Old National Bancorp (ONB) 8-K Old National’s 2nd quarter net income increases 8.0% over prior quarter; includes 10% annualized commercial loan growth

Exhibit 99.1

NASDAQ: ONB

oldnational.com

FOR IMMEDIATE RELEASE

July 25, 2017

Contacts:

Media:

Kathy A. Schoettlin – (812) 465-7269

Executive Vice President – Communications

Financial Community:

Lynell J. Walton – (812) 464-1366

Senior Vice President – Investor Relations

Old National’s 2^nd quarter net income increases 8.0% over prior quarter; includes 10% annualized commercial loan growth

2^ND QUARTER 2017 HIGHLIGHTS:

• Earnings of $38.9 million, or $0.28 per share

• Commercial and commercial real estate loan growth of 10.0% annualized from 1^st quarter 2017

• Tangible book value¹ increase of 3.6% from 1^st quarter 2017

¹ Non-GAAP measure – refer to Table 10 for Non-GAAP reconciliation

Evansville, Ind. (July 25, 2017) – Today Old National Bancorp (the “Company” or “Old National”) (NASDAQ: ONB) reported 2^nd quarter 2017 net income of $38.9 million, or $0.28 per diluted share. Included in the current quarter were $0.5 million in pre-tax net branch consolidation charges and a $1.0 million pre-tax charge for a client experience improvement initiative. This current quarter net income represents an increase of 8.0% over the 1^st quarter of 2017 net income of $36.0 million. During the 1^st quarter, Old National incurred $1.4 million in pre-tax branch consolidation charges related to the 15 banking centers that were consolidated by the Company in January 2017.

“Our strong 2^nd quarter results are reflective of our transformation into higher growth markets and executing on our stated initiatives,” said Old National Chairman and CEO Bob Jones. “With strong commercial loan growth and low credit costs, coupled with revenue growth and well-maintained expenses, this was a successful quarter of execution for Old National.”

Committed to our Strategic Imperatives

Old National’s continued steady performance and strong credit and capital positions can be attributed to the Company’s unwavering commitment to the three strategic imperatives that have guided Old National for 12 years:

1. Strengthen the risk profile; 2. Enhance management discipline; and 3. Achieve consistent quality earnings.

Balance Sheet and Net Interest Margin

Old National’s period-end loans, including loans held for sale, at June 30, 2017, totaled $9.259 billion, an increase of $110.4 million, or 4.8% annualized, from the $9.149 billion at March 31, 2017. Importantly, Old National’s portfolio of commercial and commercial real estate loans grew by 10.0%, annualized, from the 1^st quarter to the 2^nd quarter of 2017.

Total period-end core deposits, including demand and interest-bearing deposits, decreased $142.7 million to $10.561 billion at June 30, 2017, compared to $10.704 billion at March 31, 2017.

Net interest income for the 2^nd quarter of 2017 totaled $104.3 million compared to $105.8 million in the 1^st quarter of 2017, and $99.3 million in the 2^nd quarter of 2016. On a fully taxable equivalent basis, net interest income was $110.0 million for the 2^nd quarter of 2017 and represented a net interest margin on total average earning assets of 3.42%. These results compare to net interest income on a fully taxable equivalent basis of $111.5 million and a margin of 3.50% in the 1^st quarter of 2017. In the 2^nd quarter of 2016, Old National reported net interest income on a fully taxable equivalent basis of $104.6 million and a margin of 3.57%.Refer to Table 3 for Non-GAAP taxable equivalent reconciliations.

In the 2^nd quarter of 2017, Old National recorded $9.7 million in accretion income as part of net interest income, which represents 30 basis points of the Company’s net interest margin. Accretion income is related to purchase accounting discounts from the Company’s various acquisitions. Total accretion income in the 1^st quarter of 2017 and the 2^nd quarter of 2016 reported by Old National was $12.6 million, or 40 basis points of the net interest margin, and $14.2 million, or 49 basis points of the net interest margin, respectively.

Noninterest Income

Total noninterest income for the 2^nd quarter of 2017 amounted to $49.3 million and compares to $42.9 million reported in the 1^st quarter of 2017 and $93.4 million in the 2^nd quarter of 2016. The current quarter included $1.6 million of recoveries on loans originated by AnchorBank, fsb that had been fully charged-off prior to the acquisition; the 1^st quarter of 2017 included $1.5 million of such recoveries. During the 2^nd quarter of 2016, Old National recognized a $41.9 million pre-tax gain on the sale of its insurance subsidiary. The 2^nd quarter of 2016 also included $7.1 million in insurance income, compared to essentially none in both the 1^st quarter of 2017 and the 2^nd quarter of 2017.

Noninterest Expenses

Noninterest expenses for Old National totaled $102.8 million for the 2^nd quarter of 2017. The current quarter included $1.7 million in pre-tax charges: $0.7 million related to branch consolidations and $1.0 million related to a client-experience improvement initiative currently in process at the Company. Noninterest expenses for the 1^st quarter of 2017 totaled $101.9 million and included $1.4 million in pre-tax charges related to branch consolidations. In the 2^nd quarter of 2016, noninterest expenses totaled $121.5 million and included the following pre-tax charges: $7.2 million for merger and integration, $4.9 million for the Old National Bank Foundation and community support and $1.1 million for branch consolidations. Old National currently operates 188 branches throughout its franchise.

Capital

Old National’s capital position at June 30, 2017, remained well above regulatory guideline minimums with regulatory tier 1 and total risk-based capital ratios of 11.8% and 12.3%, respectively, compared to 11.7% and 12.2% at March 31, 2017, and 11.8% and 12.4% at June 30, 2016. Old National did not repurchase any stock in the open market during the 2^nd quarter of 2017.

The following table presents Old National’s risk-based and leverage ratios compared to industry requirements:

Table 1	Fully Phased-In Regulatory Guidelines Minimum			Consolidated ONB at June 30, 2017
Tier 1 Risk-Based Capital Ratio		> 8.5	%		11.8	%
Total Risk-Based Capital Ratio		> 10.5	%		12.3	%
Common Equity Tier 1 Capital Ratio		> 7.0	%		11.5	%
Tier 1 Leverage Capital Ratio		> 4.0	%		8.7	%

Old National’s ratio of tangible common equity to tangible assets was 8.41% at June 30, 2017, compared to 8.16% at March 31, 2017, and 8.10% at June 30, 2016.Refer to Table 10 for Non-GAAP reconciliations.

Credit

Old National recorded a provision expense of $1.4 million and had net charge-offs of $0.2 million in the 2^nd quarter of 2017. These results compare to $0.3 million in provision expense and net charge-offs of $0.3 million, and provision expense of $1.3 million and net charge-offs of $0.2 million, in the 1^st quarter of 2017 and the 2^nd quarter of 2016, respectively. Net charge-offs for the 2^nd quarter of 2017 were 0.01% of average total loans on an annualized basis, compared to net charge-offs of 0.01% of average total loans in both the 1^st quarter of 2017 and the 2^nd quarter of 2016, respectively.

Delinquencies remained low as Old National reported 30+ day delinquent loans of 0.32% in the 2^nd quarter of 2017 compared to 0.32% in the 1^st quarter of 2017. Old National’s 90+ day delinquent loans for the 2^nd quarter of 2017 were near zero compared to 0.01% for the 2^nd quarter of 2016.

At June 30, 2017, Old National’s allowance for loan losses was $51.0 million, or 0.55% of total loans, compared to an allowance of $49.8 million, or 0.55% of total loans at March 31, 2017, and $51.8 million, or 0.59% of total loans, at June 30, 2016. The coverage ratio (allowance to non-performing loans) stood at 37% at June 30, 2017, compared to 38% at March 31, 2017, and 30% at June 30, 2016.

In accordance with current accounting practices, the loans acquired from recent acquisitions were recorded at fair value with no allowance recorded at the acquisition date. As of June 30, 2017, the remaining discount on these acquired loans was $107.6 million.

The following table presents certain credit quality metrics related to Old National’s loan portfolio:

Table 2 ($ in millions)	2Q17			1Q17			2Q16
Non-Performing Loans (NPLs)	$	139.6		$	130.3		$	174.2
Problem Loans (Including NPLs)		238.0			219.9			250.2
Special Mention Loans		99.5			95.9			106.9
Net Charge-Off (Recoveries) Ratio		0.01	%		0.01	%		0.01	%
Provision for Loan Losses	$	1.4		$	0.3		$	1.3
Allowance for Loan Losses		51.0			49.8			51.8
Remaining Loan Discount on Acquired Loans		107.6			117.1			159.4

About Old National

Old National Bancorp (NASDAQ: ONB), the holding company of Old National Bank, is the largest financial services holding company headquartered in Indiana. With $15.0 billion in assets, it ranks among the top 100 banking companies in the U.S.and has been recognized as a World’s Most Ethical Company by the Ethisphere Institute for six consecutive years.Since its founding in Evansville in 1834, Old National Bank has focused on community banking by building long-term, highly valued partnerships with clients. Today, Old National’s footprint includes Indiana, Kentucky, Michigan and Wisconsin. In addition to providing extensive services in retail and commercial banking, Old National offers comprehensive wealth management, investments and brokerage services. For more information and financial data, please visit Investor Relations atoldnational.com.

Conference Call

Old National will hold a conference call at 10:00 a.m. Central Time on Tuesday, July 25, 2017, to discuss 2^nd quarter 2017 financial results, strategic developments, and the Company’s financial outlook. The live audio web cast of the call, along with the corresponding presentation slides, will be available on the Company’s Investor Relations web page atoldnational.com and will be archived there for 12 months. A replay of the call will also be available from 1:00 p.m. Central Time on July 25 through August 8. To access the replay, dial 1-855-859-2056, Conference ID Code 49543317.

Use of Non-GAAP Financial Measures

This earnings release contains GAAP financial measures and non-GAAP financial measures where management believes it to be helpful in understanding Old National’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release.

Table 3 – Non-GAAP Reconciliations-Fully Taxable Equivalent Net Interest Margin

($ in millions)	2Q17			1Q17			2Q16
Net Interest Income	$	104.3		$	105.8		$	99.3
Taxable Equivalent Adjustment		5.7			5.7			5.3
Net Interest Income – Taxable Equivalent	$	110.0		$	111.5		$	104.6
Average Earning Assets	$	12,844.5		$	12,742.9		$	11,726.4
Net Interest Margin		3.42	%		3.50	%		3.57	%

Forward-Looking Statement

This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, descriptions of Old National Bancorp’s (“Old National’s”) financial condition, results of operations, asset and credit quality trends and profitability. Forward-looking statements can be identified by the use of the words “anticipate,” “believe,” “expect,” “intend,” “could” and “should,” and other words of similar meaning. These forward-looking statements express management’s current expectations or forecasts of future events and, by their nature, are subject to risks and uncertainties and there are a number of factors that could cause actual results to differ materially from those in such statements. Factors that might cause such a difference include, but are not limited to: expected cost savings, synergies and other financial benefits from the recently completed mergers might not be realized within the expected timeframes and costs or difficulties relating to integration matters might be greater than expected; market, economic, operational, liquidity, credit and interest rate risks associated with Old National’s business; competition; government legislation and policies (including the impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act and its related regulations); ability of Old National to execute its business plan; changes in the economy which could materially impact credit quality trends and the ability to generate loans and gather deposits; failure or circumvention of our internal controls; failure or disruption of our information systems; significant changes in accounting, tax or regulatory practices or requirements; new legal obligations or liabilities or unfavorable resolutions of litigations; disruptive technologies in payment systems and other services traditionally provided by banks; computer hacking and other cybersecurity threats; other matters discussed in this press release and other factors identified in our Annual Report on Form 10-K and other periodic filings with the SEC. These forward-looking statements are made only as of the date of this press release, and Old National does not undertake an obligation to release revisions to these forward-looking statements to reflect events or conditions after the date of this press release.

TABLE 4 Financial Highlights (unaudited)

($ and shares in thousands, except per share data)

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,			June 30,
	2017			2017			2016			2017			2016
Income Statement
Net interest income	$	104,333		$	105,801		$	99,340		$	210,134		$	184,983
Provision for loan losses		1,355			347			1,319			1,702			1,410
Noninterest income		49,271			42,920			93,385			92,191			142,836
Noninterest expense		102,811			101,891			121,472			204,702			219,827
Net income		38,854			35,992			39,122			74,846			66,099
Per Common Share Data(Diluted)
Net income available to common shareholders	$	0.28		$	0.27		$	0.31		$	0.55		$	0.55
Average diluted shares outstanding		135,697			135,431			127,973			135,641			121,273
Book value		13.92			13.63			13.42			13.92			13.42
Stock price		17.25			17.35			12.53			17.25			12.53
Dividend payout ratio		46	%		48	%		42	%		47	%		47	%
Tangible common book value (1)		8.85			8.54			8.23			8.85			8.23
Performance Ratios
Return on average assets		1.05	%		0.98	%		1.16	%		1.01	%		1.04	%
Return on average common equity		8.33	%		7.89	%		9.22	%		8.11	%		8.26	%
Net interest margin (FTE)		3.42	%		3.50	%		3.57	%		3.46	%		3.54	%
Efficiency ratio (2)		64.05	%		64.66	%		60.22	%		64.35	%		63.76	%
Net charge-offs (recoveries) to average loans		0.01	%		0.01	%		0.01	%		0.01	%		0.05	%
Allowance for loan losses to ending loans		0.55	%		0.55	%		0.59	%		0.55	%		0.59	%
Non-performing loans to ending loans		1.51	%		1.43	%		1.97	%		1.51	%		1.97	%
Balance Sheet
Total loans	$	9,232,040		$	9,131,773		$	8,830,158		$	9,232,040		$	8,830,158
Total assets		14,957,281			14,869,645			14,420,262			14,957,281			14,420,262
Total deposits		10,683,714			10,821,352			10,451,602			10,683,714			10,451,602
Total borrowed funds		2,259,918			2,066,617			1,935,555			2,259,918			1,935,555
Total shareholders’ equity		1,886,594			1,846,359			1,811,117			1,886,594			1,811,117
Capital Ratios (1)
Risk-based capital ratios (EOP):
Tier 1 common equity		11.5	%		11.4	%		11.6	%		11.5	%		11.6	%
Tier 1		11.8	%		11.7	%		11.8	%		11.8	%		11.8	%
Total		12.3	%		12.2	%		12.4	%		12.3	%		12.4	%
Leverage ratio (to average assets)		8.7	%		8.5	%		8.9	%		8.7	%		9.5	%
Total equity to assets (averages)		12.56	%		12.36	%		12.56	%		12.46	%		12.59	%
Tangible common equity to tangible assets		8.41	%		8.16	%		8.10	%		8.41	%		8.10	%
Nonfinancial Data
Full-time equivalent employees		2,652			2,659			2,919			2,652			2,919
Number of branches		188			188			206			188			206

(1) See non-GAAP measures on Table 10.

(2) Efficiency ratio is defined as noninterest expense before amortization of intangibles as a percent of FTE net interest income and noninterest revenues, excluding net gains from securities transactions. This presentation excludes intangible amortization and net securities gains, as is common in other company releases, and better aligns with true operating performance.

FTE - Fully taxable equivalent basis                 EOP - End of period actual balances

TABLE 5 Income Statement (unaudited)

($ and shares in thousands, except per share data)

	Three Months Ended							Six Months Ended
	June 30,		March 31,		June 30,			June 30,		June 30,
	2017		2017		2016			2017		2016
Interest income	$	118,209	$	118,468	$	110,243		$	236,677	$	205,572
Less: interest expense		13,876		12,667		10,903			26,543		20,589
Net interest income		104,333		105,801		99,340			210,134		184,983
Provision for loan losses		1,355		347		1,319			1,702		1,410
Net interest income after provision for loan losses		102,978		105,454		98,021			208,432		183,573
Wealth management fees		9,679		8,999		9,355			18,678		17,476
Service charges on deposit accounts		10,040		9,843		10,437			19,883		20,076
Debit card and ATM fees		4,436		4,236		4,471			8,672		8,256
Mortgage banking revenue		5,186		4,226		5,203			9,412		8,123
Insurance premiums and commissions		160		107		7,122			267		20,243
Investment product fees		5,004		4,989		4,724			9,993		8,629
Capital markets income		2,747		1,031		794			3,778		1,413
Company-owned life insurance		2,117		2,149		2,080			4,266		4,118
Change in Indemnification Asset		—		—		888			—		233
Other income		6,776		5,794		4,621			12,570		9,426
Net gain on sale of ONB Insurance Group, Inc.		—		—		41,864			—		41,864
Gains (losses) on sales of securities		3,075		1,500		1,856			4,575		2,962
Gains (losses) on derivatives		51		46		(30	)		97		17
Total noninterest income		49,271		42,920		93,385			92,191		142,836
Salaries and employee benefits		57,606		56,564		62,715			114,170		119,687
Occupancy		10,539		12,134		13,568			22,673		26,412
Equipment		3,350		3,227		3,316			6,577		6,209
Marketing		3,673		3,050		5,111			6,723		7,597
Data processing		8,226		7,608		8,676			15,834		15,799
Communication		2,288		2,414		2,535			4,702		4,399
Professional fees		4,077		2,651		5,181			6,728		8,549
Loan expenses		1,693		1,631		2,123			3,324		3,456
Supplies		594		579		598			1,173		1,181
FDIC assessment		2,130		2,487		2,030			4,617		3,949
Other real estate owned expense		1,009		1,115		2,099			2,124		2,523
Intangible amortization		2,781		3,020		3,365			5,801		6,012
Other expense		4,845		5,411		10,155			10,256		14,054
Total noninterest expense		102,811		101,891		121,472			204,702		219,827
Income before income taxes		49,438		46,483		69,934			95,921		106,582
Income tax expense		10,584		10,491		30,812			21,075		40,483
Net income	$	38,854	$	35,992	$	39,122		$	74,846	$	66,099
Diluted Earnings Per Share
Net income	$	0.28	$	0.27	$	0.31		$	0.55	$	0.55
Average Common Shares Outstanding
Basic		135,085		134,912		127,508			134,999		120,753
Diluted		135,697		135,431		127,973			135,641		121,273
Common shares outstanding at end of period		135,516		135,435		135,005			135,516		135,005

TABLE 6 Balance Sheet (unaudited)

($ in thousands)

	June 30,			March 31,			June 30,
	2017			2017			2016
Assets
Federal Reserve Bank account	$	22,117		$	24,460		$	56,433
Money market investments		9,815			7,601			5,514
Investments:
Treasury and government sponsored agencies		586,258			595,172			694,264
Mortgage-backed securities		1,470,687			1,484,561			1,349,805
States and political subdivisions		1,118,437			1,144,412			1,128,700
Other securities		449,045			446,830			437,669
Total investments		3,624,427			3,670,975			3,610,438
Loans held for sale		27,425			17,373			44,422
Loans:
Commercial		2,001,621			1,910,536			1,893,700
Commercial and agriculture real estate		3,259,998			3,222,865			2,943,525
Consumer:
Home equity		472,198			464,911			473,550
Other consumer loans		1,398,849			1,421,199			1,419,613
Subtotal of commercial and consumer loans		7,132,666			7,019,511			6,730,388
Residential real estate		2,099,374			2,112,262			2,099,770
Total loans		9,232,040			9,131,773			8,830,158
Total earning assets		12,915,824			12,852,182			12,546,965
Allowance for loan losses		(50,986	)		(49,834	)		(51,804	)
Non-earning Assets:
Cash and due from banks		230,809			184,974			205,973
Premises and equipment		413,933			420,866			231,656
Goodwill and intangible assets		686,894			689,675			699,760
Company-owned life insurance		354,875			353,786			350,193
Net deferred tax assets		146,780			165,376			179,448
Loan servicing rights		25,023			25,446			25,756
Other real estate owned		11,071			12,547			24,254
Other assets		223,058			214,627			208,061
Total non-earning assets		2,092,443			2,067,297			1,925,101
Total assets	$	14,957,281		$	14,869,645		$	14,420,262
Liabilities and Equity
Noninterest-bearing demand deposits	$	3,011,156		$	3,024,111		$	2,883,917
NOW accounts		2,639,813			2,635,317			2,456,963
Savings accounts		2,924,689			2,997,919			2,616,365
Money market accounts		672,391			697,287			1,015,336
Other time deposits		1,313,199			1,349,303			1,300,611
Total core deposits		10,561,248			10,703,937			10,273,192
Brokered CD’s		122,466			117,415			178,410
Total deposits		10,683,714			10,821,352			10,451,602
Federal funds purchased and interbank borrowings		227,029			61,016			263,536
Securities sold under agreements to repurchase		298,094			345,550			354,123
Federal Home Loan Bank advances		1,515,628			1,441,030			1,099,240
Other borrowings		219,167			219,021			218,656
Total borrowed funds		2,259,918			2,066,617			1,935,555
Accrued expenses and other liabilities		127,055			135,317			221,988
Total liabilities		13,070,687			13,023,286			12,609,145
Common stock, surplus, and retained earnings		1,917,714			1,894,924			1,834,734
Other comprehensive income		(31,120	)		(48,565	)		(23,617	)
Total shareholders’ equity		1,886,594			1,846,359			1,811,117
Total liabilities and shareholders’ equity	$	14,957,281		$	14,869,645		$	14,420,262

TABLE 7	Average Balance Sheet and Interest Rates (unaudited)
	($ in thousands)

	Three Months Ended								Three Months Ended								Three Months Ended
	June 30, 2017								March 31, 2017								June 30, 2016
	Average			Income (1)/		Yield/			Average			Income (1)/		Yield/			Average			Income (1)/		Yield/
	Balance			Expense		Rate			Balance			Expense		Rate			Balance			Expense		Rate
Earning Assets:
Fed Funds sold, resell agr, Fed Reserve Bank account, and money market	$	27,222		$	55		0.80	%	$	27,482		$	31		0.46	%	$	23,604		$	21		0.36	%
Investments:
Treasury and gov’t sponsored agencies		575,940			2,798		1.94	%		540,422			2,780		2.06	%		738,642			3,586		1.94	%
Mortgage-backed securities		1,485,582			7,590		2.04	%		1,511,388			7,818		2.07	%		1,209,231			5,562		1.84	%
States and political subdivisions		1,122,769			13,375		4.76	%		1,133,373			13,607		4.80	%		1,117,367			13,207		4.73	%
Other securities		446,521			2,866		2.57	%		445,235			2,828		2.54	%		434,089			2,119		1.95	%
Total investments		3,630,812			26,629		2.93	%		3,630,418			27,033		2.98	%		3,499,329			24,474		2.80	%
Loans: (2)
Commercial		1,938,751			19,352		3.95	%		1,887,929			19,088		4.04	%		1,825,627			17,709		3.84	%
Commercial and agriculture real estate		3,240,318			39,830		4.86	%		3,171,005			40,324		5.09	%		2,589,342			35,273		5.39	%
Consumer:
Home equity		474,308			4,837		4.09	%		476,353			4,659		3.97	%		454,581			6,586		5.83	%
Other consumer loans		1,405,226			11,881		3.39	%		1,408,100			11,767		3.39	%		1,344,288			11,438		3.42	%
Subtotal commercial and consumer loans		7,058,603			75,900		4.31	%		6,943,387			75,838		4.43	%		6,213,838			71,006		4.60	%
Residential real estate loans		2,127,867			21,268		4.00	%		2,141,571			21,254		3.97	%		1,989,612			20,009		4.03	%
Total loans		9,186,470			97,168		4.21	%		9,084,958			97,092		4.29	%		8,203,450			91,015		4.42	%
Total earning assets	$	12,844,504		$	123,852		3.84	%	$	12,742,858		$	124,156		3.91	%	$	11,726,383		$	115,510		3.93	%
Less: Allowance for loan losses		(50,937	)							(50,710	)							(51,269	)
Non-earning Assets:
Cash and due from banks	$	200,209							$	195,620							$	187,974
Other assets		1,860,676								1,877,849								1,655,720
Total assets	$	14,854,452							$	14,765,617							$	13,518,808
Interest-Bearing Liabilities:
NOW accounts	$	2,643,123		$	511		0.08	%	$	2,585,814		$	456		0.07	%	$	2,416,761		$	405		0.07	%
Savings accounts		2,944,314			1,209		0.16	%		2,969,866			1,157		0.16	%		2,492,202			843		0.14	%
Money market accounts		684,911			146		0.09	%		706,990			149		0.09	%		861,791			282		0.13	%
Other time deposits		1,330,026			2,536		0.76	%		1,332,912			2,368		0.72	%		1,175,435			2,367		0.81	%
Total interest-bearing deposits		7,602,374			4,402		0.23	%		7,595,582			4,130		0.22	%		6,946,189			3,897		0.23	%
Brokered CD’s		111,972			322		1.15	%		107,519			253		0.95	%		174,338			357		0.82	%
Total interest-bearing deposits and CD’s		7,714,346			4,724		0.25	%		7,703,101			4,383		0.23	%		7,120,527			4,254		0.24	%
Federal funds purchased and interbank borrowings		166,690			422		1.02	%		189,070			356		0.76	%		183,115			217		0.48	%
Securities sold under agreements to repurchase		329,182			334		0.41	%		331,400			256		0.31	%		378,838			391		0.42	%
Federal Home Loan Bank advances		1,443,453			6,017		1.67	%		1,429,977			5,312		1.51	%		983,174			3,610		1.48	%
Other borrowings		219,085			2,379		4.34	%		218,965			2,360		4.31	%		235,022			2,431		4.14	%
Total borrowed funds		2,158,410			9,152		1.70	%		2,169,412			8,284		1.55	%		1,780,149			6,649		1.50	%
Total interest-bearing liabilities	$	9,872,756		$	13,876		0.56	%	$	9,872,513		$	12,667		0.52	%	$	8,900,676		$	10,903		0.49	%
Noninterest-Bearing Liabilities
Demand deposits	$	2,988,147							$	2,917,053							$	2,725,417
Other liabilities		128,231								150,392								195,091
Shareholders’ equity		1,865,318								1,825,659								1,697,624
Total liabilities and shareholders’ equity	$	14,854,452							$	14,765,617							$	13,518,808
Net interest rate spread							3.28	%							3.39	%							3.44	%
Net interest margin (FTE)							3.42	%							3.50	%							3.57	%
FTE adjustment				$	5,643							$	5,688							$	5,267

(1) Interest income is reflected on a fully taxable equivalent basis (FTE).

(2) Includes loans held for sale.

TABLE 8	Average Balance Sheet and Interest Rates (unaudited)
	($ in thousands)

	Six Months Ended								Six Months Ended
	June 30, 2017								June 30, 2016
	Average			Income (1)/		Yield/			Average			Income (1)/		Yield/
	Balance			Expense		Rate			Balance			Expense		Rate
Earning Assets:
Fed Funds sold, resell agr, Fed Reserve Bank account, and money market	$	27,352		$	86		0.63	%	$	34,051		$	70		0.41	%
Investments:
Treasury and gov’t sponsored agencies		558,279			5,579		2.00	%		734,511			7,063		1.92	%
Mortgage-backed securities		1,498,414			15,408		2.06	%		1,129,876			10,639		1.88	%
States and political subdivisions		1,128,042			26,981		4.78	%		1,110,417			26,216		4.72	%
Other securities		445,881			5,694		2.55	%		431,206			4,956		2.30	%
Total investments		3,630,616			53,662		2.96	%		3,406,010			48,874		2.87	%
Loans: (2)
Commercial		1,913,480			38,440		4.00	%		1,803,669			34,871		3.82	%
Commercial and agriculture real estate		3,205,853			80,154		4.97	%		2,243,147			63,311		5.58	%
Consumer:
Home equity		475,325			9,496		4.03	%		434,189			10,865		5.03	%
Other consumer loans		1,406,655			23,648		3.39	%		1,277,640			21,118		3.32	%
Subtotal commercial and consumer loans		7,001,313			151,738		4.37	%		5,758,645			130,165		4.55	%
Residential real estate loans		2,134,681			42,522		3.98	%		1,830,000			36,930		4.05	%
Total loans		9,135,994			194,260		4.25	%		7,588,645			167,095		4.39	%
Total earning assets	$	12,793,962		$	248,008		3.87	%	$	11,028,706		$	216,039		3.91	%
Less: Allowance for loan losses		(50,824	)							(51,673	)
Non-earning Assets:
Cash and due from banks	$	197,927							$	177,162
Other assets		1,869,215								1,557,129
Total assets	$	14,810,280							$	12,711,324
Interest-bearing Liabilities:
NOW accounts	$	2,614,627		$	967		0.07	%	$	2,265,779		$	643		0.06	%
Savings accounts		2,957,020			2,367		0.16	%		2,358,177			1,623		0.14	%
Money market accounts		695,890			295		0.09	%		707,133			372		0.11	%
Other time deposits		1,331,460			4,903		0.74	%		1,044,391			4,481		0.86	%
Total interest-bearing deposits		7,598,997			8,532		0.23	%		6,375,480			7,119		0.22	%
Brokered CD’s		109,758			575		1.06	%		150,812			628		0.84	%
Total interest-bearing deposits and CD’s		7,708,755			9,107		0.24	%		6,526,292			7,747		0.24	%
Federal funds purchased and interbank borrowings		177,818			778		0.88	%		146,747			340		0.47	%
Securities sold under agreements to repurchase		330,285			590		0.36	%		382,441			764		0.40	%
Federal Home Loan Bank advances		1,436,752			11,329		1.59	%		1,044,933			7,027		1.35	%
Other borrowings		219,025			4,739		4.33	%		226,671			4,711		4.16	%
Total borrowed funds		2,163,880			17,436		1.62	%		1,800,792			12,842		1.43	%
Total interest-bearing liabilities	$	9,872,635		$	26,543		0.54	%	$	8,327,084		$	20,589		0.50	%
Noninterest-Bearing Liabilities
Demand deposits		2,952,797								2,599,253
Other liabilities		139,250								184,694
Shareholders’ equity		1,845,598								1,600,293
Total liabilities and shareholders’ equity	$	14,810,280							$	12,711,324
Net interest rate spread							3.33	%							3.41	%
Net interest margin (FTE)							3.46	%							3.54	%
FTE adjustment				$	11,331							$	10,467

(1) Interest income is reflected on a fully taxable equivalent basis (FTE).

(2) Includes loans held for sale.

TABLE 9	Asset Quality (EOP) (unaudited)
	($ in thousands)

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,			June 30,
	2017			2017			2016			2017			2016
Beginning allowance for loan losses	$	49,834		$	49,808		$	50,700		$	49,808		$	52,233
Provision for loan losses		1,355			347			1,319			1,702			1,410
Gross charge-offs		(3,380	)		(3,239	)		(2,677	)		(6,619	)		(6,619	)
Gross recoveries		3,177			2,918			2,462			6,095			4,780
Net (charge-offs) recoveries		(203	)		(321	)		(215	)		(524	)		(1,839	)
Ending allowance for loan losses	$	50,986		$	49,834		$	51,804		$	50,986		$	51,804
Net charge-offs (recoveries) / average loans (1)		0.01	%		0.01	%		0.01	%		0.01	%		0.05	%
Average loans outstanding (1)	$	9,180,987		$	9,078,672		$	8,191,544		$	9,130,112		$	7,581,061
EOP loans outstanding (1)	$	9,232,040		$	9,131,773		$	8,830,158		$	9,232,040		$	8,830,158
Allowance for loan losses / EOP loans (1)		0.55	%		0.55	%		0.59	%		0.55	%		0.59	%
Underperforming Assets:
Loans 90 Days and over (still accruing)	$	201		$	381		$	670		$	201		$	670
Non-performing loans:
Nonaccrual loans (2)		125,519			115,377			160,340			125,519			160,340
Renegotiated loans		14,123			14,969			13,904			14,123			13,904
Total non-performing loans		139,642			130,346			174,244			139,642			174,244
Foreclosed properties		11,071			12,547			24,254			11,071			24,254
Total underperforming assets	$	150,914		$	143,274		$	199,168		$	150,914		$	199,168
Classified loans - “problem loans”	$	237,997		$	219,929		$	250,214		$	237,997		$	250,214
Other classified assets		7,449			7,306			6,392			7,449			6,392
Criticized loans - “special mention loans”		99,502			95,881			106,886			99,502			106,886
Total classified and criticized assets	$	344,948		$	323,116		$	363,492		$	344,948		$	363,492
Non-performing loans / EOP loans (1)		1.51	%		1.43	%		1.97	%		1.51	%		1.97	%
Allowance to non-performing loans (3)		37	%		38	%		30	%		37	%		30	%
Under-performing assets / EOP loans (1)		1.63	%		1.57	%		2.26	%		1.63	%		2.26	%
EOP total assets	$	14,957,281		$	14,869,645		$	14,420,262		$	14,957,281		$	14,420,262
Under-performing assets / EOP assets		1.01	%		0.96	%		1.38	%		1.01	%		1.38	%

EOP - End of period actual balances

(1) Excludes loans held for sale.

(2) Includes renegotiated loans totaling $46.2 million at June 30, 2017, $34.2 million at March 31, 2017 and $38.1 million at June 30, 2016.

(3) Includes acquired loans that were recorded at fair value in accordance with ASC 805 at the date of acquisition. As such, the credit risk was incorporated in the fair value recorded and no allowance for loan losses was recorded on the acquisition date.

TABLE 10	Non-GAAP Measures (unaudited)
	($ in thousands)

	Three Months Ended									Six Months Ended
	June 30,			March 31,			June 30,			June 30,			June 30,
	2017			2017			2016			2017			2016
Actual End of Period Balances
GAAP shareholders’ equity	$	1,886,594		$	1,846,359		$	1,811,117		$	1,886,594		$	1,811,117
Deduct:
Goodwill		655,018			655,018			655,523			655,018			655,523
Intangibles		31,876			34,657			44,237			31,876			44,237
		686,894			689,675			699,760			686,894			699,760
Tangible shareholders’ equity	$	1,199,700		$	1,156,684		$	1,111,357		$	1,199,700		$	1,111,357
Average Balances
GAAP shareholders’ equity	$	1,865,318		$	1,825,659		$	1,697,624		$	1,845,598		$	1,600,293
Deduct:
Goodwill		655,018			655,018			646,131			655,018			615,383
Intangibles		33,189			36,097			45,710			34,635			39,747
		688,207			691,115			691,841			689,653			655,130
Average tangible shareholders’ equity	$	1,177,111		$	1,134,544		$	1,005,783		$	1,155,945		$	945,163
Actual End of Period Balances
GAAP assets	$	14,957,281		$	14,869,645		$	14,420,262		$	14,957,281		$	14,420,262
Add:
Trust overdrafts		31			86			337			31			337
Deduct:
Goodwill		655,018			655,018			655,523			655,018			655,523
Intangibles		31,876			34,657			44,237			31,876			44,237
		686,894			689,675			699,760			686,894			699,760
Tangible assets	$	14,270,418		$	14,180,056		$	13,720,839		$	14,270,418		$	13,720,839
Risk-weighted assets	$	10,367,804		$	10,171,517		$	9,624,966		$	10,367,804		$	9,624,966
GAAP net income	$	38,854		$	35,992		$	39,122		$	74,846		$	66,099
Add:
Intangible amortization (net of tax)		1,807			1,963			2,188			3,770			3,908
Tangible net income	$	40,661		$	37,955		$	41,310		$	78,616		$	70,007
Tangible Ratios
Return on tangible common equity		13.56	%		13.13	%		14.87	%		13.11	%		12.60	%
Return on average tangible common equity		13.82	%		13.38	%		16.43	%		13.60	%		14.81	%
Return on tangible assets		1.14	%		1.07	%		1.20	%		1.10	%		1.02	%
Tangible common equity to tangible assets		8.41	%		8.16	%		8.10	%		8.41	%		8.10	%
Tangible common equity to risk-weighted assets		11.57	%		11.37	%		11.55	%		11.57	%		11.55	%
Tangible common book value (1)		8.85			8.54			8.23			8.85			8.23
Tangible common equity presentation includes other comprehensive income as is common in other company releases.
(1) Tangible common shareholders’ equity divided by common shares issued and outstanding at period-end.
Tier 1 capital	$	1,222,250		$	1,191,735		$	1,134,978		$	1,222,250		$	1,134,978
Deduct:
Trust Preferred Securities		45,000			45,000			45,000			45,000			45,000
Additional Tier 1 capital deductions		(14,977	)		(16,100	)		(30,760	)		(14,977	)		(30,760	)
		30,023			28,900			14,240			30,023			14,240
Tier 1 common equity	$	1,192,227		$	1,162,835		$	1,120,738		$	1,192,227		$	1,120,738
Risk-weighted assets		10,367,804			10,171,517			9,624,966			10,367,804			9,624,966
Tier 1 common equity to risk-weighted assets		11.50	%		11.43	%		11.64	%		11.50	%		11.64	%