What are German American Bancorp Inc's Business Segments?
German American Bancorp, Inc's. operations are primarily comprised of three
business segments: core banking, trust and investment advisory services, and
insurance operations.
The Company’s operations include three primary segments: core banking,
trust and investment advisory services, and insurance operations. The core banking
segment involves attracting deposits from the general public and using such
funds to originate consumer, commercial and agricultural, commercial and agricultural
real estate, and residential mortgage loans, primarily in the Company’s
local markets. The core banking segment also involves the sale of residential
mortgage loans in the secondary market. The trust and investment advisory services
segment involves providing trust, investment advisory, and brokerage services
to customers. The insurance segment offers a full range of personal and corporate
property and casualty insurance products, primarily in the Company’s banking
subsidiary’s local markets.
The core banking segment is comprised by the Company’s banking subsidiary,
German American Bancorp, which operated through 37 banking offices at December
31, 2015. Net interest income from loans and investments funded by deposits
and borrowings is the primary revenue for the core-banking segment. The trust
and investment advisory services segment’s revenues are comprised primarily
of fees generated by the trust operations of the Company's banking subsidiary
and by German American Investment Services, Inc. These fees are derived by providing
trust, investment advisory, and brokerage services to its customers. The insurance
segment primarily consists of German American Insurance, Inc., which provides
a full line of personal and corporate insurance products. Commissions derived
from the sale of insurance products are the primary source of revenue for the
insurance segment.
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