The qualities we desire in our organization and staff:

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2 To strengthen and contribute to the financial and personal well-being of our clients, staff, and our communities. Building relationships with our clients based on mutual respect through a mutually beneficial banking relationship. Protection of our depositors money through the safety and soundness of our earning assets. Service to our clients. Empowerment of staff and individual productivity. Confidentiality, honesty, and integrity. Attention to detail. The qualities we desire in our organization and staff: The entire business community will want to bank with us. We will have pride in ourselves because of our fair dealings. The best up and coming people in the industry will want to work for us. Both employees and clients will feel that the bank has contributed to their life in a positive way. We will be respected and admired by our peers. Larry Jolivette President Eau Claire Market Dave Reardon President Hayward Market Kevin Whelan President Maplewood Market

3 Dan Riebe Corporate President Michael O Meara Chairman I am pleased to report to our clients that Peoples Bank Midwest performed very well in 2014 as it relates to traditional banking metrics such as capital levels, earnings performance and asset quality. Our capital levels are some of the highest in our industry, earnings were in the upper quartile compared to our peers and asset quality is strong. I would like to point out that our earnings strength is driven primarily by efficiencies as opposed to high rates on loans or low deposit rates. This is important because we want to be sure we deliver all our products at very fair prices (if not better than our competitors) from experienced bankers and drive our earnings strength through the efficiencies we have developed over the years. However, I am most excited about what we are able to do for our clients in 2015 with the team of experienced bankers we have assembled. In addition to our team, we have the capital and the products to make sure our clients receive all the banking services they need at the right time and the right price. With a strong banking partner, our clients can focus on the success of their businesses and their families. To our existing clients, I thank you for your loyalty. If you are considering becoming a client, I welcome the opportunity to have our team show you why banking at Peoples Bank Midwest will be beneficial to your business and family. Dan Riebe Corporate President

4 Combined with our strong capital base, local management and decision making, state of the art technology and experienced professionals, Peoples Bank Midwest has continually satisfied the Eau Claire, Wisconsin diverse banking needs of the communities that we serve. After nearly 90 years in operation, our growing list of customers is a testimony of our ability to provide banking solutions in a service environment that businesses and individuals alike value. Hayward, Wisconsin We invite you to contact us or when we contact you, let us come by and convince you that Peoples Bank Midwest is the bank you have always wanted to do business with! Maplewood, Minnesota

5 Our Commercial Lenders work closely with you to customize financing solutions that best fit your business. Whether you are considering a mortgage loan to purchase or refinance property, a term loan to help fund an expansion or refinance equipment, or a line of credit to manage cash flow fluctuation we offer a complete range of financing solutions. If your goal is to improve the efficiency of your back office operations, our payment processing, collection, and disbursement solutions are designed to maximize cash flow, reduce administrative and operating costs, and provide tools to help protect your business against fraud. Dave Reardon, Market President, Peoples Bank Midwest, Hayward, WI, formed and is leading the loan participation agreement for the expansion project of Memorial Medical Center in Ashland, Wisconsin - set to open March 2016.

6 Choosing the Right Lender is an Important First Step. The lending experts at Peoples Bank Midwest will listen to your needs, help you explore loan options, and create a loan that makes your dream come true. Our mortgage lenders will offer practical, step-by-step mortgage or construction loan advice to make the process easy. You may need more room for a growing family or want to create the perfect lake home you ve dreamed of. Regardless of your motivation, we re here to help your dreams and plans become a reality. Our local Construction Lending Specialists have vast experience, and will help you find your way through the process to secure financing for the construction of your home. We provide financing for construction of primary or second family homes.

7 At Peoples Bank Midwest, we understand the needs of municipalities and other public entities in our communities. Given our years of experience providing banking services to this sector, we have developed a framework of comprehensive solutions to centralize transactions and investments. With our vast service offerings, state-of-the-art technology, and bankers who have an in-depth understanding of public sectors, we have the ability to develop programs unique to your needs. Cash Management Insured Cash Sweep Positive Pay CDARS Remote Deposit Capture Public Unit Deposit Letter of Credit Peoples Bank Midwest was honored to receive the 2014 Keith Warner Standard of Excellence Award from the Vadnais Heights Economic Development Corporation (VHEDC). This annual honor is bestowed on area businesses who have shown excellence in the areas of business success, philanthropy and community spirit. Peoples Bank Midwest employees have helped with community events such as the VHEDC Golf Tournament as well as managing the Silent Auction for the VHEDC Annual Dinner. The bank sponsored a team to participate in the American Cancer Society s fundraiser, The Relay for Life, held in White Bear Lake. Our team placed second and raised over $13,000 - an excellent showing for our first time participating in this event! Kevin Whelan, Market President, Peoples Bank Midwest, Maplewood, MN, is the VHEDC Board President.

8 12/31/14 ($000s omitted) Cash and Securities...90,427 Net Loans...206,564 Other Assets....18,727 Total Assets...315,718 Deposits ,720 Other Borrowings ,077 Capital...56,921 Total Liabilities and Capital...315,718 Peoples Bank Midwest is well-capitalized under the Regulatory Framework for Capital Adequacy 30.00% 25.00% 20.00% 15.00% 17.75% 22.93% 24.15% 10.00% 10.00% 5.00% 5.00% 6.00% 0.00% Tier 1 Leverage Capital Tier 1 Risk Based Capital Total Risk Based Capital Peoples Bank Midwest Well-Capitalized Peoples Bank Midwest significantly exceeds the capital requirements of our banking regulators, as shown in the graph above. The fact that we have plenty of capital is important for our clients in a number of ways. Perhaps the most important being our clients know that when they need credit from us, we are ready, willing and capable to meet those needs. Secondly, plenty of capital allows us the flexibility to expand with new products or new markets to grow along with our clients needs. We are proud to have a long history and are ideally positioned to continue our tradition of serving the clients in our communities. Daniel Riebe, Corporate President Michael J. O Meara, Chairman Daniel Clumpner Thomas J. Duffy, Jr. Joseph Fesenmaier Steven A. Friendshuh Mark Harrington Jeffrey Larson

9 Peoples Bank Midwest actively supports the communities we serve by sharing our time and talents with the following events and organizations: American Birkebeiner American Cancer Society Anoka Ramsey Community College Bolton Refuge House Cable Natural History Museum Children s Service Society Chippewa Valley Museum Eau Claire Area School District Eau Claire Big Brothers Big Sisters Eau Claire Chamber of Commerce Eau Claire Community Table Eau Claire Economic Development Corporation Eau Claire Family Resource Center Eau Claire Rotary Eau Claire YMCA Feed My People Fishing Has No Boundaries Fresh Water Fishing Hall of Fame Hayward Area Chamber of Commerce Hayward Area Memorial Hospital Hayward Area Visitor s and Convention Bureau Hayward Community Food Shelf Hayward Community School District Hayward Lions Club Hayward Rotary Club Independent Community Banks of America Independent Community Bankers of Minnesota Indianhead Community Action Agency Junior Achievement Junior League of Eau Claire Keystone Community Services Kiwanis Meals on Wheels Metro North Chamber of Commerce Metro Work Center Minnesota Vikings Children Fund Northland Area Builders Association North St. Paul Business Association Northwest Regional Planning Commission Northwoods Humane Society Chippewa Valley Realtors Association Realtors Association of Northeast WI Regional Hospice Regis Foundation Roseville Rotary Club Ruffed Grouse Society Salvation Army Sawyer County Fair Sawyer County 4-H Junior Livestock Seeley Classic Sourjourner House Trout Unlimited Vadnais Heights Economic Development Corporation WHEDA White Bear Lake Business Association White Bear Lake Chamber of Commerce White Bear Lake Relay for Life Wisconsin Bankers Association Wisconsin Business Development WITC Foundation

10 EAU CLAIRE 2720 Golf Road Eau Claire, WI HAYWARD Main Street PO Box 391 Hayward, WI MAPLEWOOD 1275 County Road D E Suite 106 Maplewood, MN pbmbank.com