8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 24, 2017

Chemical Financial Corporation

(Exact Name of Registrant as

Specified in its Charter)

Michigan (State or Other Jurisdiction of Incorporation) 000-08185 (Commission File Number) 38-2022454 (IRS Employer Identification No.)

235 E. Main Street Midland, Michigan (Address of Principal Executive Offices) 48640 (Zip Code)

Registrant's telephone number, including area code:  (989) 839-5350

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company    o

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Item 2.02 Results of Operations and Financial Condition.

On October 24, 2017, Chemical Financial Corporation ("Chemical") issued the press release attached as Exhibit 99.1 to this Form 8-K, which is here incorporated by reference. A copy of the presentation slides which will be discussed in Chemical's webcast earnings call are also attached as Exhibit 99.2 to this Form 8-K. This Report and the Exhibits are furnished to, and not filed with, the Commission.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits:

99.1 Press Release dated October 24, 2017. This Exhibit is furnished to, and not filed with, the Commission.

99.2 Earnings Presentation Slides. This Exhibit is furnished to, and not filed with, the Commission.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Dated:	October 24, 2017	CHEMICAL FINANCIAL CORPORATION (Registrant)
		/s/ Dennis L. Klaeser
		Dennis L. Klaeser
		Executive Vice President and Chief Financial Officer

EXHIBIT INDEX

Exhibit Number Document

99.1 Press Release dated October 24, 2017. This Exhibit is furnished to, and not filed with, the Commission.

99.2 Earnings Presentation Slides. This Exhibit is furnished to, and not filed with, the Commission.

EX-99.1

Exhibit 99.1

For further information:

David T. Provost, CEO

Dennis L. Klaeser, CFO

989-839-5350

Chemical Financial Corporation Reports 2017Third Quarter Operating Results

MIDLAND, MI, October 24, 2017 -- Chemical Financial Corporation ("Corporation" or "Chemical") (NASDAQ:CHFC) today announced 2017third quarter net income of $40.5 million, or $0.56 per diluted share, compared to 2017second quarter net income of $52.0 million, or $0.73 per diluted share and 2016third quarter net income of $11.5 million, or $0.23 per diluted share. Excluding merger and restructuring expenses and the change in fair value in loan servicing rights ("significant items"), net income in the third quarter of 2017 was $56.9 million, or $0.79 per diluted share, compared to $53.5 million, or $0.75 per diluted share, in the second quarter of 2017 and $37.4 million, or $0.75 per diluted share, in the third quarter of 2016.⁽¹⁾

During the third quarter of 2017, significant items included restructuring expenses of $18.8 million, merger expenses of $2.4 million and a $4.0 million detriment to earnings due to the change in fair value in loan servicing rights, compared to merger expenses of $0.5 million and a $1.8 million detriment to earnings due to the change in fair value in loan servicing rights in the second quarter of 2017. The restructuring expenses incurred during the third quarter of 2017 were a result of the Corporation's previously announced restructuring efforts, consisting primarily of severance and retirement related expenses. The third quarter of 2016 included $37.5 million of merger expenses and a $1.2 million detriment to earnings due to the change in fair value in loan servicing rights.

"We are pleased with our core underlying trends this quarter, including increased net interest income, improved operating efficiency and a stable net interest margin," noted David T. Provost, Chief Executive Officer of Chemical Financial Corporation and Thomas C. Shafer, Vice Chairman of the Corporation and Chief Executive Officer of Chemical Bank. "With the enhancements we have made in the third quarter of 2017 in association with our restructuring efforts, we believe we are on target to achieve the long-term growth prospects established as part of our most recent merger performance targets."

The Corporation's return on average assets was 0.86% during the third quarter of 2017, compared to 1.14% during the second quarter of 2017 and 0.37% in the third quarter of 2016. The Corporation's return on average shareholders' equity was 6.1% in the third quarter of 2017, compared to 8.0% during the second quarter of 2017 and 2.9% in the third quarter of 2016. Excluding significant items, the Corporation's return on average assets was 1.21% during the third quarter of 2017, compared to 1.17% during the second quarter of 2017 and 1.22% in the third quarter of 2016 and, excluding significant items, the Corporation's return on average shareholders' equity was 8.6% in the third quarter of 2017, compared to 8.2% during the second quarter of 2017 and 9.6% in the third quarter of 2016. The Corporation's return on average tangible shareholders' equity was 10.9% in the third quarter of 2017, compared to 14.3% during the second quarter of 2017 and 4.7% in the third quarter of 2016. Excluding significant items, the Corporation's return on average tangible equity was 15.3% in the third quarter of 2017, compared to 14.7% during the second quarter of 2017 and 15.4% in the third quarter of 2016.⁽²⁾ 

Net interest income was $143.6 million in the third quarter of 2017, $5.7 million, or 4.1%, higher than the second quarter of 2017 and $46.8 million, or 48.4%, higher than the third quarter of 2016. The higher net interest income in the third quarter of 2017 compared to the second quarter of 2017 was driven by the positive impact of organic loan growth, an increase in the investment securities portfolio, improvement in yields on loans, and one additional day in the quarter. These benefits to net interest income were partially offset by the interest expense impact of increases in average deposits and short-term borrowings. The increase in net interest income in the third quarter of 2017 over the third quarter of 2016 was primarily attributable to organic loan growth and loans acquired in the merger with Talmer Bancorp, Inc. ("Talmer"). The Corporation experienced net organic loan growth of $166.0 million during the third quarter of 2017 and $1.12 billion during the twelve months ended September 30, 2017. The merger with Talmer added $4.88 billion of loans on August 31, 2016.

The net interest margin was 3.40% in the third quarter of 2017, compared to 3.41% in the second quarter of 2017 and 3.49% in the third quarter of 2016. The net interest margin (on a tax-equivalent basis) was 3.48% in both the third quarter of 2017 and second quarter of 2017, compared to 3.58% in the third quarter of 2016.⁽³⁾ The net interest

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margin (on a tax-equivalent basis) in the third quarter of 2017, compared to the second quarter of 2017, was compressed due to an increase in the investment securities portfolio funded by an increase in average borrowings and time deposits. This compression was offset by an increase of 9 basis points in yield on total loans in the third quarter of 2017 to 4.31%, compared to the second quarter of 2017, primarily due to higher yields on originated loans and the benefit from interest rate adjustments on variable rate loans during the third quarter of 2017.

The provision for loan losses was $5.5 million in the third quarter of 2017, compared to $6.2 million in the second quarter of 2017 and $4.1 million in the third quarter of 2016. The decrease in the provision for loan losses in the third quarter of 2017, compared to the second quarter of 2017, was primarily the result of a lower amount of net organic loan growth in addition to improvements in collateral position of loans that are individually evaluated for impairment, partially offset by $0.6 million of impairment recorded during the third quarter of 2017 as a result of the quarterly re-estimation of cash flows of the acquired loan portfolio. The increase in provision for loan losses in the third quarter of 2017, compared to the third quarter of 2016, was primarily the result of an increase in originated loan growth. Originated loan growth was $496.5 million in the third quarter of 2017, compared to $699.9 million in the second quarter of 2017 and $377.0 million in the third quarter of 2016. The growth in the originated loan portfolio was partially offset by run-off in the acquired loan portfolio of $330.5 million in the third quarter of 2017, compared to $305.9 million in the second quarter of 2017 and $190.9 million in the third quarter of 2016. All acquired loans were recorded at their estimated fair value at each respective acquisition date without a carryover of the related allowance and, as of September 30, 2017, the allowance recorded for this population of loans was $0.6 million, reflecting impairment recorded during the third quarter of 2017.

Net loan charge-offs were $3.5 million, or 0.10% of average loans, in the third quarter of 2017, compared to $1.2 million, or 0.04% of average loans, in the second quarter of 2017 and $1.8 million, or 0.08% of average loans, in the third quarter of 2016. The increase in charge-offs in the third quarter of 2017 was primarily due to one commercial loan relationship.

The Corporation's nonperforming loans totaled $54.3 million at September 30, 2017, compared to $50.9 million at June 30, 2017 and $41.3 million at September 30, 2016. Nonperforming loans comprised 0.39% of total loans at September 30, 2017, compared to 0.37% at June 30, 2017 and 0.32% at September 30, 2016. The increase in the percentage of nonperforming loans to total loans at September 30, 2017, compared to June 30, 2017, was primarily due to an increase in commercial real estate nonaccrual loans.

At September 30, 2017, the allowance for loan losses was $85.8 million, including $85.2 million for the originated loan portfolio and $0.6 million for the acquired loan portfolio. The allowance for loan losses for the originated loan portfolio was $85.2 million, or 0.93% of originated loans at September 30, 2017, compared to $83.8 million, or 0.97% of originated loans, at June 30, 2017 and $73.8 million, or 1.09% of originated loans, at September 30, 2016. The reduction in the allowance for loan losses as a percentage of originated loans primarily reflects improvement in collateral position of loans individually evaluated for impairment. The allowance for loan losses of the originated loan portfolio as a percentage of nonperforming loans was 156.9% at September 30, 2017, compared to 164.7% at June 30, 2017 and 178.6% at September 30, 2016. The allowance for loan losses for the acquired loan portfolio of $0.6 million was established during the third quarter of 2017 due to impairment identified in the quarterly re-estimation of cash flows.

Noninterest income was $32.1 million in the third quarter of 2017, compared to $41.6 million in the second quarter of 2017 and $27.8 million in the third quarter of 2016. Noninterest income in the third quarter of 2017decreased compared to the second quarter of 2017, primarily due to decreases in net gain on sale of loans and other mortgage banking revenue of $4.6 million and other charges and fees for customer services of $3.1 million. The decrease in net gain on sale of loans and other mortgage banking revenue, included a $4.0 milliondetriment to earnings due to a change in fair value in loan servicing rights in the third quarter of 2017, compared to a $1.8 million detriment in the second quarter of 2017. The decrease in other charges and fees for customers services in the third quarter of 2017, compared to the second quarter of 2017, was primarily due to a reduction in interchange fees resulting from limitations set by the Durbin amendment, which became effective for the Corporation July 1, 2017.

Operating expenses were $119.5 million in the third quarter of 2017, compared to $98.2 million in the second quarter of 2017 and $106.1 million in the third quarter of 2016. Operating expenses included merger and restructuring expenses of $21.2 million in the third quarter of 2017, $0.5 million in the second quarter of 2017 and $37.5 million

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in the third quarter of 2016. The increase in merger and restructuring expenses in the third quarter of 2017, compared to the second quarter of 2017, was primarily due to the Corporation's previously announced restructuring efforts. Third quarter of 2017 other operating expenses included $3.1 million of impairment related to a federal housing tax credit placed into service in the third quarter of 2017. Excluding merger and restructuring expenses and the impairment of federal housing tax credit, core operating expenses were $95.2 million in the third quarter of 2017, a decrease of $2.5 million compared to the second quarter of 2017.⁽⁴⁾ We expect a decline in operating expenses from the previously announced restructuring efforts to be evident in the fourth quarter of 2017.

The Corporation's effective tax rate was 20.2% in the third quarter of 2017, compared to 30.7% in the second quarter of 2017 and 19.9% in the third quarter of 2016. The tax rate for the third quarter of 2017 benefited from a federal housing tax credit placed into service during the quarter. The income tax benefit from the tax credit placed into service was partially offset by the impairment recorded on the same tax credit included within other operating expenses. The tax rate for the third quarter of 2016 benefited from stock option exercises that occurred in the third quarter of 2016.

The efficiency ratio is a measure of operating expenses as a percentage of net interest income and noninterest income. The Corporation's efficiency ratio was 68.0% in the third quarter of 2017, compared to 54.7% in the second quarter of 2017 and 85.2% in the third quarter of 2016. The Corporation's adjusted efficiency ratio, which excludes significant items, amortization of intangibles, impairment of income tax credits, the net interest income FTE adjustment and gains from sale of investment securities and closed branch locations, was 51.2% in the third quarter of 2017, compared to 52.2% in the second quarter of 2017 and 52.7% in the third quarter of 2016.⁽⁵⁾  

Total assets were $19.35 billion at September 30, 2017, compared to $18.78 billion at June 30, 2017 and $17.38 billion at September 30, 2016. The increase in total assets during the three months ended September 30, 2017 was primarily attributable to an increase in investment securities and loan growth that was funded primarily by an increase in deposits. During the quarter, the investment securities portfolio grew by $273.8 million to $2.69 billion at September 30, 2017. The increase in total assets during the twelve months ended September 30, 2017 was primarily attributable to organic loan growth and an increase in investment securities.

Total loans were $13.83 billion at September 30, 2017, an increase of $166.0 million, or 1.2%, from total loans of $13.67 billion at June 30, 2017 and an increase of $1.12 billion, or 8.8%, from total loans of $12.72 billion at September 30, 2016. The Corporation experienced organic loan growth of $166.0 million during the third quarter of 2017 and $1.12 billion during the twelve months ended September 30, 2017.

Total deposits were $13.81 billion at September 30, 2017, compared to $13.20 billion at June 30, 2017 and $13.27 billion at September 30, 2016. The increase in deposits during the three months ended September 30, 2017 was primarily due to an increase in interest-bearing demand accounts and other time deposits. The Corporation experienced organic growth in customer deposits of $591.8 million during the third quarter of 2017.

Securities sold under agreements to repurchase with customers were $414.6 million at September 30, 2017, compared to $310.0 million at June 30, 2017 and $326.8 million at September 30, 2016. Short-term borrowings were $1.90 billion at September 30, 2017, compared to $2.05 billion at June 30, 2017 and $400.0 million at September 30, 2016 and consisted of short-term FHLB advances utilized by the Corporation to fund short-term liquidity needs. Long-term borrowings were $397.8 million at September 30, 2017, compared to $435.9 million at June 30, 2017 and $676.6 million at September 30, 2016.

The Corporation's shareholders' equity to total assets ratio was 13.8% at September 30, 2017, compared to 14.1% at June 30, 2017 and 14.7% at September 30, 2016. The Corporation's tangible equity to tangible assets ratio and total risk-based capital ratio were 8.3% and 11.2% (estimated), respectively, at September 30, 2017 compared to 8.4% and 11.1%, respectively, at June 30, 2017 and 8.7% and 11.1%, respectively, at September 30, 2016. ⁽⁶⁾ The Corporation's book value was $37.57 per share at September 30, 2017, compared to $37.11 per share at June 30, 2017 and $36.37 per share at September 30, 2016. The Corporation's tangible book value was $21.36 per share at September 30, 2017, compared to $20.89 per share at June 30, 2017 and $19.99 per share at September 30, 2016.⁽⁷⁾ 

(1) Net income, excluding significant items, and diluted earnings per share, excluding significant items, are non-GAAP financial measures. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables

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entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measures. For the fourth quarter of 2016, "significant items" also includes gain on sales of branch offices.

(2) Return on average assets, excluding significant items, return on average shareholders’ equity, excluding significant items, and return on average tangible shareholders' equity, excluding significant items, are non-GAAP financial measures. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measures.

(3) Net interest margin, on a tax equivalent basis, is a non-GAAP financial measure. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Average Balances, Fully Tax Equivalent (FTE) Interest and Effective Yields and Rates" for a reconciliation of net interest income used to compute net interest margin on a tax equivalent basis to the most directly comparable GAAP financial measure.

(4) Core operating expenses, excluding merger and restructuring expenses and impairment of federal housing tax credits is a non-GAAP financial measure. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measures.

(5) Adjusted efficiency ratio is a non-GAAP financial measure, which excludes significant items, amortization of intangibles, impairment of income tax credits, net interest income FTE adjustment, gains from sale of investment securities and closed branch locations. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measure.

(6) Tangible equity to tangible assets ratio is a non-GAAP financial measure. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measure.

(7) Tangible book value per share is a non-GAAP financial measure. Please refer to the section entitled "Non-GAAP Financial Measures" in this press release and to the financial tables entitled "Reconciliation of Non-GAAP Financial Measures" for a reconciliation to the most directly comparable GAAP financial measure.

Conference Call Details

Chemical Financial Corporation will host a conference call to discuss its third quarter2017 operating results on Wednesday, October 25, 2017, at 10:30 a.m. ET. Anyone interested may access the conference call on a live basis by dialing toll-free at 1-844-616-0064 and entering 658387 for the conference ID. The call will also be broadcast live over the Internet hosted at Chemical Financial Corporation's website at www.chemicalbank.com under the "Investor Info" section. A copy of the slide-show presentation and an audio replay of the call will remain available on Chemical Financial Corporation's website for at least 14 days.

About Chemical Financial Corporation

Chemical Financial Corporation is the largest banking company headquartered and operating branch offices in Michigan. The Corporation operates through its subsidiary bank, Chemical Bank, with 236 banking offices located primarily in Michigan, northeast Ohio and northern Indiana. At September 30, 2017, the Corporation had total assets of $19.35 billion. Chemical Financial Corporation's common stock trades on The NASDAQ Stock Market under the symbol CHFC and is one of the issuers comprising The NASDAQ Global Select Market and the S&P MidCap 400 Index. More information about the Corporation is available by visiting the investor relations section of its website at www.chemicalbank.com.

Non-GAAP Financial Measures

This press release contains references to financial measures which are not defined in generally accepted accounting principles ("GAAP"). Such non-GAAP financial measures include the Corporation's tangible equity to tangible assets ratio, tangible book value per share, presentation of net interest income and net interest margin on a fully taxable equivalent (FTE) basis, operating expenses-core (which excludes merger and restructuring expenses and impairment of income tax credits), operating expenses-efficiency ratio (which excludes merger and restructuring expenses, impairment of income tax credits and amortization of intangibles), the adjusted efficiency ratio (which excludes significant items, impairment of income tax credits, amortization of intangibles, net interest income FTE adjustments, gains from sale of investment securities and closed branch locations) and other information presented

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excluding significant items, including net income, diluted earnings per share, return on average assets and return on average shareholders' equity.

These non-GAAP financial measures have been included as the Corporation believes they are helpful for investors to analyze and evaluate the Corporation's financial condition. However, these non-GAAP financial measures have inherent limitations and should not be considered in isolation or as a substitute for GAAP measures. In addition, because non-GAAP measures are not standardized, it may not be possible to compare the non-GAAP historical measures in this press release with other companies non-GAAP financial measures. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measure may be found in the financial tables included with this press release.

Forward-Looking Statements

This press release contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about the financial services industry, the economy and the Corporation. Words and phrases such as "anticipates," "believes," "continue," "estimates," "expects," "forecasts," "future," "intends," "is likely," "judgment," "look ahead," "look forward," "on schedule," "opinion," "opportunity," "plans," "potential," "predicts," "probable," "projects," "should," "strategic," "trend," "will," and variations of such words and phrases or similar expressions are intended to identify such forward-looking statements. These statements include, among others, statements related to our belief that we are on target to achieve the long-term growth prospects established as part of our most recent merger performance targets and our expectations regarding operating expenses related to our restructuring efforts. . All statements referencing future time periods are forward-looking.

Management's determination of the provision and allowance for loan losses; the carrying value of acquired loans, goodwill and mortgage servicing rights; the fair value of investment securities (including whether any impairment on any investment security is temporary or other-than-temporary and the amount of any impairment); and management's assumptions concerning pension and other postretirement benefit plans involve judgments that are inherently forward-looking. There can be no assurance that future loan losses will be limited to the amounts estimated. All of the information concerning interest rate sensitivity is forward-looking. The future effect of changes in the financial and credit markets and the national and regional economies on the banking industry, generally, and on the Corporation, specifically, are also inherently uncertain.

Forward-looking statements are based upon current beliefs and expectations and involve substantial risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Accordingly, such statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions ("risk factors") that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed or forecasted in such forward-looking statements. The Corporation undertakes no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events or otherwise. Risk factors include, without limitation, a downturn in the economy, particularly in our markets, volatile credit and financial markets both domestic and foreign, potential deterioration in real estate value, regulatory changes, excessive loan losses, the Corporation's inability to attract and retain new commercial lenders and other bankers as well as key operations staff in light of competition for experienced employees in the banking industry, the Corporation's inability to grow its deposits while reducing the number of physical branches that is operates, and negative reactions to the restructuring efforts by Chemical Bank's customers, employees and other counterparties.

In addition, risk factors include, but are not limited to, the risk factors described in Item 1A of the Corporation's Annual Report on Form 10-K for the year ended December 31, 2016. These and other factors are representative of the risk factors that may emerge and could cause a difference between an ultimate actual outcome and a preceding forward-looking statement.

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Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Consolidated Statements of Financial Position (Unaudited)

Chemical Financial Corporation

(In thousands, except per share data)

	September 30, 2017			June 30, 2017			December 31, 2016			September 30, 2016
Assets
Cash and cash equivalents:
Cash and cash due from banks	$	223,498		$	230,219		$	237,758		$	286,351
Interest-bearing deposits with the Federal Reserve Bank and other banks and federal funds sold	485,713			389,022			236,644			270,216
Total cash and cash equivalents	709,211			619,241			474,402			556,567
Investment securities:
Available-for-sale	2,029,672			1,767,478			1,234,964			1,303,381
Held-to-maturity	657,176			645,605			623,427			563,721
Total investment securities	2,686,848			2,413,083			1,858,391			1,867,102
Loans held-for-sale	87,198			65,371			81,830			276,061
Loans:
Total loans	13,833,368			13,667,372			12,990,779			12,715,789
Allowance for loan losses	(85,760		)	(83,797		)	(78,268		)	(73,775		)
Net loans	13,747,608			13,583,575			12,912,511			12,642,014
Premises and equipment	141,550			146,460			145,012			144,165
Loan servicing rights	62,195			64,522			58,315			51,393
Goodwill	1,134,568			1,133,534			1,133,534			1,137,166
Other intangible assets	35,797			37,322			40,211			35,700
Interest receivable and other assets	749,333			718,297			650,973			673,469
Total Assets	$	19,354,308		$	18,781,405		$	17,355,179		$	17,383,637
Liabilities
Deposits:
Noninterest-bearing	$	3,688,848		$	3,626,592		$	3,341,520		$	3,264,934
Interest-bearing	10,116,397			9,577,775			9,531,602			10,007,928
Total deposits	13,805,245			13,204,367			12,873,122			13,272,862
Interest payable and other liabilities	163,532			141,702			134,637			143,708
Securities sold under agreements to repurchase with customers	414,597			310,042			343,047			326,789
Short-term borrowings	1,900,000			2,050,000			825,000			400,000
Long-term borrowings	397,845			435,852			597,847			676,612
Total liabilities	16,681,219			16,141,963			14,773,653			14,819,971
Shareholders' Equity
Preferred stock, no par value per share	—			—			—			—
Common stock, $1 par value per share	71,152			71,131			70,599			70,497
Additional paid-in capital	2,201,334			2,197,501			2,210,762			2,206,182
Retained earnings	425,433			404,939			340,201			312,129
Accumulated other comprehensive loss	(24,830		)	(34,129		)	(40,036		)	(25,142		)
Total shareholders' equity	2,673,089			2,639,442			2,581,526			2,563,666
Total Liabilities and Shareholders' Equity	$	19,354,308		$	18,781,405		$	17,355,179		$	17,383,637

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Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Consolidated Statements of Income (Unaudited)

Chemical Financial Corporation

(In thousands, except per share data)

	Three Months Ended									Nine Months Ended
	September 30, 2017			June 30, 2017			September 30, 2016			September 30, 2017			September 30, 2016
Interest Income
Interest and fees on loans	$	148,771		$	141,314		$	97,103		$	422,570		$	249,082
Interest on investment securities:
Taxable	9,326			7,125			2,575			21,207			6,302
Tax-exempt	4,577			4,426			3,072			13,238			8,377
Dividends on nonmarketable equity securities	1,039			1,246			358			2,906			1,391
Interest on deposits with the Federal Reserve Bank and other banks and federal funds sold	1,231			1,022			454			3,052			811
Total interest income	164,944			155,133			103,562			462,973			265,963
Interest Expense
Interest on deposits	12,926			10,582			5,836			32,424			14,155
Interest on short-term borrowings	6,591			4,659			459			12,908			785
Interest on long-term borrowings	1,799			1,944			458			5,968			2,389
Total interest expense	21,316			17,185			6,753			51,300			17,329
Net Interest Income	143,628			137,948			96,809			411,673			248,634
Provision for loan losses	5,499			6,229			4,103			15,778			8,603
Net interest income after provision for loan losses	138,129			131,719			92,706			395,895			240,031
Noninterest Income
Service charges and fees on deposit accounts	9,147			8,777			7,665			25,928			19,722
Wealth management revenue	6,188			6,958			5,584			18,973			16,567
Other charges and fees for customer services	6,624			9,734			7,410			25,249			20,265
Net gain on sale of loans and other mortgage banking revenue	5,241			9,879			4,439			24,280			7,439
Gain on sale of investment securities	1			77			16			168			53
Other	4,921			6,143			2,656			17,102			4,040
Total noninterest income	32,122			41,568			27,770			111,700			68,086
Operating Expenses
Salaries, wages and employee benefits	52,621			52,601			40,565			165,470			107,582
Occupancy	6,871			8,745			5,462			23,008			15,881
Equipment and software	7,582			8,149			6,420			24,248			15,699
Outside processing and service fees	9,626			8,924			5,365			26,061			13,909
Merger expenses	2,379			465			37,470			7,011			43,118
Restructuring expenses	18,824			—			—			18,824			—
Other	21,636			19,353			10,862			57,350			27,927
Total operating expenses	119,539			98,237			106,144			321,972			224,116
Income before income taxes	50,712			75,050			14,332			185,623			84,001
Income tax expense	10,253			23,036			2,848			45,546			23,137
Net Income	$	40,459		$	52,014		$	11,484		$	140,077		$	60,864
Earnings Per Common Share:
Weighted average common shares outstanding-basic	70,911			70,819			49,107			70,787			41,881
Weighted average common shares outstanding-diluted	71,505			71,443			49,631			71,454			42,321
Basic earnings per share	$	0.57		$	0.73		$	0.23		$	1.98		$	1.45
Diluted earnings per share	0.56			0.73			0.23			1.95			1.42
Cash Dividends Declared Per Common Share	0.28			0.27			0.27			0.82			0.79
Key Ratios (annualized where applicable):
Return on average assets	0.86		%	1.14		%	0.37		%	1.03		%	0.79		%
Return on average shareholders' equity	6.1		%	8.0		%	2.9		%	7.2		%	6.7		%
Net interest margin (tax-equivalent basis) (non-GAAP)	3.48		%	3.48		%	3.58		%	3.48		%	3.62		%
Efficiency ratio - GAAP	68.0		%	54.7		%	85.2		%	61.5		%	70.8		%
Efficiency ratio - adjusted (non-GAAP)	51.2		%	52.2		%	52.7		%	53.5		%	54.7		%

7

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Selected Quarterly Information (Unaudited)

Chemical Financial Corporation

(Dollars in thousands, except per share data)

	3rd Quarter 2017			2nd Quarter 2017			1st Quarter 2017			4th Quarter 2016			3rd Quarter 2016			2nd Quarter 2016			1st Quarter 2016
Summary of Operations
Interest income	$	164,944		$	155,133		$	142,896		$	144,416		$	103,562		$	82,937		$	79,464
Interest expense	21,316			17,185			12,799			11,969			6,753			5,442			5,134
Net interest income	143,628			137,948			130,097			132,447			96,809			77,495			74,330
Provision for loan losses	5,499			6,229			4,050			6,272			4,103			3,000			1,500
Net interest income after provision for loan losses	138,129			131,719			126,047			126,175			92,706			74,495			72,830
Noninterest income	32,122			41,568			38,010			54,264			27,770			20,897			19,419
Operating expenses, excluding merger and restructuring expenses and impairment of income tax credits (non-GAAP)	95,241			97,772			100,029			94,443			68,674			56,031			56,293
Merger and restructuring expenses	21,203			465			4,167			18,016			37,470			3,054			2,594
Impairment of income tax credits	3,095			—			—			—			—			—			—
Income before income taxes	50,712			75,050			59,861			67,980			14,332			36,307			33,362
Income tax expense	10,253			23,036			12,257			18,969			2,848			10,532			9,757
Net income	$	40,459		$	52,014		$	47,604		$	49,011		$	11,484		$	25,775		$	23,605
Significant items, net of tax	16,409			1,474			3,046			2,781			25,921			1,985			1,686
Net income, excluding significant items	$	56,868		$	53,488		$	50,650		$	51,792		$	37,405		$	27,760		$	25,291
Per Common Share Data
Net income:
Basic	$	0.57		$	0.73		$	0.67		$	0.67		$	0.23		$	0.67		$	0.61
Diluted	0.56			0.73			0.67			0.66			0.23			0.67			0.60
Diluted, excluding significant items (non-GAAP)	0.79			0.75			0.71			0.70			0.75			0.72			0.65
Cash dividends declared	0.28			0.27			0.27			0.27			0.27			0.26			0.26
Book value - period-end	37.57			37.11			36.56			36.57			36.37			27.45			26.99
Tangible book value - period-end	21.36			20.89			20.32			20.20			19.99			19.68			19.20
Market value - period-end	52.26			48.41			51.15			54.17			44.13			37.29			35.69
Key Ratios (annualized where applicable)
Net interest margin (taxable equivalent basis) (non-GAAP)	3.48		%	3.48		%	3.49		%	3.56		%	3.58		%	3.70		%	3.60		%
Efficiency ratio - adjusted (non-GAAP)	51.2		%	52.2		%	57.4		%	53.7		%	52.7		%	54.6		%	57.6		%
Return on average assets	0.86		%	1.14		%	1.09		%	1.09		%	0.37		%	1.10		%	1.02		%
Return on average shareholders' equity	6.1		%	8.0		%	7.4		%	7.4		%	2.9		%	10.0		%	9.3		%
Average shareholders' equity as a percent of average assets	14.0		%	14.3		%	14.8		%	14.9		%	12.7		%	11.1		%	11.0		%
Capital ratios (period end):
Tangible shareholders' equity as a percent of tangible assets	8.3		%	8.4		%	8.8		%	8.8		%	8.7		%	8.2		%	8.2		%
Total risk-based capital ratio (1)	11.2		%	11.1		%	11.4		%	11.5		%	11.1		%	11.4		%	11.5		%

(1) Estimated at September 30, 2017.

8

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Average Balances, Fully Tax Equivalent (FTE) Interest and Effective Yields and Rates⁽¹⁾ (Unaudited)

Chemical Financial Corporation

(Dollars in thousands)

	Three Months Ended
	September 30, 2017								June 30, 2017								September 30, 2016
	Average Balance			Interest (FTE)			Effective Yield/Rate (1)		Average Balance			Interest (FTE)			Effective Yield/Rate (1)		Average Balance			Interest (FTE)			Effective Yield/Rate (1)
Assets
Interest-earning assets:
Loans (1)(2)	$	13,795,750		$	149,595		4.31	%	$	13,513,927		$	142,128		4.22	%	$	9,470,650		$	97,880		4.12	%
Taxable investment securities	1,629,344			9,326			2.29		1,364,358			7,125			2.09		687,259			2,575			1.50
Tax-exempt investment securities(1)	896,854			7,013			3.13		882,445			6,781			3.07		592,747			4,721			3.19
Other interest-earning assets	180,188			1,039			2.29		166,244			1,246			3.01		57,756			358			2.47
Interest-bearing deposits with the FRB and other banks and federal funds sold	313,104			1,231			1.56		302,022			1,022			1.36		249,731			454			0.72
Total interest-earning assets	16,815,240			168,204			3.98		16,228,996			158,302			3.91		11,058,143			105,988			3.82
Less: allowance for loan losses	(84,640		)						(80,690		)						(72,242		)
Other assets:
Cash and cash due from banks	250,743								222,954								194,171
Premises and equipment	146,266								145,320								116,944
Interest receivable and other assets	1,730,539								1,748,119								953,714
Total assets	$	18,858,148							$	18,264,699							$	12,250,730
Liabilities and shareholders' equity
Interest-bearing liabilities:
Interest-bearing demand deposits	$	2,725,807		$	1,321		0.19	%	$	2,682,652		$	1,289		0.19	%	$	2,327,762		$	961		0.16	%
Savings deposits	4,012,299			3,985			0.39		3,881,260			3,047			0.31		2,512,620			749			0.12
Time deposits	3,007,109			7,620			1.01		2,958,436			6,246			0.85		2,186,781			4,126			0.75
Short-term borrowings	2,279,998			6,591			1.15		2,027,505			4,659			0.92		593,903			459			0.31
Long-term borrowings	426,155			1,799			1.67		474,086			1,944			1.65		494,810			458			0.37
Total interest-bearing liabilities	12,451,368			21,316			0.68		12,023,939			17,185			0.57		8,115,876			6,753			0.33
Noninterest-bearing deposits	3,643,765			—			—		3,499,686			—			—		2,456,469			—			—
Total deposits and borrowed funds	16,095,133			21,316			0.53		15,523,625			17,185			0.44		10,572,345			6,753			0.25
Interest payable and other liabilities	119,782								134,557								118,717
Shareholders' equity	2,643,233								2,606,517								1,559,668
Total liabilities and shareholders' equity	$	18,858,148							$	18,264,699							$	12,250,730
Net Interest Spread (Average yield earned on interest-earning assets minus average rate paid on interest-bearing liabilities)							3.30	%							3.34	%							3.49	%
Net Interest Income (FTE)				$	146,888							$	141,117							$	99,235
Net Interest Margin (Net Interest Income (FTE) divided by total average interest-earning assets)							3.48	%							3.48	%							3.58	%
Reconciliation to Reported Net Interest Income
Net interest income, fully taxable equivalent (non-GAAP)				$	146,888							$	141,117							$	99,235
Adjustments for taxable equivalent interest (1):
Loans				(824		)						(814		)						(777		)
Tax-exempt investment securities				(2,436		)						(2,355		)						(1,649		)
Total taxable equivalent interest adjustments				(3,260		)						(3,169		)						(2,426		)
Net interest income (GAAP)				$	143,628							$	137,948							$	96,809
Net interest margin (GAAP)				3.40%								3.41		%						3.49		%

(1) Fully taxable equivalent (FTE) basis using a federal income tax rate of 35%. The presentation of net interest income on a FTE basis is not in accordance with GAAP, but is customary in the banking industry.

(2) Nonaccrual loans and loans held-for-sale are included in average balances reported and are included in the calculation of yields. Also, tax equivalent interest includes net loan fees.

9

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Average Balances, Fully Tax Equivalent (FTE) Interest and Effective Yields and Rates ⁽¹⁾ (Unaudited)

Chemical Financial Corporation

(Dollars in thousands)

	Nine Months Ended
	September 30, 2017								September 30, 2016
	Average Balance			Interest (FTE)			Effective Yield/Rate (1)		Average Balance			Interest (FTE)			Effective Yield/Rate (1)
Assets
Interest-earning assets:
Loans (1)(2)	$	13,490,851		$	425,016		4.21	%	$	8,098,796		$	251,274		4.14	%
Taxable investment securities	1,335,349			21,207			2.12		586,066			6,302			1.43
Tax-exempt investment securities (1)	880,398			20,290			3.07		524,690			12,882			3.27
Other interest-earning assets	150,203			2,906			2.59		46,994			1,391			3.95
Interest-bearing deposits with the FRB and other banks and federal funds sold	294,967			3,052			1.38		156,640			811			0.69
Total interest-earning assets	16,151,768			472,471			3.91		9,413,186			272,660			3.87
Less: allowance for loan losses	(81,337		)						(72,525		)
Other assets:
Cash and cash due from banks	234,379								166,927
Premises and equipment	145,877								109,159
Interest receivable and other assets	1,753,337								665,185
Total assets	$	18,204,024							$	10,281,932
Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing demand deposits	$	2,768,209		$	3,628		0.18	%	$	2,058,951		$	2,011		0.13	%
Savings deposits	3,912,672			8,753			0.30		2,212,732			1,614			0.10
Time deposits	2,973,070			20,043			0.90		1,799,691			10,530			0.78
Short-term borrowings	1,848,325			12,908			0.93		454,456			785			0.23
Long-term borrowings	479,344			5,968			1.66		347,925			2,389			0.92
Total interest-bearing liabilities	11,981,620			51,300			0.57		6,873,755			17,329			0.34
Noninterest-bearing deposits	3,484,125			—			—		2,115,511			—			—
Total deposits and borrowed funds	15,465,745			51,300			0.44		8,989,266			17,329			0.26
Interest payable and other liabilities	126,649								87,829
Shareholders' equity	2,611,630								1,204,837
Total liabilities and shareholders' equity	$	18,204,024							$	10,281,932
Net Interest Spread (Average yield earned on interest-earning assets minus average rate paid on interest-bearing liabilities)							3.34	%							3.53	%
Net Interest Income (FTE)				$	421,171							$	255,331
Net Interest Margin (Net Interest Income (FTE) divided by total average interest-earning assets)							3.48	%							3.62	%
Reconciliation to Reported Net Interest Income
Net interest income, fully taxable equivalent (non-GAAP)				$	421,171							$	255,331
Adjustments for taxable equivalent interest (1):
Loans				(2,446		)						(2,192		)
Tax-exempt investment securities				(7,052		)						(4,505		)
Total taxable equivalent interest adjustments				(9,498		)						(6,697		)
Net interest income (GAAP)				$	411,673							$	248,634
Net interest margin (GAAP)				3.40		%						3.53		%

(1) Fully taxable equivalent (FTE) basis using a federal income tax rate of 35%. The presentation of net interest income on a FTE basis is not in accordance with GAAP, but is customary in the banking industry.

(2) Nonaccrual loans and loans held-for-sale are included in average balances reported and are included in the calculation of yields. Also, tax equivalent interest includes net loan fees.

10

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Noninterest Income and Operating Expenses Information (Unaudited)

Chemical Financial Corporation

(Dollars in thousands)

	3rd Quarter 2017		2nd Quarter 2017		1st Quarter 2017		4th Quarter 2016		3rd Quarter 2016		2nd Quarter 2016		1st Quarter 2016
Noninterest income
Service charges and fees on deposit accounts	$	9,147	$	8,777	$	8,004	$	8,414	$	7,665	$	6,337	$	5,720
Wealth management revenue	6,188		6,958		5,827		6,034		5,584		5,782		5,201
Electronic banking fees	4,370		7,482		6,817		8,196		5,533		4,786		4,918
Net gain on sale of loans and other mortgage banking revenue	5,241		9,879		9,160		14,420		4,439		1,595		1,405
Other fees for customer services	2,254		2,252		2,074		1,785		1,877		1,677		1,474
Gain on sale of investment securities	1		77		90		76		16		18		19
Gain on sale of branch offices	—		—		—		7,391		—		—		—
Other	4,921		6,143		6,038		7,948		2,656		702		682
Total noninterest income	$	32,122	$	41,568	$	38,010	$	54,264	$	27,770	$	20,897	$	19,419

	3rd Quarter 2017		2nd Quarter 2017		1st Quarter 2017		4th Quarter 2016			3rd Quarter 2016			2nd Quarter 2016			1st Quarter 2016
Operating expenses
Salaries and wages	$	44,641	$	44,959	$	48,526	$	47,936		$	33,841		$	26,887		$	26,743
Employee benefits	7,980		7,642		11,722		9,695			6,724			6,240			7,147
Occupancy	6,871		8,745		7,392		7,644			5,462			5,514			4,905
Equipment and software	7,582		8,149		8,517		8,709			6,420			4,875			4,404
Outside processing and service fees	9,626		8,924		7,511		7,290			5,365			4,833			3,711
FDIC insurance premiums	2,768		2,460		1,406		2,813			1,849			1,338			1,407
Professional fees	3,489		2,567		1,968		2,304			1,472			1,020			1,036
Intangible asset amortization	1,526		1,525		1,513		1,843			1,292			1,195			1,194
Credit-related expenses	1,874		1,895		1,200		(1,029		)	(371		)	(1,331		)	30
Merger expenses	2,379		465		4,167		18,016			37,470			3,054			2,594
Restructuring expenses	18,824		—		—		—			—			—			—
Impairment of income tax credit	3,095		—		—		—			—			—			—
Other	8,884		10,906		10,274		9,081			6,620			5,460			5,716
Total operating expenses	$	119,539	$	98,237	$	104,196	$	114,302		$	106,144		$	59,085		$	58,887

11

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Composition of Loans and Deposits and Additional Information on Intangible Assets (Unaudited)

Chemical Financial Corporation

(Dollars in Thousands)

					Organic Growth -								Organic Growth -
	Sep 30, 2017		June 30, 2017		Three Months Ended September 30, 2017		March 31, 2017		Dec 31, 2016		Sep 30, 2016		Twelve Months Ended September 30, 2017
Composition of Loans
Commercial loan portfolio:
Commercial	$	3,319,965	$	3,360,161	(1.2	)%	$	3,253,608	$	3,217,300	$	3,199,576	3.8	%
Commercial real estate	4,315,978		4,324,323		(0.2	)	4,097,771		3,973,140		3,733,377		15.6
Real estate construction	501,413		446,678		12.3		453,811		403,772		500,494		0.2
Subtotal - commercial loans	8,137,356		8,131,162		0.1		7,805,190		7,594,212		7,433,447		9.5
Consumer loan portfolio:
Residential mortgage	3,221,307		3,125,397		3.1		3,133,465		3,086,474		3,046,959		5.7
Consumer installment	1,615,983		1,553,967		4.0		1,481,057		1,433,884		1,335,707		21.0
Home equity	858,722		856,846		0.2		853,680		876,209		899,676		(4.6	)
Subtotal - consumer loans	5,696,012		5,536,210		2.9		5,468,202		5,396,567		5,282,342		7.8
Total loans	$	13,833,368	$	13,667,372	1.2	%	$	13,273,392	$	12,990,779	$	12,715,789	8.8	%

					Organic Growth -								Organic Growth -
	Sep 30, 2017		June 30, 2017		Three Months Ended September 30, 2017		March 31, 2017		Dec 31, 2016		Sep 30, 2016		Twelve Months Ended September 30, 2017
Composition of Deposits
Noninterest-bearing demand	$	3,688,848	$	3,626,592	1.7	%	$	3,399,287	$	3,341,520	$	3,264,934	13.0	%
Savings	1,736,360		1,749,199		(0.7	)	1,752,040		1,662,115		1,650,276		5.2
Interest-bearing demand	2,976,212		2,606,032		14.2		2,900,546		2,825,801		3,316,635		(10.3	)
Money market accounts	2,289,852		2,235,412		2.4		2,161,645		2,033,319		1,692,656		35.3
Brokered deposits	132,806		123,728		7.3		156,367		226,429		474,902		(72.0	)
Other time deposits	2,981,167		2,863,404		4.1		2,762,462		2,783,938		2,873,459		3.7
Total deposits	$	13,805,245	$	13,204,367	4.6	%	$	13,132,347	$	12,873,122	$	13,272,862	4.0	%

	September 30, 2017		June 30, 2017		March 31, 2017		December 31, 2016		September 30, 2016
Additional Data - Intangibles
Goodwill	$	1,134,568	$	1,133,534	$	1,133,534	$	1,133,534	$	1,137,166
Loan servicing rights	62,195		64,522		64,604		58,315		51,393
Core deposit intangibles (CDI)	35,747		37,235		38,723		40,211		35,618
Noncompete agreements	50		87		125		—		82

12

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Nonperforming Assets (Unaudited)

Chemical Financial Corporation

(Dollars in thousands)

	Sep 30, 2017		June 30, 2017		March 31, 2017		Dec 31, 2016		Sep 30, 2016		June 30, 2016		March 31, 2016
Nonperforming Assets
Nonperforming Loans (1):
Nonaccrual loans:
Commercial	$	15,648	$	18,773	$	16,717	$	13,178	$	13,742	$	14,577	$	19,264
Commercial real estate	25,150		19,723		20,828		19,877		19,914		21,325		25,859
Real estate construction	78		56		79		80		80		496		546
Residential mortgage	8,646		7,714		6,749		6,969		5,119		5,343		5,062
Consumer installment	875		757		755		879		378		285		360
Home equity	3,908		3,871		2,713		3,351		2,064		1,971		2,328
Total nonaccrual loans(1)	54,305		50,894		47,841		44,334		41,297		43,997		53,419
Other real estate and repossessed assets	10,605		14,582		16,395		17,187		20,730		8,440		9,248
Total nonperforming assets	$	64,910	$	65,476	$	64,236	$	61,521	$	62,027	$	52,437	$	62,667
Accruing loans contractually past due 90 days or more as to interest or principal payments, excluding acquired loans accounted for under ASC 310-30:
Commercial	$	3,521	$	58	$	1,823	$	11	$	221	$	3	$	370
Commercial real estate	144		262		700		277		739		3		—
Real estate construction	—		—		—		—		1,439		—		—
Residential mortgage	—		—		—		—		375		407		423
Home equity	2,367		2,026		1,169		995		628		1,071		679
Total accruing loans contractually past due 90 days or more as to interest or principal payments	$	6,032	2,346		$	3,692	$	1,283	$	3,402	$	1,484	$	1,472

(1) Acquired loans, accounted for under Accounting Standards Codification 310-30, that are not performing in accordance with contractual terms are not reported as nonperforming loans because these loans are recorded in pools at their net realizable value based on the principal and interest the Corporation expects to collect on these loans.

13

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Summary of Allowance and Loan Loss Experience (Unaudited)

Chemical Financial Corporation

(Dollars in thousands)

	3rd Quarter 2017			2nd Quarter 2017			1st Quarter 2017			4th Quarter 2016			3rd Quarter 2016			2nd Quarter 2016			1st Quarter 2016			Nine Months Ended
																						Sep 30, 2017			Sep 30, 2016
Allowance for loan losses - originated loan portfolio
Allowance for loan losses - beginning of period	$	83,797		$	78,774		$	78,268		$	73,775		$	71,506		$	70,318		$	73,328		$	78,268		$	73,328
Provision for loan losses	4,921			6,229			4,050			6,272			4,103			3,000			1,500			15,200			8,603
Net loan (charge-offs) recoveries:
Commercial	(2,348		)	(239		)	(1,999		)	(336		)	(150		)	(1,153		)	(3,115		)	(4,586		)	(4,418		)
Commercial real estate	(174		)	(205		)	730			(280		)	(154		)	(187		)	(440		)	351			(781		)
Real estate construction	—			—			(9		)	36			(31		)	—			(11		)	(9		)	(42		)
Residential mortgage	(44		)	19			(567		)	(236		)	(304		)	8			(172		)	(592		)	(468		)
Consumer installment	(858		)	(747		)	(1,310		)	(823		)	(1,137		)	(486		)	(602		)	(2,915		)	(2,225		)
Home equity	(113		)	(34		)	(389		)	(140		)	(58		)	6			(170		)	(536		)	(222		)
Net loan charge-offs	(3,537		)	(1,206		)	(3,544		)	(1,779		)	(1,834		)	(1,812		)	(4,510		)	(8,287		)	(8,156		)
Allowance for loan losses - end of period	85,181			83,797			78,774			78,268			73,775			71,506			70,318			85,181			73,775
Allowance for loan losses - acquired loan portfolio
Allowance for loan losses - beginning of period	—			—			—			—			—			—			—			—			—
Provision for loan losses	579			—			—			—			—			—			—			579			—
Allowance for loan losses - end of period	579			—			—			—			—			—			—			579			—
Total allowance for loan losses	$	85,760		$	83,797		$	78,774		$	78,268		$	73,775		$	71,506		$	70,318		$	85,760		$	73,775
Net loan charge-offs as a percent of average loans (annualized)	0.10		%	0.04		%	0.11		%	0.06		%	0.08		%	0.10		%	0.25		%	0.08		%	0.13		%

	Sep 30, 2017			June 30, 2017			March 31, 2017			Dec 31, 2016			Sep 30, 2016
Originated loans	$	9,156,096		$	8,659,622		$	7,959,769		$	7,458,401		$	6,755,931
Acquired loans	4,677,272			5,007,750			5,313,623			5,532,378			5,959,858
Total loans	$	13,833,368		$	13,667,372		$	13,273,392		$	12,990,779		$	12,715,789
Allowance for loan losses (originated loan portfolio) as a percent of:
Total originated loans	0.93		%	0.97		%	0.99		%	1.05		%	1.09		%
Nonperforming loans	156.9		%	164.7		%	177.7		%	176.5		%	178.6		%
Credit mark as a percent of unpaid principal balance on acquired loans	2.7		%	2.6		%	2.8		%	3.1		%	3.0		%

14

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Reconciliation of Non-GAAP Financial Measures (Unaudited)

Chemical Financial Corporation

(Amounts in thousands)

	3rd Quarter 2017			2nd Quarter 2017			1st Quarter 2017			4th Quarter 2016			3rd Quarter 2016			2nd Quarter 2016			1st Quarter 2016			Nine Months Ended
																						Sep 30, 2017			Sep 30, 2016
Non-GAAP Operating Results
Net Income
Net income, as reported	$	40,459		$	52,014		$	47,604		$	47,168		$	11,484		$	25,775		$	23,605		$	140,077		$	60,864
Merger and restructuring expenses	21,203			465			4,167			18,016			37,470			3,054			2,594			25,835			43,118
Gain on sales of branch offices	—			—			—			(7,391		)	—			—			—			—			—
Loan servicing rights change in fair valuation	4,041			1,802			519			(6,348		)	1,236			—			—			6,362			1,236
Significant items	25,244			2,267			4,686			4,277			38,706			3,054			2,594			32,197			44,354
Income tax benefit (1)	(8,835		)	(793		)	(1,640		)	(1,496		)	(12,785		)	(1,069		)	(908		)	(11,268		)	(14,762		)
Significant items, net of tax	16,409			1,474			3,046			2,781			25,921			1,985			1,686			20,929			29,592
Net income, excluding significant items	$	56,868		$	53,488		$	50,650		$	49,949		$	37,405		$	27,760		$	25,291		$	161,006		$	90,456
Diluted Earnings Per Share
Diluted earnings per share, as reported	$	0.56		$	0.73		$	0.67		$	0.66		$	0.23		$	0.67		$	0.60		$	1.95		$	1.42
Effect of significant items, net of tax	0.23			0.02			0.04			0.04			0.52			0.05			0.05			0.29			0.69
Diluted earnings per share, excluding significant items	$	0.79		$	0.75		$	0.71		$	0.70		$	0.75		$	0.72		$	0.65		$	2.24		$	2.11
Return on Average Assets
Return on average assets, as reported	0.86		%	1.14%			1.09		%	1.09		%	0.37		%	1.10		%	1.02		%	1.03		%	0.79		%
Effect of significant items, net of tax	0.35			0.03			0.07			0.07			0.85			0.09			0.07			0.15			0.38
Return on average assets, excluding significant items	1.21		%	1.17%			1.16		%	1.16		%	1.22		%	1.19		%	1.09		%	1.18		%	1.17		%
Return on Average Shareholders' Equity
Return on average shareholders' equity, as reported	6.1		%	8.0		%	7.4		%	7.4		%	2.9		%	10.0		%	9.3		%	7.2		%	6.7		%
Effect of significant items, net of tax	2.5			0.2			0.4			0.4			6.7			0.7			0.6			1.0			3.3
Return on average shareholders' equity, excluding significant items	8.6		%	8.2		%	7.8		%	7.8		%	9.6		%	10.7		%	9.9		%	8.2		%	10.0		%
Return on Average Tangible Shareholders' Equity
Average shareholders' equity	$2,643,233			$2,606,517			$2,584,501			$2,564,943			$1,559,668			$1,033,014			$1,017,929			$2,611,630			$1,204,837
Average goodwill, CDI and noncompete agreements, net of tax	1,153,394			1,154,229			1,155,177			1,153,598			585,393			295,882			299,685			1,154,243			393,023
Average tangible shareholders' equity	$1,489,839			$1,452,288			$1,429,324			$1,411,345			$974,275			$737,132			$718,244			$1,457,387			$811,814
Return on average tangible shareholders' equity	10.9		%	14.3%			13.3		%	13.4		%	4.7		%	14.0		%	13.1		%	12.8		%	10.0		%
Effect of significant items, net of tax	4.4			0.4			0.9			0.8			10.7			1.1			1.0			1.9			4.9
Return on average tangible shareholders' equity, excluding significant items	15.3		%	14.7		%	14.2		%	14.2		%	15.4		%	15.1		%	14.1		%	14.7		%	14.9		%

(1) Assumes merger and restructuring expenses and other significant items are deductible at an income tax rate of 35%, except for the impact of estimated nondeductible expenses incurred in periods when the Corporation completed the merger transaction.

15

Chemical Financial Corporation Announces 2017Third Quarter Operating Results

Reconciliation of Non-GAAP Financial Measures (Unaudited)

Chemical Financial Corporation

(Amounts in thousands, except per share data)

	3rd Quarter 2017			2nd Quarter 2017			1st Quarter 2017			4th Quarter 2016			3rd Quarter 2016			2nd Quarter 2016			1st Quarter 2016			Nine Months Ended
																						Sep 30, 2017			Sep 30, 2016
Efficiency Ratio
Net interest income	$	143,628		$	137,948		$	130,097		$	132,447		$	96,809		$	77,495		$	74,330		$	411,673		$	248,634
Noninterest income	32,122			41,568			38,010			54,264			27,770			20,897			19,419			111,700			68,086
Total revenue - GAAP	175,750			179,516			168,107			186,711			124,579			98,392			93,749			523,373			316,720
Net interest income FTE adjustment	3,260			3,169			3,068			2,945			2,426			2,138			2,133			9,498			6,697
Loan servicing rights change in fair value (gains)losses	4,041			1,802			519			(6,348		)	1,236			—			—			6,362			1,236
Gain on sales of branch offices	—			—			—			(7,391		)	—			—			—			—			—
Gains from sale of investment securities and closed branch locations	(1		)	(77		)	(90		)	(76		)	(301		)	(123		)	(169		)	(168		)	(593		)
Total revenue - Non-GAAP	$	183,050		$	184,410		$	171,604		$	175,841		$	127,940		$	100,407		$	95,713		$	539,065		$	324,060
Operating expenses - GAAP	$	119,539		$	98,237		$	104,196		$	114,302		$	106,144		$	59,085		$	58,887		$	321,972		$	224,116
Merger and restructuring expenses	(21,203		)	(465		)	(4,167		)	(18,016		)	(37,470		)	(3,054		)	(2,594		)	(25,835		)	(43,118		)
Impairment of income tax credits	(3,095		)	—			—			—			—			—			—			(3,095		)	—
Operating expense, core - Non-GAAP	95,241			97,772			100,029			96,286			68,674			56,031			56,293			293,042			180,998
Amortization of intangibles	(1,526		)	(1,525		)	(1,513		)	(1,843		)	(1,292		)	(1,195		)	(1,194		)	(4,564		)	(3,681		)
Operating expenses, efficiency ratio - Non-GAAP	$	93,715		$	96,247		$	98,516		$	94,443		$	67,382		$	54,836		$	55,099		$	288,478		$	177,317
Efficiency ratio - GAAP	68.0		%	54.7		%	62.0		%	61.2		%	85.2		%	60.1		%	62.8		%	61.5		%	70.8		%
Efficiency ratio - adjusted Non-GAAP	51.2		%	52.2		%	57.4		%	53.7		%	52.7		%	54.6		%	57.6		%	53.5		%	54.7		%

	Sep 30, 2017			June 30, 2017			March 31, 2017			Dec 31, 2016			Sep 30, 2016			June 30, 2016			March 31, 2016
Tangible Book Value
Shareholders' equity, as reported	$	2,673,089		$	2,639,442		$	2,600,051		$	2,581,526		$	2,563,666		$	1,050,299		$	1,032,291
Goodwill, CDI and noncompete agreements, net of tax	(1,153,576		)	(1,153,595		)	(1,154,915		)	(1,155,617		)	(1,154,121		)	(297,044		)	(297,821		)
Tangible shareholders' equity	$	1,519,513		$	1,485,847		$	1,445,136		$	1,425,909		$	1,409,545		$	753,255		$	734,470
Common shares outstanding	71,152			71,131			71,118			70,599			70,497			38,267			38,248
Book value per share (shareholders' equity, as reported, divided by common shares outstanding)	$	37.57		$	37.11		$	36.56		$	36.57		$	36.37		$	27.45		$	26.99
Tangible book value per share (tangible shareholders' equity divided by common shares outstanding)	$	21.36		$	20.89		$	20.32		$	20.20		$	19.99		$	19.68		$	19.20
Tangible Shareholders' Equity to Tangible Assets
Total assets, as reported	$	19,354,308		$	18,781,405		$	17,636,973		$	17,355,179		$	17,383,637		$	9,514,172		$	9,303,632
Goodwill, CDI and noncompete agreements, net of tax	(1,153,576		)	(1,153,595		)	(1,154,915		)	(1,155,617		)	(1,154,121		)	(297,044		)	(297,821		)
Tangible assets	$	18,200,732		$	17,627,810		$	16,482,058		$	16,199,562		$	16,229,516		$	9,217,128		$	9,005,811
Shareholders' equity to total assets	13.8		%	14.1		%	14.7		%	14.9		%	14.7		%	11.0		%	11.1		%
Tangible shareholders' equity to tangible assets	8.3		%	8.4		%	8.8		%	8.8		%	8.7		%	8.2		%	8.2		%

16

EX-99.2

2017 Third Quarter Earnings Release David T. Provost Chief Executive Officer Thomas C. Shafer Vice Chairman, Chief Executive Officer of Chemical Bank Dennis L. Klaeser EVP and Chief Financial Officer October 25, 2017

This presentation and the accompanying presentation by management may contain forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about the financial services industry, the economy and Chemical Financial Corporation ("Chemical"). Words and phrases such as "anticipates," "believes," "continue," "estimates," "expects," "forecasts," "future," "intends," "is likely," "judgment," "look ahead," "look forward," "on schedule," “on track,” "opinion," "opportunity," "plans," "potential," "predicts," "probable," "projects," "should," "strategic," "trend," "will," and variations of such words and phrases or similar expressions are intended to identify such forward-looking statements. These statements include, among others, statements related to our previously announced restructuring efforts and the effects of such efforts, including Chemical's expected annualized cost savings, the expected use of a portion of such cost savings to hire commercial lenders, other bankers and support staff to build market share and enhance revenue growth, the strength of our loans pipeline, our focus and expectations around building shareholder value, including organic revenue growth and cost discipline, expanding our market presence and product lines and the rationalization of our branch locations. All statements referencing future time periods are forward-looking. Management's determination of the provision and allowance for loan losses; the carrying value of acquired loans, goodwill and mortgage servicing rights; the fair value of investment securities (including whether any impairment on any investment security is temporary or other-than-temporary and the amount of any impairment); and management's assumptions concerning pension and other postretirement benefit plans involve judgments that are inherently forward-looking. There can be no assurance that future loan losses will be limited to the amounts estimated. All of the information concerning interest rate sensitivity is forward-looking. The future effect of changes in the financial and credit markets and the national and regional economies on the banking industry, generally, and on Chemical, specifically, are also inherently uncertain. Forward-looking are based upon current beliefs and expectations and involve substantial risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. Accordingly, such statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions ("risk factors") that are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what may be expressed or forecasted in such forward-looking statements. Chemical undertakes no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events or otherwise. Forward-Looking Statements & Other Information 2

Risk factors include, without limitation: • Chemical's ability to attract and retain new commercial lenders and other bankers as well as key operations staff in light of competition for experienced employees in the banking industry; • Chemical's ability to grow its deposits while reducing the number of physical branches that it operates; • Negative reactions to the branch closures by Chemical Bank's customers, employees and other counterparties; • Economic conditions (both generally and in our markets) may be less favorable than expected, which could result in, among other things, a deterioration in credit quality, a reduction in demand for credit and a decline in real estate values; • A general decline in the real estate and lending markets, particularly in our market areas, could negatively affect our financial results; • Increased cybersecurity risk, including potential network breaches, business disruptions, or financial losses; • Restrictions or condition imposed by our regulators on our operations may make it more difficult for us to achieve our goals; • Legislative or regulatory changes,including changes in accounting standards and compliance requirements, may adversely affect us; • Changes in the interest rate environment may reduce margins or the volumes or values of the loans we make or have acquired; and • Economic, governmental, or other factors may prevent the projected population, residential, and commercial growth in the markets in which we operate. In addition, risk factors include, but are not limited to, the risk factors described in Item 1A of Chemical’s Annual Report on Form 10- K for the year ended December 31, 2016. These and other factors are representative of the risk factors that may emerge and could cause a difference between an ultimate actual outcome and a preceding forward-looking statement. Forward-Looking Statements & Other Information (continued) 3

Non-GAAP Financial Measures This presentation and the accompanying presentation by management contain certain non-GAAP financial disclosures that are not in accordance with U.S. generally accepted accounting principles ("GAAP"). Such non-GAAP financial measures include Chemical’s tangible shareholders' equity to tangible assets ratio, tangible book value per share, presentation of net interest income and net interest margin on a fully taxable equivalent basis, operating expenses-core (which excludes merger and restructuring expenses and impairment of income tax credits), operating expenses-efficiency ratio (which excludes merger and restructuring expenses, impairment of income tax credits and amortization of intangibles), the adjusted efficiency ratio (which excludes significant items, impairment of income tax credits, amortization of intangibles, net interest income FTE adjustments, gains from sale of investment securities and closed branch locations) ant other information presented excluding significant items, including net income, diluted earnings per share, return on average assets and return on average shareholders' equity. Chemical uses non-GAAP financial measures to provide meaningful, supplemental information regarding its operational results and to enhance investors’ overall understanding of Chemical’s financial performance. The limitations associated with non-GAAP financial measures include the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might calculate these measures differently. These disclosures should not be considered an alternative to Chemical’s GAAP results. See the Appendix included with this presentation for a reconciliation of the non- GAAP financial measures to the most directly comparable GAAP financial measures. Forward-Looking Statements & Other Information (continued) 4

Q3 2017 Highlights q Diluted earnings per share of $0.56, compared to $0.73 in the 2nd qtr. 2017 and $0.23 in the 3rd qtr. 2016 q Diluted earnings per share, excluding significant items,(1)(2) of $0.79; up 5% from both 2nd qtr. 2017 and 3rd qtr. 2016 q Return on average assets and return on average shareholders' equity of 0.86% and 6.1%, respectively, in 3rd qtr. 2017 (1.21% and 8.6%, respectively, excluding significant items(1)(2)) q Return on average tangible shareholders' equity of 10.9% in 3rd qtr. 2017 (15.3%, excluding significant items(1)(2)) q Loan Growth ▪ $166 million in 3rd qtr. 2017 (quarterly organic loan growth: 12.3% commercial real estate construction, 4.0% consumer installment and 3.1% residential mortgage loans) q Asset quality ratios ▪ Nonperforming loans/total loans of 0.39% at September 30, 2017; increased from 0.37% at June 30, 2017, and from 0.32% at September 30, 2016 ▪ Net loan charge-offs/average loans of 0.10% (1)"Significant items" include merger and restructuring expenses and the change in fair value in loan servicing rights. (2)Denotes a non-GAAP financial measure. Refer to the Appendix for a reconciliation of non-GAAP financial measures. 5

2017 2017 2016 (in thousands except per share data) 3rd Qtr. 2nd Qtr. 3rd Qtr. Net interest income $ 143,628 $ 137,948 $ 96,809 Provision for loan losses 5,499 6,229 4,103 Noninterest income 32,122 41,568 27,770 Operating expenses 119,539 98,237 106,144 Operating expenses, excl. merger and restructuring expenses and impairment of income tax credits(1) 95,241 97,772 68,674 Merger expenses 2,379 465 37,470 Restructuring expenses 18,824 — — Impairment of income tax credits 3,095 — — Net income 40,459 52,014 11,484 Net income, excl. significant items(1) 56,868 53,488 37,405 Diluted EPS 0.56 0.73 0.23 Diluted EPS, excl. significant items(1) 0.79 0.75 0.75 Return on Avg. Assets 0.86% 1.14% 0.37% Return on Avg. Shareholders’ Equity 6.1% 8.0% 2.9% Efficiency Ratio 68.0% 54.7% 85.2% Efficiency Ratio - Adjusted(1) 51.2% 52.2% 52.7% Equity/Total Assets 13.8% 14.1% 14.7% Tangible Shareholders' Equity/Tangible Assets(1) 8.3% 8.4% 8.7% Book Value/Share $ 37.57 $ 37.11 $ 36.37 Tangible Book Value/Share(1) $ 21.36 $ 20.89 $ 19.99 Prior Quarter Comparison ▪ Higher net interest income in Q3 compared to Q2, due to organic loan growth, higher average balance of investment securities and an improvement in loan yields−partially offset by higher average balances of deposits and short-term borrowings ▪ Operating expenses increased primarily due to restructuring expenses, consisting primarily of severance and retirement related expenses ▪ Decrease in noninterest income primarily due to decreases in mortgage servicing revenue and other charges and fees for customer services ▪ Decrease in provision for loan losses, lower net organic loan growth Prior-Year Quarter Comparison ▪ Merger-related expenses incurred in Q3 2016 ▪ Increase in net interest income, attributable to increase in investment securities and organic growth in total loans during the twelve months ended September 30, 2017 and impact of the Talmer merger(1)Denotes a non-GAAP financial measure. Refer to the Appendix for a reconciliation of non-GAAP financial measures. Financial Highlights Income Statement Highlights 6 Financial Highlights

2015 Total: $86.8(1); $92.3(2)(3) 2016 Total: $108.0(1); $140.4(2)(3) 2017 (1)Net Income (2)Net Income, excluding significant items. (3)Denotes a non-GAAP financial measure. Please refer to the Appendix for a reconciliation of non-GAAP financial measures. $56.9(2)(3) Net Income Trending Upward ($ Millions, except EPS data) Net Income $0.57(3) Net Income Trending Upward ($ Millions, except EPS data) $60.0 $40.0 $20.0 $0.0 N et In co m e $1.00 $0.80 $0.60 $0.40 $0.20 $0.00 EP S Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 $17.8 $19.0 $24.5 $25.5 $23.6 $25.8 $11.5 $47.1 $47.6 $52.0 $40.5 $26.0 $2.8 $3.1 $16.4 2015 2016 2017 $53.5(2)(3) 7 $37.4(2)(3) Significant items (after-tax) Net Income __ Diluted EPS, excluding significant items (non-GAAP) (3) $0.79(3)

Restructuring Announced Sept. 12, 2017 ▪ Company-wide focus on efficient allocation of capital, enhancing efficiency, improving customer service and driving revenue growth * 7.5 percent reduction in total employees in 3Q17 * 4Q17 planned consolidation of 25 branches, in addition to the 13 branches consolidated in 3Q17 * Planned exiting of title insurance services and reducing resources allocated to auto lending * 3Q17 resulted in a pre-tax charge of $18.8 million as a result of retirement costs, severance and charges associated with disposition of branch facilities * Annualized cost savings expected to be about $20 million ▪ A portion of cost savings will be spent hiring commercial lenders, other bankers and support staff with a goal of building market share and further enhancing revenue growth 8

Loan Portfolio Composition ($ Millions) $1,117 9 September 30, 2016 $12,716 September 30, 2017 $13,833 Total Loan Growth - $3,200 $4,234 $3,047 $2,235 $3,320 $4,817 $3,221 $2,475 $120 $583 $174 $240 n Commercial n CRE/C&D n Residential n Consumer Loan Growth - Twelve Months Ended September 30, 2017

2015 - $476 2016 - $837 2017 - $843 $15 $224 $181 $280 $56 $843 $837 $96 $186 Quarterly Loan Growth Trends Loan Growth* ($ Millions) $275 *Excludes the impact of the $4.88 billion of loans acquired in the Talmer merger. $283 10 n Commercial n CRE/C&D n Residential n Consumer $400 $300 $200 $100 $0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Quarterly Loan Growth Trends Loan Growth - 2016 Total* Loan Growth - 2017 YTD $88 $277 $125 $347 $103 $441 $134 $165 $166 $394 Quarterly Loan Growth Trends

Q3 2017 Q2 2017 Q1 2017 2016 Total* Originated Loan Portfolio Commercial $ 71 $ 195 $ 88 $ 380 CRE/C&D 139 313 239 594 Residential 197 89 119 258 Consumer 89 103 56 418 Total Originated Loan Portfolio Growth $ 496 $ 700 $ 502 $ 1,650 Acquired Loan Portfolio Commercial $ (111) $ (88) $ (52) $ (292) CRE/C&D (92) (94) (64) (317) Residential (102) (97) (72) (133) Consumer (25) (27) (31) (71) Total Acquired Loan Portfolio Run-off $ (330) $ (306) $ (219) $ (813) Total Loan Portfolio Commercial $ (40) $ 107 $ 36 $ 88 CRE/C&D 47 219 175 277 Residential 95 (8) 47 125 Consumer 64 76 25 347 Total Loan Portfolio Growth $ 166 $ 394 $ 283 $ 837 Loan Growth (Run-off) ($ Millions) Loan Growth* – Originated v. Acquired *Excludes the impact of the $4.88 billion of loans acquired in the Talmer merger. 11 Loan Growth (Run-off) ($ Millions)

(1)Comprised of $874 million of growth in customer deposits offset by a $342 million decrease in brokered deposits. (2)Cost of deposits based on period averages. Total Deposits – September 30, 2016 $13.3 Total Deposits – September 30, 2017 $13.8 Organic $0.5, 4.0%(1) Total Deposits ($ Billions) Deposit Composition (2) 2016 2017 12 otal Deposits ($ Billions) Average Deposits ($ Millions) & Cost of Deposits(2) (%) $3.7 $3.0$4.0 $3.0 $0.1 n Noninterest-bearing Demand Deposits n Interest-bearing Demand Deposits n Savings Deposits n Time Deposits n Brokered Deposits $0.4 $0.7 $0.1 $3.3 $3.3$3.3 $2.9 $0.5 Deposits Cost of Deposits $14,000 $9,000 $4,000T ot al Av er ag e D ep os its 0.50% 0.25% 0.00% In te re st R at e Pa id Q1 Q2 Q3 Q4 Q1 Q2 Q3 $7,535 $7,528 $9,484 $13,003 $12,999 $13,022 $13,389 0.22% 0.23% 0.24% 0.27% 0.28% 0.33% 0.38% $(0.4) $(0.3)

Average Cost of Funds Q3 2017 – 0.53% Average Cost of Funds Q2 2017 – 0.44% $16.0 billion $16.6 billion Average cost of wholesale borrowings – 1.35% Average cost of wholesale borrowings – 1.14% Funding Breakdown ($ Billions) 13 June 30, 2017 September 30, 2017 n Deposits: n Time Deposits n Customer Repurchase Agreements n Wholesale borrowings (at September 30, 2017: brokered deposits - $0.1 billion, short and long term borrowings - $2.3 billion) $10.2 $2.9 $0.3 $2.6 $10.8 $3.0 $0.4 $2.4 Interest and noninterest- bearing, demand, savings, money market

ALL NPLs 2015 2016 2017 Originated Loans ($ billions) $3.3 $3.8 $4.3 $5.0 $5.8 $7.5 $9.2 Acquired Loans ($ billions) 0.5 0.4 0.3 0.7 1.5 5.5 4.7 Total Loans ($ billions) $3.8 $4.2 $4.6 $5.7 $7.3 $13.0 $13.9 Originated ALL $88 $84 $79 $76 $73 $78 $85 Acquired ALL — — — — — — 1 Total ALL $88 $84 $79 $76 $73 $78 $86 Originated ALL/ Originated Loans 2.60% 2.22% 1.81% 1.51% 1.26% 1.05% 0.93% NPLs/ Total Loans 2.05% 1.71% 1.33% 0.89% 0.86% 0.34% 0.39% Credit Mark as a % of Unpaid Principal on Acquired Loans 6.6% 6.0% 7.8% 5.4% 4.4% 3.1% 2.7% Provision for Loan Losses vs. Net Loan Losses Credit Quality ($ Millions, unless otherwise noted) Provision for Loan Losses vs. Net Loan Losses (Originated loan portfolio) Nonperforming Loans (NPLs) and Allowance for Loan Losses (ALL) Provision for Loan Losses Net Loan Losses $7.0 $3.5 $0.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 $1.5 $1.5 $1.5 $2.0 $1.5 $3.0 $4.1 $6.3 $4.1 $6.2 $4.9$1.9 $1.8 $0.8 $4.3 $4.5 $1.8 $1.8 $1.8 $3.5 $1.2 $3.5 $120 $60 $0 YE 2011 YE 2012 YE 2013 YE 2014 YE 2015 YE 2016 Q3 2017 $78 $71 $62 $51 $62 $44 $54 $88 $84 $79 $76 $73 $78 $86 14

Net Interest Margin(1) and Loan Yields Net Interest Margin(1) Purchase Accounting Accretion on Loans Loan Yields Net Interest Income (Quarterly Trend) Net Interest Income, Net Interest Margin and Loan Yields (1)Computed on a fully taxable equivalent basis (non-GAAP) using a federal income tax rate of 35%. Please refer to the Appendix for a reconciliation of non-GAAP financial measures. 15 Quarterly Trend 2016 2017 Net Interest Income $140 $120 $100 $80 $60 $40 $ (M ill io ns ) Q1 Q2 Q3 Q4 Q1 Q2 Q3 $74.3 $77.5 $96.8 $132.4 $130.1 $137.9 $143.6 2016 2017 5.00% 2.50% 0.00% Q1 Q2 Q3 Q4 Q1 Q2 Q3 4.13% 4.19% 4.12% 4.18% 4.11% 4.22% 4.31% 3.60% 3.70% 3.58% 3.56% 3.49% 3.48% 3.48% 0.03% 0.11% 0.11% 0.14% 0.12% 0.21% 0.23%

$20.9 $32.1* Quarterly Non-Interest Income * Significant items: Changes in fair value in loan servicing rights were a $4.0 million detriment in Q3 2017, a $1.8 million detriment in Q2 2017, a $0.5 million detriment in Q1 2017, a $6.3 million benefit in Q4 2016 and a $1.2 million detriment in Q3 2016. Q4 2016 also included a $7.4 million gain on sales of branch offices. $41.6* $27.8* $54.3* 16 Quarterly 2016 2017 Other Wealth Management Service Charges Net Gain on Sale of Loans and other Mortgage Banking Revenue $60.0 $30.0 $0.0 $ (M ill io ns ) Q1 Q2 Q3 Q4 Q1 Q2 Q3 $7.1 $7.2 $10.1 $25.4 $15.0 $15.9 $11.6 $5.2 $5.8 $5.6 $6.0 $5.8 $7.0 $6.2$5.7 $6.3 $7.7 $8.4 $8.0 $8.8 $9.1 $1.4 $1.6 $4.4 $14.4 $9.2 $9.9 $5.2 $38.0* $19.4

$68.6(1) $106.1 $56.0(1) $59.1 $96.3(1) $114.3 Quarterly Operating Expenses $98.2 $100.0(1) 17 Quarterly 2016 2017 $104.2 Other Compensation Occupancy Equipment Impairment of Income Tax Credits Merger & Restructuring Expenses $120.0 $60.0 $0.0 $ (M ill io ns ) Q1 Q2 Q3 Q4 Q1 Q2 Q3 $13.1 $12.5 $16.1 $22.3 $23.9 $28.3 $28.1 $33.9 $33.1 $40.6 $57.7 $60.2 $52.6 $52.6 $4.9 $5.5 $5.5 $7.6 $7.4 $8.7 $6.9 $4.4 $4.9 $6.4 $8.7 $8.5 $8.1 $7.6 $3.1 $2.6 $3.1 $37.5 $18.0 $4.2 $0.5 $21.2 $97.7(1) $95.2(1) $119.5 (1) Denotes a non-GAAP financial measure. Refer to the Appendix for a reconciliation of non-GAAP financial measures. $56.3(1) $58.9

Peer Average 12/31/2016(1) CHFC 12/31/2016 CHFC 6/30/2017 CHFC 9/30/2017 Tangible Book Value / Share(2) NA $20.20 $20.89 $21.36 Tangible Common Equity / Tangible Assets(2) 8.1% 8.8% 8.4% 8.3% Tier 1 Capital(3) 10.8% 10.7% 10.4% 10.5% Total Risk-Based Capital(3) 12.6% 11.5% 11.1% 11.2% Capital (1)Source SNL Financial – ASB, WTFC, CBSH, TCB, UMBF, PVTB, MBFI, ONB, FMBI and FFBC (ordered by asset size). (2)Denotes a non-GAAP financial measure. Refer to the Appendix for a reconciliation of non-GAAP financial measures. (3)Estimated at September 30, 2017 Tangible Book Value and Capital Ratios Tangible Book Value per Share(2) (TBV) Roll Forward $25 $20 $15 $10 $5 $0 TBV @ S ep 3 0, 20 16 Net Inco me ( Ex. Mer ger a nd R estru cturi ng Exp ense s) Divi dend s AOC I Ad j. Mer ger a nd R estru cturi ng TBV @ S ep 3 0, 20 17 $19.99 $3.04 $(1.09) $0.01 $(0.59) $21.36 18

q Emphasize our strategy of being the Premier Midwest Community Bank q Focus on what will build shareholder value • Organic revenue growth and cost discipline • Concentrate on achieving cost savings • Expand our market presence and product lines where additional value can be created • Rationalization of branch locations Closing Comments 19

Full Year Q3 2017 Q2 2017 Q3 2016 2016 2015 Shareholders’ equity $ 2,673,089 $ 2,639,442 $ 2,563,666 Goodwill, CDI and non-compete agreements, net of tax (1,153,576) (1,153,595) (1,154,121) Tangible shareholders’ equity $ 1,519,513 $ 1,485,847 $ 1,409,545 Common shares outstanding 71,152 71,131 70,497 Tangible book value per share $ 21.36 $ 20.89 $ 19.99 Total assets $ 19,354,308 $ 18,781,405 $ 17,383,637 Goodwill, CDI and non-compete agreements, net of tax (1,153,576) (1,153,595) (1,154,121) Tangible assets $ 18,200,732 $ 17,627,810 $ 16,229,516 Tangible shareholders’ equity to tangible assets 8.3% 8.4% 8.7% Net income $ 40,459 $ 52,014 $ 11,484 $ 108,032 $ 86,830 Significant items, net of tax 16,409 1,474 25,921 32,373 5,484 Net income, excl. significant items $ 56,868 $ 53,488 $ 37,405 $ 140,405 $ 92,314 Diluted earnings per share $ 0.56 $ 0.73 $ 0.23 Effect of significant items, net of tax 0.23 0.02 0.52 Diluted earnings per share, excl. significant items $ 0.79 $ 0.75 $ 0.75 Average assets $ 18,858,148 $ 18,264,699 $ 12,250,730 Return on average assets 0.86% 1.14% 0.37% Effect of significant items, net of tax 0.35% 0.03% 0.85% Return on average assets, excl. significant items 1.21% 1.17% 1.22% Average shareholders’ equity $ 2,643,233 $ 2,606,517 $ 1,559,668 Return on average shareholders’ equity 6.1% 8.0% 2.9% Effect of significant items, net of tax 2.5% 0.2% 6.7% Return on average shareholders’ equity, excl. significant items 8.6% 8.2% 9.6% (Dollars in thousands, except per share data) Appendix: Non-GAAP Reconciliation 20 (Dollars in thousands, except per share data)

Q3 2017 Q2 2017 Q3 2016 Efficiency Ratio: Total revenue – GAAP $ 175,750 $ 179,516 $ 124,579 Net interest income FTE adjustment 3,260 3,169 2,426 Significant items 4,040 1,725 935 Total revenue – Non-GAAP $ 183,050 $ 184,410 $ 127,940 Operating expenses – GAAP $ 119,539 $ 98,237 $ 106,144 Merger and restructuring expenses (21,203) (465) (37,470) Impairment of income tax credits (3,095) — — Operating expenses, core - Non-GAAP 95,241 97,772 68,674 Amortization of intangibles (1,526) (1,525) (1,292) Operating expenses, efficiency ratio -excluding merger & restructuring expenses, impairment of income tax credits and amortization of intangibles - Non-GAAP $ 93,715 $ 96,247 $ 67,382 Efficiency ratio – GAAP 68.0% 54.7% 85.2% Efficiency ratio – adjusted 51.2% 52.2% 52.7% Net Interest Margin: Net interest income – GAAP $ 143,628 $ 137,948 $ 96,809 Adjustments for tax equivalent interest: Loans 824 814 777 Investment securities 2,436 2,355 1,649 Total taxable equivalent adjustments 3,260 3,169 2,426 Net interest income (on a tax equivalent basis) $ 146,888 $ 141,117 $ 99,235 Average interest-earning assets $ 16,815,240 $ 16,228,996 $ 11,058,143 Net interest margin – GAAP 3.40% 3.41% 3.49% Net interest margin (on a tax-equivalent basis) 3.48% 3.48% 3.58% (Dollars in thousands, except per share data) Appendix: Non-GAAP Reconciliation 21 (Dollars in thousands, except per share data)