1 EXHIBIT (99)I OPERATING MARGIN AND RATE VOLUME ANALYSIS D&N FINANCIAL CORPORATION AVERAGE BALANCE AVERAGE RATE INTEREST VARIANCE DUE TO: ----------------------------------------------------------------------------------------- OPERATING MARGIN FOR MARCH 31, MARCH 31 MARCH 31 INCREASE QUARTER ENDED 1998 1997 1998 1997 1998 1997 (DECREASE) VOLUME Rate - ---------------------------------------------------------------------------------------------------------------------------- (Dollars in thousands) (Dollars in thousands) INTEREST-EARNING ASSETS: Loans receivable $1,334,866 $1,065,927 8.08% 8.27% $26,829 $21,937 $ 4,892 $ 5,410 ($518) Mortgage-backed securities 358,876 247,032 6.85% 7.18% 6,145 4,436 1,709 1,924 215) Investment 98,840 129,600 6.45% 6.13% 1,573 1,962 (487) (487) 98 ---------- ---------- ---- ---- ------- ------- ------- -------- ---- 1,792,582 1,442,559 7.74% 7.89% 34,547 28,335 6,212 6,846 (634) ---------- ---------- ---- ---- ------- ------- ------- -------- ---- INTEREST-BEARING LIABILITIES: Deposits 1,036,213 974,127 4.69% 4.70% 11,985 11,288 697 718 (21) Borrowings Securities sold w/repo 142,787 56,369 5.58% 5.39% 1,991 759 1,232 1,204 28 Notes payable 491,781 338,003 5.85% 5.63% 7,197 4,757 2,440 2,244 196 Other borrowed money 7,640 8,188 8.85% 9.58% 169 196 (27) (13) (14) ---------- --------- ---- ---- ------- ------- ------- -------- ---- Subtotal - Borrowings 642,208 402,560 5.83% 5.68% 9,357 5,712 3,645 3,435 210 ---------- --------- ---- ---- ------- ------- ------- -------- ---- 1,678,421 1,376,687 5.13% 4.98% 21,342 17,000 4,342 4,153 189 ---------- --------- ---- ---- ------- ------- ------- -------- ---- INTEREST RATE SPREAD 2.62% 2.91% ==== ==== EXCESS AVERAGE EARNING ASSETS $ 114,161 $ 65,872 ========== ========== NET INTEREST MARGIN 2.94% 3.13% $13,205 $ 11,335 $ 1,870 $ 2,693 $(823) ==== ==== ======= ======== ======= ======== =====