCE FOR CREDIT LOSSESLoan Portfolio and Credit QualityThe Corporation's primary lending focus is small business and middle market commercial, commercial real estate, public finance and residential real estate, which results in portfolio diversification.  The following tables show the composition of the loan portfolio and credit quality characteristics by collateral classification, excluding loans held for sale.  Loans held for sale at September 30, 2025 and December 31, 2024, were $23.2 million and $18.7 million, respectively.The following table illustrates the composition of the Corporation’s loan portfolio by loan class as of the dates indicated.September 30, 2025December 31, 2024Commercial and industrial loans$4,604,895 $4,114,292 Agricultural land, production and other loans to farmers275,817 256,312 Real estate loans:Construction789,021 792,144 Commercial real estate, non-owner occupied2,304,889 2,274,016 Commercial real estate, owner occupied1,232,117 1,157,944 Residential2