UNITED STATES

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                        ------------------------------

                                    FORM 13F

                        ------------------------------

                               FORM 13F COVER PAGE

Report for the Calendar Year or Quarter Ended:  September 30, 2005

Check here if Amendment [ ]; Amendment Number:
This Amendment (Check only one.): [  ] is a restatement.
                                  [  ] adds new holdings entries.

Institutional Investment Manager Filing this Report:

Name:             TERRY L BLAKER
Address:          200 EAST JACKSON STREET
                  MUNCIE, IN   47305

13F File Number:  28-

The institutional  investment  manager filing this report and the person by whom
it is signed hereby  represent  that the person signing the report is authorized
to  submit  it,  that all  information  contained  herein is true,  correct  and
complete,  and  that it is  understood  that  all  required  items,  statements,
schedules, lists, and tables, are considered integral parts of this form.

Person signing this Report on Behalf of Reporting Manager:

Name:             Terry Blaker
Title:            Senior Vice President
Phone:            (765) 747-1570

Signature, Place, and Date of Signing:

                  Terry Blaker          Muncie, IN         October 24, 2005

Report Type (Check only one.):

[X]    13F HOLDING REPORT.
[ ]    13F NOTICE.
[ ]    COMBINATION REPORT.


<PAGE>
                              FORM 13F SUMMARY PAGE

Report Summary:

Number of Other Included Managers:  None

Form 13F Information Table Entry Total: 222

Form 13F Information Table Value Total: $335,164,000


List of Other Included Managers:

None

<PAGE>
<TABLE>
<CAPTION>

                                                                  FORM 13F INFORMATION TABLE
                                                           VALUE   SHARES/  SH/ PUT/ INVSTMT    OTHER          VOTING AUTHORITY
        NAME OF ISSUER         TITLE OF CLASS     CUSIP   (X$1000) PRN AMT  PRN CALL DSCRETN   MANAGERS     SOLE    SHARED    NONE
------------------------------ ---------------- --------- -------- -------- --- ---- ------- ------------ -------- -------- --------
<S>                             <C>             <C>       <C>      <C>      <C>      <C>      <C>           <C>     <C>      <C>

INGERSOLL RAND CL A             COM             G4776G101     5570   145750 SH       SOLE                   143250     2100      400
INGERSOLL RAND CL A             COM             G4776G101      252     6600 SH       DEFINED                  6600        0        0
ABBOTT LABS                     COM             002824100     3437    81083 SH       SOLE                    79633     1000      450
ABBOTT LABS                     COM             002824100      287     6775 SH       DEFINED                  6175        0      600
AFFILIATED COMPUTER SV CL A     COM             008190100     1467    26884 SH       SOLE                    26034      750      100
AFFILIATED COMPUTER SV CL A     COM             008190100       19      350 SH       DEFINED                   350        0        0
ALCOA INC                       COM             013817101     1399    57317 SH       SOLE                    55617     1700        0
ALCOA INC                       COM             013817101       62     2550 SH       DEFINED                  2550        0        0
ALLSTATE                        COM             020002101     2194    39696 SH       SOLE                    38196     1500        0
ALLSTATE                        COM             020002101       44      800 SH       DEFINED                   800        0        0
ALTRIA GROUP INC                COM             02209S103      316     4300 SH       SOLE                     3950      350        0
ALTRIA GROUP INC                COM             02209S103      265     3600 SH       DEFINED                  3600        0        0
AMERICAN INTERNATIONAL GRP      COM             026874107     6748   108936 SH       SOLE                   107536     1200      200
AMERICAN INTERNATIONAL GRP      COM             026874107      199     3225 SH       DEFINED                  3225        0        0
AMGEN INC                       COM             031162100     2507    31470 SH       SOLE                    30820      650        0
AMGEN INC                       COM             031162100       89     1120 SH       DEFINED                  1120        0        0
ANALOG DEVICES, INC             COM             032654105      109     2955 SH       SOLE                     2955        0        0
ANALOG DEVICES, INC             COM             032654105      100     2700 SH       DEFINED                  2700        0        0
APACHE CORP                     COM             037411105      379     5046 SH       SOLE                     4496      550        0
APACHE CORP                     COM             037411105        5       75 SH       DEFINED                    75        0        0
AUTOMATIC DATA PROCESSING       COM             053015103     5061   117594 SH       SOLE                   116194     1200      200
AUTOMATIC DATA PROCESSING       COM             053015103       72     1675 SH       DEFINED                  1675        0        0
AVERY DENNISON CORP             COM             053611109     2144    40950 SH       SOLE                    40500      400       50
BP PLC - SPONS                  ADR             055622104     7395   104376 SH       SOLE                   103071     1305        0
BP PLC - SPONS                  ADR             055622104     1294    18275 SH       DEFINED                  6297      328    11650
BALL CORP                       COM             058498106     4331   117923 SH       SOLE                   117623      300        0
BANK OF AMERICA CORP            COM             060505104     5377   127752 SH       SOLE                   124902     1550     1300
BANK OF AMERICA CORP            COM             060505104      159     3800 SH       DEFINED                  3400        0      400
BAXTER INTERNATIONAL INC        COM             071813109      703    17645 SH       SOLE                    17245      400        0
BAXTER INTERNATIONAL INC        COM             071813109       19      500 SH       DEFINED                   500        0        0
BECTON DICKINSON & CO           COM             075887109      320     6112 SH       SOLE                     6112        0        0
BELLSOUTH CORP                  COM             079860102     2292    87216 SH       SOLE                    86816        0      400
BELLSOUTH CORP                  COM             079860102      141     5400 SH       DEFINED                  3600        0     1800
BEST BUY COMPANY INC            COM             086516101      573    13169 SH       SOLE                    13169        0        0
BEST BUY COMPANY INC            COM             086516101       17      412 SH       DEFINED                   412        0        0
BRISTOL-MYERS SQUIBB            COM             110122108     1927    80165 SH       SOLE                    79865      100      200
BRISTOL-MYERS SQUIBB            COM             110122108      123     5150 SH       DEFINED                  5150        0        0
BURLINGTON RESOURCES            COM             122014103      692     8517 SH       SOLE                     7867      650        0
CATERPILLAR INC.                COM             149123101     1641    27945 SH       SOLE                    27295      650        0
CATERPILLAR INC.                COM             149123101       64     1100 SH       DEFINED                  1100        0        0
CHEVRON CORP                    COM             166764100     9423   145611 SH       SOLE                   142819     1650     1142
CHEVRON CORP                    COM             166764100      248     3835 SH       DEFINED                  3835        0        0
CISCO SYSTEMS                   COM             17275R102     1669    93192 SH       SOLE                    91892     1100      200
CISCO SYSTEMS                   COM             17275R102       51     2850 SH       DEFINED                  2850        0        0
CITIGROUP INC                   COM             172967101     3154    69304 SH       SOLE                    67071     1583      650
CITIGROUP INC                   COM             172967101      108     2375 SH       DEFINED                  2075        0      300
COCA COLA CO                    COM             191216100     1811    41956 SH       SOLE                    41956        0        0
COCA COLA CO                    COM             191216100      129     3000 SH       DEFINED                  3000        0        0
COLGATE PALMOLIVE CO            COM             194162103     1508    28581 SH       SOLE                    27731      850        0
COLGATE PALMOLIVE CO            COM             194162103      121     2300 SH       DEFINED                   700        0     1600
CONOCOPHILLIPS                  COM             20825C104     3894    55709 SH       SOLE                    54609     1100        0
CONOCOPHILLIPS                  COM             20825C104      218     3125 SH       DEFINED                  3125        0        0
DNP SELECT INCOME FUND                          23325P104     1516   130879 SH       SOLE                   125749     3230     1900
DNP SELECT INCOME FUND                          23325P104       24     2100 SH       DEFINED                  2100        0        0
DPL INC                         COM             233293109       19      700 SH       SOLE                      700        0        0
DPL INC                         COM             233293109      396    14275 SH       DEFINED                 14275        0        0
DANAHER CORP                    COM             235851102      747    13885 SH       SOLE                    13185      600      100
DANAHER CORP                    COM             235851102       10      200 SH       DEFINED                   200        0        0
DARDEN RESTAURANTS              COM             237194105     1060    34915 SH       SOLE                    34015      600      300
DARDEN RESTAURANTS              COM             237194105       66     2200 SH       DEFINED                  2200        0        0
DEERE & CO                      COM             244199105      740    12104 SH       SOLE                    11754      350        0
DEERE & CO                      COM             244199105      104     1700 SH       DEFINED                  1700        0        0
DELL INC                        COM             24702R101     2264    66217 SH       SOLE                    64792     1425        0
DELL INC                        COM             24702R101       68     2000 SH       DEFINED                  2000        0        0
DIAMOND HILL INVESTMENT GRP     COM             25264R207     1291    49963 SH       SOLE                    49963        0        0
DISNEY WALT COMPANY             COM             254687106     2072    85925 SH       SOLE                    85925        0        0
DISNEY WALT COMPANY             COM             254687106       28     1200 SH       DEFINED                  1200        0        0
DOVER CORP                      COM             260003108     1068    26207 SH       SOLE                    25232      975        0
DOVER CORP                      COM             260003108       12      300 SH       DEFINED                   300        0        0
DOW CHEM CO                     COM             260543103     2472    59359 SH       SOLE                    58459      900        0
DOW CHEM CO                     COM             260543103       77     1850 SH       DEFINED                   950        0      900
DU PONT E I DE NEMOURS          COM             263534109     1046    26719 SH       SOLE                    25969      750        0
DU PONT E I DE NEMOURS          COM             263534109       37      950 SH       DEFINED                   950        0        0
EMERSON ELEC CO                 COM             291011104     5594    77925 SH       SOLE                    77375      500       50
EMERSON ELEC CO                 COM             291011104      326     4550 SH       DEFINED                  4550        0        0
EXELON CORP                     COM             30161N101      219     4115 SH       SOLE                     4115        0        0
EXXON MOBIL CORP                COM             30231G102    10955   172427 SH       SOLE                   170031     2132      264
EXXON MOBIL CORP                COM             30231G102      698    10991 SH       DEFINED                  9471      528      992
FPL GROUP INC                   COM             302571104     1488    31278 SH       SOLE                    27978     1300     2000
FPL GROUP INC                   COM             302571104       61     1300 SH       DEFINED                  1300        0        0
FANNIE MAE                      COM             313586109      535    11958 SH       SOLE                    11358      600        0
FANNIE MAE                      COM             313586109       13      300 SH       DEFINED                   300        0        0
FIFTH-THIRD BANCORP             COM             316773100     1435    39067 SH       SOLE                    36642     1225     1200
FIFTH-THIRD BANCORP             COM             316773100       14      400 SH       DEFINED                   400        0        0
FIRST INDIANA CORP              COM             32054R108      370    10882 SH       SOLE                    10882        0        0
FIRST MERCHANTS CORP            COM             320817109    12702   491980 SH       SOLE                   442368     8732    40880
FIRST MERCHANTS CORP            COM             320817109     2322    89950 SH       DEFINED                 89170        0      780
FORTUNE BRANDS INC              COM             349631101      237     2926 SH       SOLE                     2926        0        0
FORTUNE BRANDS INC              COM             349631101       65      800 SH       DEFINED                   800        0        0
GANNETT COMPANY INC             COM             364730101     2457    35705 SH       SOLE                    35055      550      100
GANNETT COMPANY INC             COM             364730101       77     1125 SH       DEFINED                   925        0      200
GENERAL ELEC CO                 COM             369604103    12161   361308 SH       SOLE                   356558     3500     1250
GENERAL ELEC CO                 COM             369604103      908    26990 SH       DEFINED                 21290        0     5700
GILLETTE CO                     COM             375766102      480     8250 SH       SOLE                     8250        0        0
GOLDEN WEST FINL CORP DEL       COM             381317106      285     4800 SH       SOLE                     4800        0        0
GOLDMAN SACHS GROUP             COM             38141G104      511     4211 SH       SOLE                     3711      500        0
GOLDMAN SACHS GROUP             COM             38141G104       30      250 SH       DEFINED                   250        0        0
HARSCO CORP                     COM             415864107      909    13870 SH       SOLE                    13870        0        0
HEINZ H J CO                    COM             423074103      246     6750 SH       SOLE                     6750        0        0
HERSHEY FOODS                   COM             427866108      202     3600 SH       SOLE                     3600        0        0
HEWLETT PACKARD CO              COM             428236103     2230    76397 SH       SOLE                    76197        0      200
HEWLETT PACKARD CO              COM             428236103      245     8400 SH       DEFINED                  8400        0        0
HOME DEPOT INC                  COM             437076102      962    25240 SH       SOLE                    24140     1100        0
HOME DEPOT INC                  COM             437076102       40     1050 SH       DEFINED                  1050        0        0
ILLINOIS TOOL WORKS INC         COM             452308109      359     4365 SH       SOLE                     4365        0        0
INTEL CORP                      COM             458140100     7076   287211 SH       SOLE                   282811     4400        0
INTEL CORP                      COM             458140100      455    18501 SH       DEFINED                 18501        0        0
INTL BUSINESS MACHINES CORP     COM             459200101     3229    40252 SH       SOLE                    39652      600        0
INTL BUSINESS MACHINES CORP     COM             459200101       88     1109 SH       DEFINED                  1109        0        0
LEHMAN AGG BOND FUND            I SHARES        464287226      203     2000 SH       SOLE                     2000        0        0
RUSSELL 2000                    I SHARES        464287655     2071    31212 SH       SOLE                    29772     1120      320
RUSSELL 2000                    I SHARES        464287655       79     1194 SH       DEFINED                  1194        0        0
J P MORGAN CHASE & CO           COM             46625H100     7119   209840 SH       SOLE                   208894      550      396
J P MORGAN CHASE & CO           COM             46625H100      496    14629 SH       DEFINED                 14629        0        0
JARDEN CORPORATION              COM             471109108      609    14842 SH       SOLE                    14842        0        0
JOHNSON & JOHNSON               COM             478160104     9008   142387 SH       SOLE                   140862     1525        0
JOHNSON & JOHNSON               COM             478160104      658    10400 SH       DEFINED                 10000        0      400
JOHNSON CTLS INC                COM             478366107     3191    51436 SH       SOLE                    50236     1100      100
JOHNSON CTLS INC                COM             478366107      114     1850 SH       DEFINED                  1850        0        0
KELLOGG CO                      COM             487836108      339     7360 SH       SOLE                     7360        0        0
KIMBERLY CLARK CORP             COM             494368103     3917    65822 SH       SOLE                    64772      500      550
KIMBERLY CLARK CORP             COM             494368103       26      450 SH       DEFINED                   450        0        0
KOHL'S CORP                     COM             500255104      187     3742 SH       SOLE                     3742        0        0
KOHL'S CORP                     COM             500255104       15      300 SH       DEFINED                   300        0        0
LILLY ELI & CO                  COM             532457108     7520   140518 SH       SOLE                   138638     1680      200
LILLY ELI & CO                  COM             532457108      457     8554 SH       DEFINED                  8554        0        0
LINCOLN NATL CORP IND           COM             534187109      256     4932 SH       SOLE                     4932        0        0
LINCOLN NATL CORP IND           COM             534187109       72     1400 SH       DEFINED                  1400        0        0
LOWE'S COMPANIES INC            COM             548661107     5591    86820 SH       SOLE                    85225     1525       70
LOWE'S COMPANIES INC            COM             548661107      110     1720 SH       DEFINED                  1720        0        0
MARSH SUPERMARKETS INC CL B     COM             571783208     1479   124775 SH       SOLE                   124775        0        0
MARSH SUPERMARKETS INC CL A     COM             571783307     3244   278061 SH       SOLE                   278061        0        0
MASCO CORP                      COM             574599106     2218    72307 SH       SOLE                    70432     1875        0
MASCO CORP                      COM             574599106       85     2775 SH       DEFINED                  2775        0        0
MCDONALDS CORP                  COM             580135101      769    22985 SH       SOLE                    22785      200        0
MCDONALDS CORP                  COM             580135101      143     4300 SH       DEFINED                  4300        0        0
MCGRAW HILL COS INC             COM             580645109     2024    42150 SH       SOLE                    41350      800        0
MEDTRONIC INCORPORATED          COM             585055106     2478    46237 SH       SOLE                    45037     1000      200
MEDTRONIC INCORPORATED          COM             585055106       21      400 SH       DEFINED                   400        0        0
MERCK & CO INC                  COM             589331107      460    16920 SH       SOLE                    16320        0      600
MERRILL LYNCH & CO INC          COM             590188108     1342    21875 SH       SOLE                    21875        0        0
MERRILL LYNCH & CO INC          COM             590188108       18      300 SH       DEFINED                   300        0        0
MICROSOFT CORPORATION           COM             594918104     6957   270513 SH       SOLE                   267213     2850      450
MICROSOFT CORPORATION           COM             594918104      343    13350 SH       DEFINED                 13350        0        0
S&P MIDCAP 400 SPDR                             595635103     2930    22384 SH       SOLE                    21557      655      172
S&P MIDCAP 400 SPDR                             595635103       98      753 SH       DEFINED                   753        0        0
MORGAN STANLEY DEAN WITTER      COM             617446448     1268    23528 SH       SOLE                    22478     1050        0
MORGAN STANLEY DEAN WITTER      COM             617446448        5      100 SH       DEFINED                   100        0        0
NATIONAL CITY CORP              COM             635405103      328     9825 SH       SOLE                     9825        0        0
NEWELL RUBBERMAID INC           COM             651229106      251    11130 SH       SOLE                    11030      100        0
NEWELL RUBBERMAID INC           COM             651229106       15      700 SH       DEFINED                   700        0        0
NORTHROP GRUMMAN CORP           COM             666807102     1583    29143 SH       SOLE                    29143        0        0
NVIDIA CORP                     COM             67066G104      282     8240 SH       SOLE                     8240        0        0
OLD NATIONAL BANCORP            COM             680033107      962    45378 SH       SOLE                    45378        0        0
OMNICOM GROUP INC               COM             681919106      470     5631 SH       SOLE                     5181      350      100
OMNICOM GROUP INC               COM             681919106       39      475 SH       DEFINED                   475        0        0
PEPSICO INC                     COM             713448108     7672   135311 SH       SOLE                   133511     1300      500
PEPSICO INC                     COM             713448108      471     8315 SH       DEFINED                  8315        0        0
PFIZER INC                      COM             717081103     2523   101099 SH       SOLE                    97599     1900     1600
PFIZER INC                      COM             717081103      113     4530 SH       DEFINED                  3330     1200        0
PITNEY BOWES INC                COM             724479100      629    15089 SH       SOLE                    15089        0        0
PITNEY BOWES INC                COM             724479100       20      500 SH       DEFINED                   500        0        0
T. ROWE PRICE GROUP INC         COM             74144T108      775    11871 SH       SOLE                    11871        0        0
T. ROWE PRICE GROUP INC         COM             74144T108       19      300 SH       DEFINED                   300        0        0
PROCTER & GAMBLE CO             COM             742718109     6719   113025 SH       SOLE                   111525     1300      200
PROCTER & GAMBLE CO             COM             742718109      285     4800 SH       DEFINED                  1800        0     3000
PRUDENTIAL FINANCIAL            COM             744320102      210     3115 SH       SOLE                     2166      949        0
PRUDENTIAL FINANCIAL            COM             744320102       57      850 SH       DEFINED                   850        0        0
REGIONS FINANCIAL CORP          COM             7591EP100      342    11000 SH       DEFINED                 11000        0        0
SBC COMMUNICATIONS INC          COM             78387G103     1794    74891 SH       SOLE                    74791        0      100
SBC COMMUNICATIONS INC          COM             78387G103      101     4252 SH       DEFINED                  3252        0     1000
S&P 500 INDEX SPDR ETF                          78462F103      900     7315 SH       SOLE                     7315        0        0
SARA LEE CORP                   COM             803111103     2504   132209 SH       SOLE                   130509     1400      300
SARA LEE CORP                   COM             803111103      125     6600 SH       DEFINED                  6600        0        0
SCHLUMBERGER LTD                COM             806857108     4157    49273 SH       SOLE                    48673      500      100
SCHLUMBERGER LTD                COM             806857108      177     2100 SH       DEFINED                  2100        0        0
SECTOR SPDR HEALTH CARE         COM             81369Y209      508    16240 SH       SOLE                    15850      390        0
TECHNOLOGY SELECT SECTOR        COM             81369Y803      327    15700 SH       SOLE                    15700        0        0
SOUTHERN CO                     COM             842587107     2267    63415 SH       SOLE                    60635      350     2430
SOUTHERN CO                     COM             842587107      100     2800 SH       DEFINED                  2800        0        0
STAPLES INC                     COM             855030102     1826    85714 SH       SOLE                    83764     1650      300
STAPLES INC                     COM             855030102       75     3550 SH       DEFINED                  3550        0        0
STRYKER CORP                    COM             863667101     1229    24864 SH       SOLE                    24164      700        0
STRYKER CORP                    COM             863667101       12      250 SH       DEFINED                   250        0        0
SYSCO CORP                      COM             871829107     5906   188349 SH       SOLE                   185299     2650      400
SYSCO CORP                      COM             871829107      235     7500 SH       DEFINED                  7500        0        0
TARGET CORP                     COM             87612E106     3580    68949 SH       SOLE                    67599     1150      200
TARGET CORP                     COM             87612E106       70     1350 SH       DEFINED                  1350        0        0
TEXAS INSTRS INC                COM             882508104      756    22336 SH       SOLE                    22336        0        0
TEXAS INSTRS INC                COM             882508104       30      900 SH       DEFINED                   900        0        0
3M COMPANY                      COM             88579Y101     1798    24518 SH       SOLE                    24268      250        0
3M COMPANY                      COM             88579Y101      199     2725 SH       DEFINED                   525        0     2200
US BANCORP DEL                  COM             902973304     2031    72365 SH       SOLE                    68715     2200     1450
US BANCORP DEL                  COM             902973304       44     1600 SH       DEFINED                  1600        0        0
UNITED PARCEL SERVICE           COM             911312106      533     7724 SH       SOLE                     7724        0        0
UNITED PARCEL SERVICE           COM             911312106       27      400 SH       DEFINED                   400        0        0
UNITED TECHNOLOGIES CORP        COM             913017109     8678   167414 SH       SOLE                   165064     2150      200
UNITED TECHNOLOGIES CORP        COM             913017109      145     2800 SH       DEFINED                  2800        0        0
UNITEDHEALTH GROUP INC          COM             91324P102     1157    20594 SH       SOLE                    20294      300        0
UNITEDHEALTH GROUP INC          COM             91324P102       22      400 SH       DEFINED                   400        0        0
UNITRIN INC                     COM             913275103      237     5000 SH       SOLE                     5000        0        0
VECTREN CORP                    COM             92240G101     2691    94981 SH       SOLE                    91042     3239      700
VECTREN CORP                    COM             92240G101      160     5665 SH       DEFINED                  4600        0     1065
VERIZON COMMUNICATIONS INC      COM             92343V104     3555   108812 SH       SOLE                   106737     1975      100
VERIZON COMMUNICATIONS INC      COM             92343V104      196     6026 SH       DEFINED                  5660      366        0
WACHOVIA CORP                   COM             929903102     2841    59716 SH       SOLE                    58166     1400      150
WACHOVIA CORP                   COM             929903102      217     4567 SH       DEFINED                  4567        0        0
WAL MART STORES INC             COM             931142103     4795   109469 SH       SOLE                   108019     1450        0
WAL MART STORES INC             COM             931142103      278     6350 SH       DEFINED                  6350        0        0
WALGREEN COMPANY                COM             931422109      718    16529 SH       SOLE                    16429      100        0
WALGREEN COMPANY                COM             931422109       30      700 SH       DEFINED                   700        0        0
WASHINGTON MUTUAL INC           COM             939322103      892    22749 SH       SOLE                    22199      550        0
WASHINGTON MUTUAL INC           COM             939322103       58     1500 SH       DEFINED                   900        0      600
WELLPOINT INC                   COM             94973V107      328     4330 SH       SOLE                     3384      946        0
WELLS FARGO & CO                COM             949746101     6401   109311 SH       SOLE                   108061     1050      200
WELLS FARGO & CO                COM             949746101      872    14906 SH       DEFINED                 14306        0      600
WEYERHAEUSER CO                 COM             962166104     3962    57636 SH       SOLE                    57011      625        0
WEYERHAEUSER CO                 COM             962166104       51      750 SH       DEFINED                   750        0        0
WYETH                           COM             983024100     6532   141174 SH       SOLE                   140974        0      200
WYETH                           COM             983024100      124     2700 SH       DEFINED                   300        0     2400

 GRAND TOTALS                                               335164  8320043                                8111649   106383   102011

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