1st Quarter   Earnings  Highlights   A p r i l 2 5 ,  2 0 1 9
 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
 Michael C. Rechin                      President                Chief Executive Officer
 1st  Quarter 2019 Highlights    Earnings Per Share of $ .78, a 5.4% Increase over 1Q2018    $38.8 Million of Net Income, a 5.8% Increase over 1Q2018    Total Assets of $10.2 Billion; Grew by 7.8% over 1Q2018    Organic Loan & Deposit Growth of 5.7% and 9.8%, respectively, over 1Q2018    1.54% Return on Average Assets    10.86% Return on Average Equity    51.18% Efficiency Ratio                                                        4
 Mark K. Hardwick              Executive Vice President   Chief Financial Officer and Chief Operating Officer
 Total Assets      ($ in Millions)           2017          2018          Q1-’18        Q1-’19  1. Investments             $1,561        $1,633          $1,544        $1,863  2. Loans                    6,758         7,229           6,906         7,303  3. Allowance                 (75)          (81)            (76)          (81)  4. Goodwill & Intangibles     477          470              475          468  5. BOLI                       224          225              222          226  6. Other                      422          409              402          432  7. Total Assets            $9,367        $9,885          $9,473       $10,211     Annualized Asset Growth                 5.5%                        13.2% 1     1 Annualized from December 31, 2018                                                                              6
 Loan Yield and Detail       (as of March 31, 2019)                                                                                   YTD Yield    =         5.30% Commercial                         Agricultural                                  Total Loans  =    $7.3 Billion                   Construction Land &        Agricultural  Real Estate                          Land                     Public                     Land Development          Production Non-Owner                            3.2%                  Finance/Other   Occupied               7.4%                    1.1%                                                             Commercial           Variable     =    $5.0 Billion   25.9%                                                        5.9%                                                                                  Fixed        =    $2.3 Billion                                                                  Residential                                                                    Mortgage                                                                    13.4%                                                                       Home                                                                       Equity                                                                                 LIBOR-                                                                      7.3%                                                                                  Based                                                                                  36%                                                                                                              Prime-                                                                     Other                                    Based                                                                    Consumer                                    19%  Commercial                                                         1.5%   Real Estate  Owner-Occupied     9.8%                                     Commercial &                                        Industrial                      Fixed Rate                          Other                                         24.5%                            32%                              Variable                                                                                                            Rates                                                                                                              13%                                                                                                            7
 Investment Portfolio   (as of March 31, 2019)   Tax-Exempt                       Mortgage-Backed  Municipals                                     Securities    47%                                27%                                                         $1.9 Billion Portfolio                                                        Modified duration of 5.1 years                                                        Tax equivalent yield of 3.49%                                                        Net unrealized gain of $26.1 Million                                            Collateralized                                           Mortgage             Corporate          U. S.     Obligations            Obligations       Agencies      22%               1%               3%                                                                                  8
 Total Liabilities and Capital      ($ in Millions)                   2017         2018          Q1-’18      Q1-’19  1.  Customer Non-Maturity Deposits $5,741        $6,268         $5,850      $6,439  2.  Customer Time Deposits          1,051        1,241           1,137       1,375  3.  Brokered Deposits                 381          246            341          234          Total Deposits                7,173        7,755           7,328       8,048   4.  Borrowings                        701          538            644          481  5.  Other Liabilities                  57           51             55           92  6.  Hybrid Capital                    133          133            133          134  7.  Common Equity                   1,303        1,408           1,313       1,456  8.  Total Liabilities and Capital  $9,367        $9,885         $9,473     $10,211                                                                                   9
 Deposit Detail   (as of March 31, 2019)                                                            YTD Cost   =      1.20%                    Certificates &                                           Certificates &   Total      =  $8.0 Billion                   Time Deposits                                           Time Deposits                      >$100,000                                            <$100,000 Savings               8% Deposits                                     9%   Brokered   29%                                              Deposits                                                     3%                                             Demand                                           Deposits                                             51%                                                                                 10
 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%)                                                                                                                   14.71%     15.00%                                                                                           14.61%                  14.24%                                                                  14.25%                               14.01%                                                                              13.81%     14.00%                               13.76%      13.69%      13.69%      13.00%                                                                                                                   12.12%                                                                                                      11.98%     12.00%                                                                               11.64%                   11.16%      11.11%                              11.04%      11.21%                                          11.03%     11.00%     11.00%                                                                                                                    10.14%                                                                                                      9.97%     10.00%                    9.68%                  9.50%                                                                   9.55%                                           9.39%                                                       9.30%       9.32%       9.36%       9.00%        8.00%                   1Q17       2Q17        3Q17        4Q17        1Q18        2Q18        3Q18        4Q18        1Q19                                                                                                                              11
 Net Interest Margin                                                Q1 - '17    Q2 - '17    Q3 - '17   Q4 - '17    Q1 - '18    Q2 - '18    Q3 - '18   Q4 - '18    Q1 - '19  Net Interest Income - FTE ($millions)      $        64.9 $        67.2 $        78.9 $        83.5 $        82.5 $        87.2 $        89.2 $        90.7 $        87.8   Fair Value Accretion                       $          4.3 $          2.3 $          3.2 $          4.1 $          3.2 $          3.8 $          3.2 $          3.9 $          2.3   Tax Equivalent Yield on Earning Assets         4.42%      4.44%       4.56%       4.67%       4.57%      4.74%       4.88%       4.97%      4.89% Interest Expense/Average Earning Assets        0.44%      0.49%       0.53%       0.57%       0.65%      0.75%       0.83%       0.93%      1.05% Net Interest Margin                            3.98%      3.95%       4.03%       4.10%       3.92%      3.99%       4.05%       4.04%      3.84% Fair Value Accretion Effect                    0.26%      0.14%       0.17%       0.20%       0.15%      0.18%       0.15%       0.17%      0.09%   $94                                                                                                                                                     4.20%                                                              4.10%                                           4.05%           4.04%  $90                                         4.03%                                                                                           3.84%              3.98%           3.95%                                                           3.99%  $86                                                                         3.92%                                                                       4.00%  $82                                                                                                                                                     3.80%  $78  $74                                                                                                                                                     3.60%  $70  $66                                                                                                                                                     3.40%  $62                                                                                                                                                     3.20%  $58  $54                                                                                                                                                     3.00%            Q1 - '17        Q2 - '17        Q3 - '17        Q4 - '17        Q1 - '18        Q2 - '18        Q3 - '18        Q4 - '18        Q1 - '19                                        Net Interest Income - FTE ($millions)                                   Net Interest Margin                                                                                                                                                        12
 Non-Interest Income     ($ in Millions)                        2017      2018      Q1-’18    Q1-’19 1. Service Charges on Deposit Accounts   $ 18.7    $ 21.0      $ 4.8     $ 5.1  2. Wealth Management Fees                 14.7      14.9         3.8      3.8  3. Card Payment Fees                      16.1      18.0         4.6      4.8  4. Gains on Sales of Mortgage Loans        7.6       7.0         1.8      1.3  5. Derivative Hedge Fees                   2.0       2.5         0.8      0.8  6. Other Customer Fees                     1.7       1.9         0.5      0.5  7. Cash Surrender Value of Life Ins        6.6       4.2         1.2      1.0  8. Gains on Sales of Securities            2.6       4.3         1.6      1.1  9. Other                                   1.0       2.7         0.5      0.3  10. Total Non-Interest Income            $71.0     $76.5       $19.6     $18.7                                                                             13
 Non-Interest Expense       ($ in Millions)                  2017        2018      Q1-’18    Q1-’19 1.  Salary & Benefits               $119.8     $131.7      $  32.2   $   33.0 2.  Premises & Equipment             30.1        32.7         8.4       8.7 3.  Intangible Asset Amortization     5.6         6.7         1.7       1.5 4.  Professional & Other Outside Services 12.8    8.2         1.5       1.9 5.  OREO/Credit-Related Expense       1.9         1.5         0.4       1.2 6.  FDIC Expense                      2.6         2.9         0.7       0.7 7.  Outside Data Processing          12.2        13.2         3.0       3.7 8.  Marketing                         3.7         4.7         0.9       1.1 9.  Other                            16.9        18.4         4.9       4.8 10. Total Non-Interest Expense     $ 205.6 1   $ 220.0      $ 53.7    $56.6      1 2017 includes acquisition-related expenses of $12.2 million                                                                            14
 Earnings      ($ in Millions)                     2017       2018        Q1-’18   Q1-’19 1. Net Interest Income               $ 277.3    $ 338.8       $  79.9  $  84.9 2. Provision for Loan Losses            (9.1)     (7.2)         (2.5)    (1.2) 3. Net Interest Income after Provision 268.2      331.6         77.4     83.7 4. Non-Interest Income                  71.0       76.5         19.6     18.7 5. Non-Interest Expense               (205.6)   (220.0)        (53.7)   (56.6) 6. Income before Income Taxes          133.6      188.1         43.3     45.8 7. Income Tax Expense                  (37.5) 1  (29.0) 2       (6.6)    (6.9) 8. Net Income Avail. for Distribution $ 96.1    $ 159.1       $ 36.7   $  38.9 9. EPS                                $ 2.12 3  $   3.22      $ 0.74   $  0.78 10. Efficiency Ratio                 54.56%     50.21%       51.33%    51.18%     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                                                                           15
 Per Share Results   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  2019                       Q1        Q2       Q3      Q4      Total  1. Earnings Per Share    $    .78     –        –       –     $    .78  2. Dividends             $    .22     –        –       –     $    .22  3. Tangible Book Value  $20.07                                                                  16
 Dividends and Tangible Book Value                Quarterly Dividends                                        Tangible Book Value                                                 .22 0.22 0.20                                           .18                                                          $20.07 0.18                                                                                              $19.12 0.16                                 .15                                                     $16.96                                 .14                                                    $15.85                                                                                   $14.68 0.14                                                                         $13.65 0.12                       .11                                         $12.17                                                                   $10.95 0.10                                                         $9.64                       .08                               $9.21 0.08 0.06             .05 0.04        .03 0.02  .01 0.00                   2.39% Forward Dividend Yield                    Compound Annual Growth Rate of 9.90%               Equals 28.2% Dividend Payout Ratio                                                                                                            17
 John J. Martin          Executive Vice President             Chief Credit Officer
 Loan Portfolio Trends                                                                     Change          Change                                                                 Linked Quarter Year Over Year    ($ in Millions)             2017   2018     Q1-'18  Q1-'19    $       %      $        %    1. Commercial & Industrial $  1,494 $  1,727 $  1,554 $  1,789 $        62 3.6% $      235 15.1%  2. CRE Owner Occupied         700     725      709      714      (11) (1.5%)      5    0.7%  3. Construction, Land and     612     546      590      542       (4) (0.7%)    (48)  (8.1%)    Land Development  4. CRE Non-Owner Occupied    1,618  1,865     1,760    1,888     23     1.2%    128    7.3%  5. Agricultural Production    122      92       98       80      (12) (13.0%)   (18) (18.4%)  6. Agricultural Land          244     242      245      237       (5) (2.1%)     (8)  (3.3%)  7. Public Finance/Other Commercial 397 433     398      428       (5) (1.2%)     30    7.5%  8. Total Commercial Loans    5,187  5,630     5,354    5,678     48     0.9%    324    6.1%   9. Residential Mortgage       970     970      953      980      10     1.0%     27    2.8% 10. Home Equity                514     528      511      536       8     1.5%     25    4.9% 11. Other Consumer              87     101       88      109       8     7.9%     21   23.9% 12. Total Residential Mortgage and 1,571 1,599 1,552    1,625     26     1.6%     73    4.7%    Consumer Loans  13. Total Loans             $ 6,758 $ 7,229   $ 6,906 $ 7,303  $        74 1.0% $      397 5.7%    Construction Concentration1  60%     50%      57%      49%    Investment RE Concentration1 219%   221%      226%    221%    1As a % of Risk Based Capital                                                                                        19
 Asset Quality Summary                                                                          Change        Change     ($ in Millions)                                                 Linked Quarter Year Over Year                                     186.12017 2018 Q1-'18   Q1-'19   $       %      $       %    1. Non-Accrual Loans            $   28.7 $   26.1 $   27.5 $   28.0 $   1.9 7.3% $      0.5 1.8%  2. Other Real Estate                  10.4         2.2         9.7         1.9     (0.3) (13.6%)        (7.8) (80.4%)  3. Renegotiated Loans                    1.0         1.1         0.6         0.7     (0.4) (36.4%)         0.1 16.7%  4. 90+ Days Delinquent Loans             0.9         1.9         0.7         0.1     (1.8) (94.7%)        (0.6) (85.7%)  5. Total NPAs & 90+ Days Delinquent $   41.0 $   31.3 $   38.5 $   30.7 $  (0.6) (1.9%) $    (7.8) (20.3%) 6. Total NPAs & 90+ Days/Loans & ORE 0.6%  0.4%      0.6%    0.4%  7. Classified Assets             $153.1  $173.2    $178.4  $169.6  $  (3.6) (2.1%) $    (8.8) (4.9%)  8. Specific Reserves             $     1.6 $     1.9 $     1.3 $     1.6 $  (0.3) (15.8%) $      0.3 23.1%                                                                                           20
 Non-Performing Asset Reconciliation      ($ in Millions)                                                                         Q2-'18    Q3-'18   Q4-'18    Q1-'19   1. Beginning Balance NPAs & 90+ Days Delinquent $    38.5 $    29.9 $    30.3 $    31.3     Non-Accrual   2.    Add: New Non-Accruals                 2.7       4.6     12.1       5.2   3.    Less:  To Accrual/Payoff/Renegotiated (6.3)    (2.5)     (5.4)    (1.2)   4.    Less:  To OREO                        (0.1)    (0.1)     (0.3)    (0.2)   5.    Less:  Charge-offs                    (3.7)    (1.7)     (0.7)    (1.9)   6. Increase / (Decrease):  Non-Accrual Loans (7.4)    0.3      5.7       1.9      Other Real Estate Owned (ORE)   7.    Add:  New ORE Properties              0.1       0.1      0.3       0.2   8.    Less: ORE Sold                        (0.5)    (0.2)     (6.8)    (0.2)    9.    Less: ORE Losses (write-downs)       (0.2)    (0.1)     (0.2)    (0.3)  10. Increase / (Decrease): ORE               (0.6)    (0.2)     (6.7)    (0.3)   11. Increase / (Decrease): 90+ Days Delinquent (0.5)  (0.1)     1.8      (1.8)  12. Increase / (Decrease): Renegotiated Loans (0.1)    0.4      0.2      (0.4)   13. Total NPAs & 90+ Days Delinquent Change  (8.6)     0.4      1.0      (0.6)   14. Ending Balance NPAs & 90+ Days Delinquent $    29.9 $    30.3 $    31.3 $    30.7                                                                                     21
 ALLL and Fair Value Summary          ($ in Millions)                     Q2-'18    Q3-'18    Q4-'18     Q1-'19       1. Beginning Allowance for Loan Losses (ALLL) $     76.4 $     77.5 $     78.4 $     80.6        2. Net Charge-offs (Recoveries)         0.6        0.5      (0.5)      0.9       3. Provision Expense                    1.7        1.4       1.7       1.2       4. Ending Allowance for Loan Losses (ALLL) $     77.5 $     78.4 $     80.6 $     80.9         5. ALLL/Non-Accrual Loans             385.0%    383.9%    308.1%    289.5%       6. ALLL/Non-Purchased Loans            1.28%     1.28%     1.26%     1.24%        7. ALLL/Loans                         1.09%     1.11%     1.11%     1.11%        8. Fair Value Adjustment (FVA)       $     37.2 $     33.9 $     30.0 $     27.8        9. Total ALLL plus FVA                    114.7      112.3      110.6      108.7       10. Purchased Loans plus FVA           1,059.1       979.2      874.3      809.9       11. FVA/Purchased Loans plus FVA        3.51%     3.46%     3.44%     3.43%                                                                                      22
 Portfolio Summary     1st quarter loans increased 1%, or 4% annualized with year over year loan    growth of 5.7%.     C&I led the increase in the quarter growing by 3.6% with year over year    growth of 15.1%.     Asset Quality remained healthy with NPAs & 90+ days at .4% of loans and    ORE and classified assets decreasing by $3.6 million this quarter.    Net charge-offs were $.9 million with provision expense of $1.2 million    supporting loan growth.    ALLL to total loans and non-purchased loans was 1.11% and 1.24%,    respectively.                                                        23
 Michael C. Rechin                      President                Chief Executive Officer
 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     Leverage balance sheet muscle...  Liquidity, Capital, Credit     Market Disruptions = Opportunity     Implement integration schedule and marketing plan for Michigan entry                                                        25
 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 Weaver, Investor Relations                  765.521.7619            nweaver@firstmerchants.com                                                   26
 Appendix
 Appendix –                                 Non-GAAP Reconciliation   CAPITAL RATIOS (dollars in thousands):                                                         1Q17        2Q17        3Q17        4Q17        1Q18        2Q18        3Q18        4Q18        1Q19 Total Risk-Based Capital Ratio Total Stockholders' Equity (GAAP)                          929,470     1,035,116     1,283,120     1,303,463     1,313,073     1,340,328     1,361,426     1,408,260     1,455,848  Adjust for Accumulated Other Comprehensive (Income) Loss 1               3,722              (1,384)               6,358               3,534            21,725            24,868            35,409            21,422               1,595  Less:  Preferred Stock                                              (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)  Add: Qualifying Capital Securities                            55,474            55,534            65,864            65,919            65,975            66,030            66,086            66,141            66,197  Less: Tier 1 Capital Deductions                                        (80)                  (166)                     -                     -                     -                     -                     -                     -                     -  Less: Disallowed Goodwill and Intangible Assets           (250,493)        (300,307)        (462,080)        (464,066)        (467,518)        (466,063)        (464,658)        (463,525)        (462,202)  Less: Disallowed Deferred Tax Assets                                (320)                  (665)                     -                     -              (2,594)              (2,104)              (1,111)                     -              (4,037)      Total Tier 1 Capital (Regulatory)              $     737,648 $     788,003 $     893,137 $     908,725 $     930,536 $     962,934 $     997,027 $ 1,032,173 $ 1,057,276  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            68,225            70,471            73,354            75,032            76,420            77,543            78,406            80,552            80,902      Total Risk-Based Capital (Regulatory)          $     870,873 $     923,474 $ 1,031,491 $ 1,048,757 $ 1,071,956 $ 1,105,477 $ 1,140,433 $ 1,177,725 $ 1,203,178       Net Risk-Weighted Assets (Regulatory)          $ 6,114,112 $ 6,592,710 $ 7,497,321 $ 7,660,604 $ 7,831,727 $ 8,002,666 $ 8,001,191 $ 8,060,882 $ 8,176,677  Total Risk-Based Capital Ratio (Regulatory)            14.24%      14.01%      13.76%      13.69%      13.69%      13.81%      14.25%      14.61%      14.71%  Common Equity Tier 1 Capital Ratio Total Tier 1 Capital (Regulatory)                  $     737,648 $     788,003 $     893,137 $     908,725 $     930,536 $     962,934 $     997,027 $ 1,032,173 $ 1,057,276  Less: Qualified Capital Securities                           (55,474)           (55,534)           (65,864)           (65,919)           (65,975)           (66,030)           (66,086)           (66,141)           (66,197)  Add:  Additional Tier 1 Capital Deductions                               80                    166                     -                     -                     -                     -                     -                     -                     -      Common Equity Tier 1 Capital (Regulatory)      $     682,254 $     732,635 $     827,273 $     842,806 $     864,561 $     896,904 $     930,941 $     966,032 $     991,079       Net Risk-Weighted Assets (Regulatory)          $ 6,114,112 $ 6,592,710 $ 7,497,321 $ 7,660,604 $ 7,831,727 $ 8,002,666 $ 8,001,191 $ 8,060,882 $ 8,176,677  Common Equity Tier 1 Capital Ratio (Regulatory)        11.16%      11.11%      11.03%      11.00%      11.04%      11.21%      11.64%      11.98%      12.12%  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.                                                                                                                                                       28
 Appendix –                                         Non-GAAP Reconciliation    TANGIBLE COMMON EQUITY RATIO  (dollars in thousands):                                                                       1Q17           2Q17          3Q17           4Q17           1Q18          2Q18           3Q18          4Q18            1Q19  Total Stockholders' Equity (GAAP)                             $     929,470  $ 1,035,116   $ 1,283,120    $ 1,303,463   $ 1,313,073    $ 1,340,328   $ 1,361,426    $ 1,408,260    $    1,455,848   Less: Preferred Stock                                                          (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                  (125)                     (125)   Less: Intangible Assets                                              (257,963)        (309,686)        (478,558)        (476,503)        (474,777)        (473,059)        (471,409)        (469,784)           (468,256)         Tangible Common Equity (non-GAAP)                       $     671,382  $     725,305  $     804,437 $     826,835  $     838,171 $     867,144  $     889,892 $     938,351  $        987,467    Total Assets (GAAP)                                           $ 7,326,193    $ 7,805,029   $ 9,049,403    $ 9,367,478   $ 9,472,796    $ 9,734,715   $ 9,787,282    $ 9,884,716    $ 10,210,925   Less:  Intangible Assets                                             (257,963)        (309,686)        (478,558)        (476,503)        (474,777)        (473,059)        (471,409)        (469,784)           (468,256)         Tangible Assets (non-GAAP)                              $ 7,068,230    $ 7,495,343   $ 8,570,845    $ 8,890,975   $ 8,998,019    $ 9,261,656   $ 9,315,873    $ 9,414,932    $    9,742,669   Tangible Common Equity Ratio (non-GAAP)                              9.50%         9.68%          9.39%         9.30%          9.32%         9.36%          9.55%          9.97%         10.14%   TANGIBLE COMMON EQUITY PER SHARE (dollars in thousands):                                                  4Q10        4Q11         4Q12        4Q13        4Q14        4Q15       4Q16        4Q17       1Q18        2Q18       3Q18        4Q18       1Q19 Total Stockholders' Equity (GAAP)         $        454,408 $        514,467 $       552,236 $       634,923 $       726,827 $     850,509 $     901,657 $ 1,303,463 $ 1,313,073 $ 1,340,328 $ 1,361,426 $ 1,408,260 $ 1,455,848  Less: Preferred Stock                                 (67,880)             (90,783)             (90,908)                    (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)        (476,503)        (474,777)        (473,059)        (471,409)        (469,784)        (468,256)  Tax Benefit                                                2,907                  2,224                 2,249                 4,973                 6,085               6,278               5,930               6,788               6,043               5,690               5,351               5,017               4,703     Tangible Common Equity, Net of Tax (non-GAAP) $        235,416 $        275,437 $       314,048 $       437,004 $       514,032 $     596,898 $     648,596 $     833,623 $     844,214 $     872,834 $     895,243 $     943,368 $     992,170                                                                                                                              0    Shares Outstanding                        25,574,251    28,559,707    28,692,616    35,921,761    37,669,948  40,664,258  40,912,697  49,158,238  49,243,096  49,280,188  49,304,542  49,349,800  49,428,468  Tangible Common Equity per Share (non-GAAP) $                 9.21 $                 9.64 $             10.95 $             12.17 $             13.65 $           14.68 $           15.85 $           16.96 $           17.14 $           17.71 $           18.16 $           19.12 $           20.07                                                                                                                                                                                      29
 Appendix –                                 Non-GAAP Reconciliation       EFFICIENCY RATIO (dollars in thousands):                                                                      2017         1Q18         2018        1Q19     Non Interest Expense (GAAP)                               $      205,556 $           53,687 $      219,951 $        56,621      Less:  Intangible Asset Amortization                                 (5,647)               (1,726)            (6,719)            (1,528)      Less:  OREO and Foreclosure Expenses                                 (1,903)                  (402)            (1,470)            (1,165)      Adjusted Non Interest Expense (non-GAAP)                          198,006              51,559         211,762           53,928       Net Interest Income (GAAP)                                        277,284              79,916         338,857           84,866      Plus:  Fully Taxable Equivalent Adjustment                          17,270                2,584           10,732             2,930      Net Interest Income on a Fully Taxable Equivalent Basis (non-GAAP)         294,554              82,500         349,589           87,796      Non Interest Income (GAAP)                                          71,009              19,561           76,459           18,713      Less:  Investment Securities Gains (Losses)                          (2,631)               (1,609)            (4,269)            (1,140)      Adjusted Non Interest Income (non-GAAP)                             68,378              17,952           72,190           17,573      Adjusted Revenue (non-GAAP)                                       362,932            100,452         421,779         105,369      Efficiency Ratio (non-GAAP)                                    54.56%        51.33%      50.21%      51.18%       FORWARD DIVIDEND YIELD                                                                             1Q19     Most recent quarter's dividend per share                          $             0.22      Most recent quarter's dividend per share - Annualized             $             0.88       Stock Price at 3/31/19                                            $          36.85          Forward Dividend Yield                                             2.39%       DIVIDEND PAYOUT RATIO                                                                             2019     Dividends per share                                               $             0.22      Earnings Per Share                                                $             0.78          Dividend Payout Ratio                                              28.2%                                                                                                                                                 30
 Appendix –                                         Non-GAPP Reconciliation   CONSTRUCTION AND INVESTMENT REAL ESTATE CONCENTRATIONS (dollars in thousands):                                                               2017           1Q18            2018            1Q19 Total Risk-Based Capital (Subsidiary Bank Only) Total Stockholders' Equity (GAAP)                   $            1,404,303 $            1,414,109 $            1,456,220 $            1,487,947  Adjust for Accumulated Other Comprehensive (Income) Loss  1                               763                       19,231                       19,031                             (908)  Less:  Preferred Stock                                                          (125)                             (125)                             (125)                             (125)  Less: Tier 1 Capital Deductions                                                    -                                -                                -                                -  Less: Disallowed Goodwill and Intangible Assets                       (463,618)                   (467,070)                   (463,076)                   (461,754)  Less: Disallowed Deferred Tax Assets                                               -                         (2,234)                                -                         (4,119)      Total Tier 1 Capital (Regulatory)                                  941,323                    963,911                1,012,050                1,021,041  Allowance for Loan Losses includible in Tier 2 Capital                       75,032                       76,420                       80,552                       80,902      Total Risk-Based Capital (Regulatory)           $            1,016,355 $            1,040,331 $            1,092,602 $            1,101,943   Construction, Land and Land Development Loans       $                612,219 $                590,093 $                545,729 $                542,501  Concentration as a % of the Bank's Risk-Based Capital          60%            57%             50%             49% Construction, Land and Land Development Loans       $                612,219 $                590,093 $                545,729 $                542,501  Investment Real Estate Loans                                       1,617,943                1,760,226                1,865,544                1,887,995  Total Construction and Investment RE Loans          $            2,230,162 $            2,350,319 $            2,411,273 $            2,430,496  Concentration as a % of the Bank's Risk-Based Capital        219%            226%            221%            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):                                                                            2Q18          2Q18         2Q18          2Q18  Loans Held for Sale (GAAP)                                             $            2,046 $            3,022 $            4,778 $            3,330 Loans (GAAP)                                                               7,081,059     7,088,071     7,224,467     7,299,320       Total Loans                                                           7,083,105     7,091,093     7,229,245     7,302,650  Less: Purchased Loans                                                     (1,022,160)        (945,330)        (844,224)        (782,114)       Non-Purchased Loans (non-GAAP)                                    $ 6,060,945   $ 6,145,763   $ 6,385,021   $ 6,520,536   Allowance for Loan Losses (GAAP)                                       $         77,543 $         78,406 $         80,552 $         80,902 Fair Value Adjustment (FVA) (GAAP)                                                 37,221             33,905             30,054             27,768      Allowance plus FVA (non-GAAP)                                     $      114,764 $      112,311 $      110,606 $      108,670  Purchased Loans (GAAP)                                                 $ 1,022,160   $      945,330 $      844,224 $      782,114 Fair Value Adjustment (FVA) (GAAP)                                                 37,221             33,905             30,054             27,768      Purchased Loans plus FVA (non-GAAP)                               $ 1,059,381   $      979,235 $      874,278 $      809,882  Allowance as a Percentage of Non-Purchased Loans (non-GAAP)                  1.28%         1.28%         1.26%         1.24% FVA as a Percentage of Purchased Loans plus FVA (non-GAAP)                   3.51%         3.46%         3.44%         3.43%                                                                                                                                                                           31