FirstMerit (FMER) 8-K FirstMerit Reports First Quarter 2003 EPS of $0.45

EXHIBIT 99

FirstMerit Reports First Quarter 2003 EPS of $0.45

Akron, OH – April 17, 2003 — FirstMerit Corporation (Nasdaq: FMER) today announced first quarter 2003 net income of $38.3 million, or $0.45 per diluted share. This compares to $36.6 million, or $0.43 per diluted share, for the fourth quarter of 2002 and net income of $43.5 million, or $0.51 per diluted share, for the first quarter of 2002.

For the first quarter of 2003, return on average common equity (“ROE”) and average assets (“ROA”) were 15.98% and 1.46%, respectively, compared with 15.03% and 1.39% for the fourth quarter of 2002 and 19.20% and 1.72% for the prior year quarter.

Commenting on the quarter, John R. Cochran, Chairman and Chief Executive Officer noted, “FirstMerit continues to maintain strong profitability and capital levels. While the sluggish regional economy is challenging to balance sheet growth and credit quality, we continue to strengthen our commitment to relationship-based community banking. I am pleased to say FirstMerit is making measurable progress to broaden our business and household relationships and increase our profile in the communities we serve.”

Mr. Cochran continued, “Our efforts to deepen customer relationships through expanded product usage produced solid growth in non-interest income. We recently established a new group to serve the needs of our growing number of high-net-worth clients. We are particularly pleased with the response of our investment services group to the low-interest rate environment with their sales of fixed rate annuities. Similarly, the low-rate environment continues to bolster activity in the retail mortgage market, and we have expanded our capabilities to meet strong demand, which in turn generates additional mortgage-related fees. We are using these point-of-sale opportunities to build multi-faceted relationships with customers, cross-selling value-added products to enhance profitability and create a loyal customer base.

“Management of credit quality remains a high priority issue. Asset quality is stabilizing, and non-performing assets have improved from their second quarter 2002 peak.”

Total operating revenue, which consists of net interest income on a fully-tax equivalent (“FTE”) basis plus non-interest income, totaled $154.2 million for the first quarter of 2003, a 0.7% increase from the $153.2 million reported in the first quarter of 2002. Net interest income on an FTE basis restates interest on tax-exempt securities and loans as if such interest were subject to federal income tax at the statutory rate. Excluding security gains, total revenue increased 1.2% to $151.4 million. FTE net interest income declined 3.1% from the prior year first quarter, to $102.4 million in 2003 from $105.6 million last year, reflecting the impact of a 27 basis point decline in the net interest margin on a fully-tax equivalent basis to 4.21% partially offset by a 3.2% increase in average earnings assets to $9.9 billion.

Non-interest income increased 9.0% in the first quarter of 2003, to $51.9 million. Excluding securities gains, non-interest income increased 11.4%, to $49.0 million in the first quarter of this year, compared to $44.0 million for the 2002 quarter. Gains were reported from a higher level of service charges on deposits (up 19.5%), credit card fees (up 9.6%), investment services and life insurance fees (up 53.2%), and loan sales and servicing (up 28.2%).

Non-interest expense totaled $73.9 million for the first quarter of 2003, a 6.7% increase from the $69.3 million in the prior-year quarter. Approximately 78% of the $4.6 million increase reflected higher salary and benefits expense, most notably, increased pension expense that has been adversely affected by depressed stock market values. The remaining expenses were well-controlled, and together resulted in an increase of 2.9%. The efficiency ratio was 48.66% for this quarter compared to 46.21% for the year-ago quarter.

Credit quality continues to improve. Net charge-offs for the three months ending March 31, 2003 were $27.3 million, compared to $26.0 million in the 2002 fourth quarter, and a peak of $34.6 million for the September 2002 quarter. Non-performing assets also reduced from year end and the second quarter 2002 peak; at March 31, 2003, non-performing assets were $87.6 million, or 1.23% of period-end loans plus other real estate compared to $89.5 million, or 1.24% at December 31, 2002, and $95.5 million, or 1.30%, at June 30, 2002. The allowance for loan losses to period-end loans at March 31, 2003 and March 31, 2002 was 1.67%. At December 31, 2002, the allowance for loan losses was 1.70% of period-end loans.

Assets at March 31, 2003 totaled $10.6 billion, a 3.2% increase from March 31, 2002. A 26.1% increase in investment securities more than offset a 3.3% decline in total loans from year-to-year. The loan decline continues to reflect the combined impact of a slow economy, particularly on commercial loans, which declined 2.6%, and the planned reduction of retail mortgages, a majority of which are sold to the mortgage secondary markets with servicing being retained by FirstMerit (down 13.0%), manufactured housing loans (down 12.5%) and leases (down 26.9%). Partially offsetting these declines, consumer loan outstandings were up, most notably, home equity loans, which increased 15.3%.

Deposits totaled $7.7 billion at March 31, 2003 an increase of 0.6% over the last twelve months. The increase reflected a 7.9% growth in core deposits (demand, savings, and money market accounts), partially offset by a 7.4% decline in time deposits. Core deposits accounted for 55.9% of deposits, compared to 52.1% last year.

Shareholder’s equity was $975.7 million at March 31, 2003. Average equity to average assets was 9.17% for the first quarter of 2003 compared to 8.96% for the same prior-year quarter. Common dividends per share were $0.25, representing a payout of 55.6% of net income. During the quarter, 80,000 common shares were repurchased; period-end common shares outstanding totaled 84.5 million.

First Quarter 2003 Highlights

Expansion of Mortgage Business:To support strong growth in its market, FirstMerit expanded its direct sales force, product offerings and geographic coverage. FirstMerit Mortgage opened an office in the Boardman, Ohio area, while FirstMerit Title Agency broadened its title services into a full-service title agency.

Wealth Management Enhancements:FirstMerit formed a new unit, Wealth Relationship Management Services, dedicated to serving its growing number of high net-worth clients. The new unit serves as a single point of contact for high net-worth clients, integrating FirstMerit’s specialty wealth units, such as Trust, Private Banking and Brokerage.

Community Executive Program Deepens Community Roots:FirstMerit appointed three seasoned professionals with established local roots in their respective communities to increase FirstMerit’s profile and market penetration in local communities, boost sales and deliver on the Company’s relationship banking model. This program supports FirstMerit’s super-community banking strategy, combining personal banking, local decision-making and a broad and comprehensive product line.

Financials and Conference Call Information available on our Website – Full financial statements are available at http://www.firstmerit.com/quarterlies. A conference call will be held TODAY at 10:00 AM Eastern Time. Call 1-800-865-2821 by 9:55 AM. No passcode is necessary. A replay will be available for ten business days beginning 12:30 PM today through May 1, 2003, by dialing 1-800-642-1687, reservation #9262001.

FirstMerit Corporation is a diversified financial services company headquartered in Akron, Ohio, with assets of $10.6 billion as of March 31, 2003, and 157 banking offices in 22 Ohio and Western Pennsylvania counties. FirstMerit provides a complete range of banking and other financial services to consumers and businesses through its core operations. Principal wholly-owned subsidiaries include: FirstMerit Bank, N.A., FirstMerit Mortgage Corporation, FirstMerit Title Agency, Ltd., FirstMerit Credit Life Insurance Company, and FirstMerit Community Development Corporation.

FIRSTMERIT CORPORATION
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands)

	Quarters (Unaudited)
	2003			2002			2002			2002			2002
	1st Qtr			4th Qtr			3rd Qtr			2nd Qtr			1st Qtr
EARNINGS
Net interest income FTE (a)	$	102,366			105,130			107,589			106,644			105,592
Provision for loan losses		23,496			26,000			34,552			18,762			19,314
Other income		51,852			51,454			43,485			43,898			47,565
Other expenses		73,875			77,739			70,530			69,501			69,260
FTE adjustment (a)		664			759			803			871			926
Net income		38,282			36,629			32,237			42,032			43,468
Diluted EPS	$	0.45			0.43			0.38			0.49			0.51	��
PERFORMANCE RATIOS
Return on average assets (ROA)		1.46	%		1.39	%		1.22	%		1.62	%		1.72	%
Return on average common equity (ROE)		15.98	%		15.03	%		13.28	%		17.99	%		19.20	%
Net interest margin FTE (a)		4.21	%		4.28	%		4.38	%		4.41	%		4.48	%
Efficiency ratio		48.66	%		49.74	%		47.50	%		46.36	%		46.21	%
Number of full-time equivalent employees		3,187			3,050			3,117			3,146			3,131
MARKET DATA
Book value/common share	$	11.54			11.40			11.49			11.28			10.84
Period-end common share mkt value		18.44			21.66			21.42			27.58			28.79
Market as a % of book		160	%		190	%		186	%		245	%		266	%
Cash dividends/common share	$	0.25			0.25			0.25			0.24			0.24
Common stock dividend payout ratio		55.56	%		58.14	%		65.79	%		48.98	%		47.06	%
Average basic common shares		84,513			84,494			84,639			85,005			84,909
Average diluted common shares		84,891			84,917			85,124			85,780			85,703
Period end common shares		84,485			84,505			84,515			84,921			84,952
Common shares repurchased		80,000			25,000			418,800			233,800			231,200
Common stock market capitalization	$	1,557,903			1,830,389			1,810,318			2,342,121			2,445,774
ASSET QUALITY
Gross charge-offs	$	32,132			32,602			39,837			23,287			24,599
Net charge-offs		27,285			26,000			34,552			18,762			19,219
Allowance for loan losses		119,001			122,790			122,790			122,790			122,790
Nonperforming assets (NPAs)		87,598			89,534			92,385			95,461			72,899
Net charge-off/average loans ratio		1.54	%		1.41	%		1.86	%		1.02	%		1.05	%
Allowance for loan losses/period-end loans		1.67	%		1.70	%		1.67	%		1.67	%		1.67	%
NPAs/loans and other real estate		1.23	%		1.24	%		1.26	%		1.30	%		0.99	%
Allowance for loan losses/Nonperforming loans		146.74	%		149.14	%		141.18	%		135.52	%		194.77	%
CAPITAL & LIQUIDITY
Period-end tangible equity to assets		7.97	%		7.77	%		7.98	%		7.84	%		7.69	%
Average equity to assets		9.17	%		9.24	%		9.21	%		9.00	%		8.96	%
Average equity to loans		13.56	%		13.26	%		13.11	%		12.75	%		12.44	%
Average loans to deposits		93.04	%		93.27	%		94.74	%		95.83	%		96.85	%
AVERAGE BALANCES
Assets	$	10,603,837			10,458,614			10,469,446			10,420,276			10,273,650
Deposits		7,705,585			7,817,174			7,762,063			7,681,814			7,639,148
Loans		7,169,277			7,291,212			7,353,815			7,361,674			7,398,209
Earning assets		9,864,534			9,747,861			9,745,447			9,690,407			9,555,042
Shareholders’ equity		972,413			966,712			964,221			938,263			920,481
ENDING BALANCES
Assets	$	10,558,797			10,688,206			10,495,944			10,514,451			10,233,026
Deposits		7,713,924			7,711,259			7,834,999			7,740,640			7,668,680
Loans		7,125,322			7,214,305			7,348,022			7,337,140			7,366,377
Intangible assets		145,448			145,670			146,120			146,218			146,440
Earning assets		9,798,781			9,901,954			9,745,014			9,743,295			9,507,260
Total shareholders’ equity		975,720			964,657			971,949			958,922			921,712

NOTES:

(a)  - Net interest income on a fully-tax equivalent (“FTE”) basis restates interest on tax-exempt securities and loans as if such interest were subject to federal income tax at the statutory rate.

Number of days in quarter	90	92	92	91	90
Number of days in year	365	365	365	365	365

FIRSTMERIT CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands)

(Unaudited, except December 31, 2002)
			31-Mar		31-Mar		Annual		Annual
			2003		2002		$ Change		% Change
ASSETS
Investment securities			$	2,606,604		2,067,785		538,819		26.06	%
Federal funds sold				33,000		—		33,000		—
Loans held for sale				33,855		73,098		-39,243		-53.69	%
Commercial loans				3,444,746		3,537,540		-92,794		-2.62	%
Mortgage loans				528,769		607,770		-79,001		-13.00	%
Installment loans				1,541,707		1,533,784		7,923		0.52	%
Home equity loans				606,535		526,004		80,531		15.31	%
Credit card loans				135,927		129,239		6,688		5.17	%
Manufactured housing loans				686,471		784,333		-97,862		-12.48	%
Leases				181,167		247,707		-66,540		-26.86	%
Total loans				7,125,322		7,366,377		-241,055		-3.27	%
Less allowance for loan losses				119,001		122,790		-3,789		-3.09	%
		Net loans		7,006,321		7,243,587		-237,266		-3.28	%
Cash and due from banks				206,073		179,614		26,459		14.73	%
Premises and equipment, net				114,123		126,419		-12,296		-9.73	%
Intangible assets				145,448		139,343		6,105		4.38	%
Accrued interest receivable and other assets				413,373		403,180		10,193		2.53	%
			$	10,558,797		10,233,026		325,771		3.18	%
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
	Demand-non-interest bearing		$	1,287,200		1,129,093		158,107		14.00	%
	Demand-interest bearing			758,671		717,030		41,641		5.81	%
	Savings and money market accounts			2,266,979		2,150,057		116,922		5.44	%
	Certificates and other time deposits			3,401,074		3,672,500		-271,426		-7.39	%
		Total deposits		7,713,924		7,668,680		45,244		0.59	%
Wholesale borrowings				1,678,876		1,485,565		193,311		13.01	%
		Total funds		9,392,800		9,154,245		238,555		2.61	%
Accrued taxes, expenses, and other liabilities				190,277		157,069		33,208		21.14	%
		Total liabilities		9,583,077		9,311,314		271,763		2.92	%
Shareholders’ equity:
	Preferred Stock, without par value: authorized 7,000,000 shares Preferred Stock, Series A, without par value: designated 800,000 shares; none outstanding Cumulative convertible preferred stock, Series B, without par value:
		designated 220,000 shares; 45,436, 50,237 and 45,436 shares outstanding at March 31, 2003, March 31, 2002 and December 31, 2002, respectively		1,093		1,209		-116		-9.59	%
	Common stock, without par value:
		authorized 300,000,000 shares; issued 92,026,350 shares		127,937		127,937		0		0.00	%
	Capital surplus			111,945		114,528		-2,583		-2.26	%
	Accumulated other comprehensive income			-1,404		-6,229		4,825		-77.46	%
	Retained earnings			926,241		861,482		64,759		7.52	%
	Treasury stock, at cost, 7,541,102, 7,027,145 and 7,520,875 at March 31, 2003, March 31, 2002 and December 31, 2002, respectively			-190,092		-177,215		-12,877		7.27	%
		Total shareholders’ equity		975,720		921,712		54,008		5.86	%
			$	10,558,797		10,233,026		325,771		3.18	%

[Additional columns below]

[Continued from above table, first column(s) repeated]

(Unaudited, except December 31, 2002)
			31-Dec		Quarterly		Quarterly
			2002		% Change		% Change
ASSETS
Investment securities				2,517,680		88,924		3.53	%
Federal funds sold				—		33,000		—
Loans held for sale				169,969		-136,114		-80.08	%
Commercial loans				3,430,396		14,350		0.42	%
Mortgage loans				560,510		-31,741		-5.66	%
Installment loans				1,564,588		-22,881		-1.46	%
Home equity loans				597,060		9,475		1.59	%
Credit card loans				141,575		-5,648		-3.99	%
Manufactured housing loans				713,715		-27,244		-3.82	%
Leases				206,461		-25,294		-12.25	%
Total loans				7,214,305		-88,983		-1.23	%
Less allowance for loan losses				122,790		-3,789		-3.09	%
		Net loans		7,091,515		-85,194		-1.20	%
Cash and due from banks				233,568		-27,495		-11.77	%
Premises and equipment, net				116,282		-2,159		-1.86	%
Intangible assets				145,670		-222		-0.15	%
Accrued interest receivable and other assets				413,522		-149		-0.04	%
				10,688,206		-129,409		-1.21	%
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
	Demand-non-interest bearing			1,264,640		22,560		1.78	%
	Demand-interest bearing			777,771		-19,100		-2.46	%
	Savings and money market accounts			2,082,361		184,618		8.87	%
	Certificates and other time deposits			3,586,487		-185,413		-5.17	%
		Total deposits		7,711,259		2,665		0.03	%
Wholesale borrowings				1,821,120		-142,244		-7.81	%
		Total funds		9,532,379		-139,579		-1.46	%
Accrued taxes, expenses, and other liabilities				191,170		-893		-0.47	%
		Total liabilities		9,723,549		-140,472		-1.44	%
Shareholders’ equity:
	Preferred Stock, without par value: authorized 7,000,000 shares Preferred Stock, Series A, without par value: designated 800,000 shares; none outstanding Cumulative convertible preferred stock, Series B, without par value:
		designated 220,000 shares; 45,436, 50,237 and 45,436 shares outstanding at March 31, 2003, March 31, 2002 and December 31, 2002, respectively		1,093		0		0.00	%
	Common stock, without par value:
		authorized 300,000,000 shares; issued 92,026,350 shares		127,937		0		0.00	%
	Capital surplus			112,300		-355		-0.32	%
	Accumulated other comprehensive income			3,924		-5,328		-135.78	%
	Retained earnings			909,238		17,003		1.87	%
	Treasury stock, at cost, 7,541,102, 7,027,145 and 7,520,875 at March 31, 2003, March 31, 2002 and December 31, 2002, respectively			-189,835		-257		0.14	%
		Total shareholders’ equity		964,657		11,063		1.15	%
				10,688,206		-129,409		-1.21	%

FIRSTMERIT CORPORATION
AVERAGE CONSOLIDATED BALANCE SHEETS
UNAUDITED

				Quarterly Periods
(Dollars in thousands)				March 31,			Dec 31,			Sept 30,			June 30,			March 31,
				2003			2002			2002			2002			2002
ASSETS
Investment securities/fed funds sold				$	2,581,087			2,346,020			2,321,609			2,250,313			2,100,059
Loans held for sale					114,170			110,629			70,023			78,420			56,774
Commercial loans					3,423,865			3,449,964			3,486,397			3,526,240			3,521,637
Mortgage loans					564,504			592,963			602,866			606,775			633,441
Installment loans					1,547,026			1,583,982			1,579,235			1,540,327			1,547,616
Home equity loans					600,089			585,946			564,636			537,856			512,195
Credit card loans					139,614			139,283			136,998			133,304			131,767
Manufactured housing loans					703,903			731,353			759,747			777,844			800,743
Leases					190,276			207,721			223,936			239,328			250,810
Total loans					7,169,277			7,291,212			7,353,815			7,361,674			7,398,209
Less: allowance for loan losses					120,684			121,548			121,456			122,716			124,403
		Net loans			7,048,593			7,169,664			7,232,359			7,238,958			7,273,806
Total earning assets					9,864,534			9,747,861			9,745,447			9,690,407			9,555,042
Cash and due from banks					190,143			179,628			181,295			170,915			175,087
Premises and equipment, net					116,053			116,397			124,201			125,972			128,218
Accrued interest receivable and other assets					553,791			536,276			539,959			555,698			539,706
TOTAL ASSETS			$		10,603,837			10,458,614			10,469,446			10,420,276			10,273,650
LIABILITIES
Deposits:
	Demand-non-interest bearing			$	1,238,553			1,256,896			1,204,376			1,146,763			1,125,834
	Demand-interest bearing				744,516			739,166			710,964			727,201			690,285
	Savings and money market accounts				2,177,493			2,133,412			2,111,613			2,117,347			2,076,168
	Certificates and other time deposits				3,545,023			3,687,700			3,735,110			3,690,503			3,746,861
		Total deposits			7,705,585			7,817,174			7,762,063			7,681,814			7,639,148
Wholesale borrowings					1,731,566			1,498,733			1,565,841			1,631,782			1,553,238
		Total funds			9,437,151			9,315,907			9,327,904			9,313,596			9,192,386
Accrued taxes, expenses and other liabilities					194,273			175,995			177,321			168,417			160,783
		Total liabilities			9,631,424			9,491,902			9,505,225			9,482,013			9,353,169
Preferred stock					1,093			1,130			1,172			1,202			1,209
Common stock					127,937			127,937			127,937			127,937			127,937
Capital surplus					112,115			112,283			112,217			112,884			114,722
Accumulated other comprehensive income					4,596			14,647			18,123			4,977			6,551
Retained earnings					916,311			900,635			891,259			868,620			847,884
Treasury stock					(189,639	)		(189,920	)		(186,487	)		(177,357	)		(177,822	)
		Total shareholders’ equity			972,413			966,712			964,221			938,263			920,481
LIABILITIES AND SHAREHOLDERS’ EQUITY			$		10,603,837			10,458,614			10,469,446			10,420,276			10,273,650

FIRSTMERIT CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
AND COMPREHENSIVE INCOME

					(Unaudited, except December 31, 2002)
					(In thousands except per share data)
				Quarters Ended							Year ended
				March 31,							December 31,
				2003				2002			2002
Interest income:
	Interest and fees on loans, including held for sale				$	122,151			136,328			536,958
	Interest and dividends on securities and fed funds sold					27,392			28,326			111,055
			Total interest income			149,543			164,654			648,013
Interest expense:
		Demand-interest bearing				297			475			1,794
		Savings and money market accounts				4,628			6,277			23,870
		Certificates and other time deposits				29,889			40,524			148,401
		Wholesale borrowings				13,027			12,712			52,352
			Total interest expense			47,841			59,988			226,417
			Net interest income			101,702			104,666			421,596
Provision for loan losses						23,496			19,314			98,628
			Net interest income after provision for loan losses			78,206			85,352			322,968
Other income:
	Trust fees					4,886			5,166			20,013
	Service charges on deposits					14,888			12,458			56,369
	Credit card fees					9,726			8,872			38,389
	ATM and other service fees					2,890			3,087			12,692
	Bank owned life insurance income					3,229			3,261			13,073
	Investment services and life insurance fees					3,633			2,371			12,624
	Manufactured housing income					553			629			1,960
	Investment securities gains, net					2,866			3,599			8,445
	Loan sales and servicing					4,910			3,831			9,768
	Other operating income					4,271			4,291			13,069
			Total other income			51,852			47,565			186,402
						130,058			132,917			509,370
Other expenses:
	Salaries, wages, pension and benefits					37,139			33,547			138,459
	Net occupancy expense					5,984			5,634			21,110
	Equipment expense					3,207			3,875			15,726
	Stationery, supplies and postage					3,030			2,925			11,632
	Bankcard, loan processing and other costs					6,477			6,444			26,829
	Professional services					2,622			2,303			9,403
	Amortization of intangibles					222			222			888
	Other operating expenses					15,194			14,310			62,983
			Total other expenses			73,875			69,260			287,030
			Income before Federal income taxes			56,183			63,657			222,340
Federal income taxes						17,901			20,189			67,974
			Net income		$	38,282			43,468			154,366
Other comprehensive income (loss), net of taxes						(5,328	)		(9,633	)		520
Comprehensive income					$	32,954			33,835			154,886
Basic net income per share					$	0.45			0.51			1.82
Diluted net income per share					$	0.45			0.51			1.81
		Dividends paid			$	0.25			0.24			0.98
Weighted-average shares outstanding — basic						84,513			84,909			84,772
Weighted-average shares outstanding — diluted						84,891			85,703			85,317

Consolidated Statements of Earnings
FIRSTMERIT CORPORATION AND SUBSIDIARIES
(Dollars in thousands, except share data)

(Unaudited)					Quarterly Results
					2003			2002			2002			2002		2002
					1st Q			4th Q			3rd Q			2nd Q		1st Q
	Interest and fees on loans, including held for sale				$	122,151			130,735			134,758			135,137		136,328
	Interest and dividends — securities/fed funds					27,392			26,412			28,220			28,097		28,326
				Total interest income		149,543			157,147			162,978			163,234		164,654
	Interest on deposits:
		Demand-interest bearing				297			398			443			478		475
		Savings and money market accounts				4,628			5,206			6,160			6,227		6,277
		Certificates and other time deposits				29,889			34,560			36,091			37,226		40,524
		Wholesale borrowings				13,027			12,612			13,498			13,530		12,712
			Total interest expense			47,841			52,776			56,192			57,461		59,988
			Net interest income			101,702			104,371			106,786			105,773		104,666
Provision for loan losses						23,496			26,000			34,552			18,762		19,314
			Net interest income after provision for loan losses			78,206			78,371			72,234			87,011		85,352
Other income:
	Trust fees					4,886			4,703			4,746			5,398		5,166
	Service charges on deposits					14,888			15,919			14,541			13,451		12,458
	Credit card fees					9,726			10,014			9,727			9,776		8,872
	ATM and other service fees					2,890			2,954			3,341			3,310		3,087
	Bank owned life insurance income					3,229			3,326			3,265			3,221		3,261
	Investment services and life insurance fees					3,633			4,071			3,234			2,948		2,371
	Manufactured housing income					553			427			447			457		629
	Investment securities gains, net					2,866			748			3,054			1,044		3,599
	Loan sales and servicing					4,910			6,298			(1,489	)		1,128		3,831
	Other operating income					4,271			2,994			2,619			3,165		4,291
			Total other income			51,852			51,454			43,485			43,898		47,565
Other expenses:
	Salaries, wages, pension and benefits					37,139			37,315			34,419			33,178		33,547
	Net occupancy expense					5,984			4,986			5,163			5,327		5,634
	Equipment expense					3,207			4,077			3,857			3,917		3,875
	Stationery, supplies and postage					3,030			3,145			2,892			2,670		2,925
	Bankcard, loan processing and other costs					6,477			6,680			6,730			6,975		6,444
	Professional services					2,622			2,416			2,233			2,451		2,303
	Amortization of intangibles					222			222			222			222		222
	Other operating expenses					15,194			18,898			15,014			14,761		14,310
			Total other expenses			73,875			77,739			70,530			69,501		69,260
Income before federal income taxes						56,183			52,086			45,189			61,408		63,657
Federal income taxes						17,901			15,457			12,952			19,376		20,189
			Net income		$	38,282			36,629			32,237			42,032		43,468
Other comprehensive income (loss), net of tax						(5,328	)		(22,325	)		11,493			20,985		(9,633	)
		Comprehensive income			$	32,954			14,304			43,730			63,017		33,835
Net income applicable to common shares						38,264			37,548			32,217			42,012		43,448
Adjusted net income used in diluted EPS calculation						38,290			37,576			32,245			42,041		43,478
Weighted-average common shares — basic						84,513			84,494			84,639			85,005		84,909
Weighted-average common shares — diluted						84,891			84,917			85,124			85,780		85,703
Basic net income per share					$	0.45			0.44			0.38			0.49		0.51
Diluted net income per share					$	0.45			0.43			0.38			0.49		0.51

FirstMerit Corporation
(Dollars in thousands)
(Unaudited)

	2003		2002		2002			2002		2002
QUARTERLY OTHER INCOME DETAIL	1st Qtr		4th Qtr		3rd Qtr			2nd Qtr		1st Qtr
Trust fees	$	4,886		4,703		4,746			5,398		5,166
Service charges on deposits		14,888		15,919		14,541			13,451		12,458
Credit card fees		9,726		10,014		9,727			9,776		8,872
ATM and other service fees		2,890		2,954		3,341			3,310		3,087
Bank owned life insurance income		3,229		3,326		3,265			3,221		3,261
Investment services and life insurance fees		3,633		4,071		3,234			2,948		2,371
Manufactured housing income		553		427		447			457		629
Investment securities gains, net		2,866		748		3,054			1,044		3,599
Loan sales and servicing		4,910		6,298		(1,489	)		1,128		3,831
Other operating income		4,271		2,994		2,619			3,165		4,291
Total Other Income	$	51,852		51,454		43,485			43,898		47,565

	2003		2002		2002		2002		2002
QUARTERLY OTHER EXPENSE DETAIL	1st Qtr		4th Qtr		3rd Qtr		2nd Qtr		1st Qtr
Salary, wages, pension and benefits	$	37,139		37,315		34,419		33,178		33,547
Net occupancy expense		5,984		4,986		5,163		5,327		5,634
Equipment expense		3,207		4,077		3,857		3,917		3,875
Taxes, other than federal income taxes		1,561		1,621		1,669		1,654		1,283
Stationery, supplies and postage		3,030		3,145		2,892		2,670		2,925
Bankcard, loan processing and other costs		6,477		6,680		6,730		6,975		6,444
Advertising		677		1,913		1,142		1,499		1,028
Professional services		2,622		2,416		2,233		2,451		2,303
Telephone		1,037		1,065		1,059		1,062		1,122
Amortization of intangibles		222		222		222		222		222
Other operating expenses		11,919		14,299		11,144		10,546		10,877
Total Other Expenses	$	73,875		77,739		70,530		69,501		69,260

FIRSTMERIT CORPORATION & SUBSIDIARIES
ASSET QUALITY INFORMATION
31-Mar-03
(Dollars in thousands, except ratios)

(Unaudited, except 2002 annual period)

			Quarterly Periods																Annual Period
				Mar 31			Dec 31			Sep 30			June 30			Mar 31			Dec 31,
Allowance for Loan Losses				2003			2002			2002			2002			2002			2002
Balance at beginning of period				$	122,790			122,790			122,790			122,790			125,235			125,235
Reclass to lease residual reserves					—			—			—			—			(2,540	)		(2,540	)
Provision for loan losses					23,496			26,000			34,552			18,762			19,314			98,628
Charge-offs					32,132			32,602			39,837			23,287			24,599			120,325
Recoveries					4,847			6,602			5,285			4,525			5,380			21,792
	Net charge-offs				27,285			26,000			34,552			18,762			19,219			98,533
Balance at end of period				$	119,001			122,790			122,790			122,790			122,790			122,790
Ratios
Provision for loan losses as a % of average loans					1.33	%		1.41	%		1.86	%		1.02	%		1.06	%		1.34	%
Net charge-offs as a % of average loans					1.54	%		1.41	%		1.86	%		1.02	%		1.05	%		1.34	%
Allowance as a % of period-end loans					1.67	%		1.70	%		1.67	%		1.67	%		1.67	%		1.70	%
Allowance as a % of nonperforming loans					146.74	%		149.14	%		141.18	%		135.52	%		194.77	%		149.14	%
Asset Quality
Impaired loans:
	Nonaccrual			$	68,338			72,035			79,017			79,810			58,557			72,035
	Restructured				48			48			48			54			60			48
		Total impaired loans			68,386			72,083			79,065			79,864			58,617			72,083
Other loans:
	Nonaccrual				12,710			10,248			7,907			10,741			4,427			10,248
	Restructured				—			—			—			—			—			—
		Total other nonperforming loans			12,710			10,248			7,907			10,741			4,427			10,248
Total nonperforming loans					81,096			82,331			86,972			90,605			63,044			82,331
Other real estate (“ORE”)					6,502			7,203			5,413			4,856			9,855			7,203
Total nonperforming assets (“NPAs”)				$	87,598			89,534			92,385			95,461			72,899			89,534
NPAs as % of period-end loans + ORE					1.23	%		1.24	%		1.26	%		1.30	%		0.99	%		1.24	%
Past due 90 days or more & accruing interest				$	39,615			43,534			32,763			28,736			34,705			43,534
Average loans					7,169,277			7,291,212			7,353,815			7,361,674			7,398,209			7,350,952
Period-end loans					7,125,322			7,214,485			7,348,022			7,337,140			7,366,377			7,214,485
Days in quarter					90			92			92			91			90			365
Days in year					365			365			365			365			365			365

FirstMerit Corporation
ALLOWANCE FOR LOAN LOSSES — Net Charge-off Detail
(Dollars in thousands)
(Unaudited)

			Quarter ended			Quarter ended			Year ended
			March 31			March 31			December 31
			2003			2002			2002
Allowance for loan losses — beginning of period				122,790			125,235			125,235
Loans charged off:
	Commercial			10,284			3,158			31,970
	Mortgage			103			845			622
	Installment			10,834			8,870			37,272
	Home equity			803			918			3,768
	Credit cards			3,176			2,609			12,417
	Manufactured housing			5,831			7,514			27,934
	Leases			1,101			685			6,342
		Total		32,132			24,599			120,325
Recoveries:
	Commercial			509			373			1,836
	Mortgage			2			19			41
	Installment			2,973			3,393			12,446
	Home equity			228			174			1,002
	Credit cards			427			646			2,567
	Manufactured housing			594			579			3,411
	Leases			114			196			489
		Total		4,847			5,380			21,792
Net charge-offs				27,285			19,219			98,533
Reclassification to lease residual reserves				—			(2,540	)		(2,540	)
Provision for loan losses				23,496			19,314			98,628
Allowance for loan losses — end of period				119,001			122,790			122,790
Average loans outstanding				7,169,277			7,398,209			7,350,952
Ratio to average loans:
	(Annualized) net charge-offs			1.54	%		1.05	%		1.34	%
Loans outstanding — period-end				7,125,322			7,366,377			7,214,305
Allowance for loan losses:
	As a percent of period-end loans outstanding			1.67	%		1.67	%		1.70	%
	As a multiple of (annualized) net charge-offs			1.08			1.58			1.25