Lakeland

St. Joseph, MI · Charter 61714

Q4 1998

Board Package

Performance Trends and Peer Comparison

Part 1Performance Trends, own institution only2

Part 2Peer Comparison, not published for this institution and quartern/a

Basis

Quarter: Q4 1998, the quarter ended December 31, 1998, on both parts.

Income statement: year to date as filed, annualized, on both parts.

Balance sheet: as filed at quarter end.

No peer standings are published for this institution and quarter.

Peer groups below the disclosure floor are suppressed.

St. Joseph, MI · Charter 61714

Q4 1998

$18.3MAssets

$10.7MLoans

$16.6MShares

n/aNet Worth

Return on Assets (YTD, annualized)

3.11%-70 bps YoY

Net Interest Margin (YTD, annualized)

n/a

Efficiency Ratio (YTD, annualized)

n/a

Net Worth / Assets

n/a

Year to date, annualized, through each quarter.

Metric	Q2 1995	Q4 1995	Q2 1996	Q4 1996	Q2 1997	Q4 1997	Q2 1998	Q4 1998	YoY Δ	Trend
Earnings
Return on Assets	3.56%	3.76%	3.69%	3.81%	3.16%	3.36%	3.31%	3.11%	-70 bps
Return on Equity	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Net Interest Margin	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Efficiency Ratio	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Growth
Asset Growth (YoY)	n/a	n/a	2.87%	-1.76%	-6.57%	-6.49%	-3.85%	-0.58%	+118 bps
Loan Growth (YoY)	n/a	n/a	9.38%	-1.01%	-3.44%	-5.36%	-9.18%	-13.18%	-1,217 bps
Share Growth (YoY)	n/a	n/a	0.72%	-4.11%	-8.86%	-7.86%	-4.86%	-0.93%	+318 bps
Asset Quality
Delinquent Loans / Loans	1.42%	1.22%	0.73%	1.13%	0.90%	0.94%	0.79%	0.62%	-51 bps
Net Charge-Offs / Loans	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Allowance / Loans	2.10%	2.05%	1.63%	1.42%	1.30%	1.29%	1.30%	1.31%	-11 bps
Capital
Risk-Based Capital	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Net Worth / Assets	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a	n/a
Liquidity & Funding
Loans / Shares	68.49%	73.28%	70.43%	73.72%	72.56%	75.27%	67.23%	64.60%	-912 bps
Liquid Assets / Assets	12.73%	18.42%	21.55%	23.18%	27.59%	24.43%	21.97%	25.67%	+249 bps