Mercantile Bank Corp. (MBWM)’s 4th Quarter 2014 Earnings Result Conference Call Transcript

Matthew Forgotson – Sandy O’Neill & Partners:

Hi, Good morning everybody. Just to follow up, on the non-performer, can you give us a sense that is this one paying that degree right now and you know have you charged any of the rafts today? Just trying to get a sense of overall exposure.

Robert B. Kaminski Jr. – Executive Vice President, Chief Operating Officer and Secretary:

Sure, to answer your question, when we put the wall 9 a cruel, it was with current with payments. As we go forward, we may change the pane of structure to give the company some relief. And some of its cash flow issues. But that would be a positive thing because that means that we’re still working by them and we think we see light at the end of the tunnel, so yeah it was current when we put it on cool ad just very conservative in the treatment. Have we charged anything off? No we haven’t. Like all loans there is a reserve against it but as you can imagine being on a cool loan at reserve is a larger than the general population of loans. Do we have an estimated lot to decide? You’ll get the call to see from the stand-point of this company that some options available to it. The distribution company and the agricultural business and there is quite a bit of interest in people purchasing either the company as a whole or purchasing the assets or the company returning to profitability. That makes some significant changes in the operating structure that could make this return to an operating loan. So, it’s kind a like really in the early stages of the rather significant workout situation, but we like the way its heading.

Okay so, not gonna press but it does sound that you wanna volunteer a dollar amount for this specific reserve held against this long.

Robert B. Kaminski Jr. – Executive Vice President, Chief Operating Officer and Secretary:

Well, I’m not sure we’ll be actually helpful but you saw I could not agree when I was gonna lose 22 million dollars, you know if anybody thinks that this is that big of an extortion. But it’s really hard probably for a week to week changing dynamic depending on how the company is being managed and how its relationship is with us. But I would secure it for rises and I’m much concerned about it today than I was a month ago. But, it’s still you know an active workout situation.

Matthew Forgotson – Sandy O’Neill & Partners:

Okay, and then just how many other loans you have in the portfolio? You know just let’s call it north of you know 20 million, and I know they’re all performing, but you know any granularity they’ll be helpful?