FARMERS &
MERCHANTS
B A N C O RP, I NC.
2022
ANNUAL REPORT
Celebrating 125 Years in the Community
A letter from our
PRESIDENT & CEO
Dear Shareholders,
On behalf of everyone at F&M, I am proud to share
the progress we made during 2022. For the year
ended December 31, 2022, F&M achieved another
year of record net income, earnings per share, total
assets, and loans, which reflects our commitment
to create sustainable value for our customers,
associates, communities, and shareholders. In
addition, our achievements during 2022 represent
the successful completion of the three-year
strategic plan we began implementing in 2019. Our
2019 strategic plan was focused on five key pillars
including 1) customer acquisition and retention,
2) attract, develop and retain talent, 3) actively
pursue accretive acquisitions, 4) drive financial and
operating excellence, and 5) develop a compelling
digital strategy. I am extremely pleased by the
progress we have made over the past three years
as we have become a highly profitable financial
institution with over $3 billion in total assets and
operations in Ohio, Indiana, and Michigan. Our
success is also a result of our commitment to
our communities, the local financial services we
provide customers, and the dedication and hard
work of our team members. As we look to the
future, we will remain focused on nurturing lasting
relationships and helping our customers realize
their best lives.
125th Anniversary and Celebration
Throughout 2022, F&M celebrated 125 years of
serving its local communities. As you may know,
Farmers & Merchants State Bank was founded on
April 1, 1897, by six local businessmen who realized
the need for a bank in the village of Archbold, Ohio.
F&M’s commitment to serve its communities
by offering local and expert financial services to
customers and providing a safe, committed and
positive work environment to our employees
has been key to our growth and success. Since
the Company’s founding, F&M has expanded
throughout Northwest Ohio, Northeast Indiana
and Southern Michigan. Today, F&M has 33 full-
service office locations in Ohio and Indiana, four
Loan Production Offices, a brokerage firm, FM
Investment Services, and a subsidiary captive
insurance company.
Celebrations to commemorate our 125th year
anniversary included special events, promotions,
and donations throughout our communities.
During the month of April 2022, every F&M office
hosted an anniversary party for employees and
customers with $125 cash giveaways at each
office. On July 18, 2022, over 50 members of the
F&M family, including 11, 30+ year employees,
went to the Nasdaq Market Site in the heart of
Times Square to ring the closing bell. The closing
bell ceremony at Nasdaq was a once-in-a-lifetime
event for many of us at F&M. It brought the
Company to the national spotlight, and I was happy
to share it with many of the people that make
F&M such a special place. Throughout the year,
our customers enjoyed special deposit and loan
product promotions to celebrate our anniversary.
Finally, the Board declared a special one-time cash
dividend of $0.0125 in June to honor F&M’s 125th
anniversary.
Invested in Our Communities
We ended 2022 with a record amount of charitable
giving, which was up nearly 48% from the prior year.
We provided $642,000 of charitable donations to
support organizations throughout Indiana and
Ohio. Because to the success of our 5th Annual Ohio
F&M Charity Golf Classic, we expanded our efforts
and hosted the inaugural Indiana F&M Charity Golf
Classic in October. Combined, these two events
raised approximately $45,000 for organizations in
our Ohio and Indiana communities. For the year,
our chartiable giving went to support organizations
including Connecting Kids to Meals, Community
Harvest Food Bank, 50 North Community Center,
several local Amish Schools, Archbold Parks and
Recreation, Arts Place in Portland, Jumpstart in
Toledo, Foundation of Independent Colleges, and
the Sauder Museum Farm & Craft Village.
Invested in Our Team
Our record results are fueled by our talented, high
performing team members and I am pleased with
the progress we continue to make attracting,
developing, and retaining highly engaged, top
talent in our areas. We also continue to promote
an inclusive work environment. Of the top 13
executives of the bank, 46% are women, compared
to just 30% three years ago. In addition, we
continued to expand our team by promoting over
45 associates and hiring over 150 new employees.
During the year, Eric Faust was appointed Senior
Vice President and Chief Risk Officer (CRO) and
brings prior CRO and regulatory experience to
F&M. This is the first CRO in F&M’s history, and since
Eric’s appointment, we have built a comprehensive
risk team and expanded our capabilities. This
includes implementing an enhanced dashboard
for cybersecurity measurement and awareness
and creating a cyber committee at both the Board
and Senior Executive levels, as well as additional
resources to manage enterprise and regulatory
risks across F&M’s platform.
Andy Baker joined F&M in November as the Regional
President for our Northern Indiana market. Andy
brings over 27 years of banking experience, most
recently as Executive Vice President and Market
Manager for PNC. He has a long and proven history
2
of building markets and his incredible leadership
skills will benefit F&M as we look to enhance our
Northern Indiana market.
In 2022, Benét Rupp was promoted to Executive
Vice President and to Chief Administrative Officer,
managing F&M’s loan operations, HR, strategic
planning, and deposit administration functions.
Shalini Singhal was promoted to Chief Information
Officer and assumed additional responsibilities
associated with the Company’s M&A integration
strategies. Alexis Smith was promoted to Chief
People Officer, leading Human Resources for F&M
inclusive of talent, learning, benefits, organization
development and payroll. Amy Cover was
promoted to Chief Marketing Officer, responsible
for marketing and brand strategy, communications
and public relations across F&M’s footprint. Finally,
Benét, Shalini, Alexis, and Amy are instrumental
members of the Company’s executive team and
I look forward to their increased leadership and
continued contributions to F&M.
After a 48-year tenure at F&M, Ed Leininger, EVP
& Chief Operating Officer, retired in June 2022.
Ed began in the bookkeeping department when
the Bank had two offices in Ohio and $45 million in
assets and he was an integral part of F&M’s growth.
Throughout his career at F&M, Ed was a wonderful
mentor, leader, and partner to our communities.
On behalf of the entire F&M family and I wish him all
the best in his well-deserved retirement.
Invested in Accretive Acquisitions
Acquisitions have been an important part of our
strategy over the past three years, and I am pleased
to report that in October 2022 we completed
the acquisition of Peoples-Sidney Financial
Corporation (“Peoples”). The Peoples acquisition
represents the fifth acquisition we have closed
since 2019. It expands our presence in Sidney,
Ohio and throughout greater Shelby County by
adding offices in Sidney, Anna and Jackson Center,
and a drive-through facility in Sidney. Peoples also
contributed approximately $133 million in total
assets, over $104.6 million in loans, and $111.9
million in deposits. Excluding one-time transaction
costs, we expect the transaction to be accretive
to earnings in 2023 and for it to provide a payback
period of approximately 3.25 years. Overall, F&M
has created a compelling acquisition platform and
acquisitions remain an important component of
our strategic growth plan. As a result, we remain
committed to pursuing acquisitions of community
banks within our core market areas that share our
core community banking values.
2022 Financial Recap
As you can see, the investments we are making
“Our success is also a result of our commitment
to our communities, the local financial services
we provide customers, and the dedication and
hard work of our team members.“
have enhanced our competitive position, provided
our communities with more resources and better
services, and created a powerful platform for F&M
to excel. These investments are also reflected in
our financial results and for the eighth consecutive
year, we produced record annual financial results
in 2022 including record net income, earnings per
share, net loans, and total assets. Net income
for the year ended December 31, 2022, was a
record of $32.5 million, or $2.46 per diluted share,
compared to $23.5 million, or $2.01 per diluted
share for the same period last year. We achieved
record net income in 2022, despite one-time costs
associated with the Peoples acquisition. Adjusted
net income, excluding one-time tax adjusted
acquisition expenses, was $34.6 million, or $2.62
per diluted share for the year ended December
31, 2022, compared to $26.6 million, or $2.28 per
diluted share for the year ended December 31,
2021.
At December 31, 2022, total loans, excluding PPP
loans, and loan balances at the time of the Peoples
acquisition, increased organically by $397.0 million,
or by 21.4% from December 31, 2021. In addition,
total loans including the October 2022 Peoples
acquisition, increased 26.9% to a record $2.356
billion at December 31, 2022. The significant loan
growth we achieved in 2022 reflects our strong
team of lenders throughout Ohio, Indiana, and
Michigan and our local presence, personalized
services, and quick decision making. Our asset
quality has also improved over the past 12 months
reflecting our prudent approach to risk. Even as
our total loans increased 26.9% year-over-year,
our nonperforming loans declined 41.9% over
this period, and we have no loans that are 90 days
past due and accruing. As a result, nonperforming
loans to total loans was 0.20% at December 31,
2022, compared to 0.43% at December 31, 2021.
for deposits
At December 31, 2022, total deposits were a
record $2.47 billion. The 12.6% increase from
December 31, 2021, was a result of the Peoples
acquisition and organic growth from expanding
relationships with new and existing customers.
The competition
intensified
throughout the year as a result of aggressive
actions taken by the Federal Reserve to raise
interest rates and reduce inflation. This caused
our cost of interest-bearing liabilities to increase
to 0.74% for the year ended December 31, 2022,
compared to 0.48% for the year ended December
31, 2021. Despite the increase in our cost of
interest-bearing liabilities, our net interest margin
remained stable and was 3.32% for the year ended
December 31, 2022, compared to 3.31% for the
same period a year ago.
Capital Allocation
Record financial results support the Company’s
growing dividend policy. F&M paid a record $10.8
million of dividends to our shareholders in 2022,
an increase of 30.4% over the prior year. F&M
has increased its annual dividend payment for 28
consecutive years reflecting our commitment to
returning capital to shareholders. In fact, according
to data from S&P Global Market Intelligence, of
the nearly 800 publicly traded banks, F&M has the
9th longest track record of consecutive dividend
increases.
New Strategic Growth Plan
After the success of our 2019 strategic growth
plan, in 2022 we developed a new, three-year plan
to guide the next phase of F&M’s evolution. Our
2023 plan builds on many of the key strategies
developed under our 2019 plan.
Overall, we
continue to believe F&M’s community-oriented
approach fills a significant need across our markets
as many larger banks don’t provide local resources
to assist customers and many community banks
lack modern banking platforms to support
customers’ needs.
As we follow our new strategic growth plan,
2023 will be a year of meaningful investments
aimed at growing our presence in attractive
markets, expanding our team, and enhancing
our capabilities. During 2023, we will open new
full-service offices in Toledo, Ohio, Fort Wayne,
Indiana, and Birmingham, Michigan, as well as an
office relocation in Auburn, Indiana. Top talent is
required to support our growth and geographic
expansion, while providing our customers with
Throughout 2023, we
best-in-class service.
will continue to focus significant resources on
attracting, developing, and
retaining highly
engaged talent. Expanding our banking resources
and platform will be another important area
of investment during 2023. Priorities include
supporting our digital growth initiatives, further
enhancements to our risk team, and expanding
our IT infrastructure.
Outlook
After several years of strong economic growth
and expansionary monetary policy, we expect
2023 to be a more challenging year for the U.S.
economy as the Federal Reserve combats inflation
and maintains a hawkish interest rate stance.
Rapid rate increases throughout much of 2022
have impacted business activity and important
3
for
tighter
addition,
rates
increased
economic
sectors like
the housing
i n d u s t r y .
In
higher
have
the competition
We are not
deposits.
immune
from
interest rate policies, but
we believe our Bank
positioned to navigate any near-
term economic challenges as a
result of our strong capital levels,
robust asset quality, profitable financial
model, and most importantly the value we
provide our customers. We believe profitability in
2023 will be temporarily impacted by the planned
strategic investments we are making to enhance
our business and support future growth. In
addition, we believe our larger scale and diversified
geographic footprint provide additional benefits
that will help us navigate a more uncertain
economic period.
is well
Conclusion
As we turn the page on our 125th anniversary, I
am encouraged by our performance during 2022
and outlook for the future. We have built a leading
financial institution that provides our communities
with superior local services and nurtures lasting
relationships. This is the cornerstone of our
community banking approach, which will support
and grow our business for decades to come. I
am proud of our record operating and financial
accomplishments, and I am excited about what the
future holds for F&M’s communities, customers,
associates, and shareholders.
Sincerely,
Lars Eller
President and CEO
OUR LEADERSHIP
Board of Directors & Senior Management
BOARD OF DIRECTORS Front row, from left: Marcia S. Latta, Vice President-University of Findlay Division of University Advancement, Jo Ellen
Hornish, CEO-Hornish Bros, Inc., Fountain City Leasing, Inc., Powder Coating, Inc., Lars B. Eller, President/Chief Executive Officer-Farmers & Merchants
Bancorp, Inc., Farmers & Merchants State Bank, Jack C. Johnson, Chairman of the Board, President-Hawks Clothing, Inc.; Lori A. Johnston, President-
ProMedica Insurance Corp., Back Row, from left: Andrew J. Briggs, Retired, former Chairman-Limberlost Bancshares, Inc., President-Bank of Geneva,
K. Brad Stamm, President and Educational Consultant-Stamm Management Group, Eugene N. Burkholder, President-Falor Farm Center, Inc., David P.
Vernon, Owner, Licensed Funeral Director & Embalmer-Vernon Family Funeral Homes, Kevin J. Sauder, President/CEO-Sauder Woodworking Co., Frank
R. Simon, Founding & Managing Member/Attorney-Simon PLC Attorneys & Counselors, Steven J. Planson, President-Planson Farms, Inc.
FARMERS & MERCHANTS BANCORP, INC. RINGS
THE NASDAQ STOCK MARKET CLOSING BELL.
President and Chief Executive Officer, Lars Eller, as well as
members of the Company’s Board of Directors, Leadership
Team, and 30+ year employees celebrate 125 years and 5
years listed on the Nasdaq by ringing the Nasdaq Closing
Bell on Monday, July 18, 2022.
SENIOR MANAGEMENT Front row, from Left: Brett Baumeister, Senior Vice President, Regional President; Barbara J. Britenriker, Executive Vice
President, Chief Retail Banking Officer, Chief Financial Officer (Bancorp); Lars B. Eller, President, Chief Executive Officer; Phillip P. Lucas, Senior Vice
President, Regional President East Central Indiana; Katrina L. DeGroff, Senior Vice President, Chief Financial Officer (Bank); Shalini Singhal, Senior
Vice President, Chief Information Officer; Back Row, from left: Rex D. Rice, Executive Vice President, Chief Lending Officer; Eric D. Faust, Senior Vice
President, Chief Risk Officer; Alexis E. Smith, Vice President, Chief People Officer; Amy L. Cover, Vice President, Chief Marketing Officer; Benét S. Rupp,
Executive Vice President, Chief Administrative Officer; Andrew S. Baker, Senior Vice President, Regional President Northern Indiana; David R. Gerken,
Senior Vice President, Senior Commercial Banking Manager.
4
Celebrating
Celebrating
125 YEARS
IN THE COMMUNITY
“We are proud to celebrate our 125th year anniversary with our friends, customers and communities.
We would not be where we are today without the dedication of our team and leadership, both past
and present. While our footprint has greatly expanded, our values remain true to our original mission.
We look forward to providing leading financial products and services to our customers, associates,
shareholders and communities for many more years to come.” - Lars Eller, President and CEO
1897
The Farmers & Merchants
State Bank is a community
bank, as it has been since
1897. The bank’s first office
was one room located in
the Vernier Hotel building,
currently occupied by the
Archbold Barber Shop.
1919
The founding directors
elected to change from
a private bank to a state
chartered bank and at
this time changed its
name from the Farmers
& Merchants Bank to The
Farmers & Merchants State
Bank as required in the
state charter.
1969
With resources over $23 million in 1969,
The Farmers & Merchants State Bank
again realized the need for additional
space and inaugurated a building
expansion, which nearly doubled the
original structure built in 1958.
1958
The bank moved to N.
Defiance Street, greatly
improving service to its
customers and offering
drive-up banking,
electronic bookkeeping,
convenient parking, and
a social room for the
community to use.
1985
In 1985, the conversion
of the former bank, The
Farmers & Merchants
State Bank, into a holding
company structure was
performed to provide
greater flexibility for
expanding the banks
business into activities
closely related to
banking.
1994
1994 was a very special year for The Farmers &
Merchants State Bank. Earnings were very strong,
asset quality remained outstanding, and the bank
expanded its presence within its market area.
6
1907
The first new structure was built on the corner of
Depot and North Defiance Streets. The bank was
heralded as one of the most unusual and attractive
banks in the area, featuring marble interior, brass
trimmed teller cages, tile floor, leaded windows,
and high vaulted ceilings.
2017
Farmers & Merchants Bancorp
announced its listing on NASDAQ
and was added to the ABA
NASDAQ Community Bank Index
1996
In June of 1996, Farmers &
Merchants Bancorp split its
stock, 5 for 1. The goal was to
bring the price per share down
so it would be more affordable
and possibly encourage trading.
2002
Construction
of the new
Operations
Center began on
Clyde’s Way in
Archbold.
2007
The Bank made its first
acquisition when it purchased
Knisely Bank based in Butler,
Indiana. Knisely Bank had
offices in Auburn, Butler and
St. Joe, Indiana.
2016
A significant time in F&M history.
F&M passes the billion dollar
barrier in assets.
2020
F&M purchased the assets
and clients of Adams
County Financial Resources
located in Geneva, IN. F&M
also opened three Loan
Production offices located in
Oxford, OH, Muncie, IN, and
West Bloomfield, MI.
2018
Farmers & Merchants
Bancorp agreed to
acquire Limberlost
Bancshares base in
Geneva, Indiana
2021
F&M announces the acquisition
of Ossian Financial Services, Inc.,
adding two offices in Ossian and
Bluffton, IN.
F&M announces its second
acquisition of the year, Perpetual
Federal Savings Bank of Urbana,
adding one office in Urbana. OH.
2019
F&M added Offices in
Berne, Decatur, Geneva,
Monroe, Monroeville and
Portland and added Adams
and Jay Counties in Indiana
to the F&M footprint.
2022
F&M celebrates 125th Anniversary.
F&M completes the acquisition of
Peoples Federal Savings and Loan
Association, adding 3 new offices to
the F&M footprint in Anna, Jackson
Center, and Sidney, OH.
7
WE ARE ROOTED
IN COMMUNITY.
There are banks that start out small and get too big to fail. Too corporate to connect
with customers. Too automated to stay human. F&M Bank is as far from that as a
bank can get. This is a place where you can call the CEO and he answers. Where
customers feel embraced like family. Where relationships matter a whole lot more
than quotas. Where it’s about being flexible, not checking off a list. When you’re
local and rural and your customers are farmers, local businesses and neighbors, you
respect your deep roots in the community, and you live by them.
WE VALUE HARD WORK
& Human Connections.
We don’t have high marks to hit. We just have high standards. We don’t commit a value
statement to memory. We just have solid, traditional values. We don’t look at solutions like
products on a shelf. We tailor them to fit what works for the customer. So we get out in the
community and get to know our customers. We cheer on the sidelines of football games
and parades. We volunteer to build homes while building relationships. Real, honest-to-
goodness teamwork. That’s who we are.
Our customers work hard. So do we.
Born from hard work and determination, the
F&M team has never been afraid of rolling up
their sleeves. You ask a certain something from
yourself and do whatever it takes to help our
hardworking families, farmers and communities
succeed. Why? Because banking on their
success is our business. As a financial institution
with over 125 years of trust-building experience,
it’s important to reinforce our strong sense of
commitment to our customers.
WE GENUINELY CARE.
Life is full of unknowns and curveballs. The only constant
is how we look out for each other as people. So our
promise is this: We will always work hard for our
customers, because we know how hard they
work. We value the trust they place in us. And we
genuinely care. For us, that’s not just how you
build a bank. It’s how you build community.
WE NURTURE LASTING
RELATIONSHIPS
8
9
OFFICERS
SENIOR MANAGEMENT
Lars B. Eller
President
Chief Executive Officer
Barbara J. Britenriker
Executive Vice President
Chief Retail Banking Officer
Chief Financial Officer (Bancorp)
Benét S. Rupp
Executive Vice President
Chief Administrative Officer
Rex D. Rice
Executive Vice President
Chief Lending Officer
Andrew S. Baker
Senior Vice President
Regional President
Brett Baumeister
Senior Vice President
Regional President
David R. Gerken
Senior Vice President
Senior Commercial Banking Manager
Eric D. Faust
Senior Vice President
Chief Risk Officer
Katrina L. DeGroff
Senior Vice President
Chief Financial Officer (Bank)
Phillip P. Lucas
Senior Vice President
Regional President
Shalini Singhal
Senior Vice President
Chief Information Officer & CISO
Amy L. Cover
Vice President
Chief Marketing Officer
Alexis E. Smith
Vice President
Chief People Officer
AGRICULTURE &
COMMERCIAL BANKING
Brian C. Ternet
Senior Vice President
Commercial Banker
Michael F. Schnitkey
Senior Vice President
Agri Finance Manager
Robert D. Graham
Senior Vice President
Commercial Banker
Rob Slusser
Senior Vice President
Market President
Adam Bennett
Vice President
Commercial/Agri Finance Banker
Amy J. Hammons
Vice President
Commercial/Agri Finance Banker
Blake H. Fox
Vice President
Commercial/Agri Finance Banker
Chad M. Harris
Vice President
Commercial/Agri Finance Banker
Curtis M. Metz
Vice President
Commercial Banker
Dan R. Clark
Vice President
Commercial Banker
Dana N. Snyder
Vice President
Commercial Banker
Derek P. Loeffler
Vice President
Agri Finance Banker
Douglas W. Shaw, Jr.
Vice President
Regional Commercial Banking Manager
James E. Collins
Vice President
Commercial/Agri Finance Banker
Jeffery C. Shrader
Vice President
Commercial Banker
John D. Kantner
Vice President
Commercial Banker
Josh Buehler
Vice President
Commercial/Ag Banker II
Kelby J. Schmucker
Vice President
Credit Decisioning Manager
Kenneth J. Schoen
Vice President
Commercial/Agri Finance Banker
Kevin J. Becker
Vice President
Deputy Chief Credit Officer
Kirk R. Keiser
Vice President
Agri Finance Banker
10
Kirk T. Wensink
Vice President
Agri Finance Banker
Lee A. Panagiotides
Vice President
Commercial Banker
Lesley R. Shirkey
Vice President
Commercial & Ag Administration Manager
Logan A. Frey
Vice President
Commercial Banker
Micah W. Hefty
Senior Vice President
Commercial/Agri Finance Banker
Michael J. Rywalski
Vice President
Regional Commercial Banking Manager
Robert E. Rhoades
Vice President
Commercial/Agri Finance Banker
Robert K. Weaver
Vice President
Commercial Banker
Ruth A. Kauffman
Vice President
Credit Manager
Steven R. Habig
Vice President
Commercial Banker
Thomas W. Lueck
Vice President
Commercial Banker
Tim Porter
Vice President
Commercial/Agri Finance Banker
Todd Ferrell
Vice President
Commercial Banker
William B. Millice
Vice President
Commercial/Ag Banker II
Allan J. Kinsman
Assistant Vice President
Commercial Banker
Brittany McCann
Assistant Vice President
Commercial Loan Supervisor
Jacob T. Willey
Assistant Vice President
Commercial Banker
Jared M. Heyerly
Assistant Vice President
Senior Credit Analyst
Joel Schneider
Assistant Vice President
Commercial Portfolio Manager
Adam N. Chambers
Assistant Vice President
Home Loan Originator
John M. Hulyk
Assistant Vice President
Commercial Portfolio Manager
Julie B. Steiner
Assistant Vice President
Credit Analyst
Sharon D. Blair
Assistant Vice President
Loss Mitigation Manager
Timothy A. DeCant
Assistant Vice President
Commercial Banker
RETAIL BANKING
Taryn L. Marino
Senior Vice President
Retail Banking Manager
Amanda L. Brandenburg
Vice President
Regional Community Relationship
Banker
Arthur J. Short
Vice President
Indirect Consumer Lending
Manager
Curtis H. Rash
Vice President
Treasury Management Sales
Eric Peterson
Vice President
Regional Community
Relationship Banker
Jennifer A. Knapp
Vice President
Regional Community
Relationship Banker
Jonathan S. Kundo
Vice President
Regional Community
Relationship Banker
Mary E. Stefko
Vice President
Home Loan Manager
Marybeth Shunck
Vice President
Senior Consumer Lender
Private Banker
Michael T. Smith
Vice President
Regional Community
Relationship Banker
Trisha L. Schneider
Vice President
Treasury Management
Sales Manager
April M. Witte
Assistant Vice President
Deposit Accounts Supervisor
Brenda L. Mossing
Assistant Vice President
Business Development Officer
Casey Robbins
Assistant Vice President
Home Loan Originator
Christopher Coy
Assistant Vice President
Home Loan Originator
Connie S. Nickells
Assistant Vice President
Business Development Officer
Corey Rodgers
Assistant Vice President
Business Development Officer
Crystal M. Jordan
Assistant Vice President
Business Development Officer
Dana E. Sauveur
Assistant Vice President
Home Loan Process Manager
Debra L. Cochran
Assistant Vice President
Home Loan Originator
Eric T. Warrick
Assistant Vice President
Regional Community
Relationship Banker
Jeremy Davis
Assistant Vice President
Home Loan Originator
John Mezinko
Assistant Vice President
Home Loan Originator
Joey C. Sherwood
Assistant Vice President
Business Development Officer
Josiah Shaffer
Assistant Vice President
Home Loan Originator
Judith G. Pusateri
Assistant Vice President
Senior Home Loan Originator
Judy L. Heflin
Assistant Vice President
Home Loan Originator
Katherine S. Thorpe
Assistant Vice President
Home Loan Originator
Larry D. Lechel
Assistant Vice President
Home Loan Originator
Leigh M. Boothman
Assistant Vice President
Senior Home Loan Originator
Margaret L. Carico
Assistant Vice President
Senior Home Loan Originator
Michael E. Nitchman
Assistant Vice President
Home Loan Originator
Michael L. Straley
Assistant Vice President
Home Loan Originator
Patricia R. Burkholder
Assistant Vice President
Home Loan Originator
Philip A. Constien
Assistant Vice President
Business Development Officer
Sara A. Jones
Assistant Vice President
Business Development Officer
Shauna L. Cotter
Assistant Vice President
Business Development Officer
Travis G. Hunt
Assistant Vice President
Senior Home Loan Originator
Todd Lotz
Assistant Vice President
Business Development Officer
Vandee Salay
Assistant Vice President
Home Loan Originator
AUDIT, COMPLIANCE
& RISK
Kent E. Roth
Vice President
Risk Manager/Security Officer
Marilyn K. Johnson
Vice President
Compliance & CRA Manager
Jacqueline K. Wells
Assistant Vice President
Bank Secrecy Officer
R. Jeffrey Justus
Assistant Vice President
Internal Audit Manager
Daniel T. Kiscoe
Assistant Vice President
Assistant Compliance & CRA
Manager
11
OPERATIONS
D. Robin Timbrook
Vice President
Deposit Services Manager
Jane C. Bruner
Vice President
Payment Systems Manager
Tim Carsey
Vice President
Sr. Operations Manager
Timothy W. Dubach
Vice President
Vendor/BCP Project Manager
Steve Goins
Vice President
Regional Vendor Management/BCP
Coordinator
Kimberly A. Graber
Assistant Vice President
Retail Loan Servicing Supervisor
Michael S. Hess
Assistant Vice President
Systems Engineer
Traci D. Tucker
Assistant Vice President
Loan Operations Manager
SUPPORT
Donna Williams
Vice President
Team Member Conversion
Consultant
Jared E. Riblet
Assistant Vice President
Financial Reporting Manager
Kevin L. Schaffner
Assistant Vice President
Facility Manager
Lisa M. Beverly
Comptroller
Lydia A. Huber
Corporate Secretary
INVESTMENT
SERVICES
Jason P. Maassel
Vice President
FM Investment Manager
Lorie A. Garwood
Vice President
Financial Advisor
2022 FINANCIAL HIGHLIGHTS
38.4%
Annual record of $32.5 million!
INCREASE IN
NET INCOME
55.95%
EFFICIENCY RATE
Improved for full year 2022
Earnings per Share
increased 22.4%
to an annual record of
$2.46 per basic and
diluted share
$
12.6% INCREASE
IN DEPOSITS
2022 - 2.47 billion
2021 - 2.19 billion
ANNUAL DIVIDEND PAYMENT
Increased 14.4% to $0.8125 per share,
which included a $0.0125 special dividend
in honor of the Company’s 125th Anniversary
2022
2021
+14.4%
$641,542
IN CHARITABLE DONATIONS TO SUPPORT
ORGANIZATIONS THROUGHOUT INDIANA & OHIO
STOCK PERFORMANCE
26.9%
INCREASE IN
TOTAL LOANS
Record increase
to $2.36 billion!
2022
n
o
i
l
l
i
b
2
0
3
$
.
2021
n
o
i
l
l
i
b
4
6
2
$
.
39.2%
INCREASE IN
TOTAL ASSETS
250.00
200.00
150.00
100.00
50.00
2017
2018
2019
2020
2021
2022
FMAO
NASDAQ - COMPOSITE
NASDAQ - BANK INDEX
12
FINANCIAL DATA
SUMMARY OF CONSOLIDATED STATEMENT OF INCOME
(In Thousands, except share Data)
2022
2021
2020
2019
2018
SUMMARY OF INCOME
Interest income
Interest expense
Net Interest Income
Provision for loan losses
Net interest income after
provision for loan losses
Other income (expense), net
Net income before
income taxes
Income Taxes
Net income
$
$
101,149
14,362
86,787
4,600
82,187
(41,712)
40,475
7,960
32,515
PER SHARE OF COMMON STOCK
Earnings per common share outstanding *
Net income
Dividends
$
$
2.46
0.8125
$
$
$
$
76,840
7,342
69,498
3,444
66,054
(36,557)
29,497
6,002
23,495
2.01
0.71
$
$
$
$
70,169
10,393
59,776
6,981
52,795
(27,589)
25,206
5,111
20,095
1.80
0.66
$
$
$
$
68,306
14,759
53,547
1,138
52,409
(29,647)
22,762
4,360
18,402
1.66
0.61
$
$
$
$
46,429
6,572
39,857
324
39,533
(21,283)
18,250
3,301
14,949
1.61
0.56
Weighted average number
of shares outstanding,
including participating
securities
13,206,713
11,664,852
11,146,270
11,113,810
9,272,964
*Based on weighted average number of shares outstanding
1
2
0
2
SUMMARY OF CONSOLIDATED BALANCE SHEET
(In Thousands)
2022
2021
2020
2019
2018
SUMMARY OF INCOME
Total Assets
Loans, net
Total deposits
Stockholders’ equity
KEY RATIOS
Return on average equity
Return on average assets
Loans to deposits
Capital to assets
Dividend payout
$ 3,015,351
2,336,074
2,468,864
298,140
$ 2,638,300
1,841,177
2,193,462
297,167
$ 1,909,544
1,289,318
1,596,162
249,160
$ 1,607,330
1,211,771
1,288,347
230,258
$ 1,116,163
839,599
928,790
143,287
11.30%
1.17%
94.62%
9.89%
32.74%
9.09%
1.05%
83.94%
11.26%
35.08%
13
8.38%
1.14%
80.78%
13.05%
36.36%
8.26%
1.23%
94.06%
14.33%
36.59%
10.86%
1.34%
90.40%
12.84%
34.40%
✓
MARKET AREA
You see greatness in your
community. So do we.
F&M Office
Loan Production Office
CORPORATE INFO
Farmers & Merchants Bancorp, Inc.
OHIO
Anna
Archbold
Bowling Green
Bryan
Bryan
Custar
Defiance
Delta
Findlay
Hicksville
Jackson Center
Montpelier
Napoleon
Oxford
Perrysburg
Sidney
Stryker
Swanton
Sylvania
Urbana
Waterville
Wauseon
West Unity
INDIANA
Angola
Auburn
Berne
Bluffton
Butler
Decatur
Fort Wayne
Geneva
Huntertown
Monroe
Muncie
Ossian
Portland
MICHIGAN
West Bloomfield
NATURE OF BUSINESS
Farmers & Merchants Bancorp, Inc. is a $3.0 billion bank
holding company headquartered in Archbold, Ohio.
Farmers & Merchants State Bank services 33 full-service
offices located in Champaign, Defiance, Fulton, Hancock,
Henry, Lucas, Shelby, Williams and Wood Counties in
Ohio and Adams, Allen, DeKalb, Jay, Steuben, and Wells
Counties in Indiana.
DIVIDEND REINVESTMENT
Farmers & Merchants Bancorp, Inc. has a Dividend
Reinvestment Plan administered by Computershare.
Shareholders of record have cash payments applied
toward the purchase of additional shares at no additional
cost. Shareholders desiring information about this
plan may contact Lydia Huber, Corporate Secretary at
419.446.2501 or toll-free 800.451.7843.
HEADQUARTERS
Farmers & Merchants Bancorp, Inc.
307 North Defiance Street
Archbold, Ohio 43502
Ph: 419.446.2501
Toll-free: 800.451.7843
www.fm.bank
Lydia Huber, Corporate Secretary
ANNUAL MEETING
April 17, 2023
1:30 p.m.
Virtual Event
COMMON STOCK LISTING
Farmers & Merchants Bancorp, Inc. common stock is traded
on the Nasdaq stock market under the symbol “FMAO.”
STOCK TRANSFER AGENT
Computershare
150 Royall Street
Canton, MA 02021
INDEPENDENT ACCOUNTANTS
FORVIS, LLP
111 E. Wayne Street, Suite 600
Fort Wayne, IN 46802-2600
DIVIDENDS
Common stock dividends are payable quarterly upon
authorization of the Board of Directors.
DIRECT DEPOSIT OF DIVIDENDS
Automatic direct deposit of quarterly dividends into
a deposit account is offered to our shareholders and
provides secure and timely access to their funds.
For further information, please contact Lydia Huber,
Corporate Secretary at 419.446.2501 or toll-free
800.451.7843.
CORPORATE COUNSEL
Mr. Mark D. Hagans
Mr. Robert W. Bohmer
Rupp, Hagans & Bohmer, LLP
302 North Defiance St.
Archbold, OH 43502
Mr. Thomas Blank
Mr. David J. Mack
Mr. Martin Werner
Shumaker, Loop & Kendrick, LLP
1000 Jackson St.
Toledo, OH 43624
MARKET MAKERS
Boenning & Scattergood
400 Lydia Street, Suite 100
Carnegie, PA 15106
Ph: 800.889.6440
D. A. Davidson
3773 Attucks Drive
Powell, OH 43065
Ph: 800.394.9230
Keefe, Bruyette & Woods (KBW)
787 7th Avenue, 4th Floor
New York, NY 10019
Ph: 212.887.8901
Raymond James Financial, Inc.
222 S. Riverside Plaza, 7th Floor
Chicago, IL 60606
Ph: 800.800.4693
36
COMMUNITIES
115,260
TOTAL CUSTOMERS
14
440
EMPLOYEES
15
INDIANAOHIOMICHIGAN T
E
B
A
N
K
A
T
R
A
F
ME R S & M E R CHANTS S
1897125
125125IN THE COMMUNITY
O
L
O
K
YEARS
2022
D
W AR
I
N
G BACK MO V I N G F
R
O
FARMERS &
MERCHANTS
B A N C O RP, I NC.
307 N Defiance St
Archbold, OH 43502
(800) 451.7843
fm.bank