Bremer Bank, National Association

Grand Forks, ND · Cert 2055

FDIC · 9 branches

Q3 2014

$1.0BAssets

$854.2MLoans

$678.9MDeposits

$106.8MEquity

Loan mix

Deposit mix

NIM

Market Position · Grand Forks, ND-MN · 2014 SOD (annual) · 20.9% share · #1 of 21 inst. · $0.5B of $2.5B

19.8% Grand Forks

23.8% Polk

22.0% Walsh

27.1% Marshall

Earnings: ROA of 1.30%, down 5 bps year over year; NIM at 3.73%.
Asset quality: problem loans at 0.00% of loans (0 bps YoY), with net recoveries of 0.02%.
Funding: loans stand at 125.83% of deposits as of Q3 2014.

Return on Assets (quarter, annualized)

1.30%-5 bps YoY

Net Interest Margin (quarter, annualized)

3.73%-10 bps YoY

Efficiency Ratio (quarter, annualized)

51.66%-334 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	1.35%	1.22%	0.92%	1.21%	1.30%	-5 bps
Return on Equity	13.51%	12.30%	8.98%	11.74%	12.47%	-104 bps
Net Interest Margin	3.84%	3.76%	3.66%	3.64%	3.73%	-10 bps
Efficiency Ratio	54.99%	58.44%	57.27%	53.95%	51.66%	-334 bps
Non-Interest Burden	1.84%	1.98%	1.87%	1.70%	1.65%	-19 bps
Growth
Asset Growth (YoY)	6.10%	-0.32%	4.46%	12.89%	6.20%	+11 bps
Loan Growth (YoY)	7.35%	3.43%	7.31%	8.11%	8.35%	+101 bps
Deposit Growth (YoY)	0.08%	-6.55%	-5.09%	-7.40%	-9.12%	-920 bps
Asset Quality
Nonperforming Loans / Loans	0.00%	0.00%	0.00%	0.00%	0.00%	0 bps
Net Charge-Offs / Loans	0.06%	-0.01%	-0.10%	0.00%	-0.02%	-9 bps
Allowance / Loans	1.05%	1.02%	1.19%	1.18%	1.20%	+15 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	11.91%	12.01%	12.48%	12.28%	12.62%	+70 bps
Equity / Assets	9.90%	9.97%	10.43%	10.17%	10.61%	+72 bps
Liquidity & Funding
Loans / Deposits	105.53%	105.57%	108.48%	121.35%	125.83%	+2,030 bps
Liquid Assets / Assets	3.46%	3.44%	3.47%	3.13%	3.14%	-32 bps
CRE / Total Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a