Recent Updates — FRME

First Merchants Corporation entered into an Indenture dated September 25, 2026, to issue $100 million aggregate principal amount of 6.750% Fixed-to-Floating Rate Subordinated Notes due October 1, 2036. The notes bear interest at an initial fixed rate of 6.750% per annum, payable semi-annually in arrears on April 1 and October 1, commencing April 1, 2027. From October 1, 2031, until maturity or redemption, the interest rate will float at Three-Month Term SOFR plus 202 basis points, payable quarterly. The notes are redeemable by the company at par plus accrued interest beginning October 1, 2031, or earlier upon specific tax or regulatory events. First Merchants Corporation operates in the banking industry, providing financial services including commercial and retail banking.

First Merchants Corporation reported second quarter 2026 net income of $43.5 million, or $0.70 per diluted common share, compared to $27.7 million in the first quarter of 2026. Results were impacted by a $33.0 million provision for credit losses, primarily due to two commercial lending relationships totaling $41.8 million placed on nonaccrual status, which required $29.7 million in associated reserves. Adjusted net income for the quarter was $46.4 million, or $0.74 per diluted common share. The company achieved organic loan growth of $221.7 million and deposit growth of $267.8 million on a linked quarter basis. Net interest margin on a fully taxable equivalent basis was 3.38%. First Merchants Corporation is a financial holding company that operates a full-service bank.

First Merchants Corporation approved a new stock repurchase program of up to 3,125,000 shares, with an aggregate investment limit of $100,000,000, representing approximately 5% of outstanding shares. This program replaces a previous repurchase program approved in March 2025. First Merchants Corporation is a financial services company providing banking and financial services.