Company: FMFG
Filing Date: 2025-05-23
Form Type: S-1
Source: 0001437749-25-018314
Chunk: 16

Company: Farmers & Merchants Bancshares, Inc.
Filing Date: 2025-05-23
Form: S-1
Chunk 16
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 to contact the Administrator. A stockholder who does not wish to participate in the Plan will continue to receive dividends, as declared, without any further action on the part of the participant.

| 7. | When will participation begin? |

The Company has historically paid cash dividends in June and December of each year to stockholders of record on the record date for each dividend, but no assurance can be given that it will continue this practice with respect to future dividends. Shares purchased under the Plan with respect to a particular dividend will be purchased on the first business day after the applicable dividend payment date. If the Administrator receives an Authorization Form (whether submitted through its website or in paper form) from a stockholder entitled to a dividend by the record date for that dividend, then the Plan will go into effect for that stockholder with that dividend payment (and will apply to subsequent dividends). If the Authorization Form is received by the Administrator after that record date, then any dividend payable with respect to that record date will be paid in cash and the stockholder’s participation in the Plan will begin with the next dividend payment date, if any.

The Plan does not represent a change in our dividend policy, nor does it represent a guarantee of future dividends, which are subject to the discretion of our board of directors. The declaration of future dividends will depend upon a number of factors, including our future earnings, our capital requirements, regulatory constraints, and our financial condition.

| 8. | What does the Authorization Form provide? |

The Authorization Form, whether submitted through the Administrator’s website or in paper form, allows each stockholder of record to elect whether he or she will participate in the Plan with respect to all of his or her shares of common stock (full dividend reinvestment) or only a portion of his or her shares of common stock (partial dividend reinvestment).

The Administrator will use cash dividends paid on the shares that a participant has elected to enroll in the Plan to purchase additional shares of common stock. Cash dividends on shares of common stock credited to a participant’s account under the Plan are always automatically reinvested regardless of which investment option is selected.

Purchases

| 9. | How many shares of common stock will be purchased by participants? |

The number of shares that will be purchased by each participant will depend on the aggregate amount of the participant’s dividends to be reinvested under the Plan and the applicable purchase price of the shares of common stock (see Question No. 10). A participant’s account will be credited with that number of shares