Thank you and good morning. Thank you for joining our call today to discuss Landmark's Earnings and Results of Operations for the Third Quarter and Year-to-Date 2021. Joining the call with me to discuss various aspects of our third quarter performance is Mark Herpich, of the company, and the company's Chief Credit Officer, [Raymond McClanahan]. Before we get started, I would like to remind our listeners that some of the information we will be providing today falls under the guidelines for forward-looking statements as defined by the Securities and Exchange Commission. As part of these guidelines, I must point out that any statements made during this presentation that discuss our hopes, beliefs, expectations, or predictions of the future are forward looking statements, and our actual results could differ materially from those expressed. Additional information on these factors is included from time to time in our 10-K and 10-Q filings, which can be obtained by contacting the company or the SEC. We are pleased to report continued solid earnings during the third quarter of 2021, driven mainly by our growth in core lending, solid credit metrics and strong capital. Third quarter 2021 net earnings amounted to $4.5 million, year-to-date 2021 net earnings totaled $14.9 million and resulted in earnings per share on a fully diluted basis of $3.12. The return on average assets year-to-date 2021 was 1.59%. And the return on average equity was 15.23%. We continue to see a reduction in our Paycheck Protection Program loans this quarter as they are being forgiven by the Small Business Administration, excluding these loans, our loan portfolio increased $12.1 million or 7.7% from solid growth in both our commercial and commercial real estate loan portfolios. While gains on sales of loans this quarter are down from the same quarter of last year, mostly…

Thanks Michael, and good morning to everyone. Michael has already alluded to our continued strong core net earnings for the third quarter ended September 30, 2021. But now I'd like to make a few comments on various elements comprising those results. Starting with earnings highlight for the third quarter, net interest income was $9.6 million, an increase of %346,000 or 3.7% in comparison to the prior year's third quarter, while on linked quarter basis, our net interest income was down by %367,000. The growth of net interest income from the third quarter last year was the result of an increase in loan interest of $463,000 coupled with lower deposit costs, but offset by lower interest earned on investment securities. The decline in net interest income from the prior quarter was mainly due to a decline in loan interest of $379,000. Compared to the same quarter last year, the increase in interest income on loans was mainly the result of an increase in interest on PPP loans, which totaled %1.6 million in the current quarter compared to $832,000 in the third quarter of last year. Also average loans excluding PPP loans grew by $37.6 million this quarter over the same period last year. Compared to our prior quarter, the decline in loan interest was mainly due to a decline in interest on PPP loans of $600,000 partly offset by higher average loans this quarter. The average tax equivalent yield on the loan portfolio was 5.03% in the current quarter compared to 4.42% in the same period last year and 5.00% last quarter. Interest income on investment securities decreased $229,000 this quarter compared to the same period last year, mostly due to lower rates earned offset by growth and average balances, which grew by $49.7 million. The yield on investment securities declined…

Thank you, Mark, and good morning to everyone. Gross loans outstanding as of September 30, 2021, totaled $664.7 million and declined $20.5 million this quarter mainly due to lower PPP loans in our portfolio. During the quarter, we continue to successfully assist our customers as they navigated the SBA PPP forgiveness process. That was -- that success resulted in a $32.6 million reduction in our outstanding PPP loans during the quarter. This quarter, we were successful in recording a number of new commercial and commercial real estate loans, which helped to offset the decline in PPP loans. Commercial loans increased $8.1 million during the quarter, while our commercial real estate loans increased $4.4 million during the quarter. This increase loan growth was observed across the Landmark footprint and was a nice mix of new client relationships and expansion of existing relationships. We're very pleased and excited to continue to see growth opportunities in all of our geographical markets. Nonperforming performing loans which primarily consists of non accrual loans and loans greater than 90 days past due totaled $9.8 million, or 1.48% of gross loans as of September 30, 2021. This represents a decline of $3.5 million from the previous quarter. And this decrease is the result of improvement in one large agricultural relationship and the successful collection of one commercial real estate relationship. Total foreclosed real estate increased $1.2 million to $2.6 million this quarter as a result of foreclosing on one commercial real estate loan, which also reduced total non accrual loans. We continue to actively pursue the sale of these properties. Another indicator that we monitor as part of our credit risk management efforts is the level of loans past due 30 to 89 days. The level of past due loans between 30 and 89 days still accruing…

Thank you, Raymond and Mark, thank you for your earlier comments also. Before, we go to questions I want to summarize by saying our third quarter of 2021 reflected a continued trend of very positive operating results for Landmark. I want to express my thanks and appreciation to all of the associates at Landmark National Bank, their daily focus on executing our strategies, delivering extraordinary service to our clients and communities. And carrying out our company vision that everyone starts as a customer and leaves as a friend is the key to our success. With that, I'll open up the call to questions that anyone might have.

[Operator Instructions] Our first question today is from John [Indiscernible]

Good morning, guys. Hey, Mark, a question for you on the PPP fees, do you have how much of those fees are remaining after this quarter?

I do have that. I think it'll right to matter our Q as well but we've got about $1.24 million remaining in deferral at the end of the quarter.

Okay. And do you guys think that most of the remaining PPP loans run off in the fourth quarter, and then maybe some in the first quarter too.

I definitely think it'll reach into the first quarter next year, John, the pace was going fairly fast through I'd say August now it's really slowed down most of our PPP loans from round one have almost paid off, but now we've still got the balance of our $27 million is large part in our 2021 second wave of PPP loans and those haven't been paying off quite as fast. But so I think I would expect them to go into the first quarter of 2022.

Okay. Sounds good. Michael, maybe a question or two for you just you guys put up continued good core loan growth excluding PPP. Do you still sort of think given the outlook you presented, do you think sort of mid maybe mid to high single digit loan growth going forward is still achievable?

John, I would say we're still seeing decent activity across the geography from a pipeline standpoint and as we do our modeling, I think that mid single digit growth projection is continues to be what we will be forecasting it.

Okay. And as far as the recent growth by market is most of it's still sort of around the Kansas City area or some of more your rural locations. Are you seeing any growth there?

It's really across the entire footprint, John. We're seeing decent growth opportunities in really across the entire geography. We continue to invest in human resources and markets all across the state and so from the standpoint of commercial lending capacity, we're really seeing that everywhere.

Okay, so you're seeing some opportunities to hire some new lenders too is that sort of what you're alluding to?

Yes, we continue to look for capable commercial bankers that we can add to our team and that has -- we have been successful in that this year.

Okay, super. And then, Michael, maybe just one final question just on M&A. Maybe just your thoughts, your appetite today and the level of conversations that you're seeing.

Nothing tangible to report today, John, I mean, the company and the board will continue to evaluate opportunities to return value to our shareholders. And so we look forward to looking to add opportunities that would be strategic in nature and add value.

And can you just remind me as far as markets, what would -- what markets would make the most sense, would you go outside the state of Kansas and so forth?

Yes, we would go across the state line, if we found an attractive candidate that would add to our shareholder value and in the franchise value. In Kansas, I think it'd be, we'd be pretty surgical in the markets that we would look to expand or grow in Kansas. But we would definitely look at opportunities across the state line, if that makes sense.

Our next question is from Ross Haberman from RLH Investments.

Good morning, gentlemen. How are you? Thanks for taking my call. I just had a quick question on the gain on sale of loans. Two questions, the $2.6 million you booked for the quarter, how much of that do you think falls is to the pre tax number given the associated expenses?

You say how much falls into the pre tax?

Yes, given the related fees and commissions and so on and so forth. About --

I think after you take out compensation and benefits and other expenses, and it's a number that I don't have off top my head that we've surely haven't reported our business by lines of business, I guess a little bit purposely from segmentation accounting with our auditors and public reporting. But it provides us nice revenue and line of business that goes in the quantifying, it's probably a little while we have that information hasn't been something we've disclosed. And if we do, then we got to start segmenting our income statement in the columns.

Okay, no, I'm just saying I hear usually from a number of other banks, roughly I heard from other banks, anywhere from 50% to 60% to 70 percent-ish within a range. Would that be a reasonable guess?

Yes, about half. I think on the half line would be about right.

And what's your -- what are you beginning to assume for mortgage volume, I guess for the fourth quarter, and next year? What some -- what are you beginning to guesstimate for that?

Sure. This is my Michael. And I would tell you that we saw continued active refinance activity in the first half of the year, the production pipeline in the third quarter was trending much more normal from a purchase to refi split. So we would look for activity to be a little more normal for us in the fourth quarter and moving into 2022. From a volume standpoint our pipelines as we're entering the third quarter have -- they decreased and in to some extent, it's, as I mentioned in earlier comments, very tight housing supply available in most of our geographies, so I would guess we still have a decent third quarter from the standpoint of production activity, probably something in the neighborhood of another $75 million to $80 million in production activity through the end of the third quarter. And typically it slows in the middle of the fourth and end of the first quarter. But I would, if I were to guess on our production values going forward into 2022, I think the pipelines look much more normal and probably back to volume levels that we enjoyed pre pandemic.

And that was what gross production of what kind of range?

Gross production in the neighborhood of $250 million to 300 million.

Got it. Okay. $250 million to $300 million, okay. And just one last question. If we do see the 10 years sort of meander up to a 2% over the next couple of quarters, would that scenario positively affect your spread in your market?

And it would, yes, we've got a lot of cash on the balance sheet right now and investments that are maturing in the next couple of years. So we're anxiously maybe be the right term, awaiting rates to go up so we can reinvest and then potentially see some of the loans not repriced downward any further, either as rates go up, so we're, so we would welcome rates to go up at this point in time.

As we have no further questions, I'll hand back to the management team for any closing remarks.

Well, thank you. And I do want to thank everyone for participating in today's earnings call. I truly do appreciate your continued support and the confidence that you have in our company. And I look forward to sharing news related to our fourth quarter 2021 results at our next earnings conference call. Thank you.