JASPER, Ind., Feb. 1, 2011 (GLOBE NEWSWIRE) --

Summary

German American Bancorp, Inc. (Nasdaq:GABC) reported today that it had achieved 2010 net income at an all-time record level of $13.4 million, or $1.21 per share, a 10% increase over the Company's 2009 net income of $12.2 million, or $1.10 per share. The Company's return on average equity for 2010 was 11.18%, representing the 6 th consecutive year the Company has achieved a double-digit return.

The record 2010 performance was driven by an improvement in the level of the Company's core operating results, derived from increased revenues in both net interest income and non-interest income. The Company's 2010 net interest income increased by $4.2 million while its non-interest income reflected a $1.1 million improvement from the levels reported in the prior year. The higher level of net interest income was the result of both an 8% increase in the level of the Company's average earning assets, and a widening of the Company's tax-equivalent net interest margin to 3.98% (up from 3.95% in 2009). The increased non-interest income was largely attributable to an approximately $400 thousand increase in the gain from the sale of secondary market residential mortgage loans, and a $500 thousand increase in gains on the sale of other real estate.

Commenting on the Company's achievement of yet another record performance, Mark A. Schroeder, Chairman & CEO of German American, stated, "We are truly gratified that, in this our Company's 100 th anniversary year, we have been able to achieve this all-time record level of performance. In fact, the past three years have been the best three-year period in our history. This feat is truly remarkable in the face of the economic challenges our nation has faced during this period. The accomplishment of this achievement is due to the fiscal responsibility of our customers, the economic viability of the Southern Indiana communities we serve, and the commitment of our staff of dedicated financial professionals. We are extremely grateful to each of these important constituents for their contribution to our success."

Schroeder continued, "We are pleased with our prospects for continued success not only within our legacy markets, but also in our newest market presence in the Evansville, Indiana market area. Effective January 1, 2011, we finalized our previously reported acquisition of the Bank of Evansville, and now have 5 banking offices located throughout the Evansville market. We are excited about the opportunities our entry into this new market area will afford us not only within banking but also relative to the expansion of our insurance and investment lines of business."

The Company also announced that its Board of Directors declared its regular quarterly cash dividend of $0.14 per share which will be payable on February 20, 2011 to shareholders of record as of February 10, 2011.

Balance Sheet Highlights The following balance sheet highlights as of December 31, 2010, do not include the impact of the acquisition of American Community Bancorp, Inc., and its consolidated subsidiaries, including Bank of Evansville, which were acquired on January 1, 2011. Total assets for the Company increased by approximately $132.9 million or 11% as of December 31, 2010 compared with year-end 2009. The increase was largely attributable to an increase in the Company's core deposit base due to both internal organic growth and the May 2010 acquisition of two branch office locations in the Evansville (Indiana) banking market. Year-end 2010 loans outstanding increased approximately $39.2 million or 4% compared with year-end 2009. The overall increase in the loan portfolio was largely driven by the May 2010 branch acquisition, pursuant to which the Company acquired approximately $44 million in loans.
End of Period Loan Balances        
  12/31/10 12/31/09 $ Change % Change
         
Commercial & Industrial Loans $217,988 $188,962 $29,026 15%
Commercial Real Estate Loans 340,074 334,255 5,819 2%
Agricultural Loans 165,102 156,845 8,257 5%
Consumer Loans 118,244 114,736 3,508 3%
Residential Mortgage Loans 77,310 84,677 (7,367) -9%
  $918,718 $879,475 $39,243 4%
         

Non-performing assets totaled $13.3 million at December 31, 2010 compared to $11.2 million of non-performing assets at December 31, 2009. Non-performing assets represented 0.97% of total assets at December 31, 2010 compared to 0.90% at year-end 2009. Non-performing loans totaled $11.2 million at December 31, 2010 compared to $8.8 million of non-performing loans at December 31, 2009. Non-performing loans represented 1.22% of total outstanding loans at year-end 2010 compared with 1.00% of total loans outstanding at year-end 2009. The most significant cause of the increase in non-performing assets and loans was related to two commercial real estate credits that were placed on non-accrual status prior to the fourth quarter of 2010 that totaled approximately $4.5 million.

The Company's allowance for loan losses totaled $13.3 million at December 31, 2010 representing an increase of $2.3 million or 21% from year-end 2009. The allowance for loan losses represented 1.45% of period-end loans at December 31, 2010 compared with 1.25% at December 31, 2009. The allowance for loan losses represented 119% of period-end non-performing loans at December 31, 2010.

Year-end 2010 deposits increased $117.6 million or 12% compared with year-end 2009 total deposits. The increase was primarily attributable to an increase in core deposits from within the Company's market areas, and further augmented by approximately $51 million of deposits acquired in early May 2010 as a part of the branch acquisition transaction, of which a majority were core deposits.  
End of Period Deposit Balances        
  12/31/10 12/31/09 $ Change % Change
         
Non-interest-bearing Demand Deposits $184,204 $155,268 $28,936 19%
Interest-bearing Demand, Savings,        
 & Money Market Accounts 541,532 484,699 56,833 12%
Time Deposits < $100,000 272,964 256,401 16,563 6%
Time Deposits of $100,000 or more        
 & Brokered Deposits 88,586 73,275 15,311 21%
  $1,087,286 $969,643 $117,643 12%
         

Results of Operations Highlights

Year ended December 31, 2010 compared to Year ended December 31, 2009

Net income for the year ended December 31, 2010 totaled $13,405,000, an increase of $1,187,000 or 10% from the year ended December 31, 2009 net income of $12,218,000.
             
Summary Average Balance Sheet            
(Tax-equivalent basis / $ in thousands)          
  YTD December 31, 2010 YTD December 31, 2009 
  Principal Income/ Yield/ Principal Income/ Yield/
  Balance Expense Rate Balance Expense Rate
Assets            
Federal Funds Sold and Other            
 Short-term Investments $41,020 $76 0.19% $41,085 $106 0.26%
Securities 294,754 11,387 3.86% 215,994 10,274 4.76%
Loans and Leases 906,127 53,540 5.91% 891,322 54,166 6.08%
Total Interest Earning Assets $1,241,901 $65,003 5.23% $1,148,401 $64,546 5.62%
             
Liabilities            
Demand Deposit Accounts $173,091     $149,673    
Interest-bearing Demand, Savings,            
 and Money Market Accounts $518,965 $1,688 0.33% $473,214 $3,241 0.68%
Time Deposits 354,239 8,873 2.50% 341,041 10,254 3.01%
FHLB Advances and Other             
 Borrowings 150,737 4,961 3.29% 143,332 5,728 4.00%
Total Interest-Bearing Liabilities $1,023,941 $15,522 1.52% $957,587 $19,223 2.01%
             
             
Cost of Funds     1.25%     1.67%
Net Interest Income   $49,481     $45,323  
Net Interest Margin     3.98%     3.95%
             

During the year ended December 31, 2010, net interest income totaled $48,671,000 representing an increase of $4,158,000 or 9% from the year ended December 31, 2009 net interest income of $44,513,000. The tax equivalent net interest margin for the year ended December 31, 2010 was 3.98% compared to 3.95% in 2009. The increased net interest income was largely the result of a higher level of earning assets largely driven by growth in the Company's core deposit base.

The provision for loan loss totaled $5,225,000 during the year ended December 31, 2010 representing an increase of $1,475,000 or 39% from the year ended December 31, 2009. During 2010, the provision for loan loss represented approximately 58 basis points of average loans while net charge-offs represented approximately 32 basis points of average loans.

During the year ended December 31, 2010, non-interest income increased approximately 7% from the year ended December 31, 2009. 
Non-interest Income YTD YTD    
  12/31/10 12/31/09 $ Change % Change
         
Trust and Investment Product Fees $1,582 $1,617 $(35) -2%
Service Charges on Deposit Accounts 4,065 4,395 (330) -8%
Insurance Revenues 5,347 5,296 51 1%
Company Owned Life Insurance 806 1,104 (298) -27%
Other Operating Income 2,983 2,110 873 41%
 Subtotal 14,783 14,522 261 2%
Net Gains on Sales of Loans and         
Related Assets  2,160 1,760 400 23%
Net Gain (Loss) on Securities -- (423) 423 -100%
Total Non-interest Income $16,943 $15,859 $1,084 7%
         

Deposit service charges and fees declined approximately 8% during 2010 compared with 2009 due to decreased customer utilization of the Company's overdraft protection program and to a lesser degree changes implemented in the program during the third quarter of 2010 related to Regulation E. Company owned life insurance income declined 27% during 2010 compared with 2009 as a result of death benefits received from life insurance policies during 2009.

Other operating income increased $873,000 or 41% during the year ended December 31, 2010 compared with the year ended December 31, 2009. This increase was due primarily to a net gain on the sale of other real estate during 2010 compared with a net loss during 2009, representing an approximately $511,000 difference year over year, and an approximately $274,000 increase in net interchange revenues during 2010 compared with 2009. 

The net gain on sales of loans increased $400,000 or 23% in the year ended December 31, 2010 compared with the year ended December 31, 2009 due to strong residential mortgage loan sales and improved pricing on those loans sold and those loans held for sale. Loans sales totaled $119.3 million during 2010 and $143.6 million during 2009. 

The net loss on securities during 2009 was related to the recognition of other-than-temporary impairment charges on the Company's portfolio of non-controlling investments in other banking organizations.

During the year ended December 31, 2010, non-interest expense increased approximately 2% compared with the year ended December 31, 2009.
Non-interest Expense YTD  YTD    
  12/31/10 12/31/09 $ Change % Change
         
Salaries and Employee Benefits $22,070 $21,961 $109 --%
Occupancy, Furniture and Equipment        
Expense 6,083 6,035 48 1%
FDIC Premiums 1,455 1,863 (408) -22%
Data Processing Fees 1,411 1,368 43 3%
Professional Fees 2,285 1,740 545 31%
Advertising and Promotion 1,255 993 262 26%
Intangible Amortization 898 909 (11) -1%
Other Operating Expenses 5,904 5,522 382 7%
Total Non-interest Expense $41,361 $40,391 $970 2%
         

The Company's FDIC deposit insurance assessments decreased $408,000, or 22%, during 2010 compared with 2009. This decrease was due to an industry-wide special assessment in the second quarter of 2009 of approximately $550,000 which represented 5 basis points of the Company's subsidiary bank's total assets less Tier 1 Capital.

Professional fees increased $545,000 or 31% during the year ended December 31, 2010 compared with 2009 primarily as a result of professional fees associated with the acquisition of American Community Bancorp, Inc. effective January 1, 2011 and the acquisition of two branch offices during the second quarter of 2010.

Advertising and promotion increased 26% in the year ended December 31, 2010 compared with 2009 largely as a result of the Company's common identity initiative and the acquisition of two branch offices in a new market for the Company during the second quarter of 2010.

Other operating expenses increased approximately 7% during the year ended December 31, 2010 compared with the year ended December 31, 2009. The increase was largely attributable to costs related to the Company's common identity initiative that was undertaken during 2010.

Quarter ended December 31, 2010 compared to quarter ended September 30, 2010 Net income for the quarter ended December 31, 2010 totaled $3,152,000, a decline of $442,000 or 12% from third quarter 2010 net income of $3,594,000.
Summary Average Balance Sheet            
(Tax-equivalent basis / $ in thousands)            
  Quarter Ended December 31, 2010 Quarter Ended September 30, 2010
  Principal Income/ Yield/ Principal Income/ Yield/
  Balance Expense Rate Balance Expense Rate
Assets            
Federal Funds Sold and Other            
 Short-term Investments $61,349 $28 0.18% $25,241 $12 0.19%
Securities 323,674 2,857 3.53% 314,705 2,804 3.56%
Loans and Leases 922,672 13,632 5.87% 921,687 13,737 5.92%
Total Interest Earning Assets $1,307,695 $16,517 5.02% $1,261,633 $16,553 5.22%
             
Liabilities            
Demand Deposit Accounts $194,254     $180,147    
Interest-bearing Demand, Savings,            
 and Money Market Accounts $562,673 $399 0.28% $523,265 $402 0.30%
Time Deposits 361,160 2,222 2.44% 359,466 2,240 2.47%
FHLB Advances and Other            
 Borrowings 142,791 1,063 2.95% 154,011 1,236 3.18%
Total Interest-Bearing Liabilities $1,066,624 $3,684 1.37% $1,036,742 $3,878 1.48%
             
Cost of Funds     1.12%     1.22%
Net Interest Income   $12,833     $12,675  
Net Interest Margin     3.90%     4.00%
             

During the quarter ended December 31, 2010, net interest income totaled $12,630,000 representing an increase of $153,000 or 1% from the third quarter of 2010. The tax equivalent net interest margin for the fourth quarter of 2010 was 3.90% compared to 4.00% in the third quarter of 2010. The increased net interest income was largely the result of a higher level of earning assets driven by growth in the Company's core deposit base. The decline in the net interest margin was largely attributable to an increase in the Company's federal funds sold position driven by core deposit growth and a decline in loan yields related to the continued low interest rate environment. The provision for loan loss totaled $1,350,000 during the quarter ended December 31, 2010 compared with $1,375,000 during the quarter ended September 30, 2010 representing an decline of approximately 2%.  

During the quarter ended December 31, 2010, non-interest income decreased 7% compared to the third quarter of 2010. 

Non-interest Income Qtr Ended Qtr Ended    
  12/31/10 09/30/10 $ Change % Change
         
Trust and Investment Product Fees $448 $348 $100 29%
Service Charges on Deposit Accounts 991 1,053 (62) -6%
Insurance Revenues 1,255 1,323 (68) -5%
Company Owned Life Insurance 221 197 24 12%
Other Operating Income 684 710 (26) -4%
 Subtotal 3,599 3,631 (32) -1%
Net Gains on Sales of Loans and        
Related Assets 541 802 (261) -33%
Net Gain (Loss) on Securities -- -- -- --%
Total Non-interest Income $4,140 $4,433 $(293) -7%
         

Trust and investment product fees increased 29% during the quarter ended December 31, 2010, compared with the third quarter 2010 due primarily to improved retail brokerage revenues.

The net gain of sales of loans decreased 33% in the quarter ended December 31, 2010 compared with the third quarter of 2010. The decline was largely attributable to a lower pipeline of residential mortgage loans to be originated and sold and a lower level of loans held for sale as of year end 2010 compared with September 30, 2010. Loans sales totaled $43.9 million during the fourth quarter of 2010 compared to $39.6 million during the third quarter of 2010.

During the quarter ended December 31, 2010, non-interest expense increased approximately 3% compared with the third quarter of 2010.  
Non-interest Expense Qtr Ended Qtr Ended    
  12/31/10 09/30/10 $ Change % Change
         
Salaries and Employee Benefits $5,763 $5,470 $293 5%
Occupancy, Furniture and Equipment        
 Expense 1,572 1,537 35 2%
FDIC Premiums 412 355 57 16%
Data Processing Fees 357 330 27 8%
Professional Fees 542 698 (156) -22%
Advertising and Promotion 363 350 13 4%
Intangible Amortization 171 262 (91) -35%
Other Operating Expenses 1,572 1,439 133 9%
Total Non-interest Expense $10,752 $10,441 $311 3%
         

Salaries and benefits expense increased approximately 5% during the fourth quarter of 2010 compared with the third quarter of 2010. The increase was largely attributable to year-end adjustments for incentive plans and employee benefits paid in conjunction with the Company's 100 th year anniversary.   

Professional fees decreased $156,000 or 22% during the quarter ended December 31, 2010 compared with the third quarter of 2010 primarily as a result of a modestly lower level of professional fees associated with the acquisition of American Community Bancorp, Inc. and a general decline in other professional fees.

Intangible amortization decreased $91,000 or 35% during the fourth quarter of 2010 compared with the third quarter of 2010 as a result of the full amortization as of September 30, 2010 of customer list intangible for two insurance agencies purchased in 2003.

About German American

German American Bancorp, Inc., is a NASDAQ-traded (symbol: GABC) financial services holding company based in Jasper, Indiana. German American, through its banking subsidiary German American Bancorp, operates 33 retail banking offices in 12 contiguous southern Indiana counties. The Company also owns a trust, brokerage, and financial planning subsidiary (German American Financial Advisors & Trust Company) and a full line property and casualty insurance agency (German American Insurance, Inc.).

Cautionary Note Regarding Forward-Looking Statements

The Company's statements in this press release regarding German American's prospects for continued success, both in its legacy markets and in its new market presence in Evansville, Indiana arising from its May 2010 branch purchase transaction and its January 2011 acquisition of Bank of Evansville (and its opportunities to expand its insurance and investment lines of business in that new market area) are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Readers are cautioned that, by their nature, forward-looking statements are based on assumptions and are subject to risks, uncertainties, and other factors. Actual results and experience could differ materially from the anticipated results or other expectations expressed or implied by these forward-looking statements as a result of a number of factors, including but not limited to, those discussed in the press release. Factors that could cause the Company's actual future experiences in its Evansville market to be less successful than expected by management include risks incident to any acquisition transaction, such as the risks that Bank of Evansville's operations may not be integrated successfully into German American's operations or such integration may be more difficult, time-consuming or costly than expected, including possible disruption of employee or customer relationships that could result in decreased revenues if such disruption results in loss of customers; management's previously-announced expected cost savings from the Bank of Evansville transaction may not be fully realized or realized within the expected timeframe; management's previously-announced expectations that net interest income of the Company might improve as a result of the Bank of Evansville transaction might be not realized or delayed, in part or in whole, due to possible market factors that could dictate that German American delay or alter projected deposit pricing strategies in the Evansville market; and the final valuations of the acquired assets and assumed liabilities for accounting purposes under the acquisition method of accounting as applied to the January 2011 acquisition may differ materially from the preliminary valuations assumed by management's models, and such valuation differences may result in material changes (including possible material adverse changes) in German American's actual future results of operations compared to those projected by it under its models. Other factors that could cause actual experiences to differ from the expectations stated or implied in this press release include changes in competitive conditions; the introduction, withdrawal, success and timing of asset/liability management strategies or of mergers and acquisitions and other business initiatives and strategies, including the intended strategies of expanding the Company's insurance and investment lines of business in the Evansville market; changes in customer borrowing, repayment, investment and deposit practices; changes in fiscal, monetary and tax policies; changes in financial and capital markets; continued deterioration in general economic conditions, either nationally or locally, resulting in, among other things, credit quality deterioration and dampened loan demand; actions of the Federal Reserve Board; changes in accounting principles and interpretations; and actions of federal regulatory agencies under the Federal Deposit Insurance Act, the Dodd-Frank Wall Street Reform and Consumer Protection Act, and other legislative and regulatory actions and reforms. These forward-looking statements speak only as of the date of this press release and German American undertakes no obligation to update any such forward-looking statement to reflect events or circumstances that occur after the date hereof.
GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
       
       
Consolidated Balance Sheets
       
       
  December 31, September 30, December 31,
  2010 2010 2009
       
ASSETS      
 Cash and Due from Banks   $ 15,021  $ 19,203  $ 16,052
 Short-term Investments   4,250  26,112  12,002
 Investment Securities  348,351  302,673  253,714
       
 Loans Held-for-Sale  11,850  13,627  5,706
       
 Loans, Net of Unearned Income  917,236  913,623  877,822
 Allowance for Loan Losses  (13,317)  (11,700)  (11,016)
 Net Loans  903,919  901,923  866,806
       
 Stock in FHLB and Other Restricted Stock  9,207  10,621  10,621
 Premises and Equipment  25,974  26,784  22,153
 Goodwill and Other Intangible Assets  12,459  12,630  12,273
 Other Assets  44,857  42,411  43,638
 TOTAL ASSETS  $ 1,375,888  $ 1,355,984  $ 1,242,965
       
LIABILITIES      
 Non-interest-bearing Demand Deposits  $ 184,204  $ 187,363  $ 155,268
 Interest-bearing Demand, Savings, and      
 Money Market Accounts  541,532  532,877  484,699
 Time Deposits  361,550  362,608  329,676
 Total Deposits  1,087,286  1,082,848  969,643
       
 Borrowings  153,717  137,173  148,121
 Other Liabilities  13,351  13,090  11,652
 TOTAL LIABILITIES  1,254,354  1,233,111  1,129,416
       
SHAREHOLDERS' EQUITY      
 Common Stock and Surplus  80,402  80,194  79,893
 Retained Earnings  36,232  34,635  29,041
 Accumulated Other Comprehensive Income  4,900  8,044  4,615
TOTAL SHAREHOLDERS' EQUITY  121,534  122,873  113,549
       
TOTAL LIABILITIES AND      
 SHAREHOLDERS' EQUITY  $ 1,375,888  $ 1,355,984  $ 1,242,965
       
END OF PERIOD SHARES OUTSTANDING 11,105,583 11,104,918 11,077,382
       
BOOK VALUE PER SHARE  $ 10.94  $ 11.06  $ 10.25
       
GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
           
           
Consolidated Statements of Income
           
  Three Months Ended Year Ended
  December 31, September 30, December 31, December 31, December 31,
  2010 2010 2009 2010 2009
           
INTEREST INCOME          
 Interest and Fees on Loans   $ 13,565  $ 13,668  $ 13,332  $ 53,266  $ 53,905
 Interest on Short-term Investments   28  12  42  76  106
 Interest and Dividends on Investment Securities  2,721  2,675  2,423  10,851  9,725
 TOTAL INTEREST INCOME  16,314  16,355  15,797  64,193  63,736
           
INTEREST EXPENSE          
 Interest on Deposits   2,621  2,642  3,026  10,561  13,495
 Interest on Borrowings  1,063  1,236  1,497  4,961  5,728
 TOTAL INTEREST EXPENSE  3,684  3,878  4,523  15,522  19,223
           
 NET INTEREST INCOME   12,630  12,477  11,274  48,671  44,513
 Provision for Loan Losses  1,350  1,375  750  5,225  3,750
 NET INTEREST INCOME AFTER          
 PROVISION FOR LOAN LOSSES  11,280  11,102  10,524  43,446  40,763
           
NON-INTEREST INCOME          
 Net Gain on Sales of Loans  541  802  323  2,160  1,760
 Net Gain (Loss) on Securities  --   --   (389)  --   (423)
 Other Non-interest Income  3,599  3,631  3,803  14,783  14,522
 TOTAL NON-INTEREST INCOME  4,140  4,433  3,737  16,943  15,859
           
NON-INTEREST EXPENSE          
 Salaries and Benefits  5,763  5,470  5,405  22,070  21,961
 Other Non-interest Expenses  4,989  4,971  4,753  19,291  18,430
 TOTAL NON-INTEREST EXPENSE  10,752  10,441  10,158  41,361  40,391
           
 Income before Income Taxes  4,668  5,094  4,103  19,028  16,231
 Income Tax Expense  1,516  1,500  782  5,623  4,013
           
NET INCOME  $ 3,152  $ 3,594  $ 3,321  $ 13,405  $ 12,218
           
EARNINGS PER SHARE & DILUTED EARNINGS PER SHARE  $ 0.28  $ 0.32  $ 0.30  $ 1.21  $ 1.10
           
           
WEIGHTED AVERAGE SHARES OUTSTANDING 11,105,323 11,104,918 11,077,382 11,098,836 11,065,917
DILUTED WEIGHTED AVERAGE SHARES OUTSTANDING 11,114,793 11,110,861 11,085,472 11,104,887 11,068,988
           
GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
           
           
  Three Months Ended Year Ended
  December 31, September 30, December 31, December 31, December 31,
  2010 2010 2009 2010 2009
EARNINGS PERFORMANCE RATIOS          
Annualized Return on Average Assets 0.90% 1.06% 1.04% 1.01% 0.99%
Annualized Return on Average Equity 10.14% 11.79% 11.69% 11.18% 11.12%
Net Interest Margin 3.90% 4.00% 3.82% 3.98% 3.95%
Efficiency Ratio (1) 63.35% 61.03% 66.71% 62.27% 66.02%
Net Overhead Expense to Average Earning Assets (2) 2.02% 1.90% 2.15% 1.97% 2.14%
           
ASSET QUALITY RATIOS          
Annualized Net Charge-offs to Average Loans -0.12% 0.21% 0.23% 0.32% 0.25%
Allowance for Loan Losses to Period End Loans 1.45% 1.28% 1.25%    
Non-performing Assets to Period End Assets 0.97% 1.04% 0.90%    
Non-performing Loans to Period End Loans 1.22% 1.28% 1.00%    
Loans 30-89 Days Past Due to Period End Loans 0.65% 0.62% 0.64%    
           
           
SELECTED BALANCE SHEET & OTHER FINANCIAL DATA          
Average Assets  $ 1,399,100  $ 1,353,459  $ 1,279,199  $ 1,330,540  $ 1,230,596
Average Earning Assets  $ 1,307,695  $ 1,261,633  $ 1,195,609  $ 1,241,901  $ 1,148,401
Average Total Loans  $ 922,672  $ 921,687  $ 890,740  $ 906,127  $ 891,322
Average Demand Deposits  $ 194,254  $ 180,147  $ 156,644  $ 173,091  $ 149,673
Average Interest Bearing Liabilities  $ 1,066,624  $ 1,036,742  $ 996,020  $ 1,023,941  $ 957,587
Average Equity  $ 124,329  $ 121,980  $ 113,640  $ 119,867  $ 109,887
           
Period End Non-performing Assets (3)  $ 13,325  $ 14,109  $ 11,156    
Period End Non-performing Loans (4)  $ 11,230  $ 11,712  $ 8,793    
Period End Loans 30-89 Days Past Due (5)  $ 5,986  $ 5,707  $ 5,625    
           
Tax Equivalent Net Interest Income  $ 12,833  $ 12,675  $ 11,490  $ 49,481  $ 45,323
Net Charge-offs during Period  $ (267)  $ 488  $ 522  $ 2,924  $ 2,256
           
           
           
(1) Efficiency Ratio is defined as Non-interest Expense divided by the sum of Net Interest Income, on a tax equivalent basis, and Non-interest Income.    
(2) Net Overhead Expense is defined as Total Non-interest Expense less Total Non-interest Income.      
(3) Non-performing assets are defined as Non-accrual Loans, Loans Past Due 90 days or more, Restructured Loans, and Other Real Estate Owned.          
(4) Non-performing loans are defined as Non-accrual Loans, Loans Past Due 90 days or more, and Restructured Loans.          
(5) Loans 30-89 days past due and still accruing.          
           
CONTACT: Mark A Schroeder         Chief Executive Officer of German American Bancorp, Inc.         Bradley M Rust         Executive Vice President/CFO of German American Bancorp, Inc.         (812) 482-1314