Full Description

Firstbank Corporation is a financial holding company. The wholly owned subsidiaries of the Company are Firstbank (Alma), Firstbank (West Michigan), Firstbank (Mt.Pleasant), Firstbank (West Branch), Firstbank (St. Johns), Keystone Community Bank, Firstbank (West Michigan) and FBMI Risk Management Services, Inc (a captive insurance company). The Company’s subsidiaries offers banking services, the acceptance of checking, savings, and time deposits and the making of commercial, mortgage (principally single family), home improvement, automobile, and other consumer loans. Trust services are offered to customers through Citizens Bank Wealth Management.

Firstbank (Alma) is a Michigan state chartered bank. It and its predecessors have operated continuously in Alma, Michigan since 1880. Its main office and one branch are located in Alma. Firstbank (Alma) also has one full service branch located in the communities near Alma: Ashley, Auburn, Ithaca, Merrill, Pine River Township, St. Charles, St. Louis and Vestaburg. Firstbank (Mount Pleasant) is a Michigan state chartered bank. Its main office and one branch are located in Mount Pleasant, Michigan. Firstbank (Mount Pleasant) also has two full service branches in each of Union Township and Lakeview, and one full service branch located in the counties near Mount Pleasant: Clare, Shepherd, Cadillac, Howard City, Morley, Remus, Canadian Lakes, and Winn.

Firstbank (West Branch) is a Michigan state chartered bank. Its main office and two branches are located in West Branch, Michigan. Firstbank (West Branch) also has one full service branch located in the communities near West Branch: Fairview, Hale, Higgins Lake, Prescott, Rose City, St. Helen and West Branch Township. First bank (St. Johns) is a Michigan state chartered bank. Its main office and one branch are located in St. Johns, Michigan. Firstbank (St. Johns) also owns one branch in Dewitt. Keystone Community Bank is a Michigan state chartered bank. Its main office and three branches are located in Kalamazoo with two additional branches in Portage and one branch in Paw Paw. Keystone Mortgage Services, LLC, is a 99% owned subsidiary of the bank. Keystone Premium Finance, LLC, is a 90% owned subsidiary of the bank. Keystone T.I. Sub, LLC is wholly owned by the bank, and KCB Title Insurance Agency, LLC is a 50% owned subsidiary of Keystone T.I. Sub, LLC.

Firstbank (West Michigan) is a Michigan state chartered bank. Its main office and two branches are located in Ionia, with two additional branches in Belding, and one branch each in Hastings, Lowell, Sunfield, and Woodland.

Lending Activities

The lending portfolio of the Company include commercial and agricultural loans, commercial real estate loans, real estate mortgage loans, real estate construction and commercial loans. During the year ended December 31, 2008, the commercial and agricultural loans for the Company were at $184,455,000. In 2008, the commercial real estate loans for the Company were at $391,572,000. During 2008, the real estate mortgage loans for the Company were at $403,695,000. In 2008, the real estate construction loans for the Company were at $103,206,000. During 2008, the consumer loans for the Company were at $75,296,000.

Investment Activities

The investment portfolio for the Company includes the United States Government agencies securities, States and Political subdivisions, mortgage-backed securities, and corporate and other securities. During 2008, the United States Government Agencies securities were at $64,102,000. In 2008, the states and political subdivisions securities were at $1,622,000. The mortgage-backed securities for the Company were at $9,446,000. The corporate and other securities for the Company were at $6,047,000 in 2008.

Sources of Fund

The deposits portfolio of the Company includes the non-interest bearing demand deposits, interest-bearing demand deposits, other savings deposits and other time deposits. During 2008, the non-interest bearing deposits of the Company were at $147,804,000. In 2008, the interest-bearing demand deposits of the Company were at $221,732,000. During 2008, the other savings deposits of the Company were at $156,326,000. In 2008, the other time deposits of the Company were at $498,443.