Acquisitions (Tables)

6 Months Ended

Jun. 30, 2017

Schedule of assets acquired and liabilities assumed of Pulaski and their initial fair value estimates

The following table presents the assets acquired and liabilities assumed of Pulaski as of April 30, 2016 and their fair value estimates (dollars in thousands):

	As Recorded by Pulaski		Fair Value Adjustments			As Recorded by First Busey
Assets acquired:
Cash and cash equivalents	$	25,580	$	—		$	25,580
Securities	47,895		105		(a)	48,000
Loans held for sale	184,856		—			184,856
Portfolio loans	1,243,913		(14,452		)(b)	1,229,461
Premises and equipment	17,236		(667		)(c)	16,569
OREO	5,022		(2,534		)(d)	2,488
Goodwill	3,939		(3,939		)(e)	—
Other intangible assets	—		15,468		(f)	15,468
Other assets	70,365		(122		)(g)	70,243
Total assets acquired	1,598,806		(6,141		)	1,592,665
Liabilities assumed:
Deposits	1,226,906		1,102		(h)	1,228,008
Other borrowings	205,840		906		(i)	206,746
Trust preferred securities	19,589		(3,805		)(j)	15,784
Other liabilities	24,594		(612		)(k)	23,982
Total liabilities assumed	1,476,929		(2,409		)	1,474,520
Net assets acquired	$	121,877	$	(3,732	)	$	118,145
Consideration paid:
Cash						$	5
Common stock						192,990
Fair value of stock options assumed						2,454
Total consideration paid						195,449
Goodwill						$	77,304

Explanation:

(a) Fair value adjustments of the securities portfolio as of the acquisition date.

(b) Fair value adjustments based on the Company’s evaluation of the acquired loan portfolio, write-off of net deferred loan costs and elimination of the allowance for loan losses recorded by Pulaski. $16.9 million is expected to be accreted over the estimated four year remaining life of the respective loans in a manner that approximates the level yield method.

(c) Fair value adjustments based on the Company’s evaluation of the acquired premises and equipment.

(d) Fair value adjustment based on the Company’s evaluation of the acquired OREO portfolio.

(e) Eliminate Pulaski’s existing goodwill.

(f) Recording of the core deposit intangible asset on the acquired core deposit accounts.  Amount to be amortized using a sum of years digits method over a 14 year useful life.

(g) Fair value adjustment of other assets at the acquisition date.

(h) Fair value adjustment to time deposits.  Amount to be accreted over two years in a manner that approximates the level yield method.

(i) Fair value adjustment to the FHLB borrowings.  Such borrowings were repaid shortly after the acquisition date, so there will be no discount accretion.

(j) Fair value adjustment to the trust preferred securities at the acquisition date.  Amount to be accreted over the weighted average remaining life of 18 years in a manner that approximates the level yield method.

(k) Fair value adjustment of other liabilities at the acquisition date.

Pulaski

Schedule of unaudited pro forma results of operations for the Pulaski acquisition

Only the acquisition related expenses that had been recognized are included in net income in the table below (dollars in thousands):

	Pro Forma
	Three Months Ended		Six Months Ended
	June 30, 2016		June 30, 2016
Total revenues (net interest income plus non-interest income)	$	61,344	$	123,237
Net income	9,239		23,165
Diluted earnings per common share	0.24		0.60

First Community Financial Partners, Inc.

Schedule of unaudited pro forma results of operations for the Pulaski acquisition

Only the merger related expenses that have been recognized are included in net income in the table below (dollars in thousands):

	Pro Forma				Pro Forma
	Three Months Ended June 30,				Six Months Ended June 30,
	2017		2016		2017		2016
Total revenues (net interest income plus non-interest income)	$	78,122	$	71,793	$	152,227	$	143,032
Net income	21,462		11,615		40,149		27,678
Diluted earnings per common share	0.47		0.25		0.87		0.60