SEC Filing | First Busey Corporation

SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K/A [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 1996 [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 0-15950 FIRST BUSEY CORPORATION (Exact name of registrant as specified in its Charter) Nevada 37-1078406 (State or other jurisdiction of (I.R.S. Employer incorporation of organization) Identification No.) 201 West Main Street Urbana, Illinois 61801 (Address of principal executive (Zip Code) offices) (217) 384-4513 (Registrant's telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: None Securities registered pursuant to Section 12(g) of the Act: Class A Common Stock without par value Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes X No --- --- Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 Regulation S-K is not contained herein, and will not be contained to the best of Registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [ ] As of February 28, 1997, the aggregate market value of the Class A Common Stock held by non-affiliates was $89,195,556. Class B Common Stock is held by affiliates. The market value of the Class A Common Stock is based on the "Bid" price for such stock as reported in the National Quotation Bureau's "Pink Sheets" on that date. Affiliates include all directors, executive officers and beneficial holders owning 5% or more of the shares. Indicate the number of shares outstanding of each of the Registrant's classes of common stock, as of the latest practicable date. Class Outstanding at February 28, 1997 --------------------------------------- -------------------------------- Class A Common Stock, without par value 5,794,378 Class B Common Stock. without par value 1,125,000 DOCUMENTS INCORPORATED BY REFERENCE Portions of the definitive Proxy Statement dated March 18, 1997 for First Busey Corporation's Annual Meeting of Stockholders to be held April 16, 1997 (the "1997 Proxy Statement") are incorporated by reference into Part III.

Part IV ITEM 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES AND REPORTS ON FORM 8-K EXHIBITS Exhibit Description of Exhibit Sequentially Number Numbered Page - ------------------------------------------------------------------------------- 3.1 Certificate of Incorporation of First Busey Corporation (filed as Appendix B to First Busey's definitive proxy statement filed with the Commission on April 5, 1993 (Commission File No. 0-15950), and incorporated herein by reference) 3.2 By-Laws of First Busey Corporation (filed as Appendix C to First Busey's definitive proxy statement filed with the Commission on April 5, 1993 (Commission File No. 0-15950), and incorporated herein by reference) 10.1 First Busey Corporation 1993 Restricted Stock Award Plan (filed as Appendix E to First Busey_s definitive proxy statement filed with the Commission on April 5, 1993 (Commission File No. 0-15950), and incorporated herein by reference) 10.2 First Busey Corporation 1986 Stock Option Plan (filed as Exhibit 10.2 to First Busey's Registration Statement on Form S-1 (Registration No. 33-13973), and incorporated herein by reference) 10.3 First Busey Corporation Profit Sharing Plan and Trust (filed as Exhibit 10.3 to First Busey's Registration Statement on Form S-1 (Registration No. 33-13973), and incorporated herein by reference) 10.4 Mortgage on County Plaza Building (filed as Exhibit 10.4 to First Busey's Registration Statement on Form S- 1 (Registration No. 33-13973), and incorporated herein by reference) 10.5 Affiliation Agreement dated October l3, 1988 between Community Bank of Mahomet and CBM Bank, Mahomet and joined in by First Busey Corporation (filed as Exhibit 2.1 to First Busey's Registration Statement on Form S- 4 (Registration No. 33-25159), and incorporated herein by reference) 10.6 Merger Agreement dated October 13, 1988 between Community Bank of Mahomet and CBM Bank, Mahomet and joined in by Busey Corporation (filed as Exhibit 2.2 to First Busey's Registration Statement on Form S-4 (Registration No. 33-25159), and incorporated herein by reference) 10.7 First Busey Corporation Employee Stock Ownership Plan (filed as Exhibit 10.7 to First Busey's Annual Report on Form 10-K for the fiscal year ended December 31, 1988 (Registration No. 2-66201), and incorporated herein by reference)

Exhibit Description of Exhibit Sequentially Number Numbered Page - ------------------------------------------------------------------------------- 10.8 First Busey Corporation 1988 Stock Option Plan (filed as Exhibit 10.8 to First Busey's Annual Report on Form 10-K for the fiscal year ended December 31, 1988 (Registration No. 2-66201), and incorporated herein by reference) 10.9 Affiliation Agreement dated as of April 10, 1989 between First Busey Corporation and St. Joseph Bancorp, Inc. (filed as Exhibit 2.1 to First Busey's Corporation Statement on Form S-4 (Registration No. 33- 28926), and incorporated herein by reference) 10.10 Agreement and Plan of Merger dated April 10, 1989 between First Busey Corporation and St. Joseph Bancorp, Inc. (filed as Exhibit 2.2 to First Busey's Registration Statement on Form S-4 (Registration No 33- 28926), and incorporated herein by reference) 10.11 Affiliation Agreement dated as of October 2, 1992 between First Busey Corporation and Empire Capital Corporation (filed as Exhibit 2.1 to First Busey's Registration Statement on Form S-4 (Registration No. 33-54664), and incorporated herein by reference) 21.1 List of Subsidiaries of First Busey Corporation* 23.1 Consent of Independent Public Accountants* 27 Financial Data Schedule 99.1 Form 11-K Annual Report for First Busey Corporation Profit Sharing Plan and Trust (Registration No. 33- 30095) for the fiscal year ended December 31, 1996 99.2 Form 11-K Annual Report for First Busey Corporation Employee Stock Ownership Plan (Registration No. 33- 60402) for the fiscal year ended December 31, 1996 - ------------------------------------------------------------------------------- *Previously filed. FINANCIAL STATEMENT SCHEDULES Financial statement schedules not included in this Form 10-K have been omitted because they are not applicable for the required information shown in the financial statements or notes thereto.

REPORTS ON FORM 8-K No reports on Form 8-K have been filed for or on behalf of First Busey Corporation during the last quarter or the period covered by this Form 10-K. FORM S-8 UNDERTAKING For the purposes of complying with the amendments to the rules governing Form S-8 (effective July 13, 1990) under the Securities Act of 1933, the undersigned registrant hereby undertakes as follows, which undertaking shall be incorporated by reference into the registrant's Registration Statement on Form S-8 File No. 33-30095. Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to directors, officers and controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Securities Act of 1933 and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the registrant of the expenses incurred or paid by a director, officer or controlling person of the registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer, or controlling person in connection with the securities being registered, the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue.

EXHIBIT 99.1 FORM 11-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ANNUAL REPORT Pursuant to Section 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 1996 Commission File No. 0-15950 (First Busey Corporation) Commission File No. 33-30095 (the Plan) A. Full title of the plan and the address of the plan, if different from that of the issuer named below: FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST (the "Plan") B. Name of issuer of the securities held pursuant to the plan and the address of its principle executive office: FIRST BUSEY CORPORATION 201 WEST MAIN STREET URBANA, ILLINOIS 61801

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST FINANCIAL REPORT DECEMBER 31, 1996

CONTENTS - ------------------------------------------------------------------------- INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS - ------------------------------------------------------------------------- FINANCIAL STATEMENTS Statements of net assets available for benefits Statements of changes in net assets available for benefits Notes to financial statements - ------------------------------------------------------------------------- INDEPENDENT AUDITOR'S REPORT ON THE SUPPLEMENTARY INFORMATION - ------------------------------------------------------------------------- SUPPLEMENTARY INFORMATION Summary of investments owned and investment income Assets held for investment Reportable transactions Party in interest transactions - -------------------------------------------------------------------------

INDEPENDENT AUDITOR'S REPORT To the Profit Sharing Committee and Participants FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST Urbana, Illinois We have audited the accompanying statements of net assets available for benefits of FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST as of December 31, 1996 and 1995, and the related statements of changes in net assets available for benefits for each of the years in the three-year period ended December 31, 1996. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST as of December 31, 1996 and 1995, and the changes in net assets available for benefits for each of the years in the three-year period ended December 31, 1996, in conformity with generally accepted accounting principles. Champaign, Illinois March 25, 1997

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS December 31, 1996 and 1995 1996 1995 - ---------------------------------------------------------------------------- ASSETS Investments in fair value: Common stock $ 6,679,582 $ 3,587,884 Mutual funds 4,373,828 3,310,665 Corporate bonds, notes and commercial paper 2,911,116 2,421,467 Short-term investments 516,533 1,200,432 Taxable municipal bonds 491,723 340,970 U. S. Treasury and federal agency securities 472,022 559,570 Common trust fund - 1,180,910 Notes receivable, participants 169,625 75,394 Notes receivable, other 91,002 101,954 --------------------------- 15,705,431 12,779,246 --------------------------- Receivables: Accrued interest and dividends 185,791 241,628 Employer contribution 172,500 - Participants' contributions 24,434 21,294 Other - 1,037 --------------------------- 382,725 263,959 --------------------------- TOTAL ASSETS 16,088,156 13,043,205 --------------------------- LIABILITIES Cash overdraft 360 - Other 28 - --------------------------- TOTAL LIABILITIES 388 - --------------------------- NET ASSETS AVAILABLE FOR BENEFITS $ 16,087,768 $ 13,043,205 =========================== See Notes to Financial Statements.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS Years Ended December 31, 1996, 1995 and 1994 1996 1995 1994 - ------------------------------------------------------------------------------------------------ Investment income: Net appreciation (depreciation) in fair value of investments $ 1,861,216 $ 1,650,641 $ (57,335) Interest 258,920 276,102 248,570 Dividends 238,263 176,575 148,880 ----------------------------------------------- 2,358,399 2,103,318 340,115 ----------------------------------------------- Contributions: Employer 491,200 371,486 304,385 Employees 650,421 569,066 538,024 Employee contributions representing transfers from another qualified retirement trust 139,992 118,413 955,896 ----------------------------------------------- 1,281,613 1,058,965 1,798,305 ----------------------------------------------- TOTAL ADDITIONS 3,640,012 3,162,283 2,138,420 ----------------------------------------------- Benefits paid to participants 509,641 708,692 439,829 Administrative expenses 85,808 80,017 71,185 ----------------------------------------------- TOTAL DEDUCTIONS 595,449 788,709 511,014 ----------------------------------------------- NET INCREASE 3,044,563 2,373,574 1,627,406 Net assets available for benefits: Beginning of year 13,043,205 10,669,631 9,042,225 ----------------------------------------------- End of year $ 16,087,768 $ 13,043,205 $ 10,669,631 =============================================== See Notes to Financial Statements.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 1. SIGNIFICANT ACCOUNTING POLICIES Valuation of investments: The Plan's investments are stated at fair value. Shares of registered investment companies are valued at quoted market prices which represent the net asset value of shares held by the Plan at year-end. Securities traded on any recognized stock exchange are valued at the last reported sales price at the valuation date. Securities not listed on an exchange and securities for which no sale has been reported on that day are valued at the closing bid price, or at fair value as determined by the Trustee. Certificates of deposit and participant and other notes receivable are valued at cost which approximates fair value. Purchases and sales of securities are recorded on a trade-date basis. Payment of benefits: Benefits are recorded when paid. NOTE 2. PLAN DESCRIPTION The following description of the Plan provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan's provisions. General: First Busey Corporation Profit Sharing Plan and Trust (the Plan) is a multiple-employer profit sharing plan and 401(k) plan. Participating employers are First Busey Corporation and its subsidiaries (the Employers). The Plan is a profit sharing plan that was amended effective January 1, 1987, to include a 401(k) plan. The Plan covers all full-time employees of the Employers who have completed 6 months of service. It is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). Contributions: Each participant is permitted to make voluntary contributions to their profit sharing account up to 10% of the participant's total compensation, subject to certain limits as provided in the plan document and in income tax regulations. Participants may also contribute amounts representing distributions from other qualified plans.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- The Employers' contributions to the profit sharing portion of the Plan are determined by the Board of Directors. The Employers make matching contributions to the 401(k) portion of the Plan equal to a percentage of the first 6% of total compensation that a participant contributes to the Plan. The Employers matching contribution is dependent upon the earnings per share attained by First Busey Corporation. The Board of Directors approves the level of matching contributions each year. For the year ended December 31, 1996, 401(k) Plan matching contributions totaled 40% of participant contributions. Participant accounts: Each participant's profit sharing account is credited with the participant's contributions and an allocation of (a) the Employers' contribution, (b) Trust earnings, (c) forfeitures of terminated participants' non-vested accounts, and (d) administrative expenses. Allocations are based on participant earnings or account balances, as defined. The benefit to which a participant is entitled is the benefit that can be provided from the participant's vested account. Each participant's 401(k) account is credited with the participant's voluntary contributions and an allocation of (a) the Employers' contribution, (b) Trust earnings, and (c) administrative expenses. The benefit to which a participant is entitled is the benefit that can be provided from the participant's vested account. Vesting: Participants in the 401(k) plan are immediately vested in their voluntary contributions, the Company's contribution and the respective Trust earnings on those contributions. Participants in the profit sharing plan are immediately vested in their voluntary contributions plus earnings thereon. Vesting in the remainder of their accounts is based on years of continuous service. A participant is 100 percent vested after seven years of credited service. Investment options: Upon enrollment in the 401(k) plan, a participant may direct contributions in any of four investment options as follows: Balanced Fund - Funds are invested primarily in shares of registered investment companies and corporate bonds. Equity Growth Fund - Funds are invested in shares of registered investment companies.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- FBC Stock Fund - Funds are invested in Class A common stock of First Busey Corporation. CD Fund - Funds are invested in a certificate of deposit with Busey Bank, a subsidiary of First Busey Corporation. Participants may change their investment options semi-annually. Payment of benefits: Upon termination of service, a participant may elect to receive either a lump-sum amount equal to the value of his or her account, or an annuity payable to the participant for his or her life with an annuity payable to the participant's surviving spouse equal to 50% of the participant's annuity. The participant may elect to receive a smaller annuity benefit with continuation of payments to the spouse at a rate of 75% or 100% of the participants' annuity. NOTE 3. PLAN TERMINATION In the event of the termination of the Plan, or upon the complete discontinuance of contributions, the Trust shall be used to provide benefits under the Plan for participants and their beneficiaries in the order of decreasing priority as described in the Employee Retirement Income Security Act of 1974. In the event of Plan termination, participants will become 100 percent vested in their accounts. Presently, there is no intention on the part of the Employers to terminate the Plan or to discontinue contributions to the Trust.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 4. INVESTMENTS The following table presents the fair values of investments as of December 31, 1996 and 1995. Investments that represent 5 percent or more of the Trust's net assets are separately identified. December 31, 1996 December 31, 1995 ------------------------------------------------------------- Number of Number of Shares or Shares or Principal Principal Amount Fair Value Amount Fair Value ------------------------------------------------------------- Investments at fair value as determined by quoted market price: Common stock, Class A, First Busey Corporation 186,520 $ 4,150,070 121,747 $ 3,287,169 Other common stocks 58,629 2,529,512 14,859 300,715 Mutual funds: Wm. Blair Growth Fund 68,009.809 916,772 50,777.694 604,254 Nicholas Fund, Inc. 13,428.662 885,486 10,040.439 602,727 Mutual Shares Fund 8,605.567 799,027 6,274.925 542,467 Other mutual funds 62,020.103 1,772,543 51,479.059 1,561,217 Corporate bonds, notes and commercial paper $ 2,915,000 2,911,116 $ 2,390,000 2,421,467 U. S. Treasury Notes $ 175,000 176,344 $ 175,000 180,742 Federal Home Loan Bank Bonds $ 225,000 225,656 $ 325,000 332,773 Federal Farm Credit Bank Bonds $ 70,000 70,022 $ 45,000 46,055 ------------- ------------- 14,436,548 9,879,586 ------------- ------------- Investments at estimated fair value: Benchmark Diversified Asset Portfolio $ 392,000 $ 392,000 $ - $ - Certificate of deposit $ 124,533 124,533 $ 283,855 283,855 Franklin IFT Money Market Portfolio $ - - $ 916,577 916,577 Taxable municipal bonds $ 490,000 491,723 $ 340,000 340,970 Pension Common Trust Fund of First Busey Trust & Investment co. - - 34,270 1,180,910 Notes receivable, participants $ 169,625 169,625 $ 75,394 75,394 Notes receivable, other $ 91,002 91,002 $ 101,954 101,954 ------------- ------------- 1,268,883 2,899,660 ------------- ------------- $ 15,705,431 $ 12,779,246 ============= =============

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- During the years ended December 31, 1996, 1995 and 1994 the Trust's investments (including investments bought, sold and held during the year) appreciated (depreciated) in value by $1,861,216, $1,650,641 and $(57,335), respectively, as follows: 1996 1995 1994 ------------------------------------------------ Investments at fair value as determined by quoted market price: Common stocks $ 1,196,471 $ 399,393 $ 207,184 Mutual funds 612,675 813,560 (73,068) Corporate bonds, notes and commercial paper (40,171) 122,318 (155,466) U. S. Treasury and federal agency securities (12,098) 24,978 (42,179) ------------------------------------------------ 1,756,877 1,360,249 (63,529) ------------------------------------------------ Investments at estimated fair value: Common trust fund 109,711 290,465 6,194 Taxable municipal bonds (5,372) (73) - ------------------------------------------------ 104,339 290,392 6,194 ------------------------------------------------ $ 1,861,216 $ 1,650,641 $ (57,335) ================================================ NOTE 5. PARTY IN INTEREST TRANSACTIONS Parties in interest include fiduciaries or employees of the plan, any person who provides services to the plan, an employer whose employees are covered by the plan, an employee organization whose members are covered by the plan, a person who owns 50 percent or more of such an employer or employee association, or relatives of such persons just listed. Fees paid to First Busey Trust & Investment Co., the Plan's trustee, for investment management services amounted to $52,541, $45,295 and $41,555 for the three years ended December 31, 1996, 1995 and 1994, respectively. The Plan invests in a certificate of deposit with Busey Bank, a subsidiary of First Busey Corporation. Purchases and maturities of certificates of deposit from Busey Bank also qualify as party in interest transactions.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 6. INCOME TAX STATUS The Internal Revenue Service has determined and informed First Busey Corporation by a letter dated May 25, 1995, that the Plan and related trust are designed in accordance with applicable sections of the Internal Revenue Code. The Plan has been amended since receiving the determination letter. However, the Plan administrator believes that the Plan is designed and is currently being operated in compliance with the applicable requirements of the IRC. NOTE 7. FORFEITED ACCOUNTS At December 31, 1996, forfeited nonvested profit-sharing accounts totaled $8,714. These accounts have been allocated to profit sharing plan participants' accounts.

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 8. STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS, BY FUND December 31, 1996 ---------------------------------------------------------------------------------------- Non- Participant Directed Participant Directed 401(k) ----------- -------------------------------------------------------- Equity FBC Profit Balanced Growth Stock CD Sharing Fund Fund Fund Fund Total ----------- ------------------------------------------------------------------------- Investments at fair value: Common stock $ 2,495,159 $ 39,915 $ - $ 4,144,508 $ - $ 6,679,582 Mutual funds 2,530,010 473,460 1,370,358 - - 4,373,828 Corporate bonds, notes and commercial paper 2,611,741 299,375 - - - 2,911,116 Short-term investments 269,274 19,304 79,366 24,056 124,533 516,533 Taxable municipal bonds 417,348 74,375 - - - 491,723 U.S. Treasury and federal agency securities 446,553 25,469 - - - 472,022 Notes receivable, participants 55,636 7,460 29,345 77,016 168 169,625 Notes receivable, other 91,002 - - - - 91,002 ----------- ------------------------------------------------------------------------- 8,916,723 939,358 1,479,069 4,245,580 124,701 15,705,431 ----------- ------------------------------------------------------------------------- Receivables: Interfund (payable)/receivable (199,450) 15,602 80,434 99,996 3,418 - Accrued interest and dividends 142,778 21,390 21,396 227 - 185,791 Employer contribution 172,500 - - - - 172,500 Participants' contributions - 3,458 6,961 13,578 437 24,434 ----------- ------------------------------------------------------------------------- 115,828 40,450 108,791 113,801 3,855 382,725 ----------- ------------------------------------------------------------------------- TOTAL ASSETS 9,032,551 979,808 1,587,860 4,359,381 128,556 16,088,156 ----------- ------------------------------------------------------------------------- Cash overdraft 360 - - - - 360 Other 28 - - - - 28 ----------- ------------------------------------------------------------------------- TOTAL LIABILITIES 388 - - - - 388 ----------- ------------------------------------------------------------------------- NET ASSETS AVAILABLE FOR BENEFITS $ 9,032,163 $ 979,808 $ 1,587,860 $ 4,359,381 $ 128,556 $ 16,087,768 =========== =========================================================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- December 31, 1995 ---------------------------------------------------------------------------------------- Non- Participant Directed Participant Directed 401(k) ----------- -------------------------------------------------------- Equity FBC Profit Balanced Growth Stock CD Sharing Fund Fund Fund Fund Total ----------- ------------------------------------------------------------------------- Investments at fair value: Common stock $ 300,715 $ - $ - $ 3,287,169 $ - $ 3,587,884 Mutual funds 2,335,631 264,741 710,293 - - 3,310,665 Corporate bonds, notes and commercial paper 2,193,576 227,891 - - - 2,421,467 Short-term investments 831,236 65,566 2 19,773 283,855 1,200,432 Taxable municipal bonds 340,970 - - - - 340,970 U.S. Treasury and federal agency securities 533,484 26,086 - - - 559,570 Common trust fund 1,151,379 29,531 - - - 1,180,910 Notes receivable, participants 9,825 1,369 5,777 49,206 9,217 75,394 Notes receivable, other 101,954 - - - - 101,954 ----------- ------------------------------------------------------------------------- 7,798,770 615,184 716,072 3,356,148 293,072 12,779,246 ----------- ------------------------------------------------------------------------- Receivables: Interfund (payable)/receivable (126,606) 14,552 21,612 82,272 8,170 - Accrued interest and dividends 160,244 15,183 53,530 309 12,362 241,628 Participants' contributions - 2,463 3,580 13,952 1,299 21,294 Other 1,037 - - - - 1,037 ----------- ------------------------------------------------------------------------- 34,675 32,198 78,722 96,533 21,831 263,959 ----------- ------------------------------------------------------------------------- TOTAL ASSETS 7,833,445 647,382 794,794 3,452,681 314,903 13,043,205 ----------- ------------------------------------------------------------------------- NET ASSETS AVAILABLE FOR BENEFITS $ 7,833,445 $ 647,382 $ 794,794 $ 3,452,681 $ 314,903 $ 13,043,205 =========== =========================================================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 9. STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS, BY FUND December 31, 1996 ---------------------------------------------------------------------------------------- Non- Participant Directed Participant Directed 401(k) ----------- -------------------------------------------------------- Equity FBC Profit Balanced Growth Stock CD Sharing Fund Fund Fund Fund Total ----------- ------------------------------------------------------------------------- Additions to net assets attributed to: Investment income: Net appreciation in fair value of investments $ 859,577 $ 59,185 $ 195,772 $ 746,682 $ - $ 1,861,216 Interest 222,172 21,893 1,803 5,661 7,391 258,920 Dividends 92,284 10,360 16,812 118,807 - 238,263 ----------- ------------------------------------------------------------------------- 1,174,033 91,438 214,387 871,150 7,391 2,358,399 ----------- ------------------------------------------------------------------------- Contributions: Employer 291,750 29,329 56,159 110,544 3,418 491,200 Employees - 96,957 181,894 359,792 11,778 650,421 Employee contributions representing transfers from another qualified retirement trust 139,992 - - - - 139,992 ----------- ------------------------------------------------------------------------- 431,742 126,286 238,053 470,336 15,196 1,281,613 ----------- ------------------------------------------------------------------------- TOTAL ADDITIONS 1,605,775 217,724 452,440 1,341,486 22,587 3,640,012 ----------- ------------------------------------------------------------------------- Deductions from net assets attributed to: Benefits paid to participants 338,763 25,900 32,566 96,513 15,899 509,641 Administrative expenses 68,294 2,500 4,470 10,187 357 85,808 ----------- ------------------------------------------------------------------------- TOTAL DEDUCTIONS 407,057 28,400 37,036 106,700 16,256 595,449 ----------- ------------------------------------------------------------------------- Net participants' transfers between funds - 143,102 377,662 (328,086) (192,678) - ----------- ------------------------------------------------------------------------- NET INCREASE (DECREASE) 1,198,718 332,426 793,066 906,700 (186,347) 3,044,563 Net assets available for benefits: Beginning of year 7,833,445 647,382 794,794 3,452,681 314,903 13,043,205 ----------- ------------------------------------------------------------------------- End of year $ 9,032,163 $ 979,808 $ 1,587,860 $ 4,359,381 $ 128,556 $ 16,087,768 =========== =========================================================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- December 31, 1995 ---------------------------------------------------------------------------------------- Non- Participant Directed Participant Directed 401(k) ----------- -------------------------------------------------------- Equity FBC Profit Balanced Growth Stock CD Sharing Fund Fund Fund Fund Total ----------- ------------------------------------------------------------------------- Additions to net assets attributed to: Investment income: Net appreciation in fair value of investments $ 1,082,002 $ 83,169 $ 184,156 $ 301,314 $ - $ 1,650,641 Interest 233,262 13,765 212 10,226 18,637 276,102 Dividends 61,770 7,363 10,997 96,445 - 176,575 ----------- ------------------------------------------------------------------------- 1,377,034 104,297 195,365 407,985 18,637 2,103,318 ----------- ------------------------------------------------------------------------- Contributions: Employer 244,880 14,552 21,612 82,272 8,170 371,486 Employees - 68,384 99,191 366,760 34,731 569,066 Employee contributions representing transfers from another qualified retirement trust 118,413 - - - - 118,413 ----------- ------------------------------------------------------------------------- 363,293 82,936 120,803 449,032 42,901 1,058,965 ----------- ------------------------------------------------------------------------- TOTAL ADDITIONS 1,740,327 187,233 316,168 857,017 61,538 3,162,283 ----------- ------------------------------------------------------------------------- Deductions from net assets attributed to: Benefits paid to participants 404,007 33,731 32,294 192,055 46,605 708,692 Administrative expenses 59,637 2,703 3,443 13,423 811 80,017 ----------- ------------------------------------------------------------------------- TOTAL DEDUCTIONS 463,644 36,434 35,737 205,478 47,416 788,709 ----------- ------------------------------------------------------------------------- Net participants' transfers between funds - (194,990) (289,201) 280,556 203,635 - ----------- ------------------------------------------------------------------------- NET INCREASE (DECREASE) 1,276,683 (44,191) (8,770) 932,095 217,757 2,373,574 Net assets available for benefits: Beginning of year 6,556,762 691,573 803,564 2,520,586 97,146 10,669,631 ----------- ------------------------------------------------------------------------- End of year $ 7,833,445 $ 647,382 $ 794,794 $ 3,452,681 $ 314,903 $ 13,043,205 =========== =========================================================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- December 31, 1994 ---------------------------------------------------------------------------------------- Non- Participant Directed Participant Directed 401(k) ----------- -------------------------------------------------------- Equity FBC Profit Balanced Growth Stock CD Sharing Fund Fund Fund Fund Total ----------- ------------------------------------------------------------------------- Additions to net assets attributed to: Investment income: Net (depreciation) appreciation in fair value of investments $ (262,306) $ (19,145) $ (14,201) $ 238,317 $ - $ (57,335) Interest 221,137 22,112 151 1,309 3,861 248,570 Dividends 58,968 5,626 11,548 72,738 - 148,880 ----------- ------------------------------------------------------------------------- 17,799 8,593 (2,502) 312,364 3,861 340,115 ----------- ------------------------------------------------------------------------- Contributions: Employer 197,690 18,253 26,620 59,120 2,702 304,385 Employees - 96,474 133,904 295,302 12,344 538,024 Employee contributions representing transfers from another qualified retirement trust 955,896 - - - - 955,896 ----------- ------------------------------------------------------------------------- 1,153,586 114,727 160,524 354,422 15,046 1,798,305 ----------- ------------------------------------------------------------------------- TOTAL ADDITIONS 1,171,385 123,320 158,022 666,786 18,907 2,138,420 ----------- ------------------------------------------------------------------------- Deductions from net assets attributed to: Benefits paid to participants 189,107 43,140 31,769 174,065 1,748 439,829 Administrative expenses 51,283 4,136 6,774 8,331 661 71,185 ----------- ------------------------------------------------------------------------- TOTAL DEDUCTIONS 240,390 47,276 38,543 182,396 2,409 511,014 ----------- ------------------------------------------------------------------------- Net participants' transfers between funds - (219,362) 141,936 116,723 (39,297) - ----------- ------------------------------------------------------------------------- NET INCREASE (DECREASE) 930,995 (143,318) 261,415 601,113 (22,799) 1,627,406 Net assets available for benefits: Beginning of year 5,625,767 834,891 542,149 1,919,473 119,945 9,042,225 ----------- ------------------------------------------------------------------------- End of year $ 6,556,762 $ 691,573 $ 803,564 $ 2,520,586 $ 97,146 $ 10,669,631 =========== =========================================================================

INDEPENDENT AUDITOR'S REPORT ON THE SUPPLEMENTARY INFORMATION To the Profit Sharing Committee and Participants FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST Urbana, Illinois Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information which follows is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Champaign, Illinois March 25, 1997

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST SUMMARY OF INVESTMENTS OWNED AND INVESTMENT INCOME Years Ended December 31, 1996, 1995 and 1994 - -------------------------------------------------------------------------------- Net Appreciation Fair Value of Interest (Depreciation) Investments Owned and in ----------------------------- Dividend Fair Value of Beginning Ending Income Investments ------------------------------------------------------------------ Year ended December 31, 1996: Common stocks $ 3,587,884 $ 6,679,582 $ 145,175 $ 1,196,471 Mutual funds 3,310,665 4,373,828 61,898 612,675 Corporate bonds, notes and commercial paper 2,421,467 2,911,116 166,991 (40,171) Short-term investments 1,200,432 516,533 31,487 - Taxable municipal bonds 340,970 491,723 30,913 (5,372) U.S. Treasury and federal agency securities 559,570 472,022 34,661 (12,098) Common trust fund 1,180,910 - 7,075 109,711 Notes receivable, participants 75,394 169,625 12,000 - Notes receivable, other 101,954 91,002 6,983 - ------------------------------------------------------------------ $ 12,779,246 $ 15,705,431 $ 497,183 $ 1,861,216 ================================================================== Net Appreciation Fair Value of Interest (Depreciation) Investments Owned and in ----------------------------- Dividend Fair Value of Beginning Ending Income Investments ------------------------------------------------------------------ Year ended December 31, 1995: Common stocks $ 2,701,203 $ 3,587,884 $ 103,900 $ 399,393 Mutual funds 2,891,216 3,310,665 49,482 813,560 Corporate bonds, notes and commercial paper 1,829,956 2,421,467 132,786 122,318 Short-term investments 892,180 1,200,432 44,839 - Taxable municipal bonds 255,015 340,970 16,617 (73) U.S. Treasury and federal agency securities 384,487 559,570 42,153 24,978 Common trust fund 990,471 1,180,910 23,193 290,465 Notes receivable, participants 93,830 75,394 6,077 - Notes receivable, other 437,632 101,954 33,630 - ------------------------------------------------------------------ $ 10,475,990 $ 12,779,246 $ 452,677 $ 1,650,641 ==================================================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Number of Fair Description Shares Cost Value - ------------------------------------------------------------------------------------- COMMON STOCKS First Busey Corporation, Class A 186,520 $ 2,464,801 $ 4,150,070 Abbott Laboratories 304 17,087 15,427 Airtouch Communications 200 4,491 5,050 American Home Products 1,020 52,454 59,798 American International Group 513 50,466 55,532 AT&T Corp. 1,743 81,101 75,603 Bank of Boston Corp. 1,248 60,112 80,184 Boeing Co. 710 57,582 75,615 Brinker International, Inc. 200 4,360 3,200 Bristol Myers Squibb Co. 149 16,982 16,241 Calumet Bancorp Inc. 450 11,499 14,963 Central Illinois Financial Corp. 500 6,750 6,625 Cardinal Health, Inc. 1,290 49,751 75,143 Chevron Corp. 465 26,261 30,225 Citizens First Financial Corp. 2,000 20,000 28,750 Cole Taylor Financial Group 200 3,466 5,300 Commercial Net Lease Realty Inc. 500 6,103 7,938 Corus Bankshares 600 10,599 19,350 Cypress Bioscience, Inc. 6,250 12,500 11,719 Disney Co. 910 58,953 63,473 Du Pont De Nemours & Co. 784 62,345 73,794 Emerson Electric Co. 600 50,985 58,125 Exxon Corp. 310 26,304 30,380 Federal National Mortgage Association 1,819 63,614 68,440 First Federal Capital Corp. 600 11,148 14,100 First Financial Corp. 715 9,423 17,518 First Mutual Bancorp, Inc. 1,000 10,000 15,000 First Palm Beach Bancorp 100 1,883 2,363 Fluor Corp. 868 56,063 54,463 General Electric Co. 407 31,354 40,242 Gillette Co. 894 56,632 69,509 ------------------------------------- COMMON STOCKS SUBTOTAL 213,869 $ 3,395,069 $ 5,244,140 -------------------------------------

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Number of Fair Description Shares Cost Value - ------------------------------------------------------------------------------------- COMMON STOCKS BROUGHT FORWARD 213,869 $ 3,395,069 $ 5,244,140 Greenpoint Financial Corp. 550 12,988 26,125 GTE Corp. 1,100 52,773 49,913 Harbor Federal Savings Bank 1,400 22,957 50,050 Hewlett-Packard Co. 1,351 62,023 67,888 Home Depot Inc. 1,257 58,674 63,007 Intel Corp. 1,022 65,385 133,882 International Paper Co. 910 36,421 36,855 Irwin Financial Corp. 400 11,132 19,800 JP Morgan & Co. 315 24,365 30,752 Kohl's Corp. 2,092 62,329 82,111 Lucent Technologies, Inc. 463 26,882 21,414 MAF Bancorp, Inc. 495 10,386 17,201 Mahaska Investment Co. 800 12,000 15,200 McDonald's Corp. 1,005 48,464 45,602 Microsoft Corporation 1,250 64,267 103,281 Minnesota Mining & Manufacturing Co. 375 23,991 31,125 Mobil Corp. 627 71,429 76,651 Motorola, Inc. 215 11,766 13,169 National City Corp. 1,349 60,723 60,536 Pepsico 2,781 82,071 81,344 PetsMart, Inc. 3,120 50,310 68,250 Pocahontas Federal Savings & Loan Assn. 200 2,316 3,500 Procter & Gamble 153 16,807 16,467 Raytheon Co. 1,065 53,090 51,253 Republic Bancorp 931 10,286 10,823 Southwest Banks 1,040 9,996 20,150 Sprint Corp. 1,905 75,200 75,962 State Street Boston Corp. 1,057 62,869 68,309 Texaco, Inc. 315 25,822 30,909 United Technologies Corp. 540 25,576 35,775 Westco Bancorp, Inc. 750 10,540 16,125 Wisconsin Energy Corp. 447 12,170 12,013 ------------------------------------- TOTAL COMMON STOCKS 245,149 $ 4,571,077 $ 6,679,582 =====================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Number of Shares or Principal Fair Description Amount Cost Value - ----------------------------------------------------------------------------------------------- MUTUAL FUNDS Brandywine Fund 11,704.576 $ 374,562 $ 394,327 Fidelity Advisor Equity Growth Class I 12,199.972 367,398 518,621 Janus Fund 16,908.987 334,249 413,425 Mutual Shares Fund 8,605.567 730,100 799,027 Nicholas Fund, Inc. 13,428.662 735,671 885,486 Scudder International Fund 4,547.400 194,921 216,274 T. Rowe Price International Stock Fund 16,659.168 197,061 229,896 Wm. Blair Growth Fund 68,009.809 829,452 916,772 ----------------------------------------- TOTAL MUTUAL FUNDS 152,064.141 $ 3,763,414 $ 4,373,828 ========================================= CORPORATE BONDS, NOTES AND COMMERCIAL PAPER American Express Credit Corp., 7.375%, due February 1, 1999 $ 25,000 $ 25,354 $ 25,570 American Express Credit Corp., 6.125%, due June 15, 2000 25,000 25,747 24,656 American General Corp., 6.250%, due March 15, 2003 100,000 95,916 97,187 American Home Products Corp., 6.875%, due April 15, 1997 20,000 20,302 20,025 Associates Corp., N.A., 6.250%, due September 15, 2000 50,000 51,181 49,578 Associates Corp., N.A., 6.000%, due March 15, 2000 25,000 24,776 24,680 Associates Corp., N.A., 5.750%, due November 15, 1998 75,000 74,839 74,484 Associates Corp., N.A., 5.750%, due November 15, 1998 50,000 49,892 49,656 Bear Stearns Co., Inc., 7.625%, due April 15, 2000 50,000 51,112 51,594 Bear Stearns Co., Inc., 6.500%, due June 15, 2000 50,000 50,495 49,969 ----------------------------------------- CORPORATE BONDS, NOTES AND COMMERCIAL PAPER SUBTOTAL 470,000 469,614 467,399 -----------------------------------------

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Principal Fair Description Amount Cost Value - ----------------------------------------------------------------------------------------------- CORPORATE BONDS, NOTES AND COMMERCIAL PAPER BROUGHT FORWARD $ 470,000 $ 469,614 $ 467,399 CIT Group Holdings, Inc., 5.625%, due February 1, 2001 25,000 23,741 24,281 CIT Group Holdings Inc., 6.750%, due April 30, 1998 35,000 35,405 35,328 Dean Witter Discover, 6.000%, due March 1, 1998 50,000 50,725 50,016 Dow Capital, 5.750%, due September 15, 1997 25,000 24,840 24,992 Duke Power Co., 5.875%, due June 1, 2001 100,000 99,500 97,750 Ford Motor Credit Corp., 5.750%, due January 25, 2001 50,000 49,960 48,609 Ford Motor Credit Corp., 7.500%, due January 15, 2003 100,000 101,904 103,125 Ford Motor Credit Corp., 6.100%, due September 25, 1998 25,000 24,573 24,984 GTE California, 6.250%, due January 15, 1998 25,000 25,158 25,086 GTE California, 6.250%, due January 15, 1998 125,000 125,789 125,430 GTE California Series A, 5.625%, due February 1, 2001 100,000 97,916 96,656 H. J. Heinz Co., 6.750%, due October 15, 1999 25,000 25,606 25,227 H. J. Heinz Co., 6.750%, due October 15, 1999 25,000 25,606 25,227 Illinois Power Company, 5.625%, due April 15, 2000 75,000 74,393 73,125 International Lease Finance Corp., 5.750%, due December 15, 1999 50,000 50,360 49,172 International Lease Finance Corp., 5.750%, due January 15, 1999 50,000 50,485 49,516 J. C. Penney, Inc., 7.375%, due June 15, 2004 100,000 103,200 102,500 J. C. Penney, Inc., 5.375%, due November 15, 1998 50,000 50,005 49,281 Kellogg Co., 5.900%, due July 15, 1997 25,000 25,048 25,031 Merrill Lynch & Co., Inc., 6.640%, due September 19, 2002 50,000 51,836 49,719 Morgan Stanley Corp., 7.320%, due January 15, 1997 80,000 80,000 80,025 ----------------------------------------- CORPORATE BONDS, NOTES AND COMMERCIAL PAPER SUBTOTAL 1,660,000 1,665,664 1,652,479 -----------------------------------------

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Principal Fair Description Amount Cost Value - ----------------------------------------------------------------------------------------------- CORPORATE BONDS, NOTES AND COMMERCIAL PAPER BROUGHT FORWARD $ 1,660,000 $ 1,665,664 $ 1,652,479 New England Telephone Co., 6.250%, due December 15, 1997 25,000 25,104 24,914 New England Telephone Co., 6.250%, due December 15, 1997 125,000 125,987 124,570 Norwest Corp., 6.800%, due May 15, 2002 25,000 24,880 25,266 Norwest Corp., 5.750%, due March 15, 1998 50,000 51,135 49,844 Norwest Financial Inc., 6.200%, due September 15, 1999 170,000 168,346 169,416 Ontario-Global Bond, 6.125%, due June 28, 2000 50,000 50,870 49,889 Pacific Gas & Electric Co., 7.875%, due March 1, 2002 50,000 51,759 52,219 Pacific Gas & Electric Co., 5.375%, due August 1, 1998 55,000 54,931 54,398 Phillip Morris Companies, Inc., 7.750%, due May 1, 1999 25,000 25,696 25,703 Phillip Morris Companies, Inc., 8.750%, due June 15, 1997 55,000 55,550 55,670 Pitney Bowes Credit Services, 6.250%, due June 1, 1998 25,000 25,036 25,078 Pitney Bowes Credit Services, 7.420%, due April 15, 1997 75,000 76,796 75,398 Republic New York Corp., 7.250%, due July 15, 2002 50,000 52,793 51,235 Rockwell International Corp., 6.750%, due September 15, 2002 25,000 25,598 25,500 Shell Oil Co., 60%, due January 15, 1997 25,000 25,125 25,000 Southern California Edison, 6.500%, due June 1, 2001 50,000 49,682 49,672 St. Paul Companies, Inc., 6.170%, due January 15, 2001 50,000 50,485 49,392 St. Paul Companies, Inc., 7.970%, due May 20, 2002 25,000 25,371 26,523 ----------------------------------------- CORPORATE BONDS, NOTES AND COMMERCIAL PAPER SUBTOTAL 2,615,000 2,630,808 2,612,166 -----------------------------------------

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Principal Fair Description Amount Cost Value - ----------------------------------------------------------------------------------------------- TAXABLE MUNICIPAL BONDS Altoona, PA, 8.250%, due November 1, 2001 $ 50,000 $ 53,232 $ 53,874 Baltimore, MD, 6.050%, due October 15, 2000 200,000 204,942 198,646 Lee Co., FL, 5.250%, due October 1, 1997 100,000 98,413 100,270 State of Mississippi, 5.900%, due December 1, 2002 40,000 40,000 40,196 Suffolk Co., NY, 5.100%, due November 1, 1999 25,000 25,545 24,362 Westmoreland Co., PA, 5.250%, due August 15, 1998 75,000 74,912 74,375 ----------------------------------------- TOTAL TAXABLE MUNICIPAL BONDS $ 490,000 $ 497,044 $ 491,723 ========================================= U. S. TREASURY NOTES 6.375%, due January 15, 1999 $ 50,000 $ 49,687 $ 50,469 6.000%, due October 15, 1999 25,000 25,266 25,000 6.375%, due January 15, 2000 100,000 102,375 100,875 ----------------------------------------- TOTAL U. S. TREASURY NOTES $ 175,000 $ 177,328 $ 176,344 ----------------------------------------- FEDERAL HOME LOAN BANK BONDS 7.915%, due January 17, 1997 $ 200,000 $ 200,000 $ 200,187 7.575%, due February 6, 1998 25,000 25,258 25,469 ----------------------------------------- $ 225,000 $ 225,258 $ 225,656 ----------------------------------------- FEDERAL FARM CREDIT BANK BOND 6.190%, due February 3, 2000 $ 70,000 $ 70,666 $ 70,022 ----------------------------------------- TOTAL U. S. TREASURY AND AGENCY SECURITIES $ 470,000 $ 473,252 $ 472,022 ========================================= NOTES RECEIVABLE, OTHER, First National Bank Land Trust, 7.200%, due April 8, 2003 $ 91,002 $ 91,002 $ 91,002 =========================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST ASSETS HELD FOR INVESTMENT December 31, 1996 - -------------------------------------------------------------------------------- Principal Fair Description Amount Cost Value - ----------------------------------------------------------------------------------------------- NOTES RECEIVABLE, Participants Participant, 8.50%, due January 15, 2001 $ 11,619 $ 11,619 $ 11,619 Participant, 8.75%, due September 15, 2000 10,687 10,687 10,687 Participant, 8.50%, due January 16, 2006 47,539 47,539 47,539 Participant, 8.75%, due August 15, 2000 5,088 5,088 5,088 Participant, 7.50%, due September 15, 2001 5,135 5,135 5,135 Participant, 10%, due February 15, 1999 2,696 2,696 2,696 Participant, 9%, due May 15, 1998 573 573 573 Participant, 8.75%, due December 15, 1998 1,338 1,338 1,338 Participant, 8.75%, due August 15, 1998 1,004 1,004 1,004 Participant, 9%, due July 15, 1998 840 840 840 Participant, 8.75%, due August 15, 1998 784 784 784 Participant, 9%, due August 15, 1998 265 265 265 Participant, 8.25%, due February 15, 2001 16,076 16,076 16,076 Participant, 8.25%, due April 15, 1999 1,932 1,932 1,932 Participant, 8.25%, due August 15, 1999 1,313 1,313 1,313 Participant, 8.25%, due October 15, 2001 6,877 6,877 6,877 Participant, 9%, due July 15, 1998 894 894 894 Participant, 8.25%, due May 15, 2001 6,224 6,224 6,224 Participant, 8.25%, due June 15, 1999 1,236 1,236 1,236 Participant, 8.25%, due December 15, 2000 900 900 900 Participant, 9%, due May 15, 1999 1,433 1,433 1,433 Participant, 9%, due June 15, 2000 4,437 4,437 4,437 Participant, 8.25%, due April 15, 1999 1,932 1,932 1,932 Participant, 8.25%, due July 15, 1999 850 850 850 Participant, 8.25%, due July 15, 2001 18,337 18,337 18,337 Participant, 8.25%, due August 15, 1999 1,488 1,488 1,488 Participant, 8.25%, due August 15, 1999 1,401 1,401 1,401 Participant, 8.25%, due October 15, 1999 4,620 4,620 4,620 Participant, 8.25%, due December 15, 1999 2,732 2,732 2,732 Participant, 8.25%, due December 15, 2000 3,600 3,600 3,600 Participant, 8.25%, due January 15, 2000 4,575 4,575 4,575 Participant, 8.25%, due January 15, 2000 1,200 1,200 1,200 ----------------------------------------- TOTAL NOTES RECEIVABLE, PARTICIPANT $ 169,625 $ 169,625 $ 169,625 =========================================

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST REPORTABLE TRANSACTIONS Year Ended December 31, 1996 - -------------------------------------------------------------------------------- Total Total Total Total Number of Number of Purchase Selling Realized Description of Asset Purchases Sales Price Price Loss - ----------------------------------------------------------------------------------------------- Franklin IFT Money Market Portfolio 170 109 $ 2,648,843 $ 3,565,420 $ - Benchmark Diversified Asset Portfolio 188 97 2,421,407 2,029,407 - Pension Common Trust Fund - 11 - 1,290,619 2,521

FIRST BUSEY CORPORATION PROFIT SHARING PLAN AND TRUST PARTY IN INTEREST TRANSACTIONS Year Ended December 31, 1996 - -------------------------------------------------------------------------------- Transaction Description of Transaction Amount - -------------------------------------------------------------------------------- Management fees paid to First Busey Trust & Investment Co. $ 52,541 Purchases of Busey Bank certificate of deposit 38,525 Maturities of Busey Bank certificate of deposit 197,847

CONSENT OF INDEPENDENT ACCOUNTANTS We consent to the incorporation by reference in the Registration Statement on Form S-8 (File No. 33-30095) under the Securities Act of 1933 of First Busey Corporation of our report dated March 25, 1997 on our audits of the financial statements of First Busey Corporation Profit Sharing Plan and Trust as of December 31, 1996 and 1995, and for each of the three years ended December 31, 1996 and supporting schedules as of December 31, 1996, which is included in the Annual Report on Form 11-K for the year ended December 31, 1996. McGLADREY & PULLEN, LLP Champaign, Illinois June 17, 1997

EXHIBIT 99.2 FORM 11-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ANNUAL REPORT Pursuant to Section 15(d) of the Securities Exchange Act of 1934 For the fiscal year ended December 31, 1996 Commission File No. 0-15950 (First Busey Corporation) Commission File No. 33-30095 (the Plan) A. Full title of the plan and the address of the plan, if different from that of the issuer named below: FIRST BUSEY CORPORATION EMPLOYEE STOCK OWNERSHIP PLAN AND TRUST (the "Plan") B. Name of issuer of the securities held pursuant to the plan and the address of its principle executive office: FIRST BUSEY CORPORATION 201 WEST MAIN STREET URBANA, ILLINOIS 61801

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST FINANCIAL REPORT DECEMBER 31, 1996

CONTENTS - ------------------------------------------------------------------------- INDEPENDENT AUDITOR'S REPORT ON THE FINANCIAL STATEMENTS - ------------------------------------------------------------------------- FINANCIAL STATEMENTS Statements of net assets available for benefits Statements of changes in net assets available for benefits Notes to financial statements - ------------------------------------------------------------------------- INDEPENDENT AUDITOR'S REPORT ON THE SUPPLEMENTARY INFORMATION - ------------------------------------------------------------------------- SUPPLEMENTARY INFORMATION Reportable transactions Party in interest transactions - -------------------------------------------------------------------------

INDEPENDENT AUDITOR'S REPORT To the Administrative Committee and Participants FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST Urbana, Illinois We have audited the accompanying statements of net assets available for benefits of FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST as of December 31, 1996 and 1995, and the related statements of changes in net assets available for benefits for each of the years in the three-year period ended December 31, 1996. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST as of December 31, 1996 and 1995, and the changes in net assets available for benefits for each of the years in the three-year period ended December 31, 1996, in conformity with generally accepted accounting principles. Champaign, Illinois March 24, 1997

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS December 31, 1996 and 1995 - -------------------------------------------------------------------------------- 1996 1995 ----------------------------------------- ----------------------------------------- Allocated Unallocated Total Allocated Unallocated Total ASSETS Money market fund $ - $ - $ - $ 9,014 $ 54 $ 9,068 Employer contribution receivable 10,000 - 10,000 - - - Investment in First Busey Corporation Class A common stock, stock, at fair value 8,164,858 1,642,275 9,807,133 6,192,890 1,992,889 8,185,779 ----------------------------------------- ----------------------------------------- TOTAL ASSETS 8,174,858 1,642,275 9,817,133 6,201,904 1,992,943 8,194,847 ----------------------------------------- ----------------------------------------- LIABILITIES Cash overdraft $ 9,402 $ - $ 9,402 $ - $ - $ - Notes payable - 500,000 500,000 - 750,000 750,000 ----------------------------------------- ----------------------------------------- TOTAL LIABILITIES 9,402 500,000 509,402 - 750,000 750,000 ----------------------------------------- ----------------------------------------- NET ASSETS AVAILABLE FOR PLAN BENEFITS $ 8,165,456 $ 1,142,275 $ 9,307,731 $ 6,201,904 $ 1,242,943 $ 7,444,847 ========================================= ========================================= See Notes to Financial Statements.

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS Years Ended December 31, 1996, 1995 and 1994 - -------------------------------------------------------------------------------- 1996 ------------------------------------------- Allocated Unallocated Total ------------------------------------------- Investment income: Net change in unrealized appreciation in fair value of investments $ 1,402,729 $ 470,543 $ 1,873,272 Interest 780 - 780 Dividends 291,337 - 291,337 Employer contributions 10,000 250,000 260,000 Allocation of First Busey Corporation Class A common stock, at fair value 1996 - 36,906 shares 821,159 - 821,159 1995 - 36,906 shares - - - 1994 - 59,050 shares - - - Cash fund allocation - - - ------------------------------------------- TOTAL ADDITIONS 2,526,005 720,543 3,246,548 ------------------------------------------- Interest expense 43,940 - 43,940 Administrative expenses 49,590 52 49,642 Distributions to participants Cash 448 - 448 Stock 1996 - 13,995 shares 251,910 - 251,910 Stock 1995 - 14,253 shares - - - Stock 1994 - 18,809 shares - - - Dividend distributions to participants 216,565 - 216,565 Allocation of First Busey Corporation Class A common stock, at market value 1996 - 36,906 shares - 821,159 821,159 1995 - 36,906 shares - - - 1994 - 59,050 shares - - - Cash fund allocation - - - ------------------------------------------- TOTAL DEDUCTIONS 562,453 821,211 1,383,664 ------------------------------------------- NET INCREASE (DECREASE) 1,963,552 (100,668) 1,862,884 Net assets available for benefits: Beginning of year 6,201,904 1,242,943 7,444,847 ------------------------------------------- End of year $ 8,165,456 $ 1,142,275 $ 9,307,731 =========================================== See Notes to Financial Statements.

- -------------------------------------------------------------------------------- 1995 1994 ------------------------------------------- ------------------------------------------- Allocated Unallocated Total Allocated Unallocated Total ------------------------------------------- ------------------------------------------- ALIGN WITH PREVIOUS $ 563,245 $ 270,641 $ 833,886 $ 481,116 $ 378,900 $ 860,016 PAGE 5,327 54 5,381 533 - 533 270,970 - 270,970 252,386 - 252,386 80,000 250,000 330,000 - 400,000 400,000 - - - - - - 664,306 - 664,306 - - - - - - 954,651 - 954,651 - - - - 18,682 18,682 ------------------------------------------- ------------------------------------------- 1,583,848 520,695 2,104,543 1,688,686 797,582 2,486,268 ------------------------------------------- ------------------------------------------- 74,683 - 74,683 95,432 - 95,432 56,834 - 56,834 47,157 - 47,157 304 - 304 231 - 231 - - - - - - 230,424 - 230,424 - - - - - - 269,589 - 269,589 182,660 - 182,660 142,823 - 142,823 - - - - - - - 664,306 664,306 - - - - - - - 954,651 954,651 - - - 18,682 - 18,682 ------------------------------------------- ------------------------------------------- 544,905 664,306 1,209,211 573,914 954,651 1,528,565 ------------------------------------------- ------------------------------------------- 1,038,943 (143,611) 895,332 1,114,772 (157,069) 957,703 5,162,961 1,386,554 6,549,515 4,048,189 1,543,623 5,591,812 ------------------------------------------- ------------------------------------------- $ 6,201,904 $ 1,242,943 $ 7,444,847 $ 5,162,961 $ 1,386,554 $ 6,549,515 =========================================== ===========================================

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 1. VALUATION OF INVESTMENTS AND INCOME RECOGNITION The common stock of the Company is valued at fair value. As the Company's common stock is traded in the over-the-counter (OTC) market, fair value is determined by the last reported sales price at the valuation date. Dividend income is accrued on the ex-dividend date. Purchases and sales of securities are recorded on a trade-date basis. Realized gains and losses from security transactions are reported on the specific identification cost method. NOTE 2. PLAN DESCRIPTION The following description of the Plan provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan's provisions. General: First Busey Corporation (the Company) established the First Busey Corporation Employees' Stock Ownership Plan and Trust (the Plan) effective as of January 1, 1984. The Plan operates as a leveraged employee stock ownership plan (ESOP), and is designed to comply with Section 4975(e)(7) and the regulations thereunder of the Internal Revenue Code of 1986, as amended (the Code), and is subject to the applicable provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA). The Plan is a multiple-employer stock ownership plan and is administered by the Company. First Busey Trust & Investment Co., a subsidiary of the Company, is the Plan's Trustee. The Plan purchased Company common shares using the proceeds of bank borrowings guaranteed by the Company, and holds the stock in a trust established under the Plan. The borrowings are to be repaid by fully deductible Company contributions to the trust fund. As the Plan makes each payment of principal, an appropriate percentage of stock will be allocated to eligible employees' accounts in accordance with applicable regulations under the Code. The bank borrowings are collateralized by the unallocated shares of stock and is guaranteed by the Company. The lender has no rights against shares once they are allocated under the ESOP. Accordingly, the financial statements of the Plan for the years 1996 and 1995 present separately the assets and liabilities and changes therein pertaining to: (a) the accounts of employees with vested rights in allocated stock (Allocated) and (b) stock not yet allocated to employees (Unallocated).

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- The Plan covers all full-time employees of the Company and its participating subsidiaries who have completed six months of service. Participants who do not work full-time or are not employed on the last working day of a Plan year are generally not eligible for an allocation of Company contributions for such year. No distributions from the Plan will be made until a participant retires, dies (in which case, payment shall be made to his or her beneficiary or, if none, his or her legal representatives), or otherwise terminates employment with the Company. Distributions are made in cash or, if a participant elects, in the form of Company common stock plus cash for any fractional share. Each participant is entitled to exercise voting rights attributable to the shares allocated to his or her account and is notified by the Trustee prior to the time that such rights are to be exercised. The Trustee is not permitted to vote any share for which instructions have not been given by a participant. The Company reserves the right to terminate the Plan at any time, subject to Plan provisions. Upon such termination of the Plan, the interest of each participant in the trust fund will be distributed to such participant or his or her beneficiary at the time prescribed by the Plan terms and the Code. Upon termination of the Plan, the Employee Benefits Committee shall direct the Trustee to pay all liabilities and expenses of the trust fund and to sell shares of financed stock held in the loan suspense account to the extent it determines such sale to be necessary in order to repay the loan. Participant accounts: Each participant's account is credited with an allocation of (a) the employer contributions, (b) Plan earnings and (c) forfeitures of terminated participant's non-vested accounts. Allocations of common stock released and forfeitures are based on the eligible compensation of each participant. Allocations of Plan earnings are based on participant account balances. The benefit to which a participant is entitled is the benefit that can be provided from the participant's account. Vesting: Vesting in the participants' accounts is based on years of continuous service. A participant is 100 percent vested after seven years of credited service. Payment of benefits: Upon termination of service, a participant may elect to receive either a lump-sum amount equal to the value of his or her account, or in installments over a period not longer than the life expectancy of the participant.

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- Dividends distributed to participants: Dividends on common stock, which are allocated to participants' accounts, are distributed directly to the participant so that the dividends result in income tax deductions for First Busey Corporation. Stock split: In April 1996, the Board of Directors of First Busey Corporation approved a three-for-two stock split for stockholders of record on April 26, 1996 and was effected on May 7, 1996. All share amounts in the financial statements have been restated to reflect the stock split. Plan termination: Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. In the event of plan termination, participants would become 100 percent vested in their accounts. Presently, there is no intention on the part of the Company to terminate the Plan or to discontinue contributions to the Trust. NOTE 3. EMPLOYER CONTRIBUTIONS The Company is obligated to make contributions in cash to the Plan which, when aggregated with the Plan's dividends and interest earnings, equal the amount necessary to enable the Plan to make its regularly scheduled payments of principal and interest due on its debt discussed in Note 6. NOTE 4. ADMINISTRATION OF PLAN ASSETS The Plan's assets, which consist principally of First Busey Corporation Class A common stock, are held by the Trustee of the Plan. Company contributions are held and managed by the Trustee, which invests cash received, interest, and dividend income and makes distributions to participants. The Trustee also administers the payment of interest and principal on the loan, which is reimbursed to the Trustee through contributions as determined by the Company. Certain administrative functions are performed by officers or employees of the Company or its subsidiaries. No such officer or employee receives compensation from the Plan. Administrative expenses for the Trustee's fees are paid directly by the Plan.

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 5. INVESTMENT The Plan's investment, at December 31, consists solely of First Busey Corporation Class A common stock as follows: 1996 1995 --------------------------------------------------------------- Allocated Unallocated Allocated Unallocated --------------------------------------------------------------- Number of shares 366,960 73,810 344,049 110,716 Cost $ 2,276,492 $ 457,891 $ 2,134,342 $ 686,841 =============================================================== Fair value $ 8,164,858 $ 1,642,275 $ 6,192,890 $ 1,992,889 =============================================================== NOTE 6. NOTES PAYABLE The Plan had the following notes payable as of December 31, 1996 and 1995, secured by 73,810 and 110,716 shares of First Busey Corporation Class A common stock, respectively: 1996 1995 ----------------------------- American National Bank of Chicago, due January 31, 1997 $ 250,000 $ 375,000 American National Bank of Chicago, due January 31, 1997 250,000 375,000 ----------------------------- $ 500,000 $ 750,000 ============================= As of December 31, 1996, both of the above notes payable had stated interest rates of 7.38672%. Both of the notes payable were renewed in 1997 and carry interest rates of LIBOR plus 150 basis points, adjusted quarterly, and have maturity dates of January 31, 1998. NOTE 7. INCOME TAX STATUS The Internal Revenue Service has determined and informed the Company by a letter dated March 28, 1996, that the Plan is qualified and the trust established under the Plan is tax-exempt, under the appropriate sections of the Code.

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- NOTE 8. PARTY IN INTEREST TRANSACTIONS Parties in interest include fiduciaries or employees of the plan, any person who provides services to the plan, an employer whose employees are covered by the plan, an employee organization whose members are covered by the plan, a person who owns 50 percent or more of such an employer or employee association, or relatives of such persons just listed. Fees paid to First Busey Trust & Investment Co., the Plan's trustee, for investment management services amounted to $31,078, $25,896 and $21,773 for the three years ended December 31, 1996, 1995 and 1994, respectively. NOTE 9. FORFEITED ACCOUNTS At December 31, 1996, forfeited nonvested accounts totaled $52,436. These accounts will be allocated to participants' accounts.

INDEPENDENT AUDITOR'S REPORT ON THE SUPPLEMENTARY INFORMATION To the Administrative Committee and Participants FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST Urbana, Illinois Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplementary information which follows is presented for purposes of additional analysis and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. Champaign, Illinois March 24, 1997

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST REPORTABLE TRANSACTIONS Year Ended December 31, 1996 - ------------------------------------------------------------------------------- Total Total Total Total Net Number of Number of Purchase Selling Gain Description Purchases Sales Price Price (Loss) - ------------------------------------------------------------------------------- None

FIRST BUSEY CORPORATION EMPLOYEES' STOCK OWNERSHIP PLAN AND TRUST PARTY IN INTEREST TRANSACTIONS Year Ended December 31, 1996 - ------------------------------------------------------------------------------- Transaction Description of Transaction Amount - ------------------------------------------------------------------------------- Management fees paid to First Busey Trust & Investment Co. $ 31,078

CONSENT OF INDEPENDENT ACCOUNTANTS We consent to the incorporation by reference in the Registration Statement on Form S-8 (File No. 33-30095) under the Securities Act of 1933 of First Busey Corporation of our report dated March 24, 1997 on our audits of the financial statements of First Busey Corporation Employee Stock Ownership Plan and Trust as of December 31, 1996 and 1995, and for each of the three years ended December 31, 1996 and supporting schedules as of December 31, 1996, which is included in the Annual Report on Form 11-K for the year ended December 31, 1996. McGLADREY & PULLEN, LLP Champaign, Illinois June 17, 1997

9 1,000 YEAR DEC-31-1996 DEC-31-1996 33,738 0 0 0 171,243 55,107 55,800 569,500 6,131 864,918 766,927 14,405 5,169 5,000 0 0 6,291 67,126 864,918 45,948 14,808 441 61,197 28,710 30,033 31,164 1,100 256 25,786 13,047 9,306 0 0 9,306 1.34 1.34 7.94 0 1,002 0 687 5,473 682 240 6,131 0 0 671