Company: FRME
Filing Date: 2025-10-30
Form Type: 10-Q
Source: 0000712534-25-000197
Chunk: 219

Company: FIRST MERCHANTS CORP
Filing Date: 2025-10-30
Form: 10-Q
Item: Part I, Item 8
Chunk 219
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 and $5.4 million in the construction and commercial real estate, non-owner occupied loan classes, respectively.  The decrease was offset by an increase in the commercial real estate, owner occupied and residential loan classes of $4.2 million and $4.0 million, respectively. 

At September 30, 2025, loans 90-days or more delinquent and still accruing totaled $1.9 million, a decrease of $4.0 million from December 31, 2024.  

The Corporation's nonperforming assets plus accruing loans 90-days or more delinquent loans are presented in the table below.

(Dollars in Thousands)September 30, 2025December 31, 2024Nonperforming Assets:Nonaccrual loans$65,740 $73,773 Other real estate owned and repossessions1,270 4,948 Nonperforming assets 67,010 78,721 Loans 90-days or more delinquent and still accruing1,925 5,902 Nonperforming assets and loans 90-days or more delinquent$68,935 $84,623 

The composition of nonperforming assets plus accruing loans 90-days or more delinquent is reflected in the following table by loan class. 

(Dollars in Thousands)September 30, 2025December 31, 2024Nonperforming assets and loans 90-days or more delinquent:Commercial and industrial loans$9,553 $10,100 Agricultural land, production and other loans to farmers254 75 Real estate loans:Construction12,922 28,312 Commercial real estate, non-owner occupied8,022 16,838 Commercial real estate, owner occupied6,622 2,440 Residential27,100 21,927 Home equity4,445 4,924 Individuals' loans for household and other personal expenditures17 7 Nonperforming assets and loans 90-days or more delinquent:$68,935 $84,623 

Provision Expense and Allowance for Credit Losses on Loans

The CECL model requires the measurement of all expected credit losses for financial assets measured at amortized cost based on historical experiences, current conditions and reasonable and supportable forecasts.  CECL also requires enhanced disclosures related to the significant estimates and judgments used in estimating credit losses, as well