TREASURER CLINT ZWEIFEL ANNOUNCES $100 MILLION PARTNERSHIP WITH COMMERCE BANK IMPACTING AN ESTIMATED 2,800 JOBS

Borrowers to save potential $2.8 million in interest annually

(Jefferson City, MO – September 28, 2010) – Missouri State Treasurer Clint Zweifel (ZWY-ful) was in Kansas City, Mo., and Clayton, Mo., today to announce Commerce Bank, the largest Missouri-based bank, has committed to a goal of lending $100 million in low-interest loans to small businesses through the Missouri Linked Deposit Program. The investment in the low-interest loan program managed by Treasurer Zweifel is estimated to impact 2,800 Missouri jobs over the next 12 months. Treasurer Zweifel joined Commerce Bank executives for the announcements, which potentially makes the bank the loan program’s largest user.

“I hear two things consistently from Missourians – we need jobs and we need capital to create those jobs. Commerce’s commitment does just that and is the reason I worked to improve the Missouri Linked Deposit Program – to invest in small business owners and create jobs on Main Street,” Treasurer Zweifel said. “We are talking about the difference between buying equipment now and waiting until next year. It is the difference between hiring more employees and expanding operations or standing still. These low-interest loans keep jobs in our hometowns.”

The $100 million commitment in small business loans will boost statewide low-interest lending by 41 percent. That is on top of the more than $392 million Treasurer Zweifel has approved for Missouri small business owners and farmers since January 2009. Those loans have impacted 4,600 jobs and 1,600 farmers.

“Commerce Bank is proud to support the Missouri Linked Deposit Program, and we feel it is one way we can contribute to getting the economy back on track in Missouri,” said Kevin Barth, Kansas City Region President and COO for Commerce Bank. “The loan program offers new ways to help small and mid-sized businesses in our communities. During these difficult economic times we have worked to help local businesses stay in the communities that need them. Our goal of lending $100 million throughout the state will help us provide low-interest loans that keep money and jobs where we need them most.”

Commerce Bank has 128 branches in Missouri. It has approximately $12 million in loans through the Missouri Linked Deposit Program currently. The loan program, expanded in 2009 as part of Treasurer Zweifel's jobs and economic development package, has $720 million in lending power. Borrowers will generally save 30 percent on the cost of a loan through the low-interest loan program.

“The 2009 legislative session greatly expanded eligibility requirements and allowed us to impact more jobs, more small business owners and more farmers state wide,” Treasurer Zweifel said. “Commerce’s commitment today doubles the number of lender branches where a Missouri Linked Deposit Program loan application can be made and puts $100 million back into our economy.”

Missouri-based small businesses with up to 99 employees and farmers are eligible to receive a loan through the Missouri Linked Deposit Program based on lender underwriting standards. Additionally, local governments, housing developments and alternative-energy focused projects may qualify for the low-interest loans. About 112 lenders with 300 branches throughout Missouri use the Missouri Linked Deposit Program. Information can be found at http://www.treasurer.mo.gov/LinkedDeposit.aspx.

Missouri Linked Deposit Program loan amounts are available for the different regions of the state below.

  • Kansas City Region: More than $16 million from 170 loans for farms and small businesses since January 2009.
    • Impacted more than 47 jobs and 151 farmers.
    • $250,000 in annual interest saved.
  • Mid-Missouri Region: Nearly $127 million from 639 loans for farms and small businesses since January 2009.
    • Impacted more than 1,390 jobs and 360 farmers.
    • $2.2 million in annual interest saved.
  • Northeast Missouri Region: More than $67 million from 704 loans for farms and small businesses since January 2009.
    • Impacted more than 704 jobs and 551 farmers.
    • $1.6 million in annual interest saved.
  • Northwest Missouri Region: Nearly $24 million from 258 loans for farms and small businesses since January 2009.
    • Impacted more than 177 jobs and 221 farmers.
    • $375,000 in annual interest saved.
  • Southeast Missouri Region: More than $81 million from 306 loans for farms and small businesses since January 2009.
    • Impacted more than 1,072 jobs and 154 farmers.
    • $1.4 million in annual interest saved.
  • Southwest Missouri Region: More than $46 million from 237 loans for farms and small businesses since January 2009.
    • Impacted more than 502 jobs and 159 farmers.
    • $860,000 in annual interest saved.
  • St. Louis Region: Nearly $30 million from 72 loans for farms and small businesses since January 2009.
    • Impacted more than 680 jobs and 16 farmers.
    • $600,000 in annual interest saved.

About Commerce Bank

Commerce Bank, N.A. is a subsidiary of Commerce Bancshares, Inc. (NASDAQ: CBSH), an $18.4 billion regional bank holding company. For more than 140 years, Commerce Bank has been meeting the financial services needs of individuals and businesses throughout the Midwest region. Commerce Bank provides a diversified line of financial services, including business and personal banking, wealth management, financial planning, and investments through its affiliated companies. Commerce Bank operates in 370 locations in the Central United States. Commerce Bancshares also has operating subsidiaries involved in mortgage banking, leasing, credit-related insurance, venture capital and real estate activities. Visit www.commercebank.com for more information.

Treasurer Zweifel’s Contact:

Jon Galloway
(573) 418-2923
jon.galloway@treasurer.mo.gov
twitter.com/gallowayj

Commerce Bank’s Contact:

Molly Hyland
(314) 746-3657 (office)
molly.hyland@commercebank.com