44ththQuarterQuarter  2018Earnings Earnings Highlights Highlights      JanuaryJanuary 31, 31,  20192019
 Forward-Looking Statement This presentation contains forward-looking statements made pursuant to the safe-harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements can often, but not always, be identified by the use of words like “believe”, “continue”, “pattern”, “estimate”, “project”, “intend”, “anticipate”, “expect” and similar expressions or future or conditional verbs such as “will”, would”, “should”, “could”, “might”, “can”, “may”, or similar expressions. These forward-looking statements include, but are not limited to, statements relating to First Merchants’ goals, intentions and expectations; statements regarding the First Merchants’ business plan and growth strategies; statements regarding the asset quality of First Merchants’ loan and investment portfolios; and estimates of First Merchants’ risks and future costs and benefits. These forward-looking statements are subject to significant risks, assumptions and uncertainties that may cause results to differ materially from those set forth in forward-looking statements, including, among other things: possible changes in economic and business conditions; the existence or exacerbation of general geopolitical instability and uncertainty; the ability of First Merchants to integrate recent acquisitions and attract new customers; possible changes in monetary and fiscal policies, and laws and regulations; the effects of easing restrictions on participants in the financial services industry; the cost and other effects of legal and administrative cases; possible changes in the credit worthiness of customers and the possible impairment of collectability of loans; fluctuations in market rates of interest; competitive factors in the banking industry; changes in the banking legislation or regulatory requirements of federal and state agencies applicable to bank holding companies and banks like First Merchants’ affiliate bank; continued availability of earnings and excess capital sufficient for the lawful and prudent declaration of dividends; changes in market, economic, operational, liquidity, credit and interest rate risks associated with the First Merchants’ business; and other risks and factors identified in each of First Merchants’ filings with the Securities and Exchange Commission. First Merchants undertakes no obligation to update any forward-looking statement, whether written or oral, relating to the matters discussed in this presentation or press release. In addition, the company’s past results of operations do not necessarily indicate its anticipated future results.                                           NON-GAAP FINANCIAL MEASURES These slides contain non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of the registrant’s historical or future financial performance, financial position or cash flows that excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of income, balance sheet or statement of cash flows (or equivalent statements) of the issuer; or includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented. In this regard, GAAP refers to generally accepted accounting principles in the United States. Pursuant to the requirements of Regulation G, First Merchants Corporation has provided reconciliations within the slides, as necessary, of the non-GAAP financial measure to the most directly comparable GAAP financial measure.                                                                                                               2
 Additional Information  Communications in this press release do not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any proxy vote or approval. The proposed merger between First Merchants Corporation and MBT Financial Corporation will be submitted to MBT Financial Corporation shareholders for their consideration. In connection with the proposed merger, MBT Financial Corporation has provided its shareholders with a Proxy Statement, as well as other relevant documents concerning the proposed transaction. SHAREHOLDERS ARE URGED TO READ THE PROXY STATEMENT  REGARDING THE MERGER, AS WELL AS ANY OTHER RELEVANT DOCUMENTS  CONCERNING  THE PROPOSED TRANSACTION, TOGETHER WITH ALL AMENDMENTS OR SUPPPLEMENTS TO THOSE DOCUMENTS, AS THEY CONTAIN IMPORTANT INFORMATION.  MBT  Financial Corporation and its directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of MBT Financial Corporation in connection with the proposed merger. Additional information regarding the interests of those participants and other persons who may be deemed participants in the transaction may be obtained by reading the Proxy Statement regarding the proposed merger.                                                                                                               3
 Full Year 2018 Performance    Record Net Income of $159.1 Million, a 65.6% increase over 2017    Earnings per share of $3.22, a 51.9% increase over 2017    Total Assets of $9.9 Billion; grew organically by 5.5% over 2017    1.64%  ROAA;  11.84%  ROAE;  50.21%  Efficiency Ratio    Organic Loan Growth of $471 Million, a 7.0% growth rate    Organic Deposit Growth of $582 Million, an 8.1% growth rate    Tangible Book Value increased to $19.12 per share, or 12.7% over year-end 2017                 “Record Level Results”                                                                  4
 4th Quarter 2018 Highlights    Earnings Per Share of $.85, a 73.5% increase over 4Q2017    $41.7 Million of Net Income, a 71.1% increase over 4Q2017    Winning marketplace execution delivering growth       Organic Loan Growth of $138 Million, a 7.8% annualized growth rate       Organic Deposit Growth of $121 Million, a 6.4% annualized growth rate                 “Record Level Results”                                                                 5
 Mark K. Hardwick  EXECUTIVE VICE PRESIDENT  CHIEF FINANCIAL OFFICER AND CHIEF OPERATING OFFICER                                                        6
 Total Assets  ($ in Millions)                   2016                 2017              2018   1. Investments                   $1,305               $1,561            $1,633   2. Loans                          5,143                6,758 1           7,229   3. Allowance                       (66)                 (75)              (81)   4. Goodwill & Intangibles          259                  477               470   5. BOLI                            202                  224               225   6. Other                           369                  422               409   7. Total Assets                  $7,212               $9,367            $9,885      Annualized Asset Growth        6.7%                29.9%              5.5%       1 2017 loans include acquired loans of $225 from The Arlington Bank and $725 from Independent Alliance Banks                                                                                7
 Loan and Yield Detail         (as of 12/31/2018)                                                         QTD Yield    =         5.41% Commercial                        Agricultural                                   YTD Yield    =         5.16%                  Construction Land &         Agricultural  Real Estate                         Land                      Public             Total Loans  =    $7.2 Billion                   Land Development           Production Non-Owner                           3.3%                   Finance/Other                         7.6%                    1.3%  Occupied                                                             Commercial           Variable     =    $4.9 Billion   25.8%                                                        6.0%                                                                                  Fixed        =    $2.3 Billion                                                                  Residential                                                                    Mortgage                                                                    13.4%                                                                       Home                                                                       Equity       LIBOR                                                                      7.3%          36%                                                                                                                 Prime                                                                     Other                                      19%                                                                   Consumer  Commercial                                                         1.4%   Real Estate  Owner-Occupied     10.0%                                     Commercial &                                        Industrial                         Fixed                                        23.9%                             32%                                Other                                                                                                             Variable                                                                                                             13%                                                                                                               8
 Investment Portfolio   (as of 12/31/2018)                                                        Mortgage-Backed                                                           Securities    Tax-Exempt                                              24%    Municipals       48%                                                                                  $1.6 Billion Portfolio                                                                                Modified duration of 5.6 years                                                                                Tax equivalent yield of 3.54%                                                                                Net unrealized loss of $8.0 Million                                                                 Collateralized                                                                   Mortgage                                                                  Obligations                Corporate                                           24%                Obligations       U. S. Agencies                   2%                 2%                                                                                                             9
 Total Liabilities and Capital   ($ in Millions)                                                    2016                     2017                      2018   1.   Customer Non-Maturity Deposits             $4,428                   $5,741 1                  $6,268   2.   Customer Time Deposits                        747                    1,0512                    1,241   3.   Brokered Deposits                             381                      381                       246   4.   Borrowings                                    572                      701                       538   5.   Other Liabilities                              60                        57                       51   6.   Hybrid Capital                                122                      133                       133   7.   Common Equity                                 902                    1,303                     1,408   8.   Total Liabilities and Capital              $7,212                   $9,367                    $9,885    1 2017 includes acquired Non-Maturity Deposits of $169 from The Arlington Bank and $719 from Independent Alliance Banks   2 2017 includes acquired Time Deposits of $84 from The Arlington Bank and $143 from Independent Alliance Banks                                                                                                             10
 Deposit Detail     (as of 12/31/2018)                                                                          QTD Cost      =        1.04%                                                                          YTD Cost      =          .86%                                                                          Total         =    $7.8 Billion                      Certificates &                Certificates &                       Time Deposits                 Time Deposits                        >$100,000                      <$100,000    Savings                           8%                             8%    Deposits      29%                                                        Brokered                                                                  Deposits                                                                   3%                                                       Demand                                                      Deposits                                                        52%                                                                                                         11
 Capital Ratios                                                                                           Total Risk-Based Capital Ratio  (Target = 12.50%)                                                                                                              Common Equity Tier 1 Capital Ratio  (Target = 10.00%)                                                                                           Tangible Common Equity Ratio  (TCE) (Target = 9.00%)             15.00%                                                                                                       14.61%                          14.21%      14.24%                                                                  14.25%                                                 14.01%                                                                                                 13.81%            14.00%                                           13.76%      13.69%      13.69%             13.00%                                                                                                                          11.98%            12.00%                                                                                           11.64%                                      11.16%      11.11%                                          11.21%                         11.10%                             11.03%       11.00%      11.04%            11.00%                                                                                                                           9.97%            10.00%                                     9.50%       9.68%                                                       9.55%                        9.24%                                 9.39%      9.30%       9.32%       9.36%             9.00%              8.00%                         4Q16        1Q17        2Q17        3Q17        4Q17        1Q18        2Q18        3Q18        4Q18                                                                                                                                        12
 Net Interest Margin                                                Q4 - '16   Q1 - '17   Q2 - '17   Q3 - '17   Q4 - '17   Q1 - '18   Q2 - '18   Q3 - '18    Q4 - '18  Net Interest Income - FTE ($millions)      $      62.1 $      64.9 $      67.2 $      78.9 $      83.5 $      82.5 $      87.2 $      89.2 $      90.7   Fair Value Accretion                       $        2.9 $        4.3 $        2.3 $        3.2 $        4.1 $        3.2 $        3.8 $        3.2 $        3.9                                                                                                                1          2                     4 Tax Equivalent Yield on Earning Assets         4.32%       4.42%      4.44%      4.56%      4.67%      4.57%      4.74%      4.88%3     4.97% Interest Expense/Average Earning Assets        0.42%       0.44%      0.49%      0.53%      0.57%      0.65%      0.75%      0.83%      0.93% Net Interest Margin                            3.90%       3.98%      3.95%      4.03%      4.10%      3.92%      3.99%      4.05%      4.04% Fair Value Accretion Effect                    0.18%       0.26%      0.14%      0.17%      0.20%      0.15%      0.18%      0.15%      0.17%   $94                                                                                                                           3         4.04%4      4.20%                                                                           4.10%                                2         4.05%                                                            4.03%                                         3.99% $90                        3.98%                                            3.95%                                               1                                                    4.00% $86         3.90%                                                                         3.92% $82                                                                                                                                                 3.80% $78 $74                                                                                                                                                 3.60% $70 $66                                                                                                                                                 3.40% $62                                                                                                                                                 3.20% $58 $54                                                                                                                                                 3.00%          Q4 - '16        Q1 - '17        Q2 - '17       Q3 - '17        Q4 - '17        Q1 - '18       Q2 - '18        Q3 - '18       Q4 - '18                                      Net Interest Income - FTE ($millions)                                 Net Interest Margin                                                                                                        1 Reflects 13 bps impact of Tax Cuts and Jobs Act                                                                                                         2 Reflects 12 bps impact of Tax Cuts and Jobs Act                                                                                                        3 Reflects 13 bps impact of Tax Cuts and Jobs Act                                                                                                        4 Reflects 13 bps impact of Tax Cuts and Jobs Act                                                                                                                                                         13
 Non-Interest Income   ($ in Millions)                              2016         2017           2018   1. Service Charges on Deposit Accounts      $17.8        $ 18.7         $ 21.0   2. Wealth Management Fees                    12.6          14.7           14.9   3. Card Payment Fees                         15.0          16.1           18.0   4. Cash Surrender Value of Life Ins           4.3           6.6           4.2   5. Gains on Sales of Mortgage Loans           7.1           7.6           7.0   6. Gains on Sales of Securities               3.4           2.6           4.3   7. Other                                      5.0           4.7           7.1   8. Total Non-Interest Income                $65.2         $71.0          $76.5                                                                                14
 Non-Interest Expense   ($ in Millions)                                                 2016          2017        2018   1. Salary & Benefits                        $102.6         $119.8      $131.7   2. Premises & Equipment                       29.5           30.1        32.7   3. Intangible Asset Amortization               3.9            5.6         6.7   4. Professional & Other Outside Services       6.5           12.8         8.2   5. OREO/Credit-Related Expense                 2.9            1.9         1.5   6. FDIC Expense                                3.0            2.6         2.9   7. Outside Data Processing                     9.2           12.2        13.2   8. Marketing                                   3.0            3.7         4.7   9. Other                                      16.7           16.9        18.4   10. Total Non-Interest Expense              $177.3         $ 205.6 1   $ 220.0       1 2017 includes acquisition-related expenses of $12.2 million                                                                                15
 Earnings  ($ in Millions)                                                              2016                    2017                       2018   1.   Net Interest Income                                                  $226.5                $ 277.3                     $ 338.8   2.   Provision for Loan Losses                                               (5.7)                  (9.1)                       (7.2)   3.   Net Interest Income after Provision                                   220.8                   268.2                      331.6   4.   Non-Interest Income                                                     65.2                    71.0                       76.5   5.   Non-Interest Expense                                                 (177.3)                (205.6)                    (220.0)   6.   Income before Income Taxes                                            108.7                   133.6                      188.1   7.   Income Tax Expense                                                    (27.6)                  (37.5)  1                  (29.0)  2   8.   Net Income Avail. for Distribution                                   $  81.1                 $ 96.1                    $ 159.1   9.   EPS                                                                  $  1.98                 $ 2.123                   $   3.22   10.  Efficiency Ratio                                                    56.51%                 54.56%                      50.21%         12017 includes $5.1 million of additional tax expense due to revaluing deferred taxes as a result of the Tax Cuts and Jobs Act        22018 reflects $1.8 million net reduction to income tax expense resulting from an increase in Indiana state tax liability offset by the release of a valuation          allowance on state deferred tax assets        3Acquisition-related expenses, the impact of tax reform, and pension settlement accounting reduced EPS by $0.30 for 2017                                                                                                                                        16
 Quarterly Earnings    ($ in Millions)                      Q1-’18       Q2-’18      Q3-’18     Q4-’18   1. Net Interest Income                 $79.9       $84.6       $86.5      $87.8   2. Provision for Loan Losses            (2.5)       (1.7)       (1.4)      (1.6)   3. Net Interest Income after Provision  77.4        82.9        85.1       86.2   4. Non-Interest Income                  19.6        18.2        19.5       19.2   5. Non-Interest Expense                (53.7)      (53.5)      (55.0)     (57.8)   6. Income before Income Taxes           43.3        47.6        49.6       47.6                                                                                 1   7. Income Tax Expense                   (6.6)       (8.0)       (8.5)      (5.9)1   8. Net Income Avail. for Distribution $   36.7   $   39.6     $  41.1     $41.7    9. EPS                               $   0.74    $   0.80     $  0.83    $  0.85   10. Efficiency Ratio                 51.33%      49.32%       49.25%    50.97%       12018 reflects $1.8 million net reduction to income tax expense resulting from an increase in Indiana state tax liability offset by the       release of a valuation allowance on state deferred tax assets                                                                                    17
 Per Share Results  2017                       Q1        Q2       Q3      Q4      Total  1. Earnings Per Share    $    .56 $    .57  $    .50  $ .49 $   2.12  2. Dividends             $    .15 $    .18 $    .18 $ .18   $     .69  3. Tangible Book Value  $16.49   $16.97   $16.62   $16.96   2018                       Q1        Q2       Q3      Q4      Total  1. Earnings Per Share    $   .74  $     .80  $     .83  $    .85  $  3.22     2. Dividends             $ .18    $     .22 $     .22 $    .22 $ .84  3. Tangible Book Value  $17.14    $17.71   $18.16  $19.12                                                                      18
 Dividends and Tangible Book Value             Quarterly Dividends                          Tangible Book Value  0.22                                  .22 0.20                                   .18                                                $19.12 0.18                                                                                  $16.96 0.16                          .15                                            $15.85                           .14                                           $14.68 0.14                                                                $13.65                                                                $12.17 0.12                  .11                                  $10.95 0.10                                              $9.21 $9.64                   .08 0.08 0.06          .05 0.04      .03 0.02  .01 0.00           2.57% Forward Dividend Yield               Compound Annual Growth Rate of 9.56%       Equals 26.1% Dividend Payout Ratio                                                                                            19
 John J. Martin  EXECUTIVE VICE PRESIDENT AND CHIEF CREDIT OFFICER                                                      20
 Loan Portfolio Trends                                          Change        Change                                                              Linked Quarter 2018 Over 2017    ($ in Millions)             2016    2017  Q3-'18    2018      $     %       $     %    1. Commercial & Industrial  $  1,195 $  1,494 $  1,656 $ 1,727 $     71 4.3% $   233 15.6%  2. Construction, Land and      419    612     669     546    (123) (18.4%)  (66) (10.8%)    Land Development  3. CRE Non-Owner Occupied    1,272   1,618  1,761    1,865    104    5.9%   247   15.3%  4. CRE Owner Occupied          531    700     700     725      25    3.6%    25    3.6%  5. Agricultural Production      80    122      88      92       4    4.5%   (30) (24.6%)  6. Agricultural Land           149    244     239     242       3    1.3%    (2)  (0.8%)  7. Public Finance/Other Commercial 258 397    394     433      39    9.9%    36    9.1%  8. Total Commercial Loans    3,904   5,187  5,507    5,630    123    2.2%   443    8.5%   9. Residential Mortgage        742    970     968     970       2    0.2%     0    0.0% 10. Home Equity                 419    514     517     528      11    2.1%    14    2.7% 11. Other Consumer               78     87      99     101       2    2.0%    14   16.1% 12. Total Residential Mortgage and 1,239 1,571 1,584  1,599     15    0.9%    28    1.8%    Consumer Loans 13. Total Loans              $ 5,143 $ 6,758 $ 7,091 $7,229  $   138  1.9% $  471   7.0%    Construction Concentration1   52%    60%     62%     50%    Investment RE Concentration1 211%   219%    224%    221%                                                                      1As a percent of Risk Based Capital                                                                                     21
 Asset Quality Summary                                                                          Change           Change   ($ in Millions)                                                    Linked Quarter  2018 Over 2017                                    2016     186.1 2017 Q3-'18 2018      $       %        $       %   1. Non-Accrual Loans             $   30.0 $   28.7 $   20.4 $   26.1 $      5.7 27.9% $    (2.6) (9.1%)  2. Other Real Estate                     9.0       10.4         8.9         2.2        (6.7) (75.3%)        (8.2) (78.8%)  3. Renegotiated Loans                    4.7         1.0         0.9         1.1         0.2 22.2%         0.1 10.0%  4. 90+ Days Delinquent Loans             0.1         0.9         0.1         1.9         1.8 1,800.0%         1.0 111.1%  5. Total NPAs & 90+ Days Delinquent $   43.8 $   41.0 $   30.3 $   31.3 $      1.0 3.3% $    (9.7) (23.7%) 6. Total NPAs & 90+ Days/Loans & ORE 0.9%   0.6%    0.4%     0.4%  7. Classified Assets             $ 174.1 $ 153.1  $ 174.2 $ 173.2  $    (1.0) (0.6%) $   20.1  13.1%  8. Specific Reserves             $      0.9 $      1.6 $      0.4 $      1.9 $      1.5 375.0% $      0.3 18.8%                                                                                                 22
 Non-Performing Asset Reconciliation          ($ in Millions)                                                    2016    2017    2018        1. Beginning Balance NPAs & 90+ Days Delinquent $   51.5 $   43.8 $  41.0           Non-Accrual        2.    Add: New Non-Accruals                24.6     30.1    24.2        3.    Less:  To Accrual/Payoff/Renegotiated (17.0) (18.3)  (18.2)        4.    Less:  To OREO                        (1.6)   (8.1)   (0.6)        5.    Less:  Charge-offs                    (7.4)   (5.0)   (8.0)        6. Increase / (Decrease):  Non-Accrual Loans (1.4)  (1.3)   (2.6)           Other Real Estate Owned (ORE)        7.    Add:  New ORE Properties              1.6      8.1     0.6        8.    Less: ORE Sold                        (8.2)   (5.6)   (8.2)         9.    Less: ORE Losses (write-downs)       (1.7)   (1.1)   (0.6)       10. Increase / (Decrease): ORE               (8.3)    1.4    (8.2)        11. Increase / (Decrease): 90+ Days Delinquent (0.8)  0.8     1.0       12. Increase / (Decrease): Renegotiated Loans 2.8    (3.7)    0.1        13. Total NPAs & 90+ Days Delinquent Change  (7.7)   (2.8)   (9.7)        14. Ending Balance NPAs & 90+ Days Delinquent $   43.8 $   41.0 $  31.3                                                                              23
 ALLL and Fair Value Summary     ($ in Millions)                            Q4-'17   Q1-'18    Q2-'18   Q3-'18   Q4-'18  1. Beginning Allowance for Loan Losses (ALLL) $     73.4 $     75.0 $     76.4 $     77.5 $     78.4   2. Net Charge-offs (Recoveries)                0.2      1.1       0.6      0.5      (0.5)  3. Provision Expense                           1.8      2.5       1.7      1.4      1.7  4. Ending Allowance for Loan Losses (ALLL) $     75.0 $     76.4 $     77.5 $     78.4 $     80.6    5. ALLL/Non-Accrual Loans                   261.2%    277.9%   385.0%   383.9%   308.1%  6. ALLL/Non-Purchased Loans                  1.36%     1.32%    1.28%    1.28%    1.26%   7. ALLL/Loans                               1.11%     1.11%    1.09%    1.11%    1.11%   8. Fair Value Adjustment (FVA)             $     46.3 $     43.1 $     37.2 $     33.9 $     30.0   9. Total ALLL plus FVA                          121.3      119.5      114.7      112.3      110.6  10. Purchased Loans plus FVA                 1,304.7   1,179.8  1,059.1      979.2      874.3  11. FVA/Purchased Loans plus FVA              3.55%     3.65%    3.51%    3.46%    3.44%                                                                                          24
 Portfolio Summary       4th quarter loans increased 1.9%, or 7.8% annualized.  Growth in CRE, C&I and        public finance.         NPAs & 90+ days remained low at 0.4% of loans and ORE.       4th quarter net recovery of $500,000.         For the year, net charge-offs of $1.7 million with provision expense of $7.2        million supporting organic loan growth.       ALLL of 1.11% and 1.26% to total loans and non-purchased loans, respectively.                                                                        25
 Michael C. Rechin  PRESIDENT AND CHIEF EXECUTIVE OFFICER                                                      26
 A Leading Midwest Banking Franchise Crossing $10 Billion with Strategic Entry into Michigan            Pro Forma Highlights1  Ticker:                   FRME  Headquarters:           Muncie, IN  Founded:                  1893  Banking Centers:           134  Assets:                $11.1 Billion  Loans:                 $7.8 Billion  Deposits:              $8.7 Billion                                                                                            Current First Merchants Locations                                                                                            MBTF Locations                                                                                          1Balance sheet figures as of 6/30/18 and do not                                                                                         include any merger related adjustments                                                                                                                  27
 Overview of MBT Financial Corporation                   Company Highlights                                       Geographic FootprintFarmington Hills .                                                                                     Northville  Headquartered in Monroe, Michigan                                                       Plymouth Redford Highland Park                                                                                                Livonia   75 .                                                                                           Westland  Founded in 1858                                                                                   Dearborn                                                                                  Ann Arbor   275                                                                                                      Allen Park .                                                                                        94     Southgate  Operates 20 Banking Centers                                     75                                                                                    MICHIGAN           Trenton .                                                                                            Flat Rock  Balance Sheet as of June 30, 2018                                                 Milan                                                                                                   Rockwood   •  Assets: $1.3 Billion                                                                MICHIGAN                 Dundee    •  Loans: $741 Million                                      496                               Monroe    •  Deposits: $1.1 Billion (89% non-maturity)                                Blissfield     75                                                             94                                                                                   Temperance   •  Loans / Deposits: 65%    •  9.10% TCE/TA                                                                   Deposit Market Share by County    •  0.91% NPAs/Assets                                                                  Market          Deposits Mkt. Share  % of  . Income Statement for the quarter ending June 30, 2018  County   Rank Branches   ($000)      (%)   Franchise   •  ROAA: 1.51%  / ROATCE: 16.59%                      Monroe, MI 1      15*    $998,139    50.1%    86.9%      •  Efficiency Ratio: 61.8%                            Wayne, MI  14      6     $150,913     0.3%    13.1%     •  Net Interest Margin: 3.63%                                                         Source: S&P Global Market Intelligence and FDIC Summary of Deposits as of June 30, 2018.   •  Cost of Interest Bearing Deposits: 0.18%           *Includes one non-banking center                                                                                                            28
 FMC Strategy and Tactics Overview   Looking Forward . . .      Manage market presence and our core banking business.  Continue organic       growth protocol.      Optimize our retail and commercial deposit strategy... products and pricing.      Cross $10 Billion with the acquisition of MBT Financial Corporation and organic       growth in the 1Q2019.      Implement integration schedule and marketing plan for Michigan entry.      Forbes Magazine recognition as #2 Ranking in “America’s Best Banks”.              “Responsive, Knowledgeable, High-Performing”                                                                    29
 Contact Information                        First Merchants Corporation common stock is                         traded on the NASDAQ Global Select Market                                under the symbol FRME.                          Additional information can be found at                             www.FIRSTMERCHANTS.COM                                 Investor inquiries:                                 Nicole M. Weaver                                 Investor Relations                               Telephone: 765.521.7619                             nweaver@firstmerchants.com                                                           30
 Appendix                31
 Appendix –                         Non-GAAP Reconciliation   CAPITAL RATIOS (dollars in thousands):                                                           4Q16        1Q17        2Q17        3Q17        4Q17        1Q18        2Q18        3Q18        4Q18  Total Risk-Based Capital Ratio  Total Stockholders' Equity (GAAP)                          901,657         929,470     1,035,116     1,283,120     1,303,463     1,313,073     1,340,328     1,361,426     1,408,260   Adjust for Accumulated Other Comprehensive (Income) Loss 1            13,581               3,722              (1,384)               6,358               3,534            21,725            24,868            35,409            21,422   Less:  Preferred Stock                                              (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)   Add: Qualifying Capital Securities                            55,415            55,474            55,534            65,864            65,919            65,975            66,030            66,086            66,141   Less: Tier 1 Capital Deductions                                     (376)                     (80)                  (166)                     -                     -                     -                     -                     -                     -   Less: Disallowed Goodwill and Intangible Assets           (249,104)        (250,493)        (300,307)        (462,080)        (464,066)        (467,518)        (466,063)        (464,658)        (463,525)   Less: Disallowed Deferred Tax Assets                                (564)                  (320)                  (665)                     -                     -              (2,594)              (2,104)              (1,111)                     -       Total Tier 1 Capital (Regulatory)              $     720,484 $     737,648 $     788,003 $     893,137 $     908,725 $     930,536 $     962,934 $     997,027 $ 1,032,173   Qualifying Subordinated Debentures                            65,000            65,000            65,000            65,000            65,000            65,000            65,000            65,000            65,000   Allowance for Loan Losses includible in Tier 2 Capital            66,037            68,225            70,471            73,354            75,032            76,420            77,543            78,406            80,552       Total Risk-Based Capital (Regulatory)          $     851,521 $     870,873 $     923,474 $ 1,031,491 $ 1,048,757 $ 1,071,956 $ 1,105,477 $ 1,140,433 $ 1,177,725        Net Risk-Weighted Assets (Regulatory)          $ 5,993,381 $ 6,114,112 $ 6,592,710 $ 7,497,321 $ 7,660,604 $ 7,831,727 $ 8,002,666 $ 8,001,191 $ 8,060,882   Total Risk-Based Capital Ratio (Regulatory)            14.21%      14.24%      14.01%      13.76%      13.69%      13.69%      13.81%      14.25%      14.61%   Common Equity Tier 1 Capital Ratio  Total Tier 1 Capital (Regulatory)                  $     720,484 $     737,648 $     788,003 $     893,137 $     908,725 $     930,536 $     962,934 $     997,027 $ 1,032,173   Less: Qualified Capital Securities                           (55,415)           (55,474)           (55,534)           (65,864)           (65,919)           (65,975)           (66,030)           (66,086)           (66,141)   Add:  Additional Tier 1 Capital Deductions                            376                       80                    166                     -                     -                     -                     -                     -                     -       Common Equity Tier 1 Capital (Regulatory)      $     665,445 $     682,254 $     732,635 $     827,273 $     842,806 $     864,561 $     896,904 $     930,941 $     966,032        Net Risk-Weighted Assets (Regulatory)          $ 5,993,381 $ 6,114,112 $ 6,592,710 $ 7,497,321 $ 7,660,604 $ 7,831,727 $ 8,002,666 $ 8,001,191 $ 8,060,882   Common Equity Tier 1 Capital Ratio (Regulatory)        11.10%      11.16%      11.11%      11.03%      11.00%      11.04%      11.21%      11.64%      11.98%   1  Includes net unrealized gains or losses on securities available for sale, net gains or losses on cash flow hedges, and amounts resulting from the application of the applicable accounting    guidance for defined benefit and other postretirement plans.                                                                                                                                                           32
 Appendix –                                                    Non-GAAP Reconciliation  TANGIBLE COMMON EQUITY RATIO  (dollars in thousands):                                                                                                        4Q16                 1Q17                 2Q17                3Q17                 4Q17                 1Q18                 2Q18                 3Q18                 4Q18 Total Stockholders' Equity (GAAP)                                                             $      901,657      $      929,470        $  1,035,116        $  1,283,120         $  1,303,463         $  1,313,073         $  1,340,328         $  1,361,426         $  1,408,260   Less: Preferred Stock                                                                                 (125)                (125)                (125)                (125)                (125)               (125)                (125)                (125)                (125) Less: Intangible Assets                                                                          (258,866)            (257,963)            (309,686)            (478,558)           (476,503)            (474,777)            (473,059)            (471,409)            (469,784)        Tangible Common Equity (non-GAAP)                                                      $      642,666      $      671,382       $      725,305       $      804,437       $      826,835       $      838,171      $      867,144       $      889,892       $      938,351   Total Assets (GAAP)                                                                           $  7,211,611         $  7,326,193         $  7,805,029        $  9,049,403         $  9,367,478         $  9,472,796         $  9,734,715         $  9,787,282         $  9,884,716  Less:  Intangible Assets                                                                         (258,866)            (257,963)            (309,686)            (478,558)           (476,503)            (474,777)            (473,059)            (471,409)            (469,784)        Tangible Assets (non-GAAP)                                                             $  6,952,745         $  7,068,230         $  7,495,343        $  8,570,845         $  8,890,975         $  8,998,019         $  9,261,656         $  9,315,873         $  9,414,932  Tangible Common Equity Ratio (non-GAAP)                                                              9.24%                9.50%                9.68%                9.39%               9.30%                9.32%                9.36%                9.55%                9.97%   TANGIBLE COMMON EQUITY PER SHARE (dollars  in thousands):                                                               4Q10            4Q11           4Q12            4Q13           4Q14           4Q15           4Q16           1Q17          2Q17           3Q17          4Q17           1Q18          2Q18           3Q18          4Q18 Total Stockholders' Equity (GAAP)                   $     454,408   $     514,467    $     552,236   $     634,923  $     726,827   $    850,509   $    901,657   $   929,470   $1,035,116     $1,283,120     $1,303,463    $1,313,073     $1,340,328    $1,361,426     $1,408,260  Less: Preferred Stock                                   (67,880)        (90,783)         (90,908)           (125)          (125)          (125)          (125)          (125)         (125)          (125)         (125)          (125)          (125)         (125)          (125) Less: Intangible Assets                                (154,019)      (150,471)         (149,529)       (202,767)      (218,755)      (259,764)      (258,866)      (257,963)     (309,686)      (478,558)     (476,503)      (474,777)     (473,059)      (471,409)     (469,784) Tax Benefit                                               2,907           2,224             2,249           4,973          6,085          6,278          5,930          5,659         6,941        12,510          6,788          6,043         5,690          5,351         5,017     Tangible Common Equity, Net of Tax (non-    GAAP)                                            $     235,416   $     275,437    $     314,048   $     437,004  $     514,032   $    596,898   $    648,596   $   677,041    $   732,246   $   816,947    $   833,623   $   844,214    $   872,834   $   895,243    $   943,368                                                                                                                                                               0    Shares Outstanding                                25,574,251      28,559,707        28,692,616     35,921,761     37,669,948     40,664,258     40,912,697     41,047,543    43,153,509     49,140,594     49,158,238    49,243,096     49,280,188    49,304,542     49,349,800   Tangible Common Equity per Share (non-GAAP)         $           9.21 $           9.64 $         10.95 $         12.17 $         13.65 $        14.68 $        15.85 $       16.49 $       16.97 $       16.62 $       16.96 $       17.14  $       17.71 $       18.16  $       19.12                                                                                                                                                                                                                                                                            33
 Appendix –                          Non-GAAP Reconciliation   EFFICIENCY RATIO (dollars in thousands):                                                                2016       2017         1Q18        2Q18        3Q18       4Q18        2018  Non Interest Expense (GAAP)                            $        177,359 $     205,556 $           53,687 $           53,504 $        55,022 $        57,738 $     219,951   Less:  Intangible Asset Amortization                        (3,910)     (5,647)     (1,726)      (1,718)    (1,650)     (1,625)    (6,719)   Less:  OREO and Foreclosure Expenses                        (2,877)     (1,903)       (402)       (362)       (455)      (251)     (1,470)  Adjusted Non Interest Expense (non-GAAP)                    170,572    198,006       51,559      51,424      52,917     55,862    211,762    Net Interest Income (GAAP)                                  226,473    277,284       79,916      84,571      86,486     87,884    338,857   Plus:  Fully Taxable Equivalent Adjustment                  13,541      17,270       2,584        2,625       2,726      2,796     10,732   Net Interest Income on a Fully Taxable Equivalent Basis (non-GAAP) 240,014 294,554   82,500      87,196      89,212     90,680    349,589   Non Interest Income (GAAP)                                  65,203      71,009       19,561      18,191      19,527     19,180     76,459   Less:  Investment Securities Gains (Losses)                 (3,389)     (2,631)     (1,609)      (1,122)    (1,285)      (253)     (4,269)  Adjusted Non Interest Income (non-GAAP)                     61,814      68,378       17,952      17,069      18,242     18,927     72,190   Adjusted Revenue (non-GAAP)                                 301,828    362,932      100,452     104,265     107,454    109,607    421,779    Efficiency Ratio (non-GAAP)                                 56.51%     54.56%       51.33%       49.32%     49.25%      50.97%     50.21%   FORWARD DIVIDEND YIELD                                                                               4Q18  Most recent quarter's dividend per share                               $              0.22   Most recent quarter's dividend per share - Annualized                  $              0.88    Stock Price at 12/31/18                                                 $           34.27      Forward Dividend Yield                                                    2.57%    DIVIDEND PAYOUT RATIO                                                                                2018  Dividends per share                                                    $              0.84   Earnings Per Share                                                     $              3.22      Dividend Payout Ratio                                                     26.1%                                                                                                                                                           34
 Appendix –                                Non-GAAP Reconciliation              CONSTRUCTION AND INVESTMENT REAL ESTATE CONCENTRATIONS (dollars in thousands):                                                                                              2016                 2017                3Q18                 2018              Total Risk-Based Capital (Subsidiary Bank Only)              Total Stockholders' Equity (GAAP)                                   $                973,641 $            1,404,303 $            1,436,173 $            1,456,220               Adjust for Accumulated Other Comprehensive (Income) Loss  1                                  9,701                               763                       33,302                       19,031               Less:  Preferred Stock                                                                          (125)                             (125)                             (125)                             (125)               Less: Tier 1 Capital Deductions                                                                    -                                -                                -                                -               Less: Disallowed Goodwill and Intangible Assets                                      (248,656)                   (463,618)                   (464,210)                   (463,076)               Less: Disallowed Deferred Tax Assets                                                               -                                -                             (965)                                -                     Total Tier 1 Capital (Regulatory)                                                734,561                    941,323                1,004,175                1,012,050               Allowance for Loan Losses includible in Tier 2 Capital                                    66,037                       75,032                       78,406                       80,552                     Total Risk-Based Capital (Regulatory)                         $                800,598 $            1,016,355 $            1,082,581 $            1,092,602                Construction, Land and Land Development Loans                       $                418,703 $                612,219 $                668,608 $                545,729               Concentration as a % of the Bank's Risk-Based Capital                            52%                  60%                 62%                  50%              Construction, Land and Land Development Loans                       $                418,703 $                612,219 $                668,608 $                545,729               Investment Real Estate Loans                                                      1,272,415                1,617,943                1,760,714                1,865,544               Total Construction and Investment RE Loans                         $            1,691,118 $            2,230,162 $            2,429,322 $            2,411,273               Concentration as a % of the Bank's Risk-Based Capital                           211%                219%                 224%                221%              1  Includes net unrealized gains or losses on securities available for sale, net gains or losses on cash flow hedges, and amounts resulting                from the application of the applicable accounting guidance for defined benefit and other postretirement plans.              ALLOWANCE AS A PERCENTAGE OF NON-PURCHASED LOANS (dollars in thousands):                                                                                                 4Q17           1Q18          2Q18           3Q18           4Q18               Loans Held for Sale (GAAP)                                                  $            7,216 $            4,469 $            2,046 $            3,022 $            4,778              Loans (GAAP)                                                                    6,751,199     6,901,696      7,081,059      7,088,071     7,224,467                     Total Loans                                                               6,758,415     6,906,165      7,083,105      7,091,093     7,229,245               Less: Purchased Loans                                                          (1,258,386)    (1,136,711)    (1,022,160)        (945,330)        (844,224)                     Non-Purchased Loans (non-GAAP)                                        $ 5,500,029   $ 5,769,454    $ 6,060,945    $ 6,145,763   $ 6,385,021                Allowance for Loan Losses (GAAP)                                            $         75,032 $         76,420 $         77,543 $         78,406 $         80,552              Fair Value Adjustment (FVA) (GAAP)                                                      46,304             43,121             37,221             33,905             30,054                    Allowance plus FVA (non-GAAP)                                         $      121,336 $      119,541 $      114,764 $      112,311 $      110,606               Purchased Loans (GAAP)                                                      $ 1,258,386   $ 1,136,711    $ 1,022,160    $      945,330 $      844,224              Fair Value Adjustment (FVA) (GAAP)                                                      46,304             43,121             37,221             33,905             30,054                    Purchased Loans plus FVA (non-GAAP)                                   $ 1,304,690   $ 1,179,832    $ 1,059,381    $      979,235 $      874,278               Allowance as a Percentage of Non-Purchased Loans (non-GAAP)                       1.36%          1.32%          1.28%         1.28%          1.26%              FVA as a Percentage of Purchased Loans plus FVA (non-GAAP)                        3.55%          3.65%          3.51%         3.46%          3.44%                                                                                                                                                                                   35