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10-Q














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September 30, 2022





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FIRST MERCHANTS CORP








Indiana(State or other jurisdiction of incorporation)001-4134235-1544218(Commission File Number)(IRS Employer Identification No.)








200 East Jackson Street Muncie IN 47305-2814








765 747-1500




















Title of Each ClassTrading Symbol(s)Name of each exchange on which registeredCommon Stock, $0.125 stated value per shareFRMEThe Nasdaq Stock Market LLCDepositary Shares, each representing a 1/100th interest in a share of Non-Cumulative Perpetual Preferred Stock, Series AFRMEPThe Nasdaq Stock Market LLC





Yes





Yes








Large Accelerated Filer☒Accelerated Filer☐Non-Accelerated Filer☐Smaller Reporting Company☐Emerging Growth Company☐











☒





59,562,630







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Page No.Glossary of Defined Terms3Part I. Financial InformationItem 1.Financial  Statements:Consolidated Condensed Balance Sheets4Consolidated Condensed Statements of Income5Consolidated Condensed Statements of Comprehensive Income (Loss)6Consolidated Condensed Statements of Stockholders' Equity7Consolidated Condensed Statements of Cash Flows9Notes to Consolidated Condensed Financial Statements10Item 2.Management's Discussion and Analysis of Financial Condition and Results of Operations41Item 3.Quantitative and Qualitative Disclosures About Market Risk59Item 4.Controls and Procedures60Part II. Other InformationItem 1.Legal Proceedings61Item 1A.Risk Factors61Item 2.Unregistered Sales of Equity Securities and Use of Proceeds61Item 3.Defaults Upon Senior Securities61Item 4.Mine Safety Disclosures61Item 5.Other Information61Item 6.Exhibits62Signatures63







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2021 CAAThe 2021 Consolidated Appropriations Act, signed into law on December 27, 2020, which included the Economic Aid to Hard-Hit-Small Businesses, Nonprofits, and Venues Act, amending the CARES Act.ACLAllowance for Credit LossesAmeriborThe American interbank offered rate, a potential replacement for LIBOR, is a benchmark interest rate calculated as a volume-weighted average of the daily transactions in overnight unsecured loans on the American Financial Exchange, LLC, a self-regulated electronic exchange for direct lending by American banks and financial institutions.ASCAccounting Standards CodificationASUAccounting Standards UpdateBankFirst Merchants Bank, a wholly-owned subsidiary of the CorporationCARES ActCoronavirus Aid, Relief and Economic Security ActCECLFASB Accounting Standards Update No. 2016-13,Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, adopted by the Corporation on January 1, 2021.CET1Common Equity Tier 1CorporationFirst Merchants CorporationCOVID or COVID-192019 novel coronavirus disease, which was declared a pandemic by the World Health Organization on March 11, 2020.ESPPEmployee Stock Purchase PlanFASBFinancial Accounting Standards BoardFDICFederal Deposit Insurance CorporationFederal ReserveBoard of Governors of the Federal Reserve SystemFHLBFederal Home Loan BankFOMCFederal Open Market Committee, the monetary policymaking body of the Federal Reserve System.FTEFully taxable equivalentGAAPU.S. Generally Accepted Accounting PrinciplesHoosierHoosier Trust Company, which was acquired by the Bank on April 1, 2021.IRSInternal Revenue ServiceLevel OneLevel One Bancorp, Inc., which was acquired by the Corporation on April 1, 2022.OREOOther real estate ownedPPPPaycheck Protection Program, which was established by the CARES Act and implemented by the SBA to provide small business loans.PCDPurchased credit deteriorated loansRSARestricted Stock AwardsSBASmall Business AdministrationTEFRATax Equity and Fiscal Responsibility Act













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September 30,2022December 31,2021(Unaudited)ASSETSCash and due from banks$119,532$167,146Interest-bearing deposits179,593474,154Investment securities available for sale1,983,9722,344,551Investment securities held to maturity, net of allowance for credit losses of $245 and $245 (fair value of $1,867,088 and $2,202,503)2,310,7962,179,802Loans held for sale25,39411,187Loans11,650,0029,241,861Less: Allowance for credit losses - loans(226,702)(195,397)Net loans11,423,3009,046,464Premises and equipment116,306105,655Federal Home Loan Bank stock38,05628,736Interest receivable71,60557,187Goodwill712,568545,385Other intangibles38,14525,475Cash surrender value of life insurance306,932291,041Other real estate owned6,454558Tax asset, deferred and receivable142,11035,641Other assets244,222140,167TOTAL ASSETS$17,718,985$15,453,149LIABILITIESDeposits:Noninterest-bearing$3,356,651$2,709,646Interest-bearing11,078,17410,022,931Total Deposits14,434,82512,732,577Borrowings:Federal funds purchased185,000—Securities sold under repurchase agreements194,482181,577Federal Home Loan Bank advances643,769334,055Subordinated debentures and other borrowings151,301118,618Total Borrowings1,174,552634,250Interest payable4,9712,762Other liabilities197,971170,989Total Liabilities15,812,31913,540,578COMMITMENTS AND CONTINGENT LIABILITIESSTOCKHOLDERS' EQUITYPreferred Stock, $1,000 par value, $1,000 liquidation value:Authorized - 600 cumulative sharesIssued and outstanding - 125 cumulative shares125125Preferred Stock, Series A, no par value, $2,500 liquidation preference:Authorized - 10,000 non-cumulative perpetual sharesIssued and outstanding - 10,000 non-cumulative perpetual shares25,000—Common Stock, $0.125 stated value:Authorized - 100,000,000 sharesIssued and outstanding - 59,145,414 and 53,410,411 shares7,3936,676Additional paid-in capital1,226,695985,818Retained earnings961,542864,839Accumulated other comprehensive income (loss)(314,089)55,113Total Stockholders' Equity1,906,6661,912,571TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY$17,718,985$15,453,149
















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Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2022202120222021INTEREST INCOMELoans receivable:Taxable$128,504$85,319$314,366$257,426Tax exempt6,5005,59118,19416,475Investment securities:Taxable10,0557,78828,93721,923Tax exempt17,26114,46450,34839,920Deposits with financial institutions7042181,544461Federal Home Loan Bank stock314168635434Total Interest Income163,338113,548414,024336,639INTEREST EXPENSEDeposits16,6445,70729,42317,730Federal funds purchased418—4944Securities sold under repurchase agreements37277595239Federal Home Loan Bank advances3,4931,3896,4854,283Subordinated debentures and other borrowings2,1051,6605,7804,976Total Interest Expense23,0328,83342,77727,232NET INTEREST INCOME140,306104,715371,247309,407Provision for credit losses——16,755—NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES140,306104,715354,492309,407NON-INTEREST INCOMEService charges on deposit accounts7,1656,24921,27417,109Fiduciary and wealth management fees7,2217,35222,18721,284Card payment fees4,7764,15615,67412,682Net gains and fees on sales of loans2,5433,9557,96816,266Derivative hedge fees7001,0283,0622,288Other customer fees5013931,5731,129Increase in cash surrender value of life insurance1,3761,1983,8313,592Gains on life insurance benefits5,2791,2705,8281,417Net realized gains on sales of available for sale securities4811,7561,1375,316Other income (loss)(425)1,1441,2572,393Total Non-Interest Income29,61728,50183,79183,476NON-INTEREST EXPENSESSalaries and employee benefits56,00243,314154,562124,563Net occupancy6,7385,57619,57317,682Equipment5,9974,52917,79714,407Marketing2,4011,6764,5513,922Outside data processing fees6,8274,79416,07113,736Printing and office supplies4722651,198861Intangible asset amortization2,3031,4635,9724,284FDIC assessments2,8241,5527,9404,381Other real estate owned and foreclosure expenses328(91)626821Professional and other outside services4,4612,76717,6818,286Other expenses8,0255,53920,04513,834Total Non-Interest Expenses96,37871,384266,016206,777INCOME BEFORE INCOME TAX73,54561,832172,267186,106Income tax expense9,7939,06220,93828,308NET INCOME63,75252,770151,329157,798Preferred stock dividends469—938—NET INCOME AVAILABLE TO COMMON STOCKHOLDERS$63,283$52,770$150,391$157,798Per Share Data:Basic Net Income Available to Common Stockholders$1.08$0.98$2.63$2.93Diluted Net Income Available to Common Stockholders$1.08$0.98$2.62$2.92Cash Dividends Paid$0.32$0.29$0.93$0.84Average Diluted Common Shares Outstanding (in thousands)59,33953,96057,46854,093



















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Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2022202120222021Net income$63,752$52,770$151,329$157,798Other comprehensive income/( loss):Unrealized gains/(losses) on securities available-for-sale:Unrealized holding gain/(loss) arising during the period(145,935)(24,048)(467,210)(39,721)Reclassification adjustment for losses/(gains) included in net income(481)(1,756)(1,137)(5,316)Tax effect30,7475,41998,3539,458Net of tax(115,669)(20,385)(369,994)(35,579)Unrealized gain/(loss) on cash flow hedges:Unrealized holding gain/(loss) arising during the period94(20)50722Reclassification adjustment for losses/(gains) included in net income78266496779Tax effect(36)(52)(211)(169)Net of tax136194792632Total other comprehensive income/(loss), net of tax(115,533)(20,191)(369,202)(34,947)Comprehensive income/(loss)$(51,781)$32,579$(217,873)$122,851



















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Three Months Ended September 30, 2022Cumulative Preferred StockNon-Cumulative Preferred StockCommon StockAdditionalAccumulatedOtherSharesAmountSharesAmountSharesAmountPaid inCapitalRetainedEarningsComprehensiveLossTotalBalances, June 30, 2022125$12510,000$25,00059,059,866$7,383$1,226,378$917,311$(198,556)$1,977,641Comprehensive loss:Net income———————63,752—63,752Other comprehensive loss, net of tax————————(115,533)(115,533)Cash dividends on preferred stock ($46.88 per share)———————(469)—(469)Cash dividends on common stock ($0.32 per share)———————(19,052)—(19,052)Share-based compensation————105,409131,173——1,186Stock issued under employee benefit plans————6,0171202——203Stock issued under dividend reinvestment and stock purchase plan————12,7692526——528Restricted shares withheld for taxes————(38,647)(6)(1,584)——(1,590)Balances, September 30, 2022125$12510,000$25,00059,145,414$7,393$1,226,695$961,542$(314,089)$1,906,666








Three Months Ended September 30, 2021Cumulative Preferred StockCommon StockAdditionalAccumulatedOtherSharesAmountSharesAmountPaid inCapitalRetainedEarningsComprehensiveIncomeTotalBalances, June 30, 2021125$12553,972,386$6,747$1,009,182$795,666$60,080$1,871,800Comprehensive income::Net income—————52,770—52,770Other comprehensive income, net of tax——————(20,191)(20,191)Cash dividends on common stock ($0.29 per share)—————(15,708)—(15,708)Repurchases of common stock——(529,498)(66)(20,741)——(20,807)Share-based compensation——89,600111,206——1,217Stock issued under employee benefit plans——3,8921138——139Stock issued under dividend reinvestment andstock purchase plan——12,1021473——474Restricted shares withheld for taxes——(37,737)(5)(1,599)——(1,604)Balances, September 30, 2021125$12553,510,745$6,689$988,659$832,728$39,889$1,868,090





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Nine Months Ended September 30, 2022Cumulative Preferred StockNon-Cumulative Preferred StockCommon StockAdditionalAccumulatedOtherSharesAmountSharesAmountSharesAmountPaid inCapitalRetainedEarningsComprehensive Income (Loss)TotalBalances, December 31, 2021125$125—$—53,410,411$6,676$985,818$864,839$55,113$1,912,571Comprehensive income (loss):Net income———————151,329—151,329Other comprehensive loss, net of tax————————(369,202)(369,202)Cash dividends on preferred stock ($93.76 per share)———————(938)—(938)Cash dividends on common stock ($0.93 per share)———————(53,688)—(53,688)Issuance of stock related to acquisition——10,00025,0005,588,962699236,690——262,389Share-based compensation————112,443143,416——3,430Stock issued under employee benefit plans————15,0722518——520Stock issued under dividend reinvestment andstock purchase plan————37,69351,531——1,536Stock options exercised————20,0953333——336Restricted shares withheld for taxes————(39,262)(6)(1,611)——(1,617)Balances, September 30, 2022125$12510,000$25,00059,145,414$7,393$1,226,695$961,542$(314,089)$1,906,666








Nine Months Ended September 30, 2021Cumulative Preferred StockCommon StockAdditionalAccumulatedOtherSharesAmountSharesAmountPaid inCapitalRetainedEarningsComprehensiveIncome (Loss)TotalBalances, December 31, 2020125$12553,922,359$6,740$1,005,366$788,578$74,836$1,875,645Cumulative effect of ASC 326 adoption—————(68,040)—(68,040)Balances, January 1, 2021125$12553,922,359$6,740$1,005,366$720,538$74,8361,807,605Comprehensive income (loss):Net income—————157,798—157,798Other comprehensive loss, net of tax——————(34,947)(34,947)Cash dividends on common stock ($0.84 per share)—————(45,608)—(45,608)Repurchase of common stock——(529,498)(66)(20,741)——(20,807)Share-based compensation——94,260123,603——3,615Stock issued under employee benefit plans——12,0062443——445Stock issued under dividend reinvestment andstock purchase plan——32,32241,401——1,405Stock options exercised——17,3002196——198Restricted shares withheld for taxes——(38,004)(5)(1,609)——(1,614)Balances, September 30, 2021125$12553,510,745$6,689$988,659$832,728$39,889$1,868,090
















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Nine Months Ended September 30,20222021Cash Flow From Operating Activities:Net income$151,329$157,798Adjustments to reconcile net income to net cash provided by operating activities:Provision for credit losses16,755—Depreciation and amortization8,8028,087Change in deferred taxes2,676(703)Share-based compensation3,4303,615Loans originated for sale(178,972)(410,858)Proceeds from sales of loans held for sale176,567422,555Gains on sales of loans held for sale(3,851)(13,721)Gains on sales of securities available for sale(1,137)(5,316)Increase in cash surrender of life insurance(3,831)(3,592)Gains on life insurance benefits(5,828)(1,417)Change in interest receivable(7,230)869Change in interest payable1,144449Other adjustments(15,170)3,761Net cash provided by operating activities144,684161,527Cash Flows from Investing Activities:Net change in interest-bearing deposits294,56122,858Purchases of:Securities available for sale(450,168)(807,833)Securities held to maturity(288,094)(1,017,274)Proceeds from sales of securities available for sale524,688157,776Proceeds from maturities of:Securities available for sale181,997216,135Securities held to maturity127,582170,937Change in Federal Home Loan Bank stock2,368—Net change in loans(803,746)126,523Net cash and cash equivalents received (paid) in acquisition137,780(2,933)Proceeds from the sale of other real estate owned495678Proceeds from life insurance benefits23,9115,929Proceeds from mortgage portfolio loan sale—76,067Other adjustments(9,003)(8,121)Net cash used in investing activities(257,629)(1,059,258)Cash Flows from Financing Activities:Net change in :Demand and savings deposits(29,993)1,136,017Certificates of deposit and other time deposits(198,549)(148,938)Borrowings913,33045,482Repayment of borrowings(567,223)(94,098)Cash dividends on preferred stock(938)—Cash dividends on common stock(53,688)(45,608)Stock issued under employee benefit plans520445Stock issued under dividend reinvestment and stock purchase plans1,5361,405Stock options exercised336198Repurchase of common stock—(20,807)Net cash provided by financing activities65,331874,096Net Change in Cash and Cash Equivalents(47,614)(23,635)Cash and Cash Equivalents, January 1167,146192,896Cash and Cash Equivalents, September 30$119,532$169,261Additional cash flow information:Interest paid$40,568$26,783Income tax paid12,10223,396Loans transferred to other real estate owned6,418292Fixed assets transferred to other real estate owned1,3986,282Non-cash investing activities using trade date accounting41,10667,811ROU assets obtained in exchange for new operating lease liabilities9,0812,591In conjunction with the acquisitions, liabilities were assumed as follows:Fair value of assets acquired$2,510,576$4,041Cash paid in acquisition(79,324)(3,225)Less:  Common stock issued237,389—Less:  Preferred stock issued25,000—Liabilities assumed$2,168,863$816










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Financial Statement Preparation





The Consolidated Condensed Balance Sheet of the Corporation as of December 31, 2021, has been derived from the audited consolidated balance sheet of the Corporation as of that date.  Certain information and note disclosures normally included in the Corporation’s annual financial statements, prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted.  These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the Securities and Exchange Commission.  The results of operations for the three and nine months ended September 30, 2022, are not necessarily indicative of the results to be expected for the year.  Reclassifications have been made to prior financial statements to conform to the current financial statement presentation.  These reclassifications had no effect on net income.  Material estimates that are particularly susceptible to significant change relate to the determination of the allowance for credit losses and fair value of financial instruments.







































































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100





17 0.7167 10.17 5.6 79.3





7.5 one 7.5 2,500 10,000





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Fair ValueCash and due from banks$217,104Investment securities370,658Loans held for sale7,951Loans1,626,857Allowance for credit losses - loans(16,599)Premises and equipment11,848Federal Home Loan Bank stock11,688Interest receivable7,188Cash surrender value of life insurance30,143Tax asset, deferred and receivable16,223Other assets41,690Deposits(1,930,790)Securities sold under repurchase agreements(1,521)Federal Home Loan Bank advances(160,043)Subordinated debentures(32,631)Interest payable(1,065)Other liabilities(42,813)Net tangible assets acquired155,888Other intangibles18,642Goodwill167,183Purchase price$341,713














18.6 17.2 10 1.4 2

















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100 3,225,000 290











Fair ValueCash and cash equivalents$292Other assets35Other liabilities(816)Net tangible assets acquired(489)Customer relationship intangible2,247Goodwill1,467Purchase price$3,225




















Three Months EndedSeptember 30, 2022Nine Months EndedSeptember 30, 2022Total revenue (net interest income plus other income)$169,923$476,074Net income$63,752$148,280Net income available to common stockholders$63,283$146,873Earnings per common share:Basic$1.08$2.49Diluted$1.08$2.48





2021Total revenue (net interest income plus other income)$621,946Net income$237,031Net income available to common stockholders$235,156Earnings per common share:Basic$3.96Diluted$3.95





18.3 2.6





38.7 12.2


































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AmortizedCostGross Unrealized GainsGross Unrealized LossesFairValueAvailable for sale at September 30, 2022U.S. Treasury$2,107$—$40$2,067U.S. Government-sponsored agency securities121,907—16,141105,766State and municipal1,611,85993266,9961,344,956U.S. Government-sponsored mortgage-backed securities627,5831108,795518,789Corporate obligations13,036—64212,394Total available for sale$2,376,492$94$392,614$1,983,972





AmortizedCostGross Unrealized GainsGross Unrealized LossesFairValueAvailable for sale at December 31, 2021U.S. Treasury$1,000$—$1$999U.S. Government-sponsored agency securities96,2444371,54595,136State and municipal1,495,69681,7348981,576,532U.S. Government-sponsored mortgage-backed securities671,6847,10911,188667,605Corporate obligations4,03125684,279Total available for sale$2,268,655$89,536$13,640$2,344,551














AmortizedCostAllowance for Credit LossesNet Carrying AmountGross Unrealized GainsGross Unrealized LossesFairValueHeld to maturity at September 30, 2022U.S. Government-sponsored agency securities$399,089$—$399,089$—$66,514$332,575State and municipal1,114,3122451,114,067113256,834857,591U.S. Government-sponsored mortgage-backed securities796,140—796,140—120,709675,431Foreign investment1,500—1,500—91,491Total held to maturity$2,311,041$245$2,310,796$113$444,066$1,867,088








AmortizedCostAllowance for Credit LossesNet Carrying AmountGross Unrealized GainsGross Unrealized LossesFairValueHeld to maturity at December 31, 2021U.S. Government-sponsored agency securities$371,457$—$371,457$226$7,268$364,415State and municipal1,057,3012451,057,05629,5932,1701,084,724U.S. Government-sponsored mortgage-backed securities749,789—749,7897,9575,881751,865Foreign investment1,500—1,500—11,499Total held to maturity$2,180,047$245$2,179,802$37,776$15,320$2,202,503








27.5 26.8








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245,000 245,000











Held to MaturityState and municipalOtherTotalCredit Rating:Aaa$101,372$70,582$171,954Aa1162,890—162,890Aa2185,511—185,511Aa3135,285—135,285A1131,413—131,413A210,167—10,167A310,115—10,115Non-rated377,5591,126,1471,503,706Total$1,114,312$1,196,729$2,311,041









































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Less than 12 Months12 Months or LongerTotalFairValueGrossUnrealizedLossesFairValueGrossUnrealizedLossesFairValueGrossUnrealizedLossesInvestment securities available for sale at September 30, 2022U.S. Treasury$2,067$40$—$—$2,067$40U.S. Government-sponsored agency securities67,0397,45338,7278,688105,76616,141State and municipal1,229,682234,78090,76532,2161,320,447266,996U.S. Government-sponsored mortgage-backed securities206,55923,141312,10985,654518,668108,795Corporate obligations12,363642——12,363642Total investment securities available for sale$1,517,710$266,056$441,601$126,558$1,959,311$392,614








Less than 12 Months12 Months or LongerTotalFairValueGrossUnrealizedLossesFairValueGrossUnrealizedLossesFairValueGrossUnrealizedLossesInvestment securities available for sale at December 31, 2021U.S. Treasury$999$1$—$—$999$1U.S. Government-sponsored agency securities68,5241,545——68,5241,545State and municipal138,1878945054138,692898U.S. Government-sponsored mortgage-backed securities427,68710,7918,324397436,01111,188Corporate obligations9928——9928Total investment securities available for sale$636,389$13,239$8,829$401$645,218$13,640














GrossUnrealizedLossesNumber of SecuritiesInvestment securities available for sale at September 30, 2022U.S. Treasury$404U.S. Government-sponsored agency securities16,14117State and municipal266,9961074U.S. Government-sponsored mortgage-backed securities108,795176Corporate obligations64210Total investment securities available for sale$392,6141,281





GrossUnrealizedLossesNumber of SecuritiesInvestment securities available for sale at December 31, 2021U.S. Treasury$11U.S. Government-sponsored agency securities1,5458State and municipal898103U.S. Government-sponsored mortgage-backed securities11,18848Corporate obligations81Total investment securities available for sale$13,640161














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September 30, 2022December 31, 2021Investments available for sale reported at less than historical cost:Historical cost$2,351,925$658,858Fair value1,959,311645,218Gross unrealized losses$392,614$13,640Percent of the Corporation's investments available for sale98.8%27.5%

















Available for SaleHeld to MaturityAmortized CostFair ValueAmortized CostFair ValueMaturity Distribution at September 30, 2022Due in one year or less$4,646$4,617$6,428$6,439Due after one through five years14,32913,77671,30367,777Due after five through ten years176,931161,885156,564139,284Due after ten years1,553,0031,284,9051,280,606978,1571,748,9091,465,1831,514,9011,191,657U.S. Government-sponsored mortgage-backed securities627,583518,789796,140675,431Total investment securities$2,376,492$1,983,972$2,311,041$1,867,088





Available for SaleHeld to MaturityAmortized CostFair ValueAmortized CostFair ValueMaturity Distribution at December 31, 2021Due in one year or less$6,954$6,965$6,971$6,995Due after one through five years5,0975,30930,27231,946Due after five through ten years120,460126,816177,203180,129Due after ten years1,464,4601,537,8561,215,8121,231,5681,596,9711,676,9461,430,2581,450,638U.S. Government-sponsored mortgage-backed securities671,684667,605749,789751,865Total investment securities$2,268,655$2,344,551$2,180,047$2,202,503








965.8 873.2





231.8 175.1











Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2022202120222021Sales and redemptions of investment securities available for sale:Gross gains$495$1,915$1,176$5,814Gross losses1415939498Net gains on sales and redemptions of investment securities available for sale$481$1,756$1,137$5,316










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25.4 11.2








September 30, 2022December 31, 2021Commercial and industrial loans$3,330,529$2,714,565Agricultural land, production and other loans to farmers221,954246,442Real estate loans:Construction828,923523,066Commercial real estate, non-owner occupied2,299,2722,135,459Commercial real estate, owner occupied1,268,567986,720Residential1,990,6681,159,127Home equity621,619523,754Individuals' loans for household and other personal expenditures173,225146,092Public finance and other commercial loans915,245806,636Loans$11,650,002$9,241,861








1.6 43.5 11.2 106.6
























































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11.1 156,000 100.3 6.3





September 30, 2022Term Loans (amortized cost basis by origination year)Revolving loans amortizedRevolving loans converted20222021202020192018Priorcost basisto termTotalCommercial and industrial loansPass$878,457$614,161$186,559$125,026$66,915$47,867$1,230,085$5,314$3,154,384Special Mention1,52115,22111,7565,9541,3292,52726,74415565,207Substandard10,49128,7536,23210,8704,4461,60247,84469110,307Doubtful—202——370—59—631Total Commercial and industrial loans890,469658,337204,547141,85073,06051,9961,304,7325,5383,330,529Agricultural land, production and other loans to farmersPass34,38139,19137,45617,7724,58732,15954,567—220,113Special Mention286—107—201362——956Substandard183—496—17927——885Total Agricultural land, production and other loans to farmers34,85039,19138,05917,7724,96732,54854,567—221,954Real estate loans:ConstructionPass294,576298,393174,15220,3148784,14618,111—810,570Special Mention10,2785,596——————15,874Substandard14—2,446——19——2,479Total Construction304,868303,989176,59820,3148784,16518,111—828,923Commercial real estate, non-owner occupiedPass377,307604,997597,682164,320124,987212,12118,3828,0882,107,884Special Mention42,8904,56754,69118,90411,57717,15210—149,791Substandard16,28910,6178,340—4,1462,205——41,597Total Commercial real estate, non-owner occupied436,486620,181660,713183,224140,710231,47818,3928,0882,299,272Commercial real estate, owner occupiedPass211,858327,263356,155125,51768,189100,24236,897—1,226,121Special Mention2,3019,9571,2613,4181,3393,8831,322—23,481Substandard3,0011,2463,0181,6273,2706,791——18,953Doubtful—————12——12Total Commercial real estate, owner occupied217,160338,466360,434130,56272,798110,92838,219—1,268,567ResidentialPass617,087497,367415,995112,71580,783240,5725,7351281,970,382Special Mention3,3332,9468281,1281373,283—5511,710Substandard7361,6412,1571,0181,6091,260155—8,576Total Residential621,156501,954418,980114,86182,529245,1155,8901831,990,668Home equityPass28,01577,36015,5471,5961,4793,958485,056259613,270Special Mention326——4639133,032—3,456Substandard—3552,851—65631,559—4,893Total Home Equity28,34177,71518,3981,6421,5834,034489,647259621,619Individuals' loans for household and other personal expendituresPass52,91548,87315,0186,5966,7234,54237,346—172,013Special Mention66921653310721726—1,210Substandard—2——————2Total Individuals' loans for household and other personal expenditures52,98148,96715,1836,6296,8304,56338,072—173,225Public finance and other commercial loansPass148,323216,312174,68098,77737,687206,90232,564—915,245Total Public finance and other commercial loans148,323216,312174,68098,77737,687206,90232,564—915,245Loans$2,734,634$2,805,112$2,067,592$715,631$421,042$891,729$2,000,194$14,068$11,650,002





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December 31, 2021Term Loans (amortized cost basis by origination year)Revolving loans amortizedRevolving loans converted20212020201920182017Priorcost basisto termTotalCommercial and industrial loansPass$1,019,757$362,372$144,520$65,165$21,575$30,420$990,335$—$2,634,144Special Mention10,55911,0881907301,9301,82515,026—41,348Substandard2,8112,1277,4322,93243174722,593—39,073Total Commercial and industrial loans1,033,127375,587152,14268,82723,93632,9921,027,954—2,714,565Agricultural land, production and other loans to farmersPass50,25145,16422,1957,6896,15336,07474,871—242,397Special Mention—1,543———252264—2,059Substandard524506108371—27450—1,986Total Agricultural land, production and other loans to farmers50,77547,21322,3038,0606,15336,35375,585—246,442Real estate loans:ConstructionPass215,167200,16963,5899791,7622,45317,201—501,320Special Mention20,737270———46——21,053Substandard—693——————693Total Construction235,904201,13263,5899791,7622,49917,201—523,066Commercial real estate, non-owner occupiedPass589,296688,406227,332111,971103,400126,83726,779—1,874,021Special Mention68,279149,480———1,723——219,482Substandard19,31414,9121781,1186,156278——41,956Total Commercial real estate, non-owner occupied676,889852,798227,510113,089109,556128,83826,779—2,135,459Commercial real estate, owner occupiedPass299,186392,38392,33843,25246,04448,57133,998—955,772Special Mention5,6655,9537381,5329021,301149—16,240Substandard7,0255,763—531131,754——14,708Total Commercial real estate, owner occupied311,876404,09993,07644,83747,05951,62634,147—986,720ResidentialPass349,726353,691103,02869,74555,240210,6692,955731,145,127Special Mention1,0341,3941,4563061722,106——6,468Substandard1,0041,5753351,2481083,257—57,532Total Residential351,764356,660104,81971,29955,520216,0322,955781,159,127Home equityPass63,84517,5561,9772,1271,2503,432427,437194517,818Special Mention—8548——243,451—3,608Substandard520——891701,639—2,328Total Home Equity64,36517,6412,0252,1351,3413,526432,527194523,754Individuals' loans for household and other personal expendituresPass67,74923,45211,89311,1972,0084,92824,406—145,633Special Mention798550332058134—459Total Individuals' loans for household and other personal expenditures67,82823,53711,94311,2302,0284,98624,540—146,092Public finance and other commercial loansPass231,319178,316100,67939,098105,964128,94222,318—806,636Total Public finance and other commercial loans231,319178,316100,67939,098105,964128,94222,318—806,636Loans$3,023,847$2,456,983$778,086$359,554$353,319$605,794$1,664,006$272$9,241,861





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37.9 3.2 34.7 5.6 2.8 5.6 The tables below show a past due aging of the Corporation’s loan portfolio, by loan class, for the periods indicated:


September 30, 2022Current30-59 DaysPast Due60-89 DaysPast Due90 Days or More Past DueTotalLoans > 90 Days or More Past DueAnd AccruingCommercial and industrial loans$3,324,800$3,554$652$1,523$3,330,529$141Agricultural land, production and other loans to farmers221,577320—57221,954—Real estate loans:Construction828,353——570828,923570Commercial real estate, non-owner occupied2,294,231—1524,8892,299,272—Commercial real estate, owner occupied1,267,888337—3421,268,567—Residential1,974,2194,3866,9385,1251,990,668—Home equity613,7492,6897664,415621,61953Individuals' loans for household and other personal expenditures172,0124157962173,225—Public finance and other commercial loans915,245———915,245—Loans$11,612,074$11,701$9,304$16,923$11,650,002$764








December 31, 2021Current30-59 DaysPast Due60-89 DaysPast Due90 Days or More Past DueTotalLoans > 90 Days or More Past DueAnd AccruingCommercial and industrial loans$2,708,539$2,602$2,437$987$2,714,565$675Agricultural land, production and other loans to farmers246,38036—26246,442—Real estate loans:Construction522,349717——523,066—Commercial real estate, non-owner occupied2,124,8533,327—7,2792,135,459—Commercial real estate, owner occupied985,785643—292986,720—Residential1,148,2943,9794,2552,5991,159,127—Home equity518,6433,3272811,503523,754288Individuals' loans for household and other personal expenditures145,63437583—146,092—Public finance and other commercial loans806,636———806,636—Loans$9,207,113$15,006$7,056$12,686$9,241,861$963








The following table summarizes the Corporation’s non-accrual loans by loan class for the periods indicated:


September 30, 2022December 31, 2021Non-Accrual LoansNon-Accrual Loans with no Allowance for Credit LossesNon-Accrual LoansNon-Accrual Loans with no Allowance for Credit LossesCommercial and industrial loans$2,945$1,354$7,598$263Agricultural land, production and other loans to farmers57—631524Real estate loans:Construction——685—Commercial real estate, non-owner occupied20,18928823,0296,133Commercial real estate, owner occupied4,9973,471411—Residential10,7037229,1532,160Home equity4,607—1,552—Individuals' loans for household and other personal expenditures10—3—Loans$43,508$5,835$43,062$9,080








no





---













46.2


September 30, 2022Commercial Real EstateResidential Real EstateOtherTotalAllowance on Collateral Dependent LoansCommercial and industrial loans$—$—$43,740$43,740$13,040Real estate loans:Construction—2,447—$2,4471Commercial real estate, non-owner occupied27,705——$27,7052,705Commercial real estate, owner occupied8,911——$8,911916Residential—2,521—$2,521262Home equity—374—$374—Loans$36,616$5,342$43,740$85,698$16,924








December 31, 2021Commercial Real EstateResidential Real EstateOtherTotalAllowance on Collateral Dependent LoansCommercial and industrial loans$—$—$8,075$8,075$2,672Agricultural land, production and other loans to farmers524—251775—Real estate loans:Construction—685—68582Commercial real estate, non-owner occupied23,652——23,6525,510Commercial real estate, owner occupied1,044——1,044—Residential—4,906—4,906305Home equity—394—39464Loans$25,220$5,985$8,326$39,531$8,633





---



















Three Months Ended September 30, 2021Pre- Modification Recorded  BalanceTerm ModificationRate ModificationPost - Modification Recorded BalanceNumber of LoansReal estate loans:Construction$16$—$16$161Commercial real estate, non owner occupied12,92212,976—12,9761Total$12,938$12,976$16$12,9922








Nine Months Ended September 30, 2022Pre- Modification Recorded  BalanceRate ModificationPost - Modification Recorded BalanceNumber of LoansReal estate loans:Residential$53$56$561Total$53$56$561








Nine Months Ended September 30, 2021Pre- Modification Recorded  BalanceTerm ModificationRate ModificationCombinationPost - Modification Recorded BalanceNumber of LoansCommercial and industrial loans$348$348$—$—$3482Real estate loans:Construction16—16—161Commercial real estate, non owner occupied12,92212,976——12,9761Commercial real estate, owner occupied21——21211Residential6914491261186939Total$13,998$13,773$142$139$14,05414








100 99.9 92.3











---










Three Months Ended September 30, 2021Nine Months Ended September 30, 2021Number of LoansRecorded BalanceNumber of LoansRecorded BalanceCommercial and industrial loans2$1602$160Real estate loans:Residential55995599Total7$7597$759














2.0 3.9











The carrying amount of those loans is shown in the table below:





Level OnePurchase price of loans at acquisition$41,347CECL Day 1 PCD ACL16,599Par value of acquired loans at acquisition$57,946






































---















































































---







427,000 31.3 16.6 14.0 427,000 751,000 The following tables summarize changes in the allowance for credit losses by loan segment for the three and nine months ended September 30, 2022 and 2021:





Three Months Ended September 30, 2022CommercialCommercial Real EstateConstructionConsumer & ResidentialTotalAllowance for credit lossesBalances, June 30, 2022$94,228$55,328$27,401$49,318$226,275Provision for credit losses10,142(7,054)186(3,274)—Recoveries on loans811888242221,315Loans charged off(306)(1)—(581)(888)Balances, September 30, 2022$104,145$48,461$28,411$45,685$226,702





Nine Months Ended September 30, 2022CommercialCommercial Real EstateConstructionConsumer & ResidentialTotalAllowance for credit lossesBalances, December 31, 2021$69,935$60,665$20,206$44,591$195,397Provision for credit losses18,518(21,697)5,862(2,683)—CECL Day 1 non-PCD provision for credit losses2,9575,5398714,58813,955CECL Day 1 PCD ACL12,9702,981648—16,599Recoveries on loans7891,0968248273,536Loans charged off(1,024)(123)—(1,638)(2,785)Balances, September 30, 2022$104,145$48,461$28,411$45,685$226,702





Three Months Ended September 30, 2021CommercialCommercial Real EstateConstructionConsumer & ResidentialTotalAllowance for credit lossesBalances, June 30, 2021$63,681$72,701$17,077$46,316$199,775Provision for credit losses3,496(3,850)567(213)—Recoveries on loans204370—261835Loans charged off(137)(115)(4)(382)(638)Balances, September 30, 2021$67,244$69,106$17,640$45,982$199,972





Nine Months Ended September 30, 2021CommercialCommercial Real EstateConstructionConsumerResidentialConsumer & ResidentialTotalAllowance for credit lossesBalances, December 31, 2020$47,115$51,070$—$9,648$22,815$—$130,648Credit risk reclassifications—(10,284)10,284(9,648)(22,815)32,463—Balances, December 31, 2020 after reclassifications47,11540,78610,284——32,463130,648Impact of adopting ASC 32620,02434,9258,805——10,30174,055Balances, January 1, 2021 Post-ASC 326 adoption67,13975,71119,089——42,764204,703Provision for credit losses666(2,709)(1,444)——3,487—Recoveries on loans5445671——8291,941Loans charged off(1,105)(4,463)(6)——(1,098)(6,672)Balances, September 30, 2021$67,244$69,106$17,640$—$—$45,982$199,972





---



















two years




















September 30, 2022December 31, 2021Amounts of commitments:Loan commitments to extend credit$4,764,847$3,917,215Standby letters of credit$43,239$34,613








20.5 2.8 23.3








Three Months EndedSeptember 30, 2022Balances, June 30, 2022$20,500CECL Day 1 unfunded commitments provision for credit losses2,800Balances, September 30, 2022$23,300












































































---



















167.2 1.5





2022Balance, January 1$545,385Goodwill acquired167,183Balance, September 30$712,568





2021Balance, January 1$543,918Goodwill acquired1,467Balance, December 31$545,385






















17.2 1.4 2.2 The carrying basis and accumulated amortization of recognized core deposit intangibles and other intangibles are noted below.





September 30, 2022December 31, 2021Gross carrying amount$104,643$102,396Other intangibles acquired18,6422,247Accumulated amortization(85,140)(79,168)Total core deposit and other intangibles$38,145$25,475








two years ten years 2.3 6.0 1.5 4.3 Estimated future amortization expense is summarized as follows:


Amortization Expense2022$2,30320238,74220247,27120256,02820264,910After 20268,891$38,145































---





































one 10.0 four 60.0 24.0 Two 26.0





10.0 one





167,000











Asset DerivativesLiability DerivativesSeptember 30, 2022December 31, 2021September 30, 2022December 31, 2021BalanceSheetLocationFairValueBalanceSheetLocationFairValueBalanceSheetLocationFairValueBalanceSheetLocationFairValueCash flow hedges:Interest rate swaps on borrowingsOther Assets$167Other Assets$—Other Liabilities$—Other Liabilities$835








Derivatives in Cash Flow Hedging RelationshipsAmount of Gain (Loss) Recognized in Other Comprehensive Income (Loss) on Derivatives (Effective Portion)Three Months EndedNine Months EndedSeptember 30, 2022September 30, 2021September 30, 2022September 30, 2021Interest Rate Products$94$(20)$507$22














---










Derivatives Designated asHedging InstrumentsLocation of Gain (Loss)Recognized Income onDerivativeAmount of Gain (Loss) Reclassed from Other Comprehensive Income into Income  (Effective Portion)Three Months Ended September 30, 2022Three Months Ended September 30, 2021Interest rate contractsInterest Expense$(78)$(266)





Derivatives Designated asHedging InstrumentsLocation of Gain (Loss)Recognized Income onDerivativeAmount of Gain (Loss) Reclassed from Other Comprehensive Income into Income  (Effective Portion)Nine Months EndedSeptember 30, 2022Nine Months EndedSeptember 30, 2021Interest rate contractsInterest Expense$(496)$(779)
































September 30, 2022December 31, 2021Notional AmountFair ValueNotional AmountFair ValueIncluded in other assets:Interest rate swaps$1,200,105$98,280$1,038,947$41,133Forward contracts related to mortgage loans to be delivered for sale21,333612——Interest rate lock commitments5,24927——Included in other assets$1,226,687$98,919$1,038,947$41,133Included in other liabilities:Interest rate swaps$1,200,105$98,280$1,038,947$41,133Forward contracts related to mortgage loans to be delivered for sale8,527172——Interest rate lock commitments16,846357——Included in other liabilities$1,225,478$98,809$1,038,947$41,133














---







The amount of gain (loss) recognized into income related to non-designated hedging instruments is included in the table below for the periods indicated.





Derivatives Not Designated asHedging InstrumentsLocation of Gain (Loss)Recognized Income onDerivativeAmount of Gain (Loss)Recognized Income onDerivativeThree Months Ended September 30, 2022Three Months Ended September 30, 2021Forward contracts related to mortgage loans to be delivered for saleNet gains and fees on sales of loans$237$—Interest rate lock commitmentsNet gains and fees on sales of loans(350)—Total net gain/(loss) recognized in income$(113)$—





Derivatives Not Designated asHedging InstrumentsLocation of Gain (Loss)Recognized Income onDerivativeAmount of Gain (Loss)Recognized Income onDerivativeNine Months Ended September 30, 2022Nine Months Ended September 30, 2021Forward contracts related to mortgage loans to be delivered for saleNet gains and fees on sales of loans$993$—Interest rate lock commitmentsNet gains and fees on sales of loans(235)—Total net gain/(loss) recognized in income$758$—




















51,000 195,000








































---









































































Fair Value Measurements Using:September 30, 2022Fair ValueQuoted Prices in Active Markets for Identical Assets(Level 1)Significant OtherObservable Inputs(Level 2)SignificantUnobservableInputs(Level 3)Available for sale securities:U.S. Treasury$2,067$2,067$—$—U.S. Government-sponsored agency securities105,766—105,766—State and municipal1,344,956—1,339,4845,472U.S. Government-sponsored mortgage-backed securities518,789—518,7854Corporate obligations12,394—12,36331Derivative assets99,086—99,086—Derivative liabilities98,809—98,809—





---







Fair Value Measurements Using:December 31, 2021Fair ValueQuoted Prices inActive Markets forIdentical Assets(Level 1)Significant Other Observable Inputs(Level 2)SignificantUnobservableInputs(Level 3)Available for sale securities:U.S. Treasury$999$999$—$—U.S. Government-sponsored agency securities95,136—95,136—State and municipal1,576,532—1,571,0765,456U.S. Government-sponsored mortgage-backed securities667,605—667,6014Corporate obligations4,279—4,24831Derivative assets41,133—41,133—Derivative liabilities41,968—41,968—

















Available for Sale SecuritiesThree Months EndedNine Months EndedSeptember 30, 2022September 30, 2021September 30, 2022September 30, 2021Balance at beginning of the period$8,630$5,795$5,491$2,479Included in other comprehensive income29(21)(597)333Purchases, issuances and settlements——5,1113,241Principal payments(3,152)(174)(4,498)(453)Ending balance$5,507$5,600$5,507$5,600






































Fair Value Measurements UsingSeptember 30, 2022Fair ValueQuoted Prices inActive Markets forIdentical Assets(Level 1)Significant OtherObservableInputs(Level 2)Significant UnobservableInputs(Level 3)Collateral dependent loans$54,756$—$—$54,756





Fair Value Measurements UsingDecember 31, 2021Fair ValueQuoted Prices inActive Markets forIdentical Assets(Level 1)Significant OtherObservable Inputs(Level 2)Significant UnobservableInputs(Level 3)Collateral dependent loans$24,491$—$—$24,491Other real estate owned96——96














---































September 30, 2022Fair ValueValuation TechniqueUnobservable InputsRange                  (Weighted-Average)State and municipal securities$5,472Discounted cash flowMaturity/Call date1 month to 15 yearsUS Muni BQ curveA- to BBB-Discount rate0.4% - 4.0%Weighted-average coupon2.3%Corporate obligations and U.S. Government-sponsored mortgage-backed securities$35Discounted cash flowRisk free rate3 month LIBORplus premium for illiquidity (basis points)plus 200bpsWeighted-average coupon0%Collateral dependent loans$54,756Collateral based measurementsDiscount to reflect current market conditions and ultimate collectability0% - 10%Weighted-average discount by loan balance1.5%


December 31, 2021Fair ValueValuation TechniqueUnobservable InputsRange                  (Weighted-Average)State and municipal securities$5,456Discounted cash flowMaturity/Call date1 month to 15 yearsUS Muni BQ curveA- to BBB-Discount rate0.75% - 4%Weighted-average coupon3.7%Corporate obligations and U.S. Government-sponsored mortgage-backed securities$35Discounted cash flowRisk free rate3 month LIBORplus premium for illiquidity (basis points)plus 200bpsWeighted-average coupon0%Collateral dependent loans$24,491Collateral based measurementsDiscount to reflect current market conditions and ultimate collectability0% - 10%Weighted-average discount by loan balance5.5%Other real estate owned$96AppraisalsDiscount to reflect current market conditions0% - 44%Weighted-average discount of other real estate owned balance43.5%





























---
















September 30, 2022Quoted Prices in Active Marketsfor IdenticalAssetsSignificantOtherObservableInputsSignificant UnobservableInputsCarrying Amount(Level 1)(Level 2)(Level 3)Assets:Cash and due from banks$119,532$119,532$—$—Interest-bearing deposits179,593179,593——Investment securities available for sale1,983,9722,0671,976,3985,507Investment securities held to maturity2,310,796—1,856,72910,359Loans held for sale25,394—25,394—Loans, net11,423,300——10,899,928Federal Home Loan Bank stock38,056—38,056—Derivative assets99,086—99,086—Interest receivable71,605—71,605—Liabilities:Deposits$14,434,825$13,589,440$820,943$—Borrowings:Federal funds purchased185,000—185,000—Securities sold under repurchase agreements194,482—194,468—Federal Home Loan Bank advances643,769—634,399—Subordinated debentures and other borrowings151,301—138,407—Derivative liabilities98,809—98,809—Interest payable4,971—4,971—





December 31, 2021Quoted Prices in Active Marketsfor IdenticalAssetsSignificantOtherObservableInputsSignificant UnobservableInputsCarrying Amount(Level 1)(Level 2)(Level 3)Assets:Cash and due from banks$167,146$167,146$—$—Interest-bearing deposits474,154474,154——Investment securities available for sale2,344,5519992,338,0615,491Investment securities held to maturity2,179,802—2,188,60013,903Loans held for sale11,187—11,187—Loans, net9,046,464——9,068,319Federal Home Loan Bank stock28,736—28,736—Interest rate swap asset41,133—41,133—Interest receivable57,187—57,187—Liabilities:Deposits$12,732,577$12,038,992$690,089$—Borrowings:Securities sold under repurchase agreements181,577—181,572—Federal Home Loan Bank advances334,055—337,005—Subordinated debentures and other borrowings118,618—107,892—Interest rate swap liability41,968—41,968—Interest payable2,762—2,762—











































---






















September 30, 2022Remaining Contractual Maturity of the AgreementsOvernight and ContinuousUp to 30 Days30-90 DaysGreater Than 90 DaysTotalU.S. Government-sponsored mortgage-backed securities$194,482$—$—$—$194,482


December 31, 2021Remaining Contractual Maturity of the AgreementsOvernight and ContinuousUp to 30 Days30-90 DaysGreater Than 90 DaysTotalU.S. Government-sponsored mortgage-backed securities$181,577$—$—$—$181,577

























Accumulated Other Comprehensive Income (Loss)Unrealized Gains (Losses) on Securities Available for SaleUnrealized Gains (Losses) on Cash Flow HedgesUnrealized Gains (Losses) on Defined Benefit PlansTotalBalance at December 31, 2021$59,774$(660)$(4,001)$55,113Other comprehensive income (loss) before reclassifications(369,096)400—(368,696)Amounts reclassified from accumulated other comprehensive income(898)392—(506)Period change(369,994)792—(369,202)Balance at September 30, 2022$(310,220)$132$(4,001)$(314,089)Balance at December 31, 2020$87,988$(1,594)$(11,558)$74,836Other comprehensive income (loss) before reclassifications(31,379)17—(31,362)Amounts reclassified from accumulated other comprehensive income(4,200)615—(3,585)Period change(35,579)632—(34,947)Balance at September 30, 2021$52,409$(962)$(11,558)$39,889














---










Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Three Months Ended September 30,Details about Accumulated Other Comprehensive Income (Loss) Components20222021Affected Line Item in the Statements of IncomeUnrealized gains (losses) on available for sale securities(1)Realized securities gains reclassified into income$481$1,756Other income - net realized gains on sales of available for sale securitiesRelated income tax expense(101)(369)Income tax expense$380$1,387Unrealized gains (losses) on cash flow hedges(2)Interest rate contracts$(78)$(266)Interest expense - subordinated debentures and term loansRelated income tax benefit1656Income tax expense$(62)$(210)Total reclassifications for the period, net of tax$318$1,177


Amount Reclassified from Accumulated Other Comprehensive Income (Loss) For the Nine Months Ended September 30,Details about Accumulated Other Comprehensive Income (Loss) Components20222021Affected Line Item in the Statements of IncomeUnrealized gains (losses) on available for sale securities(1)Realized securities gains reclassified into income$1,137$5,316Other income - net realized gains on sales of available for sale securitiesRelated income tax expense(239)(1,116)Income tax expense$898$4,200Unrealized gains (losses) on cash flow hedges(2)Interest rate contracts$(496)$(779)Interest expense - subordinated debentures and term loansRelated income tax benefit104164Income tax expense$(392)$(615)Total reclassifications for the period, net of tax$506$3,585































ten year 100 one year two years three years





85 85 85 25,000











---










1.2 3.4 1.2 3.6





0.5








Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2022202120222021Stock and ESPP OptionsPre-tax compensation expense$15$16$64$131Income tax expense (benefit)——(74)(92)Stock and ESPP option expense, net of income taxes$15$16$(10)$39Restricted Stock AwardsPre-tax compensation expense$1,171$1,201$3,366$3,484Income tax expense (benefit)(332)(136)(792)(619)Restricted stock awards expense, net of income taxes$839$1,065$2,574$2,865Total Share-Based CompensationPre-tax compensation expense$1,186$1,217$3,430$3,615Income tax expense (benefit)(332)(136)(866)(711)Total share-based compensation expense, net of income taxes$854$1,081$2,564$2,904








15,000 no








Number ofSharesWeighted-Average Exercise PriceWeighted Average RemainingContractual Term(in Years)AggregateIntrinsicValueOutstanding at January 1, 202228,500$17.14Transferred Options from Level One148,600$18.84Exercised(20,095)$16.74Outstanding September 30, 2022157,005$18.802.69$3,121,261Vested and Expected to Vest at September 30, 2022157,005$18.802.69$3,121,261Exercisable at September 30, 2022157,005$18.802.69$3,121,261














470,000 559,000 336,000 198,000














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Number of SharesWeighted-AverageGrant Date Fair ValueUnvested RSAs at January 1, 2022411,259$35.86Granted129,040$40.60Vested(112,443)$37.18Forfeited(11,775)$36.54Unvested RSAs at September 30, 2022416,081$36.95








9.9 2.0 no

























Three Months EndedSeptember 30,Nine Months EndedSeptember 30,2022202120222021Reconciliation of Federal Statutory to Actual Tax Expense:Federal statutory income tax at 21%$15,445$12,984$36,176$39,082Tax-exempt interest income(4,974)(4,196)(14,371)(11,795)Share-based compensation(79)119(146)47Tax-exempt earnings and gains on life insurance(1,397)(503)(2,026)(1,037)Tax credits(122)(127)(292)(277)State Income Tax6586781,1772,252Other26210742036Actual Tax Expense$9,793$9,062$20,938$28,308Effective Tax Rate13.3%14.7%12.2%15.2%































Three Months Ended September 30,20222021Net Income Available to Common StockholdersWeighted-Average Common SharesPer ShareAmountNet Income Available to Common StockholdersWeighted-Average Common SharesPer ShareAmountNet income available to common stockholders$63,28359,096,688$1.08$52,77053,766,630$0.98Effect of potentially dilutive stock options and restricted stock awards242,041193,135Diluted net income per common share$63,28359,338,729$1.08$52,77053,959,765$0.98








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Nine Months Ended September 30,20222021Net Income Available to Common StockholdersWeighted-Average Common SharesPer ShareAmountNet Income Available to Common StockholdersWeighted-Average Common SharesPer ShareAmountNet income available to common stockholders$150,39157,200,843$2.63$157,79853,883,945$2.93Effect of potentially dilutive stock options and restricted stock awards266,716209,118Diluted net income per common share$150,39157,467,559$2.62$157,79854,093,063$2.92





For the three and nine months ended September 30, 2022 and 2021, there were no stock options with an option price greater than the average market price of the common shares.

































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ADJUSTED EPS EXCLUDING PAYCHECK PROTECTION PROGRAM ("PPP") AND ACQUISITION RELATED EXPENSES - non-GAAP(Dollars In Thousands, Except Per Share Amounts)Three Months EndedNine Months EndedSeptember 30,June 30,September 30,September 30,September 30,20222022202120222021Net Income Available to Common Stockholders - GAAP$63,283$38,522$52,770$150,391$157,798Adjustments:PPP loan income(323)(891)(8,211)(3,098)(27,179)Acquisition-related expenses3,41712,549—16,118—Acquisition-related provision expense—16,755—16,755—Tax on adjustment(759)(6,967)2,013(7,301)6,664Adjusted Net Income Available to Common Stockholders - non-GAAP$65,618$59,968$46,572$172,865$137,283Average Diluted Common Shares Outstanding (in thousands)59,33959,30853,96057,46854,093Diluted Earnings Per Common Share - GAAP$1.08$0.63$0.98$2.62$2.92Adjustments:PPP loan income—(0.01)(0.15)(0.05)(0.50)Acquisition-related expenses0.050.22—0.27—Acquisition-related provision expense—0.30—0.30—Tax on adjustment(0.01)(0.13)0.04(0.13)0.12Adjusted Diluted Earnings Per Common Share - non-GAAP$1.12$1.01$0.87$3.01$2.54








TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS - non-GAAP(Dollars in thousands, except per share amounts)September 30, 2022December 31, 2021Total Stockholders' Equity (GAAP)$1,906,666$1,912,571Less:  Preferred stock (GAAP)(25,125)(125)Less:  Intangible assets (GAAP)(750,713)(570,860)Tangible common equity (non-GAAP)$1,130,828$1,341,586Total assets (GAAP)$17,718,985$15,453,149Less: Intangible assets (GAAP)(750,713)(570,860)Tangible assets (non-GAAP)$16,968,272$14,882,289Stockholders' Equity to Assets (GAAP)10.76%12.38%Tangible common equity to tangible assets (non-GAAP)6.66%9.01%Tangible common equity (non-GAAP)$1,130,828$1,341,586Plus:   Tax benefit of intangibles (non-GAAP)8,1974,875Tangible common equity, net of tax  (non-GAAP)$1,139,025$1,346,461Common Stock outstanding59,14553,410Book Value (GAAP)$31.81$35.81Tangible book value - common (non-GAAP)$19.26$25.21

















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TANGIBLE EARNINGS PER SHARE,  RETURN ON TANGIBLE ASSETS AND RETURN ON TANGIBLE EQUITY - non-GAAP(Dollars in thousands, except per share amounts)Three Months Ended September 30,Nine Months Ended September 30,2022202120222021Average goodwill (GAAP)$712,995$545,385$657,643$545,371Average other intangibles (GAAP)39,58027,78135,50028,040Average deferred tax on other intangibles (GAAP)(8,505)(5,314)(7,436)(5,597)Intangible adjustment (non-GAAP)$744,070$567,852$685,707$567,814Average stockholders' equity (GAAP)$2,018,156$1,889,037$1,977,299$1,858,680Average preferred stock (GAAP)(25,125)(125)(16,792)(125)Intangible adjustment (non-GAAP)(744,070)(567,852)(685,707)(567,814)Average tangible capital (non-GAAP)$1,248,961$1,321,060$1,274,800$1,290,741Average assets (GAAP)$17,770,623$15,006,087$17,012,930$14,672,596Intangible adjustment (non-GAAP)(744,070)(567,852)(685,707)(567,814)Average tangible assets (non-GAAP)$17,026,553$14,438,235$16,327,223$14,104,782Net income available to common stockholders (GAAP)$63,283$52,770$150,391$157,798Other intangible amortization, net of tax (GAAP)1,8191,1564,7183,384Preferred stock dividend469—938—Tangible net income available to common stockholders (non-GAAP)$65,571$53,926$156,047$161,182Per Share Data:Diluted net income available to common stockholders (GAAP)$1.08$0.98$2.62$2.92Diluted tangible net income available to common stockholders (non-GAAP)$1.11$1.00$2.72$2.98Ratios:Return on average GAAP capital (ROE)12.54%11.17%10.14%11.32%Return on average tangible capital20.85%16.33%16.22%16.65%Return on average assets (ROA)1.43%1.41%1.19%1.43%Return on average tangible assets1.54%1.49%1.27%1.52%








































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(Dollars in Thousands)Three Months EndedSeptember 30, 2022September 30, 2021Average BalanceInterest Income /ExpenseAverageRateAverage BalanceInterest Income /ExpenseAverageRateAssets:Interest-bearing deposits$190,434$7041.48%$539,377$2180.16%Federal Home Loan Bank stock38,0893143.3028,7361682.34Investment Securities:(1)Taxable2,091,60810,0551.921,843,0267,7881.69Tax-Exempt(2)2,700,58021,8493.242,240,40918,3093.27Total Investment Securities4,792,18831,9042.664,083,43526,0972.56Loans held for sale20,0392665.7417,4261583.63Loans:(3)Commercial8,177,895103,2275.056,745,30370,4424.18Real Estate Mortgage1,666,17314,7013.53886,4698,1423.67Installment813,11210,3105.07690,0936,5763.81Tax-Exempt(2)810,9848,2284.06750,3577,0783.77Total Loans11,488,203136,7324.769,089,64892,3964.07Total Earning Assets16,508,914169,6544.11%13,741,196118,8793.46%Total Non-Earning Assets1,261,7091,264,891Total Assets$17,770,623$15,006,087Liabilities:Interest-bearing deposits:Interest-bearing deposits$5,184,087$8,7230.67%$4,799,624$3,6060.30%Money market deposits3,096,4235,3900.702,459,2057640.12Savings deposits1,978,5961,5380.311,788,2814860.11Certificates and other time deposits857,0339930.46758,5658510.45Total Interest-bearing Deposits11,116,13916,6440.609,805,6755,7070.23Borrowings1,013,8936,3882.52619,7683,1262.02Total Interest-bearing Liabilities12,130,03223,0320.7610,425,4438,8330.34Noninterest-bearing deposits3,461,3932,544,661Other liabilities161,042146,946Total Liabilities15,752,46713,117,050Stockholders' Equity2,018,1561,889,037Total Liabilities and Stockholders' Equity$17,770,62323,032$15,006,0878,833Net Interest Income (FTE)$146,622$110,046Net Interest Spread (FTE)(4)3.35%3.12%Net Interest Margin (FTE):Interest Income (FTE) / Average Earning Assets4.11%3.46%Interest Expense / Average Earning Assets0.56%0.26%Net Interest Margin (FTE)(5)3.55%3.20%(1)Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments.  Annualized amounts are computed utilizing a 30/360 day basis.(2)Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2022 and 2021.  These totals equal $6,316 and $5,331 for the three months ended September 30, 2022 and 2021, respectively.(3)Non-accruing loans have been included in the average balances.(4)Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.(5)Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.





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(Dollars in Thousands)Nine Months EndedSeptember 30, 2022September 30, 2021Average BalanceInterest Income /ExpenseAverageRateAverage BalanceInterest Income /ExpenseAverageRateAssets:Interest-bearing deposits$333,818$1,5440.62%$509,153$4610.12%Federal Home Loan Bank stock34,7426352.4428,7364342.01Investment Securities:(1)Taxable2,079,98328,9371.851,689,69721,9231.73Tax-Exempt(2)2,647,54763,7323.211,989,39750,5323.39Total Investment Securities4,727,53092,6692.613,679,09472,4552.63Loans held for sale19,0206224.3619,3605513.79Loans:(3)Commercial7,731,591253,7704.386,857,968210,5024.09Real Estate Mortgage1,350,96935,1993.47924,65226,9173.88Installment765,96024,7754.31674,69619,4563.84Tax-Exempt(2)780,41023,0303.93725,65120,8543.83Total Loans10,647,950337,3964.229,202,327278,2804.03Total Earning Assets15,744,040432,2443.66%13,419,310351,6303.49%Total Non-Earning Assets1,268,8901,253,286Total Assets$17,012,930$14,672,596Liabilities:Interest-bearing deposits:Interest-bearing deposits$5,195,249$15,6990.40%$4,721,267$10,8750.31%Money market deposits2,880,6038,3920.392,295,5892,3950.14Savings deposits1,937,7612,8950.201,730,1491,4240.11Certificates and other time deposits828,1582,4370.39809,7213,0360.50Total Interest-bearing Deposits10,841,77129,4230.369,556,72617,7300.25Borrowings817,89413,3542.18646,3269,5021.96Total Interest-bearing Liabilities11,659,66542,7770.4910,203,05227,2320.36Noninterest-bearing deposits3,232,9252,460,609Other liabilities143,041150,255Total Liabilities15,035,63112,813,916Stockholders' Equity1,977,2991,858,680Total Liabilities and Stockholders' Equity$17,012,93042,777$14,672,59627,232Net Interest Income (FTE)$389,467$324,398Net Interest Spread (FTE)(4)3.17%3.13%Net Interest Margin (FTE):Interest Income (FTE) / Average Earning Assets3.66%3.49%Interest Expense / Average Earning Assets0.36%0.27%Net Interest Margin (FTE)(5)3.30%3.22%(1)Average balance of securities is computed based on the average of the historical amortized cost balances without the effects of the fair value adjustments.  Annualized amounts are computed utilizing a 30/360 day basis.(2)Tax-exempt securities and loans are presented on a fully taxable equivalent basis, using a marginal tax rate of 21 percent for 2022 and 2021.  These totals equal $18,220  and $14,991 for the nine months ended September  30, 2022 and 2021, respectively.(3)Non-accruing loans have been included in the average balances.(4)Net Interest Spread (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average interest-bearing liabilities.(5)Net Interest Margin (FTE) is interest income expressed as a percentage of average earning assets minus interest expense expressed as a percentage of average earning assets.




























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Prompt Corrective Action ThresholdsActualBasel III Minimum Capital RequiredWell CapitalizedSeptember 30, 2022AmountRatioAmountRatioAmountRatioTotal risk-based capital to risk-weighted assetsFirst Merchants Corporation$1,823,19012.84%$1,490,62510.50%N/AN/AFirst Merchants Bank1,767,66712.441,492,46210.50$1,421,39210.00%Tier 1 capital to risk-weighted assetsFirst Merchants Corporation$1,501,61110.58%$1,206,6978.50%N/AN/AFirst Merchants Bank1,588,96111.181,208,1838.50$1,137,1148.00%CET1 capital to risk-weighted assetsFirst Merchants Corporation$1,476,61110.40%$993,7507.00%N/AN/AFirst Merchants Bank1,588,96111.18994,9747.00$923,9056.50%Tier 1 capital to average assetsFirst Merchants Corporation$1,501,6118.81%$682,0644.00%N/AN/AFirst Merchants Bank1,588,9619.33681,0244.00$851,2805.00%








Prompt Corrective Action ThresholdsActualBasel III Minimum Capital RequiredWell CapitalizedDecember 31, 2021AmountRatioAmountRatioAmountRatioTotal risk-based capital to risk-weighted assetsFirst Merchants Corporation$1,582,48113.92%$1,193,84010.50%N/AN/AFirst Merchants Bank1,453,35812.741,197,51510.50$1,140,49010.00%Tier 1 capital to risk-weighted assetsFirst Merchants Corporation$1,374,24012.09%$966,4428.50%N/AN/AFirst Merchants Bank1,309,68511.48969,4178.50$912,3928.00%Common equity tier 1 capital to risk-weighted assetsFirst Merchants Corporation$1,327,63411.68%$795,8937.00%N/AN/AFirst Merchants Bank1,309,68511.48798,3437.00$741,3196.50%Tier 1 capital to average assetsFirst Merchants Corporation$1,374,2409.30%$590,7584.00%N/AN/AFirst Merchants Bank1,309,6858.88589,9944.00$737,4935.00%





























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September 30, 2022December 31, 2021(Dollars in thousands)First Merchants CorporationFirst Merchants BankFirst Merchants CorporationFirst Merchants BankTotal Risk-Based CapitalTotal Stockholders' Equity (GAAP)$1,906,666$1,995,125$1,912,571$1,896,393Adjust for Accumulated Other Comprehensive (Income) Loss(1)314,089312,020(55,113)(57,352)Less:  Preferred Stock(25,125)(125)(125)(125)Add:  Qualifying Capital Securities25,000—46,606—Less:  Disallowed Goodwill and Intangible Assets(740,780)(740,332)(564,002)(563,554)Add:   Modified CECL Transition Amount23,02823,02834,54234,542Less:  Disallowed Deferred Tax Assets(1,267)(755)(239)(219)Total Tier 1 Capital (Regulatory)1,501,6111,588,9611,374,2401,309,685Qualifying Subordinated Debentures143,089—65,000—Allowance for Loan Losses Includible in Tier 2 Capital178,490178,706143,241143,673Total Risk-Based Capital (Regulatory)$1,823,190$1,767,667$1,582,481$1,453,358Net Risk-Weighted Assets (Regulatory)$14,196,430$14,213,921$11,369,907$11,404,902Average Assets (Regulatory)$17,051,604$17,025,603$14,768,956$14,749,855Total Risk-Based Capital Ratio (Regulatory)12.84%12.44%13.92%12.74%Tier 1 Capital to Risk-Weighted Assets10.58%11.18%12.09%11.48%Tier 1 Capital to Average Assets8.81%9.33%9.30%8.88%CET1 Capital RatioTotal Tier 1 Capital (Regulatory)$1,501,611$1,588,961$1,374,240$1,309,685Less:  Qualified Capital Securities(25,000)—(46,606)—CET1 Capital (Regulatory)$1,476,611$1,588,961$1,327,634$1,309,685Net Risk-Weighted Assets (Regulatory)$14,196,430$14,213,921$11,369,907$11,404,902CET1 Capital Ratio (Regulatory)10.40%11.18%11.68%11.48%









































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(Dollars in Thousands)September 30, 2022December 31, 2021Non-Performing Assets:Non-accrual loans$43,508$43,062Renegotiated loans195329Non-performing loans (NPL)43,70343,391OREO and Repossessions6,454558Non-performing assets (NPA)50,15743,949Loans 90-days or more delinquent and still accruing764963NPAs and loans 90-days or more delinquent$50,921$44,912

















(Dollars in Thousands)September 30, 2022December 31, 2021Non-performing assets and loans 90-days or more delinquent:Commercial and industrial loans$3,086$8,273Agricultural land, production and other loans to farmers57631Real estate loans:Construction570885Commercial real estate, non-owner occupied26,12523,125Commercial real estate, owner occupied4,997432Residential11,3059,723Home equity4,7711,840Individuals' loans for household and other personal expenditures103Non-performing assets and loans 90-days or more delinquent:$50,921$44,912





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Three Months Ended September 30,Nine Months Ended September 30,(Dollars in Thousands)2022202120222021Net charge-offs (recoveries):Commercial and industrial loans$225$14$239$618Agricultural land, production and other loans to farmers—(81)(4)(57)Real estate loans:Construction(824)4(824)5Commercial real estate, non-owner occupied(171)(232)(68)3,263Commercial real estate, owner occupied(16)(23)(905)633Residential(77)(73)(55)(72)Home equity26463235106Individuals' loans for household and other personal expenditures172131631235Total net charge-offs (recoveries)$(427)$(197)$(751)$4,731














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Payments Due In(Dollars in Thousands)One Year or LessOver One YearTotalDeposits without stated maturity$13,589,440$—$13,589,440Certificates and other time deposits706,955138,430845,385Securities sold under repurchase agreements194,482—194,482Federal Home Loan Bank advances430,097213,672643,769Federal Funds Purchased185,000—185,000Subordinated debentures and term loans1,200150,101151,301Total$15,107,174$502,203$15,609,377

















(Dollars in Thousands)September 30, 2022Amounts of commitments:Loan commitments to extend credit$4,764,847Standby and commercial letters of credit43,239$4,808,086














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September 30, 2022December 31, 2021Rising 200 basis points from base case2.4%1.4%Falling 100 basis points from base case(3.0)%(0.9)%








































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(Dollars in Thousands)September 30, 2022December 31, 2021Interest-bearing deposits$179,593$474,154Investment securities available for sale1,983,9722,344,551Investment securities held to maturity, net of allowance for credit losses of $245,000 and $245,0002,310,7962,179,802Loans held for sale25,39411,187Loans11,650,0029,241,861Federal Home Loan Bank stock38,05628,736Total$16,187,813$14,280,291



























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PeriodTotal Numberof SharesPurchased(1)AveragePrice Paidper ShareTotal Number of SharesPurchased as part of Publicly announced Plans or ProgramsMaximum Number of Sharesthat may yet be PurchasedUnder the Plans or Programs(2)July, 2022—$——2,686,898August, 202236,939$41.19—2,686,898September, 20221,708$39.69—2,686,898Total38,647—









































































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Exhibit No:Description of Exhibits:3.1First Merchants Corporation Articles of Incorporation, as amended (Incorporated by reference to Exhibit 3.1 of registrant’s Form 8-K filed on March 24, 2022) (SEC No. 000-17071)3.2Bylaws of First Merchants Corporation effective as of June 22, 2022 (Incorporated by reference to Exhibit 3.1 of registrant’s Form 8-K filed on June 23, 2022) (SEC No. 001-41342)4.1First Merchants Corporation Amended and Restated Declaration of Trust of First Merchants Capital Trust II dated as of July 2, 2007 (Incorporated by reference to Exhibit 4.1 of registrant's Form 8-K filed on July 3, 2007) (SEC No. 000-17071)4.2Indenture dated as of July 2, 2007 (Incorporated by reference to Exhibit 4.2 of registrant's Form 8-K filed on July 3, 2007) (SEC No. 000-17071)4.3Guarantee Agreement dated as of July 2, 2007 (Incorporated by reference to Exhibit 4.3 of registrant's Form 8-K filed on July 3, 2007) (SEC No. 000-17071)4.4Form of Capital Securities Certification of First Merchants Capital Trust II (Incorporated by reference to Exhibit 4.4 of registrant's Form 8-K filed on July 3, 2007) (SEC No. 000-17071)4.5First Merchants Corporation Dividend Reinvestment and Stock Purchase Plan (Incorporated by reference to registrant’s Prospectus filed pursuant to Rule 424(b)(3) on July 17, 2020) (SEC No. 333-229527)4.6Upon request, the registrant agrees to furnish supplementally to the Commission a copy of the instruments defining the rights of holders of its (a) 5.00% Fixed-to-Floating Rate Senior Notes due 2028 in the aggregate principal amount of $5 million and (b) 6.75% Fixed-to-Floating Rate Subordinated Notes due 2028 in aggregate principal amount of $65 million.4.7Deposit Agreement by and among First Merchants Corporation, Broadridge Corporate Issuer Solutions, Inc., as depositary, and holders from time to time of the depositary receipts described therein, as amended on March 30, 2022 (Incorporated by reference to Exhibit 4.1 of registrant’s Form 8-A filed on March 30, 2022) (SEC No. 001-41342)4.8Form of Depositary Receipt (Incorporated by reference to Exhibit 4.2 of registrant’s Form 8-A filed on March 30, 2022) (SEC No. 001-41342)4.9Indenture, dated as of December 18, 2019, between First Merchants Corporation (as successor to Level One Bancorp, Inc.) and Wilmington Trust, National Association, as trustee (Incorporated by reference to Exhibit 4.1 of Level One Bancorp, Inc.’s Form 8-K filed on December 19, 2019) (SEC No. 001-38458)4.10First Supplemental Indenture, dated as of March 31, 2022, among First Merchants Corporation, Level One Bancorp, Inc. and Wilmington Trust, National Association, as trustee (2)4.11Form of 4.75% Fixed-to-Floating Rate Subordinated Notes due 2029 (Incorporated by reference to Exhibit 4.2 of Level One Bancorp, Inc.’s Form 8-K filed on December 19, 2019) (SEC No. 001-38458)31.1Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes - Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes - Oxley Act of 2002 (1)31.2Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes - Oxley Act of 2002 (1)32Certifications Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (2)101.INSInline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document (1)101.SCHInline XBRL Taxonomy Extension Schema Document (1)101.CALInline XBRL Taxonomy Extension Calculation Linkbase Document (1)101.DEFInline XBRL Taxonomy Extension Definition Linkbase Document (1)101.LABInline XBRL Taxonomy Extension Label Linkbase Document (1)101.PREInline XBRL Taxonomy Extension Presentation Linkbase Document (1)104Cover Page Interactive Data File (formatted as Inline XBRL and included in Exhibit 101)(1)Filed herewith.(2)Furnished herewith.










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First Merchants Corporation(Registrant)November 9, 2022by/s/ Mark K. HardwickMark K. HardwickChief Executive Officer(Principal Executive Officer)November 9, 2022by/s/ Michele M. KawieckiMichele M. KawieckiExecutive Vice President, Chief Financial Officer(Principal Financial and Accounting Officer)