Company: OSBC
Filing Date: 2025-02-26
Form Type: 425
Source: 0000357173-25-000023
Chunk: 6

Company: OLD SECOND BANCORP INC
Filing Date: 2025-02-26
Form: 425
Chunk 6
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 two to three years, given where we are in a macro cycle. I honestly don't know if I really care. This isn't about timing perfection. This is about becoming a better asset origination with great risk-adjusted returns.

If we nail the timing, great. If we don't go, oh well. The combination with Evergreen makes us a better company, in my opinion.

Q:Okay. Thank you. That is off for me. I'll step back.

Bradley Adams - EVP, Chief Operating & Chief Financial Officer, Old Second Bancorp, Inc.

Thank you.

James Eccher - Chairman and CEO of Old Second Bancorp, Inc. & Old Second National Bank

Thank you.

Operator

Thank you. Our next question is coming from Terry McAvoy with Stephens. Your line is live.

Q:Hi, thanks. Good morning, everybody. Could you just start maybe just shed some light on Evergreen's deposit base and how you're thinking about runoff or remixing of some of the non-core and I just went to the Performance Finance website. It looks like they're offering kind of a 4.25% online product. And how much of that do you think you'd like to have stick around going forward?

Bradley Adams - EVP, Chief Operating & Chief Financial Officer, Old Second Bancorp, Inc.

Well, I'll tell you what. I mean, Old Second is certainly a big believer in the power of maintaining a good deposit base. I can tell you that's not going to change.I would say that in the world of discussing potential synergies in the transaction, that is obviously one.It's not difficult to acquire deposits in this business. There's a lot of work associated with it, but it's not hard to do. What is difficult when you're growing a community bank is building a solid organic asset strategy. That's hard to do.

And Darin has done an exceptionally good job at it as well as his team at Evergreen. I believe there are plenty of opportunities to gain additional quality core deposits as we go forward in the future. There's no shortage of that. Building an asset generation business that is actually sophisticated and offers exceptional returns is difficult to do. I know because we've been trying for the better part of seven years. It's no secret, our asset origination is at times uneven. This makes us better. And I think the way you should think about the funding is that we see the same thing you do, and it will be a focus