First Financial Bancorp. (FFBC) 8-K First Financial Bancorp Reports Third Quarter 2007 Financial Results

EXHIBIT 99.1

FOR IMMEDIATE RELEASE

Media Contact: Cheryl Lipp
(513) 979-5797
cheryl.lipp@bankatfirst.com

Analyst Contact: J. Franklin Hall
(513) 979-5770
frank.hall@bankatfirst.com

First Financial Bancorp Reports Third Quarter 2007 Financial Results

• Third quarter 2007 net earnings of $0.22 per diluted share and year-to-date 2007 net earnings of $0.64 per diluted share

• Continued improvement in earning asset mix

• Period-end annualized growth in commercial, commercial real estate, and construction loans of approximately 17 percent from the second quarter 2007

• Credit quality is stable and outlook remains positive

HAMILTON, Ohio — October 23, 2007 — First Financial Bancorp (Nasdaq: FFBC) president and chief executive officer, Claude E. Davis, today announced third quarter 2007 net income of $8.4 million or 22 cents in diluted earnings per share and year-to-date 2007 net income of $25.0 million or 64 cents in diluted earnings per share. Excluding the third quarter 2006 gain on the sale of branches, gain on the sale of loans, charges associated with the execution of our strategic plan, and additional provision expense for loans subsequently sold, net income for the third quarter 2006 was $6.2 million or 16 cents in diluted earnings per share and year-to-date 2006 net income was $14.6 million or 37 cents in diluted earnings per share. Net income was $8.2 million or 21 cents in diluted earnings per share in the second quarter 2007.

The following performance ratios are presented on an “as reported GAAP basis.” Return on average assets for the third quarter 2007 was 1.00 percent compared to 1.40 percent for the same period in 2006 and 1.00 percent last quarter. Year-to-date return on average assets was 1.01 percent for 2007 compared to 0.79 percent for the same period in 2006. Return on average shareholders’ equity was 12.03 percent for the third quarter 2007 compared to 16.09 percent for the comparable period in 2006 and 11.61 percent last quarter. Year-to-date return on average shareholders’ equity was 11.86 percent for 2007 compared to 9.18 percent for the same period in 2006.

Unless otherwise noted, all amounts discussed in the earnings release are pre-tax except net income and per-share data which is presented after-tax. Percentage changes are not annualized unless specifically noted.

Summary and Outlook of Key Drivers

Net interest margindecreased to 3.88 percent in the third quarter 2007 from 3.93 percent for the third quarter 2006 and 3.97 percent for the linked-quarter (third quarter 2007 compared to second quarter 2007). The year-to-date net interest margin was 3.99 percent compared to the year-to-date 2006 net interest margin of 4.03 percent. First Financial has a portfolio of public fund deposits that had a seasonal negative impact on net interest margin of 6 basis points for the linked quarter. Management expects fourth quarter 2007 net interest margin to be within a range of 3.70 to 3.75 percent. This revision is primarily driven by the recent action by the Federal Reserve to lower targeted interest rates and the resulting impact from our asset sensitivity. The 2007 full-year margin forecast is within a range of 3.90 to 3.95 percent.

Noninterest incomegrew $0.5 million, or 4.0 percent, on a comparative quarter basis, excluding the gain on sale of investment securities in the third quarter 2007 and the gain on sales of loans and branches in the third quarter 2006. Noninterest income on a linked-quarter basis, excluding the effects of the third quarter 2007 gain on the sale of investment securities, was relatively flat with slight increases in service charges on deposit accounts and trust and wealth management fees. Management expects fourth quarter 2007 noninterest income to be in the range of $19.5 million to $20.5 million, including an approximate $5.5 million gain on the sale of the merchant payment processing portfolio. Full year noninterest income is expected to be in the range of $62.8 million to $63.8 million inclusive of the gain on the sale of the merchant payment processing portfolio.

Noninterest expensehas improved significantly as a direct result of the successful execution of the Strategic Plan, resulting in a reduction in noninterest expense of $8.5 million in the third quarter 2007 from the prior year comparable quarter. Year-to-date noninterest expense was $89.4 million in 2007 compared to $114.7 million in 2006, a $25.3 million or 22.1 percent decrease. First Financial continues to evaluate its staffing levels based on its business needs and requirements; and as a result, associate base salaries excluding severance costs have decreased $1.3 million from the third quarter 2006, or 10.0 percent, and have decreased $3.7 million on a year-to-date basis, or 9.1 percent.

Management expects fourth quarter 2007 noninterest expense to be in the range of $31 million to $32 million, including the approximate $2.3 million to $2.7 million expected pension settlement charge. The pension settlement charge is a result of First Financial’s staff changes in 2006 and 2007, and is an acceleration of costs that were previously deferred under pension accounting rules and recognized over time. Full-year noninterest expense is expected to be in the range of $120 million to $122 million inclusive of the pension settlement charge. Management expects that the 2007 efficiency ratio will be between 65 and 67 percent, but remains committed to the long-term goal of 55 to 60 percent.

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Capitalmanagement efforts through share repurchases resulted in 1,469,700 shares repurchased in the third quarter 2007 at a cost of $19.1 million and a weighted average share repurchase price of $13.00. On a year-to-date basis, First Financial has repurchased 1,965,700 shares at a cost of $26.8 million and a weighted average share repurchase price of $13.65, nearly reaching its maximum authorized repurchase level for 2007 of 2,000,000 shares.

The decline in First Financial’s capital ratios in the third quarter 2007 is attributable to the higher level of stock repurchase activity, the redemption of $10 million of trust preferred securities which qualify as regulatory capital, and the continued shift in earning asset mix. There are no other significant capital events planned for the fourth quarter 2007.

Credit qualityremained stable as net charge-offs for the third quarter were an annualized 23 basis points of average loans. Management is projecting a net charge-off ratio for the fourth quarter 2007 of between 23 and 27 basis points of average loans, resulting in a projected full-year net charge-off ratio of between 23 and 25 basis points of average loans. Nonperforming assets were relatively unchanged from the second quarter 2007 with improvement in the commercial loan category offset by increases in the commercial real estate and retail real estate loan categories. First Financial’s allowance for loan and lease losses to period-end loans ratio was 1.12 percent, an increase of 2 basis points compared to the second quarter 2007. Year-to-date 2007 net charge-offs were an annualized 23 basis points of average loans compared to an annualized 32 basis points of average loans for the comparable period in 2006, excluding the second quarter 2006 impact from the transfer of approximately $38 million of loans to loans held for sale.

Updated Guidance

Given the updated guidance for the fourth quarter 2007 provided above, management expects fourth quarter 2007 earnings per diluted share of 25 cents to 27 cents and full year 2007 earnings per diluted share of 90 cents to 92 cents.

(The preceding overview of First Financial Bancorp’s earnings is supplemented with the following detail.)

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Current Period Operating Results

NET INTEREST INCOME

Third Quarter 2007 vs. Third Quarter 2006

Net interest income for the third quarter 2007 was $29.4 million compared to $30.8 million in the third quarter 2006, a decrease of $1.4 million or 4.6 percent. This decrease is primarily due to a 3.3 percent net decline in the level of average earning assets, resulting primarily from the third quarter 2006 sale of ten branches and their approximate $101 million of loans and $109 million of deposits.

Third Quarter 2007 vs. Second Quarter 2007

Net interest income on a linked-quarter basis remained relatively flat, decreasing from $29.6 million in the second quarter 2007 to $29.4 million in the third quarter 2007, a $0.2 million or 2.5 percent annualized decrease. The slight decline in net interest income is primarily a result of deposit mix shift to higher yielding products.

Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date net interest income was $89.4 million in 2007 compared to $95.0 million in 2006, a $5.6 million or 5.8 percent decrease. This decrease is primarily due to a 5.0 percent net decline in the level of average earning assets, resulting primarily from the balance sheet restructure completed in the first quarter 2006 and the third quarter 2006 sale of ten branches and their associated loans and deposits.

NET INTEREST MARGIN

Third Quarter 2007 vs. Third Quarter 2006

Third quarter 2007 net interest margin of 3.88 percent decreased 5 basis points from 3.93 percent for the third quarter 2006, reflecting the reduction in earning assets and an increase in deposit costs. On a tax equivalent basis, the third quarter 2007 net interest margin of 3.95 percent decreased 6 basis points from 4.01 percent for the third quarter 2006.

Third Quarter 2007 vs. Second Quarter 2007

Linked-quarter net interest margin decreased 9 basis points from 3.97 percent to 3.88 percent. The net interest margin was positively impacted by the continuing shift from lower yielding indirect installment and conforming mortgage loans to higher yielding commercial and commercial real estate loans. These benefits were more than offset by a continued increase in deposit costs and the 6 basis point seasonal negative impact from the previously mentioned public funds deposit portfolio. On a tax-equivalent basis, the third quarter 2007 net interest margin was 3.95 percent as compared to 4.05 percent for the second quarter 2007.

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Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date net interest margin was 3.99 percent in 2007 compared to 4.03 percent in 2006, reflecting the planned reduction in earning assets and an increase in deposit costs. On a tax-equivalent year-to-date basis, net interest margin was an adjusted 4.04 percent in 2007 as compared to 4.11 percent in 2006.

For further details on the quarter-over-quarter and year-to-date changes in the net interest margin, please see the attached Net Interest Margin Rate / Volume Analysis.

BALANCE SHEET TRENDS

Loans

First Financial has continued to expand its commercial lending sales force and market presence over the past year, which is reflected in the planned loan mix shift to higher yielding commercial loans. Period-end commercial, commercial real estate, and construction loans, excluding the effect of the first quarter 2007 loan sale, increased from $1.38 billion in the third quarter 2006 to $1.61 billion in the third quarter 2007, an increase of $236.3 million or 17.1 percent, as summarized below (in thousands):

								Annualized			% Change
								% Change			Comparable
	9/30/07		6/30/07		9/30/06			Linked Qtr.			Qtr.
Period-end balances:
Commercial	$	774,059	$	747,292	$	663,522			14.3	%		16.7	%
Real estate — commercial		684,931		676,679		625,535			4.9	%		9.5	%
Real estate — construction		155,495		125,732		92,434			94.7	%		68.2	%
Strategic loan sale impact		—		—		(3,277	)		—			—
Total	$	1,614,485	$	1,549,703	$	1,378,214			16.7	%		17.1	%

During late 2005 and early 2006, management made a number of decisions to realign its balance sheet and change its lending focus. These decisions included exiting indirect installment lending, no longer holding its retail mortgage loan originations on the balance sheet, and utilizing the sale of loans to strategically manage the company’s asset mix, risk profile, and credit quality. This has resulted in the cumulative reduction in loan balances as follows (in thousands):

Indirect installment loan runoff	$	187,597
Retail mortgage loan runoff		157,381
Strategic loan sales		260,423
Total	$	605,401

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Third Quarter 2007 vs. Third Quarter 2006

Average total loans for the third quarter 2007 decreased $27.3 million or 1.1 percent from the comparable period a year ago. Period-end commercial, commercial real estate, and construction loans, excluding the effect of the first quarter 2007 loan sale, increased $236.3 million or 17.1 percent from the third quarter 2006.

Third Quarter 2007 vs. Second Quarter 2007

Average total loans for the third quarter 2007 increased $43.6 million or 6.9 percent on an annualized basis from the second quarter 2007; and average commercial, commercial real estate, and construction loans increased $76.9 million or 20.4 percent on an annualized basis from the second quarter 2007. Period-end commercial, commercial real estate, and construction loans increased $64.8 million or 16.7 percent on an annualized basis from the second quarter 2007.

Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date 2007 average total loans decreased $56.1 million or 2.2 percent from the comparable period in 2006; however, average commercial, commercial real estate, and construction loans increased $167.9 million or 12.5 percent from the comparable period in 2006.

Investments

Securities available-for-sale were $307.9 million at September 30, 2007, compared to $329.2 million at September 30, 2006, and $313.6 million at June 30, 2007. The combined investment portfolio was 10.4 percent and 11.2 percent of total assets at September 30, 2007, and 2006, respectively, and 10.8 percent of total assets at June 30, 2007. First Financial holds approximately 45 percent of its available-for-sale securities in pass-through residential mortgage instruments. Among other factors, several of the portfolio criteria have been to avoid securities backed by sub-prime assets and also those containing assets that would give rise to material geographic concentrations.

Deposits

Over the past year, total average deposit balances have remained relatively stable, excluding the branch and related deposit sale which occurred in the third quarter 2006. Deposit growth remains difficult as the consumer’s preference for higher-yielding money market accounts and time deposits, rather than more traditional transaction accounts, continues to result in significant shifts in deposit mix. During the third quarter 2007, First Financial formed the Market Services Group which is staffed by associates with experience in increasing sales and growing client relationships, product development, and branch efficiency. To date, First Financial’s growth has occurred in the money market savings, time, and public funds deposit categories. First Financial continues to expand its product offerings and increase its sales efforts, particularly in markets that it believes provide the best growth opportunities.

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Third Quarter 2007 vs. Third Quarter 2006

Average deposits for the third quarter 2007 decreased $58.1 million or 2.0 percent from the comparable period a year ago. The decrease was primarily a result of the previously mentioned sale of branches in the third quarter 2006 which included $61.6 million of average deposit balances.

Third Quarter 2007 vs. Second Quarter 2007

Average deposits for the third quarter 2007 increased $27.4 million or 3.9 percent on an annualized basis from the second quarter 2007. Average total interest-bearing deposits increased $46.9 million or 7.8 percent primarily due to the fluctuation of a large public funds account; and average noninterest-bearing deposits decreased $19.5 million or 19.3 percent, both on an annualized basis from the second quarter 2007.

Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date 2007 average total deposits decreased $81.5 million or 2.8 percent from the comparable period in 2006. Excluding the $97.8 million of average deposit balances sold as a result of the previously mentioned sale of branches in the third quarter 2006, year-to-date 2007 average deposits increased $16.3 million from the comparable period in 2006.

NONINTEREST INCOME

Third Quarter 2007 vs. Third Quarter 2006

Third quarter 2007 noninterest income was $14.5 million, a decrease of $13.8 million or 48.9 percent from the third quarter 2006. Third quarter 2007 noninterest income included $0.4 million from the gain on sale of investment securities, and third quarter 2006 noninterest income included $12.5 million from the gain on the sale of branches and $2.2 million from the gain on sale of problem loans. Excluding these items, third quarter 2007 noninterest income increased $0.5 million or 4.0 percent from the comparable period in 2006. This increase was primarily due to higher trust and wealth management fees and bankcard income offset by lower service charge income on deposit accounts primarily as a result of the third quarter 2006 branch sales.

Third Quarter 2007 vs. Second Quarter 2007

On a linked-quarter basis, total noninterest income increased $0.3 million or 9.0 percent on an annualized basis. Excluding the third quarter 2007 gain on the sale of investment securities, total noninterest income remained relatively flat with the second quarter 2007.

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Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date noninterest income was $43.3 million in 2007 compared to $55.1 million in 2006, an $11.8 million or 21.3 percent decrease. This decrease is primarily due to the gains on the sales of branches and problem loans in the third quarter 2006 and lower service charge income on deposit accounts primarily as a result of the previously mentioned sale of branches. These decreases were partially offset by the gain on the sale of residential mortgage servicing rights in the first quarter 2007 and related lower amortization expense, higher year-to-date 2007 trust and wealth management fees, bankcard income, and earnings from bank-owned life insurance.

NONINTEREST EXPENSE

Third Quarter 2007 vs. Third Quarter 2006

Total noninterest expense decreased $8.5 million or 22.8 percent during the third quarter 2007 as compared to the third quarter 2006 primarily due to the following:

• decreases in salaries and employee benefits of $2.7 million primarily due to the $1.1 million reduction in salaries and other performance and incentive-based compensation, $0.4 million reduction in pension and other retirement-related expenses, $0.3 million reduction in health care costs as a result of lower staffing levels, and $0.2 million reduction in severance costs

• decreases in data processing of $2.0 million primarily due to $0.5 million in early termination fees on technology contracts incurred in the third quarter 2006 and the positive impact of First Financial’s 2006 technology upgrade in which the company moved from an out-sourced to an in-house data processing environment

• decreases in marketing of $0.7 million primarily due to the costs associated with the branding initiative in the prior year

• decreases in professional services of $1.4 million primarily due to 2006 costs associated with the branding initiative, branch staffing, and recruiting fees, combined with an overall reduction in outside consulting usage

• decreases in other noninterest expense of $1.8 million primarily due to the third quarter 2007 net gain on the disposal of former bank properties and other fixed assets, as well as prior year losses on the disposal of fixed assets associated with the branch sale and the technology upgrade

Third Quarter 2007 vs. Second Quarter 2007

On a linked-quarter basis, noninterest expense was $0.7 million or an annualized 9.7 percent less than the second quarter 2007. The decrease in noninterest expense was primarily due to the third quarter 2007 net gain on the disposal of former bank properties and other fixed assets.

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Year-to-Date 2007 vs. Year-to-Date 2006

Year-to-date noninterest expense was $89.4 million in 2007 compared to $114.7 million in 2006, a $25.3 million or 22.1 percent decrease. When the first nine months of 2007 and 2006 are adjusted for the items shown below (in thousands), noninterest expense decreased $16.3 million or 15.6 percent.

	YTD 3Q07			YTD 3Q06			$ Change			% Change
Total noninterest expense	$	89,375		$	114,746		$	(25,371	)		(22.1	)%
Q1 items:
Debt extinguishment prepayment penalty		—			(4,295	)		4,295			—
Losses on properties		—			(354	)		354			—
Severance		(933	)		(155	)		(778	)		—
Q1 items subtotal		(933	)		(4,804	)		3,871			—
Q2 items:
Technology contract early termination costs		—			(1,073	)		1,073			—
Losses on properties		(58	)		(137	)		79			—
Severance		(128	)		(2,601	)		2,473			—
Q2 items subtotal		(186	)		(3,811	)		3,625			—
Q3 items:
Technology contract early termination costs		—			(500	)		500			—
Gain (loss) on properties and fixed assets		406			(511	)		917			—
Severance		(521	)		(696	)		175			—
Q3 items subtotal		(115	)		(1,707	)		1,592			—
Adjusted total noninterest expense	$	88,141		$	104,424		$	(16,283	)		(15.6	)%

The following items contributed to the adjusted $16.3 million decrease in noninterest expense from the first nine months of 2006:

• decreases in salaries and employee benefits of $8.0 million, excluding the year-to-date $1.9 million reduction in severance costs shown above, primarily due to the $4.9 million reduction in salaries and other performance and incentive-based compensation as a result of an overall reduction in staffing levels, $2.3 million reduction in pension and other retirement-related expenses, and $1.2 million reduction in health care costs

• decreases in data processing of $4.1 million, excluding the $1.6 million reduction in technology contract early termination fees shown above, primarily due to the impact of First Financial’s 2006 technology upgrade in which the company moved from an out-sourced to an in-house data processing environment

• decreases in professional services of $2.7 million primarily due to 2006 costs associated with the corporate reorganization, branding initiative, branch staffing, and recruiting fees, combined with an overall reduction in outside consulting usage

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INCOME TAXES

Income tax expense was $4.2 million and $6.9 million for the three months ended September 30, 2007, and 2006, respectively. The higher level of income tax expense in the third quarter 2006 was primarily a result of the third quarter 2006 gain on the sale of branches and loans, combined with the third quarter 2006 recognition of a $1.0 million expense as a result of an Internal Revenue Service audit of two prior year tax returns. The effective tax rates for the third quarter 2007, and 2006, were 33.5 percent and 36.3 percent, respectively. Income tax expense was $12.4 million and $10.9 million for the nine months ended September 30, 2007, and 2006, respectively. The effective tax rates for the nine months ended September 30, 2007, and 2006, were 33.1 percent and 34.7 percent, respectively.

CREDIT QUALITY

First Financial’s third quarter 2007 allowance for loan and lease losses to period-end loans ratio was 1.12 percent, 2 basis points higher when compared to the second quarter 2007. While First Financial’s full-year net charge-offs are at the lower end of its forecast and other credit metrics remain strong at this time, management’s methodology considers the combination of the general economic conditions and the recent turmoil in the credit markets, including a deterioration in asset values and tightened liquidity in the secondary market. A large percentage of underperforming assets is secured by real estate, and this collateral has been appropriately considered in establishing the allowance for loan and lease losses at September 30, 2007.

In the second quarter 2005, First Financial made the strategic decision to discontinue the origination of residential mortgage loans for retention on its balance sheet. As a result, the residential mortgage portfolio has declined $157.4 million, excluding the impact of the loan sales, since that time. Earlier in 2007, First Financial sold the servicing of its remaining residential mortgage portfolio and established an agreement to sell future originations to a strategic partner. Prior to this decision, First Financial was not a sub-prime lender, and the company does not originate sub-prime residential mortgage loans in the current originate-and-sell model.

At September 30, 2007, the commercial real estate and real estate construction loan portfolio totalled $840.4 million, or 32.4 percent of total loans, including $94.0 million, or 3.6 percent of total loans, for commercial real estate construction and $51.6 million, or 2.0 percent of total loans, for residential construction and land acquisition and development. First Financial’s internal lending policies are key to limiting credit exposure from both the residential construction and land acquisition and development segments in any particular project. Most of the residential construction and land acquisition and development loans are in areas of strong housing demand or with borrowers who have undergone an extensive underwriting process with multiple sources of repayment.

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First Financial continuously evaluates the commercial real estate and real estate construction portfolio for geographic and borrower concentrations, as well as loan-to-value coverage, and believes its credit underwriting processes are producing a prudent and acceptable level of credit exposure.

It is management’s belief that allowance for loan and lease losses of $29.1 million is adequate to absorb probable credit losses inherent in the portfolio.

Third Quarter 2007 vs. Third Quarter 2006

Third quarter 2007 net charge-offs were $1.5 million, an annualized 23 basis points of average loans, compared to third quarter 2006 net charge-offs of $1.1 million, an annualized 17 basis points of average loans. The lower level of net charge-offs in the third quarter 2006 was primarily due to higher commercial and installment loan recoveries of previously charged-off loans.

Total underperforming assets at the end of the third quarter 2007 of $17.1 million were significantly lower than the $22.9 million at the end of the third quarter 2006 primarily due to lower level of commercial, retail real estate, and installment loans on nonaccrual status. As a result, the ratio of nonperforming assets to ending loans decreased from 88 basis points at the end of the third quarter 2006 to 65 basis points at the end of the third quarter 2007.

Third Quarter 2007 vs. Second Quarter 2007

Third quarter 2007 net charge-offs were $1.5 million, an annualized 23 basis points of average loans, compared to second quarter 2007 net charge-offs of $1.4 million, also an annualized 23 basis points of average loans.

Total underperforming assets remained relatively flat at $17.1 million at the end of the third quarter 2007 compared to $17.2 million at the end of the second quarter 2007. The ratio of nonperforming assets to ending loans decreased from 67 basis points at the end of the second quarter 2007 to 65 basis points at the end of the third quarter 2007.

For further details on the quarter-over-quarter changes in credit quality, please see the attached Credit Quality schedule.

Earnings Conference Call and Webcast

On October 24, 2007, First Financial will host an earnings conference call that will be webcast live at 11:00 a.m. EDT. The presenters will be Claude E. Davis, president and chief executive officer, and J. Franklin Hall, executive vice president and chief financial officer. Anyone may participate in the conference call by calling 1-877-407-8031 (no passcode needed) or by logging on to the company’s website (www.bankatfirst.com) for a live audio webcast of

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the call. Click on the Investor Relations link and then on Webcast. Listeners should allow an extra five minutes to be connected to the call or webcast. The event will be archived on the company’s website for one year. Questions regarding this information should be directed to the Media Contact, Cheryl Lipp, or the Analyst Contact, J. Franklin Hall.

This release should be read in conjunction with the consolidated financial statements, notes, and tables attached and in the First Financial Bancorp Annual Report on Form 10-K for the year ended December 31, 2006. Management’s analysis contains forward-looking statements that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risk and uncertainties that may cause actual results to differ materially. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to, the ability of the company to implement its Strategic Plan, the strength of the local economies in which operations are conducted, the effects of and changes in policies and laws of regulatory agencies, inflation, and interest rates. For further discussion of certain factors that may cause such forward-looking statements to differ materially from actual results, refer to the 2006 Form 10-K and other public documents filed with the SEC. These documents are available on First Financial’s investor relations website at www.bankatfirst.com and on the SEC’s website at www.sec.gov.

Reconciliation of Earnings per Share for Third Quarter and Year-to-Date 2006

The adjusted third quarter and year-to-date 2006 earnings per diluted share amounts illustrated below should not be considered as a GAAP measure of performance. It is included for purposes of calculating comparable earnings per diluted share with 2007.

Other Information
Non-GAAP Financial Measure

	3Q06						YTD 3Q06
	$ Amount			Diluted EPS Impact			$ Amount			Diluted EPS Impact
Net income (GAAP)	$	12,119		$	0.31		$	20,444		$	0.52
Gain on sales of branches		(7,954	)		(0.20	)		(7,954	)		(0.20	)
Gain on sales of loans		(1,395	)		(0.04	)		(1,395	)		(0.04	)
Provision expense		1,355			0.03			1,355			0.03
Noninterest expense items		1,082			0.03			1,082			0.03
Income tax expense charge		1,032			0.03			1,032			0.03
Net income (Non-GAAP)	$	6,239		$	0.16		$	14,564		$	0.37

Amounts shown net of tax, as applicable.

This press release contains some financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Management uses these “non-GAAP” measures in their analysis of the company’s performance. Non-GAAP measures typically adjust GAAP performance measures to exclude the effects of significant gains, losses, or expenses that are unusual in nature and not expected to recur. Since these items and their impact on First Financial’s performance are difficult to predict, management believes presentations of financial measures excluding the impact of these items provide useful supplemental information that is important for a proper understanding of the operating results of First Financial’s core businesses. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.

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FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS

(Dollars in thousand, except per share)
(Unaudited)

							Three months ended,									Nine months ended
	Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Sep. 30,
	2007			2007			2007			2006			2006			2007			2006
RESULTS OF OPERATIONS
Net interest income	$	29,417		$	29,601		$	30,403		$	30,104		$	30,823		$	89,421		$	94,969
Net income	$	8,373		$	8,172		$	8,435		$	827		$	12,119		$	24,980		$	20,444
Net earnings per common share — basic	$	0.22		$	0.21		$	0.22		$	0.02		$	0.31		$	0.64		$	0.52
Net earnings per common share — diluted	$	0.22		$	0.21		$	0.22		$	0.02		$	0.31		$	0.64		$	0.52
Dividends declared per common share	$	0.16		$	0.16		$	0.16		$	0.16		$	0.16		$	0.48		$	0.48
KEY FINANCIAL RATIOS
Return on average assets		1.00	%		1.00	%		1.04	%		0.10	%		1.40	%		1.01	%		0.79	%
Return on average shareholders’ equity		12.03	%		11.61	%		11.94	%		1.10	%		16.09	%		11.86	%		9.18	%
Return on average tangible shareholders’ equity		13.44	%		12.95	%		13.31	%		1.24	%		18.20	%		13.23	%		10.39	%
Net interest margin		3.88	%		3.97	%		4.12	%		3.95	%		3.93	%		3.99	%		4.03	%
Net interest margin (fully tax equivalent)(1)		3.95	%		4.05	%		4.20	%		4.05	%		4.01	%		4.07	%		4.11	%
Average shareholders’ equity to average assets		8.34	%		8.58	%		8.68	%		8.98	%		8.72	%		8.53	%		8.59	%
Tier 1 Ratio (2)		10.18	%		11.13	%		11.57	%		11.73	%		11.89	%		10.18	%		11.89	%
Total Capital Ratio (2)		11.27	%		12.18	%		12.64	%		12.81	%		13.14	%		11.27	%		13.14	%
Leverage Ratio (2)		8.21	%		9.04	%		9.08	%		9.02	%		8.85	%		8.21	%		8.85	%
AVERAGE BALANCE SHEET ITEMS
Loans(3)	$	2,576,308		$	2,530,638		$	2,490,252		$	2,497,389		$	2,580,005		$	2,532,715		$	2,597,057
Investment securities		349,686			364,050			367,407			381,985			370,095			360,316			415,585
Other earning assets		81,669			93,986			134,635			142,320			158,940			103,236			141,019
Total earning assets	$	3,007,663		$	2,988,674		$	2,992,294		$	3,021,694		$	3,109,040		$	2,996,267		$	3,153,661
Total assets	$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,426,417		$	3,300,339		$	3,466,453
Noninterest-bearing deposits	$	385,653		$	405,179		$	401,698		$	418,009		$	401,685		$	397,451		$	414,268
Interest-bearing deposits		2,450,830			2,403,919			2,406,913			2,392,092			2,492,898			2,420,715			2,485,444
Total deposits	$	2,836,483		$	2,809,098		$	2,808,611		$	2,810,101		$	2,894,583		$	2,818,166		$	2,899,712
Borrowings	$	176,528		$	177,472		$	181,613		$	192,811		$	200,856		$	178,519		$	238,717
Shareholders’ equity	$	276,183		$	282,354		$	286,453		$	299,320		$	298,909		$	281,625		$	297,859
CREDIT QUALITY RATIOS
Allowance to ending loans		1.12	%		1.10	%		1.10	%		1.10	%		1.27	%		1.12	%		1.27	%
Allowance to nonaccrual loans		221.70	%		194.92	%		254.59	%		267.55	%		170.60	%		221.70	%		170.60	%
Allowance to nonperforming loans		212.42	%		187.35	%		241.41	%		252.82	%		165.27	%		212.42	%		165.27	%
Nonperforming loans to total loans		0.53	%		0.59	%		0.45	%		0.44	%		0.77	%		0.53	%		0.77	%
Nonperforming assets to ending loans, plus OREO		0.65	%		0.67	%		0.56	%		0.53	%		0.88	%		0.65	%		0.88	%
Nonperforming assets to total assets		0.51	%		0.52	%		0.42	%		0.40	%		0.67	%		0.51	%		0.67	%
Net charge-offs to average loans (annualized) (4)		0.23	%		0.23	%		0.22	%		1.64	%		0.17	%		0.23	%		0.75	%

(1)	The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.
(2)	September 30, 2007 regulatory capital ratios are preliminary.
(3)	Includes loans held for sale.
(4)	December 31, 2006 and June 30, 2006 charge-offs include $4,375 and $8,356, respectively, in loans held for sale write-downs to the lower of cost or estimated fair value.

FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF INCOME

(Dollars in thousand)
(Unaudited)

	Three months ended,									Nine months ended,
	Sep. 30,									Sep. 30,
	2007			2006			% Change			2007			2006			% Change
Interest income
Loans, including fees	$	46,606		$	45,484			2.5	%	$	136,961		$	132,727			3.2	%
Investment securities
Taxable		3,667			3,728			(1.6	%)		11,320			12,667			(10.6	%)
Tax-exempt		863			996			(13.4	%)		2,683			3,157			(15.0	%)
Total investment securities interest		4,530			4,724			(4.1	%)		14,003			15,824			(11.5	%)
Federal funds sold		1,048			2,116			(50.5	%)		4,045			5,198			(22.2	%)
Total interest income		52,184			52,324			(0.3	%)		155,009			153,749			0.8	%
Interest expense
Deposits		20,528			19,176			7.1	%		58,946			50,663			16.3	%
Short-term borrowings		1,041			953			9.2	%		3,021			2,741			10.2	%
Long-term borrowings		532			686			(22.4	%)		1,633			3,453			(52.7	%)
Subordinated debentures and capital securities		666			686			(2.9	%)		1,988			1,923			3.4	%
Total interest expense		22,767			21,501			5.9	%		65,588			58,780			11.6	%
Net interest income		29,417			30,823			(4.6	%)		89,421			94,969			(5.8	%)
Provision for loan and lease losses		2,558			2,888			(11.4	%)		6,012			4,000			50.3	%
Net interest income after provision for loan and lease losses		26,859			27,935			(3.9	%)		83,409			90,969			(8.3	%)
Noninterest income
Service charges on deposit accounts		5,396			5,672			(4.9	%)		15,436			16,192			(4.7	%)
Trust and wealth management fees		4,721			3,949			19.5	%		13,407			12,277			9.2	%
Bankcard income		1,422			1,023			39.0	%		4,086			3,311			23.4	%
Net gains from sales of loans		203			2,468			(91.8	%)		549			2,972			(81.5	%)
Gain on sale of mortgage servicing rights		0			0			N/M			1,061			0			N/M
Gains on sales of branches		0			12,545			N/M			0			12,545			N/M
Gains (losses) on sales of investment securities		367			0			N/M			367			(476	)		(177.1	%)
Other		2,341			2,623			(10.8	%)		8,420			8,259			1.9	%
Total noninterest income		14,450			28,280			(48.9	%)		43,326			55,080			(21.3	%)
Noninterest expenses
Salaries and employee benefits		17,288			19,968			(13.4	%)		53,383			63,295			(15.7	%)
Net occupancy		2,728			2,802			(2.6	%)		8,019			8,339			(3.8	%)
Furniture and equipment		1,684			1,297			29.8	%		5,019			4,111			22.1	%
Data processing		1,010			3,058			(67.0	%)		2,673			8,395			(68.2	%)
Marketing		407			1,138			(64.2	%)		1,918			2,468			(22.3	%)
Communication		664			821			(19.1	%)		2,327			2,130			9.2	%
Professional services		964			2,342			(58.8	%)		3,033			5,761			(47.4	%)
Debt extinguishment		0			0			N/M			0			4,295			N/M
Other		3,980			5,759			(30.9	%)		13,003			15,952			(18.5	%)
Total noninterest expenses		28,725			37,185			(22.8	%)		89,375			114,746			(22.1	%)
Income before income taxes		12,584			19,030			(33.9	%)		37,360			31,303			19.3	%
Income tax expense		4,211			6,911			(39.1	%)		12,380			10,859			14.0	%
Net income	$	8,373		$	12,119			(30.9	%)	$	24,980		$	20,444			22.2	%
ADDITIONAL DATA
Net earnings per common share — basic	$	0.22		$	0.31					$	0.64		$	0.52
Net earnings per common share — diluted	$	0.22		$	0.31					$	0.64		$	0.52
Dividends declared per common share	$	0.16		$	0.16					$	0.48		$	0.48
Book value per common share	$	7.26		$	7.58					$	7.26		$	7.58
Return on average assets		1.00	%		1.40	%					1.01	%		0.79	%
Return on average shareholders’ equity		12.03	%		16.09	%					11.86	%		9.18	%
Interest income	$	52,184		$	52,324			(0.3	%)	$	155,009		$	153,749			0.8	%
Tax equivalent adjustment		564			586			(3.8	%)		1,720			1,943			(11.5	%)
Interest income — tax equivalent		52,748			52,910			(0.3	%)		156,729			155,692			0.7	%
Interest expense		22,767			21,501			5.9	%		65,588			58,780			11.6	%
Net interest income — tax equivalent	$	29,981		$	31,409			(4.5	%)	$	91,141		$	96,912			(6.0	%)
Net interest margin		3.88	%		3.93	%					3.99	%		4.03	%
Net interest margin (fully tax equivalent)(1)		3.95	%		4.01	%					4.07	%		4.11	%
Full-time equivalent employees		1,078			1,226						1,078			1,226

⁽¹⁾ The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

N/M     = Not meaningful.

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME

(Dollars in thousand)
(Unaudited)

	2007
	Third			Second			First						% Change
	Quarter			Quarter			Quarter			Year-to-Date			Linked Qtr.
Interest income
Loans, including fees	$	46,606		$	45,291		$	45,064		$	136,961			2.9	%
Investment securities
Taxable		3,667			3,762			3,891			11,320			(2.5	%)
Tax-exempt		863			911			909			2,683			(5.3	%)
Total investment securities interest		4,530			4,673			4,800			14,003			(3.1	%)
Federal funds sold		1,048			1,241			1,756			4,045			(15.6	%)
Total interest income		52,184			51,205			51,620			155,009			1.9	%
Interest expense
Deposits		20,528			19,409			19,009			58,946			5.8	%
Short-term borrowings		1,041			984			996			3,021			5.8	%
Long-term borrowings		532			542			559			1,633			(1.8	%)
Subordinated debentures and capital securities		666			669			653			1,988			(0.4	%)
Total interest expense		22,767			21,604			21,217			65,588			5.4	%
Net interest income		29,417			29,601			30,403			89,421			(0.6	%)
Provision for loan and lease losses		2,558			2,098			1,356			6,012			21.9	%
Net interest income after provision for loan and lease losses		26,859			27,503			29,047			83,409			(2.3	%)
Noninterest income
Service charges on deposit accounts		5,396			5,296			4,744			15,436			1.9	%
Trust and wealth management fees		4,721			4,526			4,160			13,407			4.3	%
Bankcard income		1,422			1,424			1,240			4,086			(0.1	%)
Net gains from sales of loans		203			184			162			549			10.3	%
Gain on sale of mortgage servicing rights		0			0			1,061			1,061			N/M
Gains on sales of investment securities		367			0			0			367			N/M
Other		2,341			2,702			3,377			8,420			(13.4	%)
Total noninterest income		14,450			14,132			14,744			43,326			2.3	%
Noninterest expenses
Salaries and employee benefits		17,288			17,134			18,961			53,383			0.9	%
Net occupancy		2,728			2,484			2,807			8,019			9.8	%
Furniture and equipment		1,684			1,708			1,627			5,019			(1.4	%)
Data processing		1,010			818			845			2,673			23.5	%
Marketing		407			642			869			1,918			(36.6	%)
Communication		664			798			865			2,327			(16.8	%)
Professional services		964			1,063			1,006			3,033			(9.3	%)
Other		3,980			4,793			4,230			13,003			(17.0	%)
Total noninterest expenses		28,725			29,440			31,210			89,375			(2.4	%)
Income before income taxes		12,584			12,195			12,581			37,360			3.2	%
Income tax expense		4,211			4,023			4,146			12,380			4.7	%
Net income	$	8,373		$	8,172		$	8,435		$	24,980			2.5	%
ADDITIONAL DATA
Net earnings per common share — basic	$	0.22		$	0.21		$	0.22		$	0.64
Net earnings per common share — diluted	$	0.22		$	0.21		$	0.22		$	0.64
Dividends declared per common share	$	0.16		$	0.16		$	0.16		$	0.48
Book value per common share	$	7.26		$	7.18		$	7.29		$	7.26
Return on average assets		1.00	%		1.00	%		1.04	%		1.01	%
Return on average shareholders’ equity		12.03	%		11.61	%		11.94	%		11.86	%
Interest income	$	52,184		$	51,205		$	51,620		$	155,009			1.9	%
Tax equivalent adjustment		564			580			576			1,720			(2.8	%)
Interest income — tax equivalent		52,748			51,785			52,196			156,729			1.9	%
Interest expense		22,767			21,604			21,217			65,588			5.4	%
Net interest income — tax equivalent	$	29,981		$	30,181		$	30,979		$	91,141			(0.7	%)
Net interest margin		3.88	%		3.97	%		4.12	%		3.99	%
Net interest margin (fully tax equivalent)(1)		3.95	%		4.05	%		4.20	%		4.07	%
Full-time equivalent employees		1,078			1,158			1,166			1,078

⁽¹⁾ The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

N/M     = Not meaningful.

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME

(Dollars in thousands)
(Unaudited)

	2006
	Fourth			Third			Second			First			Full
	Quarter			Quarter			Quarter			Quarter			Year
Interest income
Loans, including fees	$	44,972		$	45,484		$	44,386		$	42,857		$	177,699
Investment securities
Taxable		3,925			3,728			3,798			5,141			16,592
Tax-exempt		985			996			1,057			1,104			4,142
Total investment securities interest		4,910			4,724			4,855			6,245			20,734
Federal funds sold		1,894			2,116			1,500			1,582			7,092
Total interest income		51,776			52,324			50,741			50,684			205,525
Interest expense
Deposits		19,349			19,176			16,554			14,933			70,012
Short-term borrowings		1,027			953			892			896			3,768
Long-term borrowings		609			686			709			2,058			4,062
Subordinated debentures and capital securities		687			686			639			598			2,610
Total interest expense		21,672			21,501			18,794			18,485			80,452
Net interest income		30,104			30,823			31,947			32,199			125,073
Provision for loan and lease losses		5,822			2,888			360			752			9,822
Net interest income after provision for loan and lease losses		24,282			27,935			31,587			31,447			115,251
Noninterest income
Service charges on deposit accounts		5,766			5,672			5,431			5,089			21,958
Trust and wealth management fees		3,987			3,949			4,139			4,189			16,264
Bankcard income		1,126			1,023			1,165			1,123			4,437
Net gains from sales of loans		234			2,468			259			245			3,206
Gains on sales of branches		0			12,545			0			0			12,545
Losses on sales of investment securities		0			0			0			(476	)		(476	)
Other		1,791			2,623			2,835			2,801			10,050
Total noninterest income		12,904			28,280			13,829			12,971			67,984
Noninterest expenses
Salaries and employee benefits		21,234			19,968			23,110			20,217			84,529
Net occupancy		2,699			2,802			2,698			2,839			11,038
Furniture and equipment		1,496			1,297			1,334			1,480			5,607
Data processing		1,574			3,058			3,393			1,944			9,969
Marketing		1,022			1,138			647			683			3,490
Communication		1,204			821			642			667			3,334
Professional services		2,074			2,342			1,829			1,590			7,835
Debt extinguishment		0			0			0			4,295			4,295
Other		6,466			5,759			5,031			5,162			22,418
Total noninterest expenses		37,769			37,185			38,684			38,877			152,515
Income before income taxes		(583	)		19,030			6,732			5,541			30,720
Income tax expense (benefit)		(1,410	)		6,911			2,374			1,574			9,449
Net income	$	827		$	12,119		$	4,358		$	3,967		$	21,271
ADDITIONAL DATA
Net earnings per common share — basic	$	0.02		$	0.31		$	0.11		$	0.10		$	0.54
Net earnings per common share — diluted	$	0.02		$	0.31		$	0.11		$	0.10		$	0.54
Dividends declared per common share	$	0.16		$	0.16		$	0.16		$	0.16		$	0.64
Book value per common share	$	7.27		$	7.58		$	7.37		$	7.50		$	7.27
Return on average assets		0.10	%		1.40	%		0.51	%		0.45	%		0.62	%
Return on average shareholders’ equity		1.10	%		16.09	%		5.90	%		5.39	%		7.13	%
Interest income	$	51,776		$	52,324		$	50,741		$	50,684		$	205,525
Tax equivalent adjustment		712			586			696			661			2,655
Interest income — tax equivalent		52,488			52,910			51,437			51,345			208,180
Interest expense		21,672			21,501			18,794			18,485			80,452
Net interest income — tax equivalent	$	30,816		$	31,409		$	32,643		$	32,860		$	127,728
Net interest margin		3.95	%		3.93	%		4.11	%		4.04	%		4.01	%
Net interest margin (fully tax equivalent)(1)		4.05	%		4.01	%		4.20	%		4.12	%		4.09	%
Full-time equivalent employees		1,214			1,226			1,365			1,467			1,214

(1)

The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

N/M

= Not meaningful.

FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF CONDITION

(Dollars in thousands)
(Unaudited)

	Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			% Change			% Change
	2007			2007			2007			2006			2006			Linked Qtr.			Comparable Qtr.
ASSETS
Cash and due from banks	$	92,414		$	87,808		$	87,969		$	119,407		$	117,067			5.2	%		(21.1	%)
Federal funds sold		71,700			55,000			159,200			102,000			101,000			30.4	%		(29.0	%)
Investment securities held-to-maturity		5,467			5,711			7,769			7,995			8,059			(4.3	%)		(32.2	%)
Investment securities available-for-sale		307,908			313,575			325,755			324,259			329,225			(1.8	%)		(6.5	%)
Other investments		33,969			33,969			33,969			33,969			34,137			0.0	%		(0.5	%)
Loans
Commercial		774,059			747,292			709,341			673,445			663,522			3.6	%		16.7	%
Real estate — construction		155,495			125,732			107,867			101,688			92,434			23.7	%		68.2	%
Real estate — commercial		684,931			676,679			647,126			623,603			625,535			1.2	%		9.5	%
Real estate — retail		556,255			580,005			604,213			628,579			653,652			(4.1	%)		(14.9	%)
Installment		149,881			162,506			180,116			198,881			219,677			(7.8	%)		(31.8	%)
Home equity		245,853			235,734			228,660			228,128			231,741			4.3	%		6.1	%
Credit card		24,904			24,488			23,678			24,587			23,083			1.7	%		7.9	%
Lease financing		500			608			732			923			1,202			(17.8	%)		(58.4	%)
Total loans		2,591,878			2,553,044			2,501,733			2,479,834			2,510,846			1.5	%		3.2	%
Less
Allowance for loan and lease losses		29,136			28,060			27,407			27,386			31,888			3.8	%		(8.6	%)
Net loans		2,562,742			2,524,984			2,474,326			2,452,448			2,478,958			1.5	%		3.4	%
Loans held for sale		5,763			0			0			8,824			0			N/M			N/M
Premises and equipment		78,214			79,079			79,553			79,609			78,820			(1.1	%)		(0.8	%)
Goodwill		28,261			28,261			28,261			28,261			28,261			0.0	%		0.0	%
Other intangibles		828			1,003			1,195			5,842			6,471			(17.4	%)		(87.2	%)
Accrued interest and other assets		141,890			143,277			129,991			138,985			125,084			(1.0	%)		13.4	%
Total Assets	$	3,329,156		$	3,272,667		$	3,327,988		$	3,301,599		$	3,307,082			1.7	%		0.7	%
LIABILITIES
Deposits
Interest-bearing	$	611,764		$	594,788		$	627,996		$	667,305		$	672,841			2.9	%		(9.1	%)
Savings		595,664			588,229			564,340			526,663			523,884			1.3	%		13.7	%
Time		1,253,383			1,211,182			1,218,823			1,179,852			1,198,059			3.5	%		4.6	%
Total interest-bearing deposits		2,460,811			2,394,199			2,411,159			2,373,820			2,394,784			2.8	%		2.8	%
Noninterest-bearing		389,070			399,260			420,521			424,138			381,937			(2.6	%)		1.9	%
Total deposits		2,849,881			2,793,459			2,831,680			2,797,958			2,776,721			2.0	%		2.6	%
Short-term borrowings
Federal funds purchased and securities sold under agreements to repurchase		26,749			31,700			39,998			57,201			54,129			(15.6	%)		(50.6	%)
Other		74,500			52,500			52,246			39,500			39,000			41.9	%		91.0	%
Total short-term borrowings		101,249			84,200			92,244			96,701			93,129			20.2	%		8.7	%
Federal Home Loan Bank long-term debt		55,317			59,021			60,298			63,762			68,197			(6.3	%)		(18.9	%)
Other long-term debt		20,620			30,930			30,930			30,930			30,930			(33.3	%)		(33.3	%)
Accrued interest and other liabilities		30,386			25,831			28,481			26,769			38,580			17.6	%		(21.2	%)
Total Liabilities		3,057,453			2,993,441			3,043,633			3,016,120			3,007,557			2.1	%		1.7	%
SHAREHOLDERS’ EQUITY
Common stock		391,355			390,545			393,091			392,736			392,156			0.2	%		(0.2	%)
Retained earnings		77,745			75,444			73,505			71,320			76,783			3.0	%		1.3	%
Accumulated comprehensive income		(7,569	)		(16,168	)		(13,121	)		(13,375	)		(8,581	)		(53.2	%)		(11.8	%)
Treasury stock, at cost		(189,828	)		(170,595	)		(169,120	)		(165,202	)		(160,833	)		11.3	%		18.0	%
Total Shareholders’ Equity		271,703			279,226			284,355			285,479			299,525			(2.7	%)		(9.3	%)
Total Liabilities and Shareholders’ Equity	$	3,329,156		$	3,272,667		$	3,327,988		$	3,301,599		$	3,307,082			1.7	%		0.7	%

N/M = Not meaningful.

FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED QUARTERLY STATEMENTS OF CONDITION

(Dollars in thousands)
(Unaudited)

	Quarterly Averages															Year-to-Date Averages
	Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Sep. 30,
	2007			2007			2007			2006			2006			2007			2006
ASSETS
Cash and due from banks	$	85,576		$	94,541		$	94,384		$	106,010		$	109,896		$	91,468		$	116,095
Federal funds sold		81,669			93,986			134,635			142,320			158,940			103,236			141,019
Investment securities		349,686			364,050			367,407			381,985			370,095			360,316			415,585
Loans
Commercial		766,028			733,936			685,585			664,476			642,378			726,753			616,883
Real estate — construction		139,291			118,425			100,192			96,280			94,135			119,446			87,873
Real estate — commercial		681,920			657,959			637,642			623,632			611,602			661,394			634,935
Real estate — retail		566,618			592,811			616,892			649,638			709,539			591,923			738,420
Installment		155,478			170,748			189,397			209,053			235,492			171,750			261,375
Home equity		239,585			231,982			229,112			229,900			229,583			233,598			222,433
Credit card		24,586			23,944			23,809			23,247			22,741			24,116			22,172
Lease financing		557			671			830			1,067			1,290			685			1,646
Total loans		2,574,063			2,530,476			2,483,459			2,497,293			2,546,760			2,529,665			2,585,737
Less
Allowance for loan and lease losses		28,278			27,482			27,770			30,894			30,284			27,845			37,666
Net loans		2,545,785			2,502,994			2,455,689			2,466,399			2,516,476			2,501,820			2,548,071
Loans held for sale		2,245			162			6,793			96			33,245			3,050			11,320
Premises and equipment		79,102			79,491			79,819			79,123			78,798			79,468			76,187
Goodwill		28,261			28,261			28,261			28,263			28,260			28,261			28,219
Other intangibles		915			1,096			5,464			6,261			6,721			2,475			7,209
Accrued interest and other assets		136,561			127,175			126,894			121,931			123,986			130,245			122,748
Total Assets	$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,426,417		$	3,300,339		$	3,466,453
LIABILITIES
Deposits
Interest-bearing	$	632,890		$	606,320		$	646,548		$	669,076		$	724,253		$	628,536		$	717,688
Savings		586,065			578,357			545,101			526,550			536,534			569,991			531,529
Time		1,231,875			1,219,242			1,215,264			1,196,466			1,232,111			1,222,188			1,236,227
Total interest-bearing deposits		2,450,830			2,403,919			2,406,913			2,392,092			2,492,898			2,420,715			2,485,444
Noninterest-bearing		385,653			405,179			401,698			418,009			401,685			397,451			414,268
Total deposits		2,836,483			2,809,098			2,808,611			2,810,101			2,894,583			2,818,166			2,899,712
Short-term borrowings
Federal funds purchased and securities sold under agreements to repurchase		29,385			34,280			46,397			59,196			53,958			36,625			51,713
Other		58,914			52,849			42,136			35,648			37,673			51,361			41,075
Total short-term borrowings		88,299			87,129			88,533			94,844			91,631			87,986			92,788
Federal Home Loan Bank long-term debt		57,860			59,413			62,150			67,037			78,295			59,792			114,999
Other long-term debt		30,369			30,930			30,930			30,930			30,930			30,741			30,930
Total borrowed funds		176,528			177,472			181,613			192,811			200,856			178,519			238,717
Accrued interest and other liabilities		20,606			22,832			22,669			30,156			32,069			22,029			30,165
Total Liabilities		3,033,617			3,009,402			3,012,893			3,033,068			3,127,508			3,018,714			3,168,594
SHAREHOLDERS’ EQUITY
Common stock		390,898			391,536			392,908			392,931			391,325			391,773			392,110
Retained earnings		77,428			74,049			74,497			78,162			77,487			75,335			74,825
Accumulated comprehensive income		(15,097	)		(13,739	)		(13,725	)		(8,768	)		(10,708	)		(14,192	)		(9,427	)
Treasury stock, at cost		(177,046	)		(169,492	)		(167,227	)		(163,005	)		(159,195	)		(171,291	)		(159,649	)
Total Shareholders’ Equity		276,183			282,354			286,453			299,320			298,909			281,625			297,859
Total Liabilities and Shareholders’ Equity	$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,426,417		$	3,300,339		$	3,466,453

FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE / VOLUME ANALYSIS⁽¹⁾

(Dollars in thousands)
(Unaudited)

	Quarterly Averages																			Year-to-Date Averages
	Sep. 30, 2007						Jun. 30, 2007							Sep. 30, 2006						Sep. 30, 2007						Sep. 30, 2006
	Balance			Yield			Balance				Yield			Balance			Yield			Balance			Yield			Balance			Yield
Earning assets
Investment securities	$	349,686			5.14	%	$	364,050				5.15	%	$	370,095			5.06	%	$	360,316			5.20	%	$	415,585			5.09	%
Federal funds sold		81,669			5.09	%		93,986				5.30	%		158,940			5.28	%		103,236			5.24	%		141,019			4.93	%
Gross loans(2)		2,576,308			7.18	%		2,530,638				7.18	%		2,580,005			6.99	%		2,532,715			7.23	%		2,597,057			6.83	%
Total earning assets		3,007,663			6.88	%		2,988,674				6.87	%		3,109,040			6.68	%		2,996,267			6.92	%		3,153,661			6.52	%
Nonearning assets
Allowance for loan and lease losses		(28,278	)					(27,482	)						(30,284	)					(27,845	)					(37,666	)
Cash and due from banks		85,576						94,541							109,896						91,468						116,095
Accrued interest and other assets		244,839						236,023							237,765						240,449						234,363
Total assets	$	3,309,800					$	3,291,756						$	3,426,417					$	3,300,339					$	3,466,453
Interest-bearing liabilities
Total interest-bearing deposits	$	2,450,830			3.32	%	$	2,403,919				3.24	%	$	2,492,898			3.05	%	$	2,420,715			3.26	%	$	2,485,444			2.73	%
Borrowed funds
Short-term borrowings		88,299			4.68	%		87,129				4.53	%		91,631			4.13	%		87,986			4.59	%		92,788			3.95	%
Federal Home Loan Bank long-term debt		57,860			3.65	%		59,413				3.66	%		78,295			3.48	%		59,792			3.65	%		114,999			4.01	%
Other long-term debt		30,369			8.70	%		30,930				8.68	%		30,930			8.80	%		30,741			8.65	%		30,930			8.31	%
Total borrowed funds		176,528			5.03	%		177,472				4.96	%		200,856			4.59	%		178,519			4.97	%		238,717			4.55	%
Total interest-bearing liabilities		2,627,358			3.44	%		2,581,391				3.36	%		2,693,754			3.17	%		2,599,234			3.37	%		2,724,161			2.88	%
Noninterest-bearing liabilities
Noninterest bearing demand deposits		385,653						405,179							401,685						397,451						414,268
Other liabilities		20,606						22,832							32,069						22,029						30,165
Shareholders’ equity		276,183						282,354							298,909						281,625						297,859
Total liabilities & shareholders’ equity	$	3,309,800					$	3,291,756						$	3,426,417					$	3,300,339					$	3,466,453
Net interest income(1)	$	29,417					$	29,601						$	30,823					$	89,421					$	94,969
										��
Net interest spread(1)					3.44	%						3.51	%					3.51	%					3.55	%					3.64	%
Net interest margin(1)					3.88	%						3.97	%					3.93	%					3.99	%					4.03	%

(1)	Not tax equivalent.
(2)	Loans held for sale and nonaccrual loans are both included in gross loans.

FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE / VOLUME ANALYSIS⁽¹⁾

(Dollars in thousands)
(Unaudited)

	Linked Qtr. Income Variance									Comparable Qtr. Income Variance									Year-to-Date Income Variance
	Rate			Volume			Total			Rate			Volume			Total			Rate			Volume			Total
Earning assets
Investment securities	$	(8	)	$	(135	)	$	(143	)	$	70		$	(264	)	$	(194	)	$	327		$	(2,148	)	$	(1,821	)
Federal funds sold		(48	)		(145	)		(193	)		(76	)		(992	)		(1,068	)		327			(1,480	)		(1,153	)
Gross loans(2)		(9	)		1,324			1,315			1,189			(67	)		1,122			7,713			(3,479	)		4,234
Total earning assets		(65	)		1,044			979			1,183			(1,323	)		(140	)		8,367			(7,107	)		1,260
Nonearning assets
Allowance for loan and lease losses
Cash and due from banks
Accrued interest and other assets
Total assets
Interest-bearing liabilities
Total interest-bearing deposits	$	507		$	612		$	1,119		$	1,704		$	(352	)	$	1,352		$	9,859		$	(1,576	)	$	8,283
Borrowed funds
Short-term borrowings		32			25			57			127			(39	)		88			445			(165	)		280
Federal Home Loan Bank long-term debt		(2	)		(8	)		(10	)		34			(188	)		(154	)		(312	)		(1,508	)		(1,820	)
Other long-term debt		2			(5	)		(3	)		(8	)		(12	)		(20	)		77			(12	)		65
Total borrowed funds		32			12			44			153			(239	)		(86	)		210			(1,685	)		(1,475	)
Total interest-bearing liabilities		539			624			1,163			1,857			(591	)		1,266			10,069			(3,261	)		6,808
Noninterest-bearing liabilities
Noninterest bearing demand deposits
Other liabilities
Shareholders’ equity
Total liabilities & shareholders’ equity
Net interest income(1)	$	(604	)	$	420		$	(184	)	$	(674	)	$	(732	)	$	(1,406	)	$	(1,702	)	$	(3,846	)	$	(5,548	)
Net interest spread(1)
Net interest margin(1)

(1)	Not tax equivalent.
(2)	Loans held for sale and nonaccrual loans are both included in gross loans.

FIRST FINANCIAL BANCORP.
CREDIT QUALITY

(Dollars in thousands)
(Unaudited)

	Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,
	2007			2007			2007			2006			2006
ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY
Balance at beginning of period	$	28,060		$	27,407		$	27,386		$	31,888		$	30,085
Provision for loan losses		2,558			2,098			1,356			5,822			2,888
Gross charge-offs
Commercial		1,008			920			746			5,675			1,238
Commercial real estate		76			176			146			1,099			119
Retail real estate		49			57			116			2,729			111
Installment		471			604			741			776			391
Home equity		189			149			139			331			78
All other		304			224			265			306			220
Total gross charge-offs (1)		2,097			2,130			2,153			10,916			2,157
Recoveries
Commercial		145			246			269			206			458
Commercial real estate		124			48			58			20			129
Retail real estate		25			10			18			4			130
Installment		263			288			346			292			315
Home equity		12			25			76			1			0
All other		46			68			51			69			40
Total recoveries		615			685			818			592			1,072
Total net charge-offs		1,482			1,445			1,335			10,324			1,085
Ending allowance for loan losses	$	29,136		$	28,060		$	27,407		$	27,386		$	31,888
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED) (1)
Commercial		0.45	%		0.37	%		0.28	%		3.27	%		0.48	%
Commercial real estate		(0.03	%)		0.08	%		0.06	%		0.69	%		(0.01	%)
Retail real estate		0.02	%		0.03	%		0.06	%		1.66	%		(0.01	%)
Installment		0.53	%		0.74	%		0.85	%		0.92	%		0.13	%
Home equity		0.29	%		0.21	%		0.11	%		0.57	%		0.13	%
All other		0.62	%		0.44	%		0.70	%		0.78	%		0.60	%
Total net charge-offs (1)		0.23	%		0.23	%		0.22	%		1.64	%		0.17	%

⁽¹⁾ December 31, 2006 charge-offs include $4,375 in loans held for sale write-downs to the lower of cost or estimated fair market value.

COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
Nonaccrual loans
Commercial	$	3,782	$	6,812	$	2,529	$	2,610	$	8,056
Commercial real estate		5,343		4,140		4,947		4,102		4,487
Retail real estate		2,147		1,694		1,311		1,482		3,604
Installment		745		681		920		1,328		1,619
Home equity		1,117		1,048		1,038		698		854
All other		8		21		20		16		72
Total nonaccrual loans		13,142		14,396		10,765		10,236		18,692
Restructured loans		574		581		588		596		603
Total nonperforming loans		13,716		14,977		11,353		10,832		19,295
Other real estate owned (OREO)		3,124		2,023		2,672		2,334		2,859
Total nonperforming assets		16,840		17,000		14,025		13,166		22,154
Accruing loans past due 90 days or more		222		165		81		185		788
Total underperforming assets	$	17,062	$	17,165	$	14,106	$	13,351	$	22,942

CREDIT QUALITY RATIOS
Allowance for loan and lease losses to
Nonaccrual loans	221.70	%	194.92	%	254.59	%	267.55	%	170.60	%
Nonperforming loans	212.42	%	187.35	%	241.41	%	252.82	%	165.27	%
Total ending loans	1.12	%	1.10	%	1.10	%	1.10	%	1.27	%
Nonperforming loans to total loans	0.53	%	0.59	%	0.45	%	0.44	%	0.77	%
Nonperforming assets to
Ending loans, plus OREO	0.65	%	0.67	%	0.56	%	0.53	%	0.88	%
Total assets	0.51	%	0.52	%	0.42	%	0.40	%	0.67	%

FIRST FINANCIAL BANCORP.
CAPITAL DATA

(Dollars in thousands)
(Unaudited)

											Nine months ended,
	Sep. 30,		Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Sep. 30,		Sep. 30,
	2007		2007		2007		2006		2006		2007		2006
PER COMMON SHARE
Market Price
High	$	15.12	$	15.72	$	16.76	$	17.50	$	16.04	$	16.76	$	18.32
Low	$	10.76	$	14.43	$	14.83	$	15.52	$	14.20	$	10.76	$	14.20
Close	$	12.78	$	14.99	$	15.11	$	16.61	$	15.91	$	12.78	$	15.91
Average shares outstanding — basic		38,383,228		38,965,409		39,121,105		39,377,735		39,612,408		38,820,545		39,592,908
Average shares outstanding — diluted		38,383,228		38,967,061		39,135,637		39,395,456		39,619,786		38,825,940		39,623,911
Ending shares outstanding		37,405,433		38,883,083		39,001,843		39,245,407		39,507,716		37,405,433		39,507,716

REGULATORY CAPITAL	Preliminary															Preliminary
Tier 1 Capital	$	269,961		$	295,996		$	298,020		$	299,199		$	300,551		$	269,961		$	300,551
Tier 1 Ratio		10.18	%		11.13	%		11.57	%		11.73	%		11.89	%		10.18	%		11.89	%
Total Capital	$	299,097		$	324,056		$	325,550		$	326,779		$	332,302		$	299,097		$	332,302
Total Capital Ratio		11.27	%		12.18	%		12.64	%		12.81	%		13.14	%		11.27	%		13.14	%
Total Risk-Adjusted Assets	$	2,652,999		$	2,659,915		$	2,575,218		$	2,551,505		$	2,528,102		$	2,652,999		$	2,528,102
Leverage Ratio		8.21	%		9.04	%		9.08	%		9.02	%		8.85	%		8.21	%		8.85	%

OTHER CAPITAL RATIOS
Ending shareholders’ equity to ending assets	8.16	%	8.53	%	8.54	%	8.65	%	9.06	%	8.16	%	9.06	%
Ending tangible shareholders’ equity to ending tangible assets	7.35	%	7.71	%	7.73	%	7.69	%	8.09	%	7.35	%	8.09	%
Average shareholders’ equity to average assets	8.34	%	8.58	%	8.68	%	8.98	%	8.72	%	8.53	%	8.59	%
Average tangible shareholders’ equity to average tangible assets	7.53	%	7.76	%	7.86	%	8.04	%	7.79	%	7.72	%	7.67	%

REPURCHASE PROGRAM (1)
Shares repurchased		1,469,700		252,000		244,000		252,000		152,000		1,965,700		152,000
Average share repurchase price	$	13.00	$	15.07	$	16.11	$	16.64	$	15.59	$	13.65	$	15.59
Total cost of shares repurchased	$	19,105,297	$	3,797,343	$	3,930,945	$	4,192,464	$	2,369,286	$	26,833,585	$	2,369,286

⁽¹⁾ Represents share repurchases as part of publicly announced plans.