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LAKEELMOBANK.COM

Some Things Don’t ChangeLife sure has changed since our first newsletter of 2020. The one thing that hasn’t changed at Lake Elmo Bank is the dedication and ability of our employees to step up and help our community and customers when they need it most.

This has definitely been an “all-hands-on-deck” period for us at LEB. Our lenders and lending staff worked around the clock to review and process over 350 SBA loans totaling over $34 million through the Paycheck Protection Program. As this crisis has shown, small businesses were able to rely on community banks because Main Street was there when Wall Street wasn’t. Our employees have also been our front line heroes. Tellers, bankers and customer service staff have taken deposits, answered questions, and assisted customers with digital banking solutions.

At LEB we are whole-heartedly committed to helping our customers thrive in good times as well as in times of adversity. We know that many of you have been facing significant disruptions in your life. We want to assure you that we are here to help you navigate this uncertain future. We remain committed to providing you the financial access, guidance and support that you need so that you can focus on your well-being and your loved ones.

Dan Raleigh President / CEO

SUMMER 2020

the traditional

Community Day See You Next Year

As with many other community activities and events, we too have agonized over the tough decision of whether or not to cancel our annual Community Day event this fall. Our wish is for employees, customers and community friends to stay safe and healthy – we look forward to gathering in 2021 at

this 25th annual event and other LEB activities.

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the traditionalSUMMER 2020

Historically, Individual Retirement Accounts (IRAs) do not really change much on a year to year basis. IRA owners only had to remember certain birth dates: 50, 59 ½ and 70 ½ and annual contribution limits.

However, at the end of 2019, Congress passed the Setting Every Community Up for Retirement Enhancement (SECURE) Act to begin January 1, 2020. Then, in response to the COVID-19 pandemic, Congress passed the Coronavirus Aid, Relief and Economic Security (CARES) Act on March 27, 2020.

Between these two Acts, a lot has changed that directly affects IRA owners. Below is a brief overview of:

The SECURE Act:• Delayed the age for taking Required Minimum

Distributions (RMDs) to age 72 for individuals born on or after July 1, 1949.

• Effective for 2020 and subsequent years, individuals with earned income may contribute to an IRA. Previously, an individual who reached age 70 ½ could no longer contribute.

• Changes that may affect estate plans using trusts as beneficiaries including a shortened distribution timeline for Inherited IRAs.

• Distributions taken for the birth or adoption of a child avoid the 10% early withdrawal penalty up to $5,000 per occurrence subject to certain requirements.

The CARES Act:• Delayed the tax filing deadline to July 15.

o Prior year IRA and HSA contribution deadline extended to July 15.

• Waived the Required Minimum Distribution (RMD) for IRA and Qualified plan owners and beneficiaries for 2020. o If a distribution has already taken place, it may be eligible to roll back into the account. o If the 60-day rollover period would have ended on or after April 1, it is extended to July 15. o Subject to Once-per-year IRA rollover rule.

• The 10% early withdrawal penalty is waived for distributions up to $100,000 in 2020 for Coronavirus Related Distributions (CRD), which include a COVID-19 diagnosis or adverse financial consequences due to the virus.

This is not an exhaustive list of the programs & changes and does not cover everything in full detail. As always, if you have questions specific to your situation, please call one of our Personal Bankers, your attorney or tax preparer.

Follow Us...Be sure to follow Lake Elmo Bank on social media for quick updates on products, services and other important information. Check us out on Facebook, Instagram and LinkedIn.

IRA Changes: The SECURE and CARES Acts

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LAKEELMOBANK.COM

Banking Convenience for Businesses

Mobile Wallet – Perfect for Curbside Pick-Ups! Seems as though we are using less and less cash these days. Do you have an LEB Debit Card for your online and curbside pick-up convenience? Unlike a credit card, you only use what funds you have in your account. When you call or place an order online – use your LEB Debit Card. It’s safe and easy. For in-store purchases, link your debit card to your mobile phone and use it for payment at many merchants – no need to touch terminals, just place your phone above the terminal and it applies payment to your debit card. It’s that easy! If you need help with using your debit card on your mobile wallet, or you need to order a debit card – we’re here. ebanking@lakeelmobank.com

We’re Here For You … From Your Home or OfficeOur full line of e-banking products allows you to stay home while staying connected. Transfer funds, pay bills, even make deposits from your phone or tablet.

- Online & Mobile Banking - e-statements - Bank-to-Bank Transfers - Mobile Deposit - Bill Pay - Debit & Credit Cards

Website Refresh ComingLater this summer you will see some changes to our website. We are working to make it more streamlined and easy to use. We are excited to launch this new look!

Lake Elmo Bank’s Cash Management Digital Banking offers your business innovative products to make banking easy. Our full menu of products will help meet your business banking needs.

• Online Banking - Manage your money, pay bills, paperless statements. Download transactions to money management programs like Quicken and QuickBooks for easy management.

• ACH Origination - Submit payroll, pay vendors or collect receivables/monthy dues and more.

• SmartPay Express - Accept online payments or donations directly from your website.

• Remote Deposit Capture - Use this web-based solution to process your check deposits and minimize multiple trips to the bank.

• Merchant Processing - Allows you several options to take card payments/donations over the phone, in-person, online or curbside.

• Lockbox Services - Your customers send payments to our PO Box. We do the banking for you by processing payments directly into your account and sending you a receipt message and image file of your transaction.

• Business Cash Management Sweep - Excess funds in your business checking get swept to an interest-bearing savings.

We are here to make banking more convenient for you and your business. Please contact us to learn more about products/services that can work for you.

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Most Valuable LEB Product.Our e-banking products. They are competitive with the others in the industry and make it possible for our customers to handle their banking needs from anywhere.

Greatest Professional Accomplishment. Becoming a Commercial Lending Officer.

Personal Interest and Activities.Golfing, sports and the outdoors.

Why should someone bank at LEB?I truly believe our customer service is second to none.

One Word to Describe LEB.Authentic.

Our Employees. . .

Our FoundationOur employees are the Bank’s most valuable asset

Nate Mears Vice President – Commercial Lending Officer Lake Elmo Bank - Since 2014

Always a Good Time to PlanThe LEB Trust and Estate Services team continues to be here for you. Now may be a good time to think about your estate plan and how Lake Elmo Bank can help meet your needs or the needs of your family. Our staff is available to meet with you via video conference, over the phone, or in person by appointment. Please do not hesitate to contact us if you have any questions regarding how we can help you navigate the complexities of trust administration and estate settlement.

Katie G. Bang, CTFA Vice President –

Trust & Estate Services

LEB Partners With New Check Printer!Lake Elmo Bank will now be offering checks printed through Harland Clarke. When you need to place your re-order, simply call us at 651.773.4700 or visit us at lakeelmobank.com.

Products and services offered through the Trust department of Lake Elmo Bank are not FDIC insured; not insured by any government agency, not a deposit or other obligation of Lake Elmo Bank, not guaranteed by Lake Elmo Bank, and are subject to investment risk, including the possible loss of the principal invested.

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LAKEELMOBANK.COM

Looking Back On 40 Years… We had a few minutes to sit down with Mike Mazzara – Loan Officer, who has been with the Bank for more than 42 years.

What drew you to LEB for employment?I was a struggling college student at the time. My girlfriend was a teller, and suggested I apply. I met with Bruce Beutel and the rest is history.

Biggest change you have seen in LEB over your career? The bank has grown from an $11M bank with one office and 10

employees to a $375M bank with three offices and 81 full-time equivalent employees. And of course all of the technology changes/advancements.

Is there a particular customer story that stands out?I financed a new Honda motorcycle in June 2001 for a customer. Jokingly I told the customer that the fine print stated “the loan officer gets to use the motorcycle one weekend a year.” On January 21st which happened to be my birthday and a balmy 10 degree day, he stopped in my office and set the motorcycle keys on my desk and said, “Mike it’s your weekend.”

One Word to describe LEB.Family

What you will miss most about Lake Elmo Bank?After 42 years, it becomes a part of your life. I will miss my co-workers and our customers. I will miss the satisfaction of knowing I played a part in helping customers.

How do you plan to spend your time during retirement?Spend more time with my family – my wife Becky, my sons Matthew and Adam, my granddaughter – Finley Mae and my step children – Olivia and Anthony. I want to work on my golf game, spend more time on the water and fish. Visit some national parks and historical sites around this great country.

Due to Covid restrictions, we are unable to gather for a celebration. But we would love to share your cards and well wishes with our retirees. Please email to chris@lakeelmobank.com or postal mailbox c/o Chris Clark Lake Elmo Bank 1937 Greeley St. S., Stillwater, MN 55082. All messages will be forwarded accordingly.

Lori SchumacherCommercial Lending AssistantLEB Tradition since 1999.

Pam JohnsonPersonal Banking OfficerLEB Tradition since 1995.

Mike MazzaraLoan OfficerLEB Tradition since 1977.

Happy Retirement We will be saying good-bye to a few of our LEB employees this summer. Join us in wishing them well, as they start their next chapter - retirement.

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the traditionalSUMMER 2020

LEB Names 2020 Tradition of Service Award Winner - “Our Employees”Every April, Lake Elmo Bank sets aside one week to honor employees. The annual Employee Appreciation Week is marked with team building fun, staff breakfast, competitions throughout the week, prizes and an after-hours social event. It is also the time when we recognize one employee for his/her high level of service. Selected by the board of directors through employee nominations, one individual is named “LEB’s Tradition of Service Award” winner.

With the arrival of COVID -19, we were forced to pause all of our employee activities and traditions – including this

week and the Tradition of Service Award process. As an essential business, our employees have worked countless hours to meet the financial and banking needs of our customers while dealing with personal uncertainties. They have adjusted how to deliver our tradition of service and for this commitment, we have selected “Our Employees” as the recipient of this year’s award. Our employees are truly the foundation of our organization – and we thank each and every one of them for their continued commitment to our mission...even during such uncertain times.

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LAKEELMOBANK.COM

LEB Names 2020 Tradition of Service Award Winner - “Our Employees”

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the traditionalSUMMER 2020

Same Service, Same People.It has been over three months since we made the decision to close our lobbies. While it was the right decision at the time, we are now in the process of transitioning to a safe re-opening.

We continue to offer full-service banking at all locations. All bankers and loan officers are available by appointment. Please contact us in advance and we will prepare all necessary paper work to minimize your time in the lobby. This also allows our staff to clean between client visits.

We are pleased that we have not laid off or furloughed any of our staff and they have done an amazing job of continuing to provide personal service – even in this new environment. As we move to an open lobby, we have taken steps for a safe environment including signing stations with plexiglass protection. We do recommend a mask when meeting face-to-face without a germ shield.

While things look a bit different, we want you to know that we are here…we have been here and we will continue to be here for all of your banking and financial needs…. Give us a call. Continue to follow us on social media and check our website for updates.

Shop, Eat, Entertain LOCALTo keep our communities strong and vibrant, we need to continue to support our local businesses more than ever. Our friends, family and neighbors who are restaurant and shop owners need our help. Look for ways to shop, eat and entertain locally.

Jake Groess and Alicia Traynor, LEB Stillwater office

Hey Kids…Summer is a great

time to open a Little Elmo Savers ClubSM account for your child/grandchild or someone special in

your life. Call a banker today and we can get

the paperwork started. Your little person will receive a new ceramic Little Elmo bank to stash their coins as they save for their next deposit.

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LAKEELMOBANK.COM

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Lake Elmo Bank is pleased to announce the addition of Pete Johnston and Malorie Boelter to its team of Mortgage Lenders. Pete has been in the mortgage industry since 2000 and originating mortgages since 2003, most recently as the owner of American Mortgage. Pete is managing our Mortgage Group and moving us forward in technology for ease of application and processing. Malorie has worked in the mortgage industry since 2012. Prior to that Malorie worked in the real estate field. Her experience will add to our existing depth of support in the processing area.

Please keep Lake Elmo Bank in mind for all of your mortgage and home financing needs.

Mortgage Department - Dawn Coerber, Leah Mackie,

Pete Johnston, Patty Swanson, Malorie Boelter, Roxanne

Hernandez

Mortgage Department Expands Here For Your Mortgage Financing NeedsFor most people, buying a home will be their single largest lifetime purchase. It can be exciting, but it can be overwhelming. At Lake Elmo Bank we are here to help simplify the process and guide you through the transaction.

Pre-Approval ProcessBefore you start your home search, you should get pre-approved through one of our experienced Mortgage Lenders. There are several mortgage options. Once you apply for pre-approval, your Mortgage Lender can recommend which type of financing will best fit your needs. We offer every mortgage product available in the country – right here at Lake Elmo Bank.

Select the Right Real Estate AgentWith over 4,000 licensed real estate agents in the Twin Cities Metro area, it is surprising to note that only five-percent of the agents help more than 90% of all buyers and sellers. It is best to work with a licensed professional who works and “knows” your market, who is connected with other agents in the area to ultimately sell your home quickly, maximizing your profits. When purchasing, it is equally important to work with an experienced agent who can successfully submit your offer in a hot market. For these reasons, we highly recommend using someone local, who knows and understand the community and the real estate market.

So if you are thinking of buying a home or building the home of your dreams – we at Lake Elmo Bank can help. Contact us today to learn more about our financing options.

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the traditionalSUMMER 2020

LEB Employees & Community Raise Nearly $10,000 for Local Food ShelfOur Community Bank Challenge was disrupted in March as the COVID crisis forced us to stay home and close lobbies. Given our challenge got cut short, LEB and our employees/customers still raised $10,000 and over 600 pounds of food for Valley Outreach’s Food Shelf. Thanks to all who donated.

Pictured: Mike Mazzara, Jesse Hedinger, Ryan Benson

Supporting Local BusinessesDoing our part to support local businesses, LEB hosted a number of Fun Food Fridays – employees ordered lunch in from community restaurants and LEB picked up the tab. Fun for employees and good for our local restaurants.

Pictured: Kris Young, Stacy Gilsdorf, Lisa Cronk, Adam Laberda, Steve Madsen, Dick Plummer.

C ommunity C ommitment...

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LAKEELMOBANK.COM

Polar Plunge Raises Money for MN Special OlympicsAs a sponsor of Woodbury Polar Plunge, LEB and its team of employees raised more than $5,600 for Special Olympics MN.

Pictured: LEB Plungers – Steve Madsen, Pete Johnston, Jesse Hedinger.

Flannel Shirt DayMinnesota Winters call for a good flannel shirt.

Pictured: Mai Moua, Ana Reardon, Sam Jorgensen, Lisa Cronk, Melissa Clarke, Pam Richert.

Back Row - Adam Laberda, Kris Young, Kathy Jeanson, Eric Graf, Sheila Wulfing, Dawn Coerber, Stacy Gilsdorf, Sharon Koren, Jenni Blank, Jesse Hedinger, Julie Groess, Jacob Olson, Pete Johnston.

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the traditionalSUMMER 2020

11465 39th Street NorthPost Office Box 857 Lake Elmo, MN 55042-0857

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BUSINESS HOURS LobbyMonday Through Friday 9:00 a.m. – 5:00 p.m.Saturday 9:00 a.m. – 12:00 p.m.

Drive ThruMonday Through Friday 7:00 a.m. – 6:00 p.m.Saturday 9:00 a.m. – 12:00 p.m.

Walk-Up LAKE ELMO OFFICE ONLY

Monday Through Friday 7:00 a.m. – 9:00 a.m. 5:00 p.m. – 6:00 p.m.

Lake Elmo Bank651.777.8365

Stillwater Office651.439.7680

Oakdale Office651.578.7769

Customer Service651.773.4700

LEB TeleBank Line651.773.4711

PHONE NUMBERS

lakeelmobank.com

STAFF CHANGESCheryl Engstrom Marketing Admin Assistant/TellerLynn Raarup Receptionist

NEW HIRESNathan Niederkorn Teller

CONNECT WITH US!

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U.S. Postage

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Twin Cities, MN

Permit # 263

NMLS 403447

SERVICE ANNIVERSARIESChris Clark 30 years Sharon Koren 20 yearsAlicia Traynor 15 years Pam Richert 10 years

Stay Connected…We know that email is a quick way to get in touch. If you would like to be included in our email list – please shoot us your information… Send your name and email address – to chris@lakeelmobank.com.