First Merchants Corporation reported consolidated earnings results for the fourth quarter and year ended December 31, 2013. For the quarter, the company reported total interest income of $45,707,000 compared with $42,964,000 for the same period last year. Net interest income was $41,135,000 compared with $38,265,000 for the same period last year. Income before income tax was $14,634,000 compared with $13,463,000 for the same period last year. Net income available to common stockholders was $11,206,000 or $0.34 diluted per share compared with $9,175,000 or $0.32 diluted per share for the same period last year. Return on average assets was 0.91% compared with 0.85% for the same period last year. Return on average stockholders equity was 7.78% compared with 6.66% for the same period last year. Return on average common stockholders equity was 8.05% compared to 7.97% for the same period last year.

For the year, the company reported total interest income of $170,834,000 compared with $175,949,000 for the same period last year. Net interest income was $154,265,000 compared with $152,336,000 for the same period last year. Income before income tax was $59,207,000 compared with $60,989, 000 for the same period last year. Net income available to common stockholders was $42,150,000 or $1.41 diluted per share compared with $40,583,000 or $1.41 diluted per share for the same period last year. Return on average assets was 0.95% compared with 0.96% for the same period last year. Return on average stockholders equity was 7.80% compared with 7.58% for the same period last year. Return on average common stockholders equity was 8.55% compared with 9.13% for the same period last year.

The company had a similar adjustment in the fourth quarter but the effective rate going forward is 27% is more of an effective tax rate that one could expect on a go forward basis. Really 35% applied to everything after deducting out tax free income from bank and life insurance and tax-free munis.