Acquisitions (Tables)

3 Months Ended

Mar. 31, 2018

Pro Forma Result of Comparable Prior Reporting Period

The following schedule includes pro-forma results for the three months ended March 31, 2017 as if the Wolverine and Lafayette acquisitions had occurred as of the beginning of the comparable prior reporting period, which was January 1, 2016.

	Three Months Ended March 31
	2017
Summary of Operations:
Net Interest Income	$	30,126
Provision for Loan Losses		(247	)
Net Interest Income after Provision for Loan Losses		30,373
Non-interest Income		7,903
Non-interest Expense		24,684
Income before Income Taxes		13,592
Income Tax Expense		3,863
Net Income		9,729
Net Income Available to Common Shareholders	$	9,729
Basic Earnings per Share	$	0.44
Diluted Earnings per Share	$	0.44

Wolverine Bancorp Inc [Member]

Schedule of Purchase Price of Assets Acquired and Liabilities Assumed

Based on preliminary valuations of the fair value of tangible and intangible assets acquired and liabilities assumed, which are based on estimates and assumptions that are subject to change, the final purchase price for the Wolverine acquisition is allocated as follows:

Assets			Liabilities
Cash and due from banks	$	44,450	Deposits
			Non-interest bearing	$	25,221
Loans			NOW accounts		8,026
Commercial		276,167	Savings and money market		129,044
Residential mortgage		30,603	Certificates of deposit		94,688
Consumer		3,897	Total deposits		256,979
Total loans		310,667
Premises and equipment, net		2,941	Borrowings		36,970
FRB and FHLB stock		2,700	Interest payable		214
Goodwill		26,827	Other liabilities		6,154
Core deposit intangible		2,024
Interest receivable		584
Other assets		3,897
Total assets purchased	$	394,090	Total liabilities assumed	$	300,317
Common shares issued	$	62,111
Cash paid		31,662
Total estimated purchase price	$	93,773

Schedule of Acquired Loans Accounted for in Accordance with ASC 310-30

The following table details the acquired loans that are accounted for in accordance with ASC 310-30 as of October 17, 2017.

Contractually required principal and interest at acquisition	$	21,912
Contractual cash flows not expected to be collected (nonaccretable differences)		1,832
Expected cash flows at acquisition		20,080
Interest component of expected cash flows (accretable discount)		2,267
Fair value of acquired loans accounted for under ASC 310-30	$	17,813

Lafayette Community Bancorp [Member]

Schedule of Purchase Price of Assets Acquired and Liabilities Assumed

Based on preliminary valuations of the fair value of tangible and intangible assets acquired and liabilities assumed, which are based on assumptions that are subject to change, the purchase price for the Lafayette acquisition is detailed in the following table.

Assets				Liabilities
Cash and due from banks	$	24,846		Deposits
Investment securities, available for sale		6		Non-interest bearing	$	34,990
				NOW accounts		30,174
Loans				Savings and money market		53,663
Commercial		116,258		Certificates of deposit		32,520
Residential mortgage		12,761		Total deposits		151,347
Consumer		5,280
Total loans		134,299
Premises and equipment, net		7,818		Interest payable		42
FHLB stock		395		Other liabilities		990
Goodwill		15,408
Core deposit intangible		2,085
Interest receivable		338
Other assets		1,649
Total assets purchased	$	186,844		Total liabilities assumed	$	152,379
Common shares issued	$	30,044	(1)
Cash paid		4,421
Total estimated purchase price	$	34,465

⁽¹⁾  This includes $955,000 of common shares previously held by Horizon.

Schedule of Acquired Loans Accounted for in Accordance with ASC 310-30

The following table details an estimate of the acquired loans that are accounted for in accordance with ASC 310-30 as of September 1, 2017.

Contractually required principal and interest at acquisition	$	6,128
Contractual cash flows not expected to be collected (nonaccretable differences)		1,326
Expected cash flows at acquisition		4,802
Interest component of expected cash flows (accretable discount)		933
Fair value of acquired loans accounted for under ASC 310-30	$	3,869