Mercantile Bank : First Quarter 2026 Presentation

Published: 2026-04-21 09:34:08 ET MBWM

Published on 04/21/2026 at 09:34 am EDT

Investor Presentation

April 2026

Investor Presentation

Executive Management Team

RAYMOND REITSMA

PRESIDENT AND

CHIEF EXECUTIVE OFFICER

Mr. Reitsma was appointed President and Chief Executive Officer of Mercantile effective June 1, 2024, and has been with the Bank for over 20 years, beginning with his initial role as a Commercial Loan Manager in 2003, including holding the title of Senior Lender for eight years and President for seven years.

CHARLES CHRISTMAS

EVP, CHIEF FINANCIAL OFFICER, AND TREASURER

Mr. Christmas has served as Chief Financial Officer at Mercantile since 1998. Prior to joining Mercantile, Mr. Christmas was a bank examiner for the Federal Deposit Insurance Corporation.

Financial Performance

First Quarter 2026

Financial Performance

9% EPS growth quarter-over-quarter

EPS of $1.32 in 1Q26 vs. $1.21 in 1Q25

1.4% ROAA and 12.5% ROAE in 1Q26 vs. 1.3% ROAA and 13.3% ROAE in 1Q25

EARNINGS1

NET INTEREST MARGIN AND NET INTEREST INCOME

Net interest margin of 3.55% in 1Q26 vs. 3.47% in 1Q25

Driven by lower costs of funds relating to EMB acquisition and repricing of fixed rate assets

The lower interest rate environment had little impact on margin as a lower asset yield was largely offset by lower funding rates

1Q26

Performance Highlights

COMMERCIAL LOAN PORTFOLIO

Commercial loans increased 2% annualized in 1Q26

Growth despite elevated payoffs that offset solid originations

C&I and Owner Occupied CRE combined represented 57% of the portfolio

ASSET QUALITY

Nonperforming assets to total assets ratio of 0.11% at the end of 1Q26

Net loan recoveries to average loans of 0.03% in 1Q26

Continued focus on building local deposit base

Total local deposits increased 15% annualized in 1Q26

Loan-to-deposit ratio at 89% at the end of 1Q26 vs. 99% at the end of 1Q25

DEPOSIT AND FUNDING

CAPITAL

CET1 capital ratio of 11.3% at the end of 1Q26 vs. 10.9% at the end of 1Q25

Total risk-based capital ratio of 14.6% at the end of 1Q26 vs. 14.4% at the end of 1Q25

Tangible book value per share of $37.34 at the end of 1Q26 vs.

$34.42 at the end of 1Q25

1. Includes $3.2 million in aggregate one-time costs associated with Mercantile's acquisition completed in the fourth quarter of 2025 of Eastern Michigan Financial

Total Assets

9.0% CAGR

5.3 4.9

5.4

6.1

4.4

Billions

6.8

Total Loans

8.6% CAGR

3.9 4.3

3.2

3.5

Billions

4.6 4.8

2020 2021 2022 2023 2024 2025

Total Deposits

9.2% CAGR

4.1

4.7

3.4

3.7

3.9

$6 5.3

Billions

2020 2021 2022 2023 2024 2025

EPS

15.1% CAGR

3.69

2.71

3.85

$6 5.13 4.93 5.47

$40

$30

$20

$10

$1.6

$1.4

$1.2

$1.0

$0.8

$0.6

$0.4

$0.2

$0.0

2020 2021 2022 2023 2024 2025

TBVPS

9.0% CAGR

36.78

23.86 25.61 24.47

29.31

33.14

2020 2021 2022 2023 2024 2025

Cash Dividends

6.0% CAGR

1.12

1.18

1.26

1.34

1.42

1.50

2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025

Financial Performance

Historical Trends and Shareholder Value

Strong Track Record of Delivering Shareholder Value

Solid Earnings and Balance Sheet Growth Trends

99.0%

99.7%

95.9%

91.2%

88.9%

105% $5,500

100%

95%

$5,000

(In millions)

90%

$4,500

85%

80%

1Q25 2Q25 3Q25 4Q25 1Q26

$4,000

Loan to Deposit Ratio Total Loans Total Deposits

Financial Performance

Loan-to-Deposit Ratio*

Multi-year strategic initiative to reduce loan-to-deposit ratio

Reduced to 89% from 99% over last twelve months

*Reflects end of quarter balances

Financial Performance

Interest Rate Scenarios

Balance Sheet Structure Supports Stable Net Interest Income Across Rate Environments

Purchases of highly discounted callable agency bonds provide additional protection in a down rate environment

Matched funding fixed rate commercial loans, deposit mix strategies, and commercial loan back-to-back interest rate swap program mitigate the impact of rate changes

$100mm

$80mm

$60mm

$40mm

$20mm

$0mm ($20mm) ($40mm) ($60mm) ($80mm) ($100mm)

-400 bp -300 bp -200 bp -100 bp +100 bp +200 bp +300 bp

Projected $ change in NII

50%

40%

30%

20%

7.3%

2.3%

6.7%

5.6%

-3.5%

-2.9%

4.8%

10%

-10%

-20%

-30%

-40%

-50%

Reflects a gradual one-year parallel change in interest rates; simulation results as of March 31, 2026

Financial Performance

Stable margin and net interest income in a declining interest rate environment

Stable net interest margin

Proactive balance sheet management strategies that support margin stabilization include:

Matched funding fixed rate commercial loans and deposit mix strategies/management

Commercial loan back-to-back interest rate swap program

Laddered maturities in investment portfolio and

8.0%

7.0%

6.0%

5.0%

4.0%

3.0%

2.0%

1.0%

0.0%

1st Qtr 2025

2nd Qtr 2025

3rd Qtr 2025

4th Qtr 2025

1st Qtr 2026

$55

$56

$52

$51

$49

5.73%

5.75%

5.74%

5.52%

5.42%

4.35%

4.34%

4.35%

4.01%

3.68%

3.47%

3.48%

3.49%

3.43%

3.55%

2.26%

2.27%

2.25%

2.09%

1.87%

$50

$45

In millions

$40

$35

$30

$25

$20

purchases of heavily discounted callable agency bonds

Acquisition of EMB provided low-cost deposits

Financial Performance

Change in asset mix as on balance sheet liquidity grows

$5.7

$5.9

$11

$5.9

$11

$14

$72

$74

$75

$71

$72

$6.4

$90mm

$80mm

Interest Income

$70mm

$60mm

$50mm

$40mm

$30mm

$20mm

$10mm

$0mm

1Q25 2Q25 3Q25 4Q25 1Q26

$6B

$5B

Assets

$4B

$3B

$2B

$1B

$0B

Net Interest Income

Interest on Loans, including fees Interest on Securities and Deposits

Solid net interest income in a lower interest rate environment

Despite lower interest rate environment, net interest income continues to be solid driven by:

Quarter over quarter asset growth

$45mm

$40mm

$35mm

Expense

$30mm

$25mm

$20mm

$15mm

$10mm

$5mm

Costs stable as deposit balances grow

$4.0

$3.4

$3.5

$3.6

$25

$26

$27

$25

$23

$4B

Deposits

$3B

$2B

$1B

Active match funding initiatives

$0mm

1Q25 2Q25 3Q25 4Q25 1Q26

$0B

Higher yield on investments as fixed rate securities reprice

Repricing of fixed rate loans

Repricing of time deposits

Stable noninterest bearing deposits

EMB acquisition

Interest on Deposits Other Interest Expense

Significant low/no cost deposits

50%

51%

48%

49%

21%

25%

20%

25%

20%

25%

% of Total Deposits

100.0%

80.0%

60.0%

40.0%

20.0%

0.0%

Mar-25 Jun-25 Sep-25 Dec-25 Mar-26

Financial Performance

$12mm

(%) Reflects 1Q 2026 compared to 1Q 2025

Noninterest Income

Stable fee income with quarter over quarter increase:

Treasury management and payroll services fees increase driven by new commercial client acquisitions and effective marketing endeavors

Interest rate swap income increased due to higher volume

Mortgage banking income increased due to higher production and an increase in the percentage of loans originated with intent to sell

$10mm

$8mm

$6mm

$4mm

$2mm

$0mm

1Q25 2Q25 3Q25 4Q25 1Q26

MORTGAGE LOAN ORIGINATIONS

$160,000

30,700

28,800

5,500

18,900

9,200

111,200

108,000

81,500

8,800

86,000

$140,000

(In thousands)

$120,000

$100,000

$80,000

$60,000

$40,000

$20,000

1st Qtr 2025

2nd Qtr 2025

3rd Qtr 2025

4th Qtr 2025

1st Qtr 2026

MORTGAGE LOAN SALES

3,200

3,000

2,500

112,30

,900

105,900

80,500

116

111,300

Loans originated with intent to sell (in thousands)

$140,000

$120,000

$100,000

$80,000

$60,000

$40,000

$20,000

3,500 3,400

$4,000

Income on Sale of Mortgage Loans (in thousands)

$3,500

$3,000

$2,500

$2,000

$1,500

$1,000

$500

1st Qtr 2025

2nd Qtr 2025

3rd Qtr 2025

4th Qtr 2025

1st Qtr 2026

Total saleable mortgage loans

Financial Performance

Mortgage Loan Activity

Stable income and solid originations

$40mm

$30mm

54% 55% 56%

62%

59%

60%

50%

$20mm

40%

30%

$10mm

20%

10%

$0mm

1Q25 2Q25 3Q25 4Q25 1Q26

2.6%

2.4%

2.2%

2.0%

1.8%

2.50%

2.31%

2.21%

2.31%

2.10%

1Q25 2Q25 3Q25 4Q25 1Q26 Actual 1Q26

excluding one-time

items*

Financial Performance

Noninterest Expense

Stable Core Costs

Increase in salary and benefit costs commensurate with asset growth

Additional increase driven by core conversion and EMB acquisition

* Represents a non-GAAP financial measurement, which excludes costs associated with (i) Mercantile's acquisition completed in the fourth quarter of 2025 of Eastern Michigan Financial Corporation of $0.3 million and (ii) the previously announced core and digital banking system conversion of $2.9mm.

Quarter End Core Commercial Loan Growth Trends (reflects period end balances)

$4.0B

3.82

3.75

3.92 3.94

$3.9B

$3.8B

$3.7B

$3.6B

Mar-25 Jun-25 Sep-25 Dec-25 Mar-26

Total Loan Portfolio Growth Trends (reflects period end balances)*

$6.0B

0.9

0.5

0.2

1.0

0.8

0.3

1.0

0.9

0.3

0.5

1.0

1.1

0.6

0.0

1.1

0.6

0.1

0.7

0.1

0.7

0.1

0.8

0.1

0.8

0.1

1.2

1.3

1.4

$5.0B

$4.0B

$3.0B

$2.0B

$1.0B

$0.0B

2021 2022 2023 2024 2025 YTD 2026

Financial Performance

Loan Growth

Consistent Fundings

Commercial loan focused

Solid historical growth

Top tier asset quality

First quarter 2026 loan growth impacted by $180 million in payoffs/paydowns attributed to:

Assets sales

Refinanced to secondary market

Lines of credit paydowns due to excess cash

*reflects year end and quarter end totals

Quarterly Asset Quality Metrics

($ in thousands) 1st Qtr 2nd Qtr

3rd Qtr

4th Qtr

1st Qtr

2025

2026

Gross loan charge-offs

$ 100

200

2,800

Recoveries

$ 200

100

700

200

400

Net loan charge-offs (recoveries)

$ (100)

(100)

(500)

2,600

(400)

Net loan charge-offs (recoveries) to average loans

(0.01%)

(0.05%)

0.23%

(0.03%)

Provision for credit losses

$ 2,100

1,600

200

(700)

(1,800)

Allowance for credit losses

$ 56,700

58,400

59,100

58,200

56,700

Allowance to loans

1.22%

1.24%

1.28%

1.21%

1.18%

Nonperforming loans

$ 5,400

9,700

9,800

7,900

7,500

Other real estate/repossessed assets

$ 0

Nonperforming loans to total loans

0.12%

0.21%

0.16%

Nonperforming assets to total assets

0.09%

0.16%

0.12%

0.11%

Historical Nonperforming Loans to Total Loans*

1.00%

0.07%

0.20%

0.08%

0.12%

0.16%

0.50%

0.00%

2021 2022 2023 2024 2025 YTD 2026

Financial Performance

Asset Quality

Asset quality measures remain strong

Reflects ongoing commitment to soundly and vigilantly underwrite and administer loans and strength of borrowers

Continuing to build reserve for credit losses

*Reflects period ends.

Financial Performance

Fixed Rate

Total Loan Portfolio Rate Type

$3.0B

$2.5B

$2.0B

Total Loan Portfolio Repricing Breakdown

Funding sources designed to match asset repricing characteristics*

Loans: 23%

Variable Rate Loans: 77%

$1.5B

- 12 Months

- 5 Years

Over 5 Years

Variable Fixed Rate Variable Fixed Rate

Rate Loans Loans

Rate Loans

Loans

$1.0B

$0.5B

Commercial

Retail

$0.0B

Floating rate:

Shorten balance sheet duration

Align with funding sources (of which a proportional amount has short durations and floating rates) to mitigate interest rate risk

Fixed rate:

Match funded with fixed rate liabilities

Fixed-rate loans and securities provide a natural hedge in a declining-rate environment.

*As of March 31, 2026

$5.0B

$4.0B

$3.0B

$2.0B

$1.0B

$0.0B

Total Variable Rate Assets and Funding Sources

Floating Rate Assets Liability Funding

Sources

$5.0B

$4.0B

$3.0B

$2.0B

$1.0B

$0.0B

Total Fixed Rate Asset and Funding Sources

Fixed Rate Assets Liability Funding

Sources

Financial Performance

Total Investment Portfolio Composition

Investment Portfolio

Net unrealized losses (before tax) equaled $37 million (or 3% of total

securities book value) as of March 31, 2026

As of March 31, 2026

$800mm

Unrealized Gains Amortized Cost

Fair Value

$700mm

$600mm

$500mm

$400mm

$300mm

$200mm

$100mm

$0mm ($100mm)

Unrealized Losses

As of December 31, 2025

$800mm

$700mm

$600mm

$500mm

$400mm

$300mm

$200mm

$100mm

$0mm ($100mm)

Investment portfolio mix remains

U.S. Agency Bond Segment Profile

relatively unchanged, dominated by

U.S Agency bonds

Continue to build the U.S Agency portfolio as part of the strategy to reduce loan to deposit ratio and mitigate interest rate risk

Increased portfolio yield given higher rate environment

Laddered maturities but concentration on bond purchases with maturities in 3-5 years

Segment Growth

$800mm

$700mm

$600mm

$500mm

$400mm

$300mm

$200mm

$100mm

$0mm ($100mm)

3.00%

2.90%

2.80%

2.70%

2.60%

2.50%

2.40%

2.30%

2.20%

Maturity Schedule*

$450mm

2.71%

2.05%

$400mm

Amortized Cost

$350mm

$300mm

$250mm

$200mm

$150mm

$100mm

$50mm

$0mm

One year or less

Over one through five years

3.51%

Over five through ten years

4.00%

3.50%

3.00%

2.50%

2.00%

1.50%

1.00%

0.50%

0.00%

Amortized Cost

*As of March 31, 2026 17

$6.0B

$5.0B

$4.0B

$3.0B

$2.0B

$1.0B

$0.0B

1Q25 2Q25 3Q25 4Q25 1Q26

Money Market (+26%)

Interest-Bearing Checking (+24%)

Local Time $100,000 & Over (+12%)

Local Deposits (+15%)

Financial Performance

Deposits and Sweep Accounts*

10% growth (annualized) in total deposits in the first quarter 2026

15% growth (annualized) in local deposits in the first quarter 2026

Continued reduction in wholesale funding

*(%) Reflects annualized growth in the first quarter of 2026

Business 65%

Personal 35%

($ in thousands) March 31, 2026 December 31, 2025

business accounts

Personal

Business

Personal

Business

Noninterest-Bearing Checking

$ 241,100

1,090,900

216,100

1,123,700

Interest Checking

$ 253,900

760,500

249,800

707,700

Savings

$ 273,800

46,700

269,900

40,400

Money Market

$ 519,800

1,287,100

505,400

1,192,200

Certificates of Deposit

$ 565,500

300,100

558,600

290,200

Total Deposits

$ 1,854,100

3,485,300

1,799,800

3,354,200

Financial Performance

Deposit Balances*

Deposits comprised primarily of

*As of March 31, 2026, excludes brokered deposits

Stable Large Depositors

Depositors with over $5 million as of March 31, 2026

Total - 93 relationships aggregating $1.9 billion

Depositors with over $5 million as of March 31, 2021 (5 years ago), consisted of 71 relationships aggregating $1.1 billion

Aggregate Balance of the 49 Depositors ($ millions)

$1,500

$1,000

$1,196

$769

$500

March 31, 2021 March 31, 2026

Financial Performance

Large Depositors

(Includes Sweep Account Balances)

Mercantile Bank Corporation Consolidated Capital Ratios

16.00%

14.00%

12.00%

10.00%

8.00%

6.00%

4.00%

2.00%

0.00%

1st Qtr 2025 2nd Qtr 2025 3rd Qtr 2025 4th Qtr 2025 1st Qtr 2026 Tier 1 leverage capital ratio

Tier 1 risk-based capital ratio

Financial Performance

Capital Ratios

Both of Mercantile Bank Corp's subsidiaries, Mercantile Bank and Eastern Michigan Bank, have regulatory capital levels in excess of the amounts necessary to be categorized as "well capitalized."

Subsidiary Banks Total Risk Based Capital:

Mercantile Bank - 13.8%

Eastern Michigan Bank - 20.5%

Source

Availability

($ in thousands)

Unsecured Federal Funds Lines of Credit

$ 50,000

FHLB of Indianapolis Advance Program

$ 837,000

Unpledged Investments

$ 752,000

Federal Reserve Discount Window

$ 153,000

Financial Performance

Sources of Liquidity*

*As of March 31, 2026

Financial Performance

Thoughts on 2026

PRIME / SOFR RATES

No rate changes during 2026

PERFORMANCE METRICS

2nd QUARTER 3rd QUARTER 4th QUARTER

Loan Growth (annualized)

5.00%-7.00%

Net Interest Margin

3.50%-3.60%

3.55%-3.65%

3.60%-3.70%

Fee Income

$11.0MM-$12.0MM

$10.5MM-$11.5MM

Overhead Costs1

$39.0MM-$40.0MM

Federal Tax Rate2

17%

Excludes anticipated costs associated with core conversion

Reflects expected transferable energy tax credit acquisitions

Loan Portfolio Characteristics

Strong Credit Culture Diversified Lending

Loan Portfolio Characteristics

Total Loans*

($ in thousands) Balance Percentage

COMMERCIAL LOANS

Commercial and Industrial

1,429,800

30%

Real Estate - NonOwner Occupied

1,101,800

23%

Real Estate - Owner Occupied

799,100

17%

Real Estate - Multi-Family & Residential Rental

485,200

10%

Real Estate - Land Development & Residential Construction

$ 119,500

Total Commercial Loans

$ 3,935,400

82%

RETAIL LOANS

1 - 4 Family Mortgages

768,200

16%

Other Consumer

113,100

Total Retail Loans

$ 881,300

18%

TOTAL LOANS $ 4,816,700 100%

*As of March 31, 2026

Loan Portfolio Characteristics

Asset Quality Metrics

Quarter Trends

($ in thousands)

Continued strong asset quality metrics

11 basis points nonperforming assets to total assets as of March 31, 2026

3/31/25

6/30/25

9/30/25

12/31/25

3/31/26

Net loan charge-offs (recoveries)

(100)

(500)

2,600

(400)

Net loan charge-offs (recoveries) to average loans (annualized)

(0.01%)

(0.05%)

0.23%

(0.03%)

Allowance to loans

1.22%

1.24%

1.28%

1.21%

1.18%

Nonperforming loans to total loans

0.12%

0.21%

0.16%

Nonperforming assets to total assets

0.09%

0.16%

0.12%

0.11%

Loan Portfolio Characteristics

Lending Commitments

($ in millions)

*Commitments to make loans generally reflect our binding obligations to existing and prospective commercial customers to extend credit, including line of credit facilities secured by accounts receivable and inventory, and term debt secured by either real estate or equipment.

3/31/25 6/30/25 9/30/25 12/31/25 3/31/26

CONSTRUCTION LOANS

Commercial

$ 210

237

216

237

240

Residential

$ 30

COMMITMENTS TO MAKE LOANS*

$ 27

105

133

205

289

TOTAL

$ 267

377

386

476

561

Loan Portfolio Characteristics

Composition - Commercial Loans 1,2

Commercial Real Estate -

Manufacturing

Wholesale Trade

5% Retail Trade 6% Transportation &

Commercial Real Estate -Non-Owner Occupied 28%

Multi-Family & Residential

Rental

13%

19%

Construction 7%

Warehousing 1%

Information

<1%

Finance & Insurance 3%

Commercial Real Estate -Owner Occupied 20%

Commercial &

Industrial

36%

Services 19%

Real Estate, Rental

& Leasing

38%

Commercial Vacant Land, Land Development & Residential Construction 3%

Agriculture, Oil & Gas Extraction & Utilities 1%

CREDIT RISK PROFILE BY INTERNAL CREDIT RISK GRADES ($ in millions)

Internal Credit Risk Grade Groupings

Commercial & Industrial

Commercial Vacant Land, Land Dev., & Residential Construction

Commercial Real Estate -Owner Occupied

Commercial Real Estate -Non-Owner Occupied

Commercial Real Estate -Multi-Family & Residential Rental

Grades 1-4

673.3

58.4

503.6

431.1

148.4

Grades 5-7

734.3

61.1

286.0

668.0

336.8

Grades 8-9

22.2

9.5

2.7

Total Commercial

$ 1,429.8

119.5

799.1

1,101.8

485.2

Private credit exposure represents 2% of commercial loan balances

As of March 31, 2026 28

23%

77%

RATE TYPE BREAKDOWN

Balance

Floating Rate Commercial Loans $ 3,026,400

Fixed Rate Commercial Loans

909,000

Total Commercial Loans $ 3,935,400

Strong Credit Culture

Rate Type -Commercial Loans*

($ in millions)

*As of March 31, 2026

Loan Portfolio Characteristics

Past Due Loans

Commercial and Retail Past Due Loans* ($ in millions)

30-59

Days Past Due

60-89

Days Past Due

> 89

Days Past Due

Total

Past Due Current

Total Loans

Recorded Balance > 89 Days & Accruing

Commercial and Industrial

$ 0.2

0.2

1,429.6

1,429.8

Vacant Land,

Land Development,

$ 0.2

0.2

119.3

119.5

Residential

Construction

Real Estate -Owner Occupied

$ 0.4

0.4

798.7

799.1

Real Estate -

Non-Owner Occupied

$ -

2.7

1,099.1

1,101.8

Real Estate -Multi-Family and Residential Rental

$ -

485.2

Total Commercial

$ 0.8

2.7

3.5

3,931.9

3,935.4

1-4 Family Mortgages $ 0.5

0.3

0.4

1.2

767.0

768.2

Other Consumer $ 0.3

0.3

112.8

113.1

Loans

Total Retail

$ 0.8

0.3

0.4

1.5

879.8

881.3

Total Past Due Loans

$ 1.6

0.3

3.1

5.0

4,811.7

4,816.7

*As of March 31, 2026. Excludes current non-accrual loans.

10 bps*

as % of Total Loans

$8.0

$7.0

$6.0

$5.0

Millions

$4.0

$3.0

$2.0

$1.0

$0.0

Loan Portfolio Characteristics

Past Due Loans

*As of March 31, 2026

Loan Portfolio Characteristics

FDIC Commercial Real Estate Lending Concentration Guideline for Mercantile Bank

Commercial Real Estate Loans / Total Regulatory Capital

Generally not to exceed 300%

300%

290%

280%

270%

260%

250%

240%

230%

220%

210%

200%

3/31/2025

6/30/2025

9/30/2025

12/31/2025

3/31/2026

Loan Portfolio Characteristics

Non-Owner Occupied Commercial Real Estate Lending*

Current NOO CRE Composition

100% of office NOO CRE is located in Michigan

33% of office is medical

Increase in nonperforming NOO CRE loans related to one commercial loan relationship

$6,000

$5,000

$4,000

$3,000

$2,000

$1,000

Historical NonPerforming NOO CRE

(ending balance, $ in thousands)

Industrial Retail** Office

Hotel

328,000

250,100

249,500

162,500

30%

23%

22%

15%

($ in thousands) Balance % of NOO CRE % of Total Loans

Other

36,900

Total $ 1,101,800 100% 23%

Assisted Living $ 74,800 7% 2%

*As of March 31, 2026

**Retail is defined using S&P GICS classifications for the Retailing Industry, in addition to restaurants and NOO-CRE with direct exposure to multi use retailing businesses.

Company Overview

EMB

(1)

The largest bank founded, headquartered, and serving in Michigan.

OVERVIEW

Founded in 1997 in Grand Rapids, MI.

$6.9 billion in total assets.

Acquisition of Eastern Michigan Financial Corporation closed December 31, 2025

More than 760 employees and over 50 locations.

Offers more than 75 products and services supporting commercial, business, governmental, educational, nonprofit, treasury and personal banking needs.

WE INVEST IN OUR COMMUNITIES BY:

Volunteering more than 24,000 hours supporting more than 900 organizations.

Teaching more than 300 financial wellness classes.

Donating over $1,000,000 to local non-profits and fundraisers.

Employing 40+ interns each year, investing in the next generation.

Excludes one loan production office (66 N. Howard Ave, Croswell).

Company Overview

Strategic Areas of Focus

CLIENT EXPERIENCE

Deploy new client onboarding and servicing technologies

Enhance existing technology solutions

Equip all sales personnel with the training, tools, and resources necessary to serve clients

Enhance understanding of client behaviors and needs

GROWTH

Increase local deposits

Build robust business banking reputation and portfolio

Expand reach of traditional and digital marketing

Grow commercial loan portfolio in prudent fashion

Evaluate complementary M&A targets

Expand presence in Southeast Michigan

PEOPLE AND CULTURE

Foster culture where all employees feel valued and empowered

Build breadth and depth of employee training program

Create an engaging workplace

Enhance inter-departmental communications

Maintain competitive compensation and benefit packages

Amplify the Banks' impact on the communities they serve

EFFICIENCY

Deploy data analytics and robotic process automation

Pursue process efficiency in all functional areas

Explore use cases for artificial intelligence deployment

Deploy new and upgraded software

RISK MANAGEMENT

Maintain and enhance existing credit culture

Continued enhancement of interest rate risk management principles and associated reporting

Maintain effective compliance management practices

Expand enterprise risk management practices, monitoring, and reporting

Company Overview

Product Offering

Highly competitive commercial and retail capabilities.

PEER PRODUCT

MBWM

BAC

JPM

FITB

CMA

Autobooks for Small Business with Electronic Invoicing and Receivables

⚫

Bill Payment and ACH

⚫

Cash Management

⚫

Credit Card Rewards

⚫

Electric Vehicle Car Loan

⚫

Health Savings Account

⚫

In-House Payroll Services and Human Capital Management Solutions

⚫

Integrated Payables

⚫

Integrated Receivables

⚫

Merchant Services

⚫

Personal Finance Management (Within Online and Mobile Banking)

⚫

Remote Deposit Capture

⚫

Disclaimer

Mercantile Bank Corporation published this content on April 21, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on April 21, 2026 at 13:33 UTC.