First Mid-Illinois Bancshares, Inc. is a financial holding company. The Company
is engaged in the business of banking through its wholly owned subsidiary, First
Mid-Illinois Bank & Trust, N.A. (“First Mid Bank”). The Company
provides data processing services to affiliates through another wholly owned
subsidiary, Mid-Illinois Data Services, Inc. (“MIDS”). The Company
offers insurance products and services to customers through its wholly owned
subsidiary, The Checkley Agency, Inc. doing business as First Mid Insurance
Group (“First Mid Insurance”). The Company also wholly owns two
statutory business trusts, First Mid-Illinois Statutory Trust I (“Trust
I”), and First Mid-Illinois Statutory Trust II (“Trust II”),
both unconsolidated subsidiaries of the Company.
The Company, a Delaware corporation, was incorporated on September 8, 1981,
and pursuant to the approval of the Board of Governors of the Federal Reserve
System (the “Federal Reserve Board”) became the holding company
owning all of the outstanding stock of First National Bank, Mattoon (“First
National”) on June 1, 1982. First National changed its name to First Mid-Illinois
Bank & Trust, N.A. in 1992. The Company acquired all of the outstanding
stock of a number of community banks or thrift institutions on the following
dates, and subsequently combined their operations with those of the Company:
Mattoon Bank, Mattoon on April 2, 1984
State Bank of Sullivan on April 1, 1985
Cumberland County National Bank in Neoga on December 31, 1985
First National Bank and Trust Company of Douglas County on December 31, 1986
Charleston Community Bank on December 30, 1987
Heartland Federal Savings and Loan Association on July 1, 1992
Downstate Bancshares, Inc. on October 4, 1994
American Bank of Illinois on April 20, 2001
Peoples State Bank of Mansfield on May 1, 2006
In 1997, First Mid Bank acquired the Charleston, Illinois branch location and
the customer base of First of America Bank and in 1999 acquired the Monticello,
Taylorville and DeLand branch offices and deposit base of Bank One Illinois,
N.A.
First Mid Bank also opened a de novo branch in Decatur, Illinois (2000); de
novo branches in Champaign, Illinois and Maryville, Illinois (2002), a de novo
branch in Highland, Illinois (2005) de novo branches in Decatur, Illinois and
Champaign, Illinois (2009), and a de novo branch in Decatur, Illinois (2013).
In 2002, the Company acquired all of the outstanding stock of First Mid Insurance,
an insurance agency located in Mattoon.
On September 10, 2010, First Mid Bank acquired 10 Illinois branches (the “Branches”)
from First Bank, a Missouri state chartered bank, located in Bartonville, Bloomington,
Galesburg, Knoxville, Peoria and Quincy, Illinois.
On August 14, 2015 First Mid Bank acquired 12 Illinois branch offices (the
"ONB Branches") of Old National Bank in Southern Illinois, a national
banking association having its principal office in Evansville, Indiana, located
in Lawrenceville, Mt Carmel, Mt Vernon, Carmi, De Soto, Murphysboro, Marion,
Harrisburg, Carterville and Carbondale, Illinois.
On December 1, 2015 FIrst Mid Insurance acquired Illiana Insurance Agency,
LTD ("Illiana"), an insurance agency based in Philo, Illinois.
Growth through acquisitions has been an integral part of the Company’s
strategy for an extended period of time. When reviewing acquisition possibilities,
the Company focuses on those organizations where there is a cultural fit with
its existing operations and where there is a strong likelihood of building shareholder
value. Most past acquisitions have been cash-based transactions. The Company
would also consider a stock-based acquisition if the strategic and financial
metrics were compelling.
Customer Strategy. The Company uses its market and customer knowledge to build
relationships that provide high-value customer experiences that continually
improve customer satisfaction and loyalty.
Employee Strategy. The Company strives for employee engagement at all levels
of the organization. The judgments, experiences and capabilities of these employees
are used to create an environment where meeting the needs of our customer, communities
and stockholders is always a priority.
Strategy for Operations & Infrastructure. Operationally, the Company centralizes
most administrative and operational tasks within its home office in Mattoon,
Illinois. This allows branches to maintain customer focus, helps assure compliance
with banking regulations, keeps fixed administrative costs at as low a level
as practicable, and allows for better management of risk inherent in the business.
The Company also utilizes technology where practicable in daily banking activities
to reduce the potential for human error. While the Company does not employ every
new technology that is introduced, it attempts to be competitive with other
banking organizations with respect to operational and customer technology
3.68%