Bremer Bank, National Association

Willmar, MN · Cert 12198

FDIC · 5 branches

Q3 2014

$762.3MAssets

$616.3MLoans

$458.0MDeposits

$74.1MEquity

Loan mix

Deposit mix

NIM

Market Position · Mankato-North Mankato, MN · 2014 SOD (annual) · 1.5% share · #18 of 22 inst. · $0.0B of $2.0B

21.4% Kandiyohi

19.1% Lyon

9.6% Redwood

2.0% Blue Earth

Earnings: ROA of 1.25%, up 4 bps year over year; NIM at 3.82%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net charge-offs at 0.16%.
Funding: loans stand at 134.55% of deposits as of Q3 2014.

Return on Assets (quarter, annualized)

1.25%+4 bps YoY

Net Interest Margin (quarter, annualized)

3.82%-12 bps YoY

Efficiency Ratio (quarter, annualized)

54.99%-587 bps YoY

Tier 1 Leverage Ratio

n/a

Discrete quarter, annualized.

Metric	Q3 2013	Q4 2013	Q1 2014	Q2 2014	Q3 2014	YoY Δ	Trend
Earnings
Return on Assets	1.22%	0.96%	0.96%	1.12%	1.25%	+4 bps
Return on Equity	14.05%	10.65%	10.48%	12.20%	13.20%	-85 bps
Net Interest Margin	3.94%	3.95%	3.71%	3.82%	3.82%	-12 bps
Efficiency Ratio	60.86%	63.55%	61.98%	56.68%	54.99%	-587 bps
Non-Interest Burden	2.00%	2.19%	1.99%	1.78%	1.63%	-37 bps
Growth
Asset Growth (YoY)	16.32%	11.77%	18.26%	14.50%	9.00%	-732 bps
Loan Growth (YoY)	17.01%	17.78%	12.96%	13.35%	10.47%	-654 bps
Deposit Growth (YoY)	-15.00%	-7.77%	1.37%	2.42%	2.69%	+1,769 bps
Asset Quality
Nonperforming Loans / Loans	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
Net Charge-Offs / Loans	0.09%	0.23%	0.37%	0.04%	0.16%	+7 bps
Allowance / Loans	1.25%	1.26%	1.25%	1.26%	1.33%	+8 bps
Allowance Coverage of NPLs	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Capital
Tier 1 Leverage Ratio	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Total Risk-Based Capital	11.34%	12.11%	12.08%	11.88%	12.24%	+90 bps
Equity / Assets	8.68%	9.25%	9.07%	9.26%	9.73%	+105 bps
Liquidity & Funding
Loans / Deposits	125.07%	120.23%	121.68%	135.32%	134.55%	+947 bps
Liquid Assets / Assets	4.99%	4.80%	4.48%	4.15%	4.10%	-90 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a