CIB Marine Bancshares, Inc. · OTC:CIBH
CIB Marine Bancshares — Shareholder Meeting (April 2025)
40 slides from CIB Marine Bancshares's shareholder meeting presentation, Apr 24, 2025
Slide 1: Annual Shareholder Meeting
Annual Shareholder Meeting April 24, 2025 1:00pm Central Previous Close (April 23, 2025) S&P 500 Index INX $5,376 Dow Jones Industrial Average Index INDU $39,607 KBW Regional Banking Total Return Index KRXTR $207.06 CIB Marine Bancshares, Inc. CIBH $29.50 (Financial information is as of 12/31/24, un
Slide 2: Call to Order
Call to Order Mark A Elste Chairman of the Board of Directors
Slide 3: Forward Looking Statements
Forward Looking Statements CIB Marine has made statements during today's presentation that may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. CIB Marine intends these forward-looking statements to be subject to the safe harbor crea
Slide 4: Meeting Organization
Meeting Organization Official Business o Proposal 1: Election of Directors o Proposal 2: Ratification of Independent Public Accounting Firm o Adjournment ¢ Management's Presentation to Shareholders Chairman’s Presentation to Shareholders Shareholder Questions
Slide 5: Board of Directors
Board of Directors President & CEO of J. Brian Chaffin CIB Marine Bancshares & CIBM Bank Gina M. Cocking CEO & Managing Director of Colonnade Advisors, LLC JoAnn M. Cotter Retired partner of Wipfli LLP Chairman of the Boards of Mark A. Elste CIB Marine Bancshares, Inc. and CIBM Bank Chief Informatio
Slide 6: Board Committee Leadership
Board Committee Leadership Chair: JoAnn Cotter ViceChair: Mark Hen S Nominating Chair: Ronald Rhoades New Business Chair: Rhonda Hopps ViceChairs: Gina Cocking & JoAnn Cotter Investment Advisory Chair: Mark Elste
Slide 7: Executive Management
Executive Management President & CEO of CIB Marine Bancshares & CIBM Bank Chief Financial Officer of CIB Marine Bancshares, Inc. & CIBM Bank Chief Administrative Officer & General Counsel of CIB Marine Bancshares, Inc. & CIBM Bank Chief Credit Officer of J. Brian Chaffin Patrick J. Straka Daniel J.
Slide 8: Proposal 1: Election of Directors
Proposal 1: Election of Directors Nominated Directors J. Brian Chaffin JoAnn M. Cotter Rhonda L. Hopps YA. cib marine ZN BANCSHARES INC
Slide 9: Proposal 2: Ratification of Independent Registered Public Accounting Firm
Proposal 2: Ratification of Independent Registered Public Accounting Firm Crowe LLP
Slide 10: Meeting Adjourned
Meeting Adjourned Any shareholders wishing to vote via phone or internet must submit votes at this time.
Slide 11: Management's Presentation to Shareholders
Management's Presentation to Shareholders J Brian Chaffin President & CEO
Slide 12: Select Earnings Variance
Select Earnings Variance (dollars in thousands) 2023 Variance Description Net Interest Income $20,841 $21,455 ($614) — Higher cost of funds Provision for Loan Loss ($463) ($92) ($371) Improved economic forecasts Non-Interest Income $13,152 $8,900 $4,252 Net Mortgage Banking Revenue $7,203 $6,025 $1,
Slide 13: 2024 Key Financial Highlights
2024 Key Financial Highlights Preferred stock redemption completed: October 31, 2024. Net Income $5,442 $880 ROAA (2) 0.61% 0.11% Net Interest Income $20,841 $21,455 Net Interest Margin 2.42% 2.72% Provision for (Reversal of) Loan Losses (2) (S463) ($92) Non-Interest Income $13,152 $8,900 Efficiency
Slide 14: Revenue Trends
Revenue Trends PRIMARY BANKING REVENUES (000s) $45,000 $30,000 - - 5 - $0 2021 2022 2023 2024 Q12025 m Net interest income mg Deposit service charges m Other service fees m= Mortgage banking revenue, net = Other income = SBA 7(a) gains on sale
Slide 15: Net Interest Income & Margin
Net Interest Income & Margin NET INTEREST INCOME (000s) NET INTEREST MARGIN 2021 2022 2025) =) 2024) =Q12025 2021 2022 2023 2024 Q12025 M@™™ Net Interest Margin — Yield on Earning Assets — Cost of Interest Bearing Liabilities
Slide 16: Net Interest Margin
Net Interest Margin 5.75% 4.75% 3.75% 2.75% Mar-24 Jun-24 Sep-24 Dec-24 Mar-25 m@@— Net Interest Margin Yield on interest earning assets =Cost of interest bearing liabilities
Slide 17: Select Segment Income & Efficiency
Select Segment Income & Efficiency Mortgage Mortgage Other (dollars in millions) TOtal Banking Banking Other Total Banking Banking NA 2020 $10.9 $3.6 $8.1 (S0.8) 2020 72% 76% 65% - 2021 $9.2 $6.5 $3.8 ($1.1) 2021 79% 77% 75% - 2022 $5.0 $7.2 ($1.2) ($1.0) 2022 86% 74% 123% - 2023 $2.5 $4.5 ($1.0) ($
Slide 18: Select Segment Income & Efficiency
Select Segment Income & Efficiency Full Time Employees (FTEs) and FTEs/Total Assets (TAs) Banking TA/Banking Local Customer Mortgage Segment FTEs FTEs Peer TA/FTEs Segment FTEs 2020 122.5 $6.1 $5.7 53.5 2021 117.5 $6.3 $6.7 59.5 2022 114.5 $6.6 $6.9 74.0 2023 103.0 $8.7 $7.4 86.5 2024 102.0 $8.5 $7.
Slide 19: Staffing Cost & Efficiency
Staffing Cost & Efficiency COMPENSATION EXPENSE (000s) $25,000 mee $0 2021 2022 2023 2024 Q12025 m™ CIBM Non-Mortgage Compensation = CIBM Mortgage Compensation 2024 2023 2022 2021 2020 Average personnel expense per employee (5000s) CIBM Bank $111 $96 $101 $103 $90 Custom local peer median $114 $109
Slide 20: Select Segment Level Revenue Components
Select Segment Level Revenue Components Net Interest Income Non-Interest Income Mortgage Mortgage (dollars in millions) Total Banking Banking Other (dollars in millions) Total Banking Banking Other 2020 $22.2 $20.9 $1.3 $0.0 2020 $21.8 $0.3 $21.5 $0.0 2021 $23.3 $22.7 $0.6 $0.0 2021 $15.1 $0.3 $14.8
Slide 21: Mortgage Division
Mortgage Division CIBM MorRTGAGE CIBM MorTGAGE LOAN ORIGINATIONS (000s) NET INCOME (000s) $500,000 $3,000 $250,000 $1,000 aa 2021 2023 Q12025 $1,000 mPurchase money m Refinance 2021 2025 Q12025
Slide 22: Commercial Banking
Commercial Banking COMMERCIAL LOAN ORIGINATIONS $160 million 80 million $ NN $0 million 2021 2022 2023 2024 Q12025 mag Originations —8-Actual to Budget
Slide 23: Loan Portfolio
Loan Portfolio GEOGRAPHIC DISTRIBUTION (000s) PORTFOLIO SEGMENTS (000s) $300,000 $800,000 $150,000 $400,000 $0 $0 IL WI IN Other 2021 2023 Q12025 ™ Other Consumer ™ Purchase Home Equity m Other Consumer m Purchase Home Equity mHome Equity = Residential mHome Equity m Residential mConstruction & Deve
Slide 24: Government Guaranteed Lending
Government Guaranteed Lending SBA 7(A) LOANS & GAINS ON SALE SBA LOANS By TYPE (000s) (C00s) $25,000 $35,000 ° $12,500 $17,500 $0 $0 2021 2023 Q12025 2021 2023 Q12025 mmm SBA 7(a) loans sold mSBA DDPP loans originated mag SBA PPP loans originated mSBA 504 loans originated SBAPPP gross fees received
Slide 25: Retail Division
Retail Division DEPosits BY MARKET DEPOSITS BY TYPE (000s) $400 million mw Time Deposits . $650,000 m Savings mChecking $200 million $325,000 $0 million ¢0O IL WI IN Other 2021 2023 Q12025 Branches: 6 2 1 * mu Time Deposits * Other includes parent and non-bank subsidiary, brokered, = Savings . . lis
Slide 26: Credit Administration
Credit Administration NET CHARGE OFFS TO AVERAGE LOANS 0.01% mz = -0.01% -0.01% -0.08% -0.08% 202) 2022 2023 2024 Q12025 LOAN CLASSIFICATION/TOTAL LOANS 4% | | | 2021 2022 2023 2024 Q)2025 mSpecia! Mention ®Substandard m Doubtful
Slide 27: Credit Administration
Credit Administration NONACCRUAL LoANS/TOTAL LOANS NONPERFORMING AsSETS/TOTAL ASSETS agin 0.84% 068% 067% 9 json, 0.44% 0.18% 0.15% 014% 0.16% Z 2021 2022 2023 +2024 QI2025 2021 2022 2023 +2024 12025
Slide 28: 1st Quarter 2025 Highlights
1% Quarter 2025 Highlights (dollars in 000s) Qi 2025") Qi 2024") FY 2024 FY 2023 Net Income $321 $178 $5,442 $880 ROAA (2) 0.15% 0.08% 0.61% 0.11% Net Interest Income $5,289 $4,961 $20,841 $21,455 Net Interest Margin 2.62% 2.29% 2.42% 2.72% Provision for (Reversal of) Loan Losses'3) $42 ($28) (S463)
Slide 29: Uninsured Deposits & Unrealized Securities Losses
Uninsured Deposits & Unrealized Securities Losses Qi’25 2024 2023 2022 Uninsured Deposits/Total Deposits 22% 20% 20% 29% Unrealized Gain (Loss) on AFS Securities, net (in millions) ($3.9) ($5.1) ($5.5) (S6.8) Unrealized Gain (Loss) on AFS Securities/ AFS Securities: CIBM Bank (4.7%) (5.5%) (5.5%) (7
Slide 30: Preferred Stock Redemption Complete
Preferred Stock Redemption Complete ee # Carry Value # Carry Value # Carry Value Original Preferred Stock 60,000 $51,000,000 55,624 $47,280,400 4,376 $3,719,600 # Redemption Price # Redemption Price # Redemption Price Redeemed Preferred Stock 60,000 $47,753,143 55,624 $44,237,095 4,376 $3,516,048 (2
Slide 31: Deferred Tax Asset (DTA)
Deferred Tax Asset (DTA) (dollars in millions, except per share data) 2024 2023 Last 8 Yrs Current tax provision ; $1.8 $0.5 $12.7 (excluding other changes in the valuation allowance) Net DTA $13.0 $14.8 $22.6 Net DTA per share of common stock $9.54/share $11.05/share $18.68/share
Slide 32: 2024 Results & 2025 Guidance
2024 Results & 2025 Guidance fcc lersintniilicnstexcentpensharetdate) 2024 Actual 2024 Guidance 2025 Guidance Net Income $5.4 $1.9 - $2.7 $1.6 - $4.2 Total Assets $866 $811 - $897 $850 - $896 ROAA 0.61% 0.22% - 0.30% 0.23% - 0.46% EPS - Basic $4.32 $1.40 - $2.00 $1.42 - $3.07 - Diluted $3.38 $1.05 -
Slide 33: Chairman's Presentation to Shareholders
Chairman's Presentation to Shareholders Mark A Elste Chairman of the Board of Directors
Slide 34: Tangible Book Value
Tangible Book Value Q1’25 2024 (1) 2023 2022 (2) 2021 2020 Tangible Book Value $58.46 $57.37 $53.35 $53.19 $56.44 $52.28 Tangible Book Value 49.22 47.83 42.30 40.75 45.03 39.42 Excluding DTA $ $ $ $ $ $ Tangible Book Value Post Pref. Series B Conversion $58.46 $57.37 $41.14 $40.84 $43.16 $32.52 (1)
Slide 35: 2025 Common Stock Repurchase Plan
2025 Common Stock Repurchase Plan Summary of CIBH BuyBacks Period of time 2025 Q1 Shares purchased 7,429 Total purchase price $235,124 Price per share $31.65 General Purchasing Guidelines ¢ Upto $1 million of CIBH purchases can be made during 2025 at the discretion of CIB Marine. ¢ Transaction types
Slide 36: CIBH Stock Performance
CIBH Stock Performance Traded Stock Ending Price per value Volume Weighted Average Annual Total Return Since Share() (current yr annualized) Average Price YTD!) 12/31/092) 12/31/15?) 12/31/23”) 12/31/2009 $1.65 57,531 $2.31 12/31/2010 $1.28 125,221 $3.51 -23% 12/31/2011 $2.70 149,595 $1.79 28% 12/31
Slide 37: CIBH Stock Performance
CIBH Stock Performance $100 Investment in CIBH and KRXTR e CIBH =——= 10 per. mov. avg. (CIBH) oe KRXTR wee 10 per. Mov. avg. (KRXTR) 12/31/2015 to 04/22/25 $600 e $300 $O + 2/35 12/3/76 287 12/38 12879 128/20 12/31/21 12/81/22 ~=—-12/31/23 12/31/24 12/31/2021to 04/22/25 $160 12/31/2023 to 04/22/25 $
Slide 38: Shareholder Questions
Shareholder Questions
Slide 39: Shareholder Questions
Shareholder Questions Any update on repurchase activity or further returns to shareholders? Based on 1Q pace the whole authorization should be done this year. Without going into too much detail can you highlight the value of the net operating loss carryforwards and how they reduce cash taxes? What i
Slide 40: CIB Marine Bancshares Inc
YX cio marine BANCSHARES INC
CIB Marine Bancshares — Shareholder Meeting (April 2025) on 6ix