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

• Full year 2007 net earnings of $0.93 per diluted share, an increase of 72 percent over 2006, and fourth quarter 2007 net earnings of $0.29 per diluted share

• Full year return on average assets of 1.08 percent and return on average shareholders’ equity of 12.73 percent

• Period-end growth in commercial, commercial real estate, and construction loans of 17.5 percent from year-end 2006

• Credit quality remains stable

• Strong noninterest income growth versus 2006

HAMILTON, Ohio – January 29, 2008 – First Financial Bancorp (Nasdaq: FFBC) president and chief executive officer, Claude E. Davis, today announced full year 2007 net income of $35.7 million or 93 cents in diluted earnings per share, compared to $21.3 million or 54 cents in diluted earnings per share for the full year 2006. First Financial also announced fourth quarter 2007 net income of $10.7 million or 29 cents in diluted earnings per share, compared to $0.8 million or 2 cents in diluted earnings per share for the fourth quarter 2006. Net income was $8.4 million or 22 cents in diluted earnings per share in the third quarter 2007.

Davis said, “We are pleased with our fourth quarter performance, particularly against the backdrop of a very difficult quarter for the banking industry, and believe that our full year results are strong evidence that the efforts put forth by our associates in the implementation of our strategic initiatives are paying off.  While current economic conditions may put stress on both commercial and consumer borrowers, we remain optimistic that our strong credit processes will allow us to effectively manage our credit risk.

“Our capital position is strong, and we have a diversified portfolio of earning assets that should help us mitigate any significant macro-economic risks. The interest rate environment will have some negative impact on our performance, but overall we believe we are well positioned to capitalize on opportunities that are sure to present themselves in these interesting times.”

Return on average assets for the full year 2007 was 1.08 percent compared to 0.62 percent for the full year 2006. Fourth quarter 2007 return on average assets was 1.27 percent compared to 0.10 percent for the same period in 2006 and 1.00 percent last quarter. Return on average shareholders’ equity was 12.73 percent for the full year 2007 compared to 7.13 percent for the full year 2006. Fourth quarter 2007 return on average shareholders’ equity was 15.37 percent compared to 1.10 percent for the same period in 2006 and 12.03 percent last quarter.

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 of Operating Results and Outlook of Key Drivers

Net incomein the fourth quarter 2007 of $10.7 million was significantly impacted by the following items: gain on the sale of the merchant payment processing portfolio of $5.5 million or 9 cents per diluted share, pension settlement expense of $2.2 million or 4 cents per diluted share, and Visa litigation expense of $0.5 million or 1 cent per diluted share. For further detail on comparable financial results, please refer to the discussion regarding revenue and expense fluctuations found later in this release.

Net interest margindecreased to 3.94 percent for the full year 2007 from 4.01 percent for the full year 2006 primarily due to the effect of competitive increases in deposit rates and account migration to higher cost products, somewhat offset by increased yields due to the mix shift of earnings assets. In a series of actions beginning in September 2007, the Federal Reserve lowered the federal funds rate a total of 100 basis points by year-end, and an additional 75 basis points to date in January 2008, in an effort to reduce the impact on consumers and the financial markets from the subprime mortgage and credit crisis. These actions have resulted in the decline of other market interest rates, specifically the prime rate, but have created a disproportionate impact on asset yields as compared to deposit costs. The linked-quarter (fourth quarter 2007 compared to third quarter 2007) net interest margin decline of 9 basis points to 3.79 percent in the fourth quarter 2007 was primarily due to these recent actions by the Federal Reserve and the resulting impact from our asset sensitivity.

Noninterest incomegrew $2.8 million, or 5.5 percent, on a comparative full year basis, excluding the impact of the several significant events detailed later in this release. This net increase was primarily due to higher trust and wealth management fees and bankcard income, resulting from our successful efforts to market both products. We expect this to continue throughout 2008, though wealth management fees may be muted by overall market value decreases, should they continue.

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Noninterest expensehas improved significantly as a direct result of the successful execution of the previously mentioned strategic initiatives, resulting in a reduction in noninterest expense of $31.8 million, or 20.8 percent, for the full year 2007 as compared to the full year 2006. The pension settlement charge recorded in both 2006 and 2007 was a result of First Financial’s staff reductions, and is an acceleration of costs that were previously deferred under pension accounting rules and would have been recognized in future periods. 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 $5.0 million in 2007 from the full year 2006, or 9.3 percent.

The fourth quarter 2007 noninterest expense included $0.5 million associated with First Financial’s proportionate share of the announced Visa Inc. member bank settlement charges and pending litigation. It is anticipated that Visa will use a portion of the proceeds of their planned initial public offering (“IPO”) to satisfy such litigation judgments and settlements. In the event this IPO occurs, First Financial expects that its proportionate share of proceeds from the offering will more than offset its current liability for this litigation.

Please refer to the detailed schedule of significant expense items in the noninterest expense section that follows.

Loan growthduring 2007 was primarily driven by First Financial’s continued efforts to expand its commercial lending sales force and deepen its market presence, primarily in its metropolitan markets. The mix shift from lower yielding consumer lending to higher yielding commercial loans continues. Period-end commercial, commercial real estate, and construction loans increased from $1.40 billion in the fourth quarter 2006 to $1.64 billion in the fourth quarter 2007, an increase of $244.2 million or 17.5 percent.

Deposit growthduring 2007 was modest, with the competitive landscape remaining intense and made even more difficult by the increased liquidity pressure being exhibited by a number of banks in our markets. The consumer’s preference for higher-yielding money market accounts and time deposits, rather than more traditional transaction accounts, remains and continues to result in shifts in deposit mix. This is also the primary driver of behavior-based margin compression.

Capitalratios at December 31, 2007, significantly exceeded the levels necessary to be classified as “well capitalized” and were slightly higher than the third quarter 2007, with a leverage ratio of 8.26%, a tangible ratio of 7.41% and a total capital ratio of 11.38%. In 2008 we expect to operate within the boundaries of our target capital ratios for minimum leverage, tangible and total risk-based capital of 8.0%, 6.75% and 11.50% respectively. The timing and volume of our most recent share repurchase activity has resulted in a 12 basis point shortfall to the total capital minimum target ratio, but we expect to return to that range within the first half of 2008.

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Credit qualityoverall is stable, as evidenced by our level of net charge-offs, as well as the low level of nonperforming assets. Net charge-offs, as a percent of average loans, for the full year and fourth quarter of 2007 were 24 basis points and 26 basis points respectively. While there is some anticipation of decay in certain consumer-based lending products due to a broad economic downturn, First Financial’s total loan portfolio has, and continues to shift away from most consumer-based lending. As such, the expected effects from such economic conditions on First Financial, relative to the industry, should be less severe. Additionally, the mix of the total loan portfolio has shifted not only in product type, but in the risk profile of the borrowers due to the improvements in both underwriting and in the resolution strategies used for problem credits. However, there always remains the possibility of an unexpected event which could result in higher credit losses.

Nonperforming asset levels remained relatively stable throughout 2007, reflective of First Financial’s strong credit management policies and practices, particularly in the current economic environment. Improvement in the commercial and installment loan categories in the second half of 2007 were offset by increases in the commercial real estate, residential real estate, and home equity loan categories. Nonaccrual loans, as a percent of total loans, for the fourth and third quarters of 2007 were 0.56 percent and 0.53 percent, respectively. First Financial’s December 31, 2007 allowance for loan and lease losses to period-end loans ratio was 1.12 percent, an increase of 2 basis points compared to December 31, 2006 and equal to the September 30, 2007 ratio. For a more detailed discussion of credit quality, please refer to the credit quality section that follows.

2008 Outlook

Based upon the overall economic outlook for 2008, management anticipates low single digit growth in both loans and deposits. Net interest margin compression will continue as our assets reprice downward at a faster pace and with greater magnitude than our liabilities with a larger near-term impact and slow return to pre-rate-cut levels in 2009. Expected net charge-off levels are between 30 and 40 basis points of average loans. Management does expect modest noninterest income growth and little to no growth in noninterest expense. A material change in economic conditions would have an impact on our expected 2008 performance.

Current Period Operating Results Detail

NET INTEREST INCOME

Full Year 2007 vs. Full Year 2006

Net interest income for the full year 2007 was $118.5 million compared to $125.1 million for the full year 2006, a decrease of $6.6 million or 5.3 percent. This decrease is primarily due to a 3.6 percent net decline in the level of

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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.

Fourth Quarter 2007 vs. Fourth Quarter 2006

Net interest income in the fourth quarter 2007 was $29.1 million compared to $30.1 million in the fourth quarter 2006, a decrease of $1.0 million or 3.4 percent. This decrease is primarily due to a slight reduction in the yield on earning assets, as well as increased average deposit balances and interest rates paid on those deposits.

Fourth Quarter 2007 vs. Third Quarter 2007

Net interest income on a linked-quarter basis remained relatively flat, decreasing from $29.4 million in the third quarter 2007 to $29.1 million in the fourth quarter 2007, a $0.3 million or 4.6 percent annualized decrease. The slight decline in net interest income is primarily a result of recent actions by the Federal Reserve to lower targeted interest rates and the resulting impact from our modest asset sensitivity.

NET INTEREST MARGIN

Full Year 2007 vs. Full Year 2006

Full year net interest margin was 3.94 percent in 2007 compared to 4.01 percent in 2006, a decline of 7 basis points primarily due to an increase in deposit costs. On a tax-equivalent full year basis, net interest margin was 4.01 percent in 2007 as compared to 4.09 percent in 2006.

Fourth Quarter 2007 vs. Fourth Quarter 2006

Fourth quarter 2007 net interest margin of 3.79 percent decreased 16 basis points from 3.95 percent for the fourth quarter 2006 primarily due to an increase in deposit costs on a higher level of average interest-bearing deposits. On a tax equivalent basis, the fourth quarter 2007 net interest margin of 3.86 percent decreased 19 basis points from 4.05 percent for the fourth quarter 2006.

Fourth Quarter 2007 vs. Third Quarter 2007

Linked-quarter net interest margin decreased 9 basis points from 3.88 percent to 3.79 percent. The net interest margin was positively impacted by the continuing shift from lower yielding indirect installment and residential real estate loans to higher yielding commercial and commercial real estate loans, offset by the impact of recent actions by the Federal Reserve to lower targeted interest rates. On a tax-equivalent basis, the fourth quarter 2007 net interest margin was 3.86 percent as compared to 3.95 percent for the third quarter 2007.

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

BALANCE SHEET TRENDS

Loans

The change in period-end commercial, commercial real estate, and construction loans are summarized below (in thousands):

							Annualized			% Change
							% Change			Comparable
Period-end balances:	12/31/07		9/30/07		12/31/06		Linked Qtr.			Qtr.
Commercial	$	785,143	$	774,059	$	673,445		5.7	%		16.6	%
Real estate — commercial		706,409		684,931		623,603		12.5	%		13.3	%
Real estate — construction		151,432		155,495		101,688		(10.5	)%		48.9	%
Total	$	1,642,984	$	1,614,485	$	1,398,736		7.1	%		17.5	%

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 residential real estate 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	$	196,898
Residential real estate loan runoff		174,304
Strategic loan sales		260,423
Total	$	631,625

Full Year 2007 vs. Full Year 2006

Full year 2007 average total loans remained relatively flat in comparison to 2006, decreasing $19.8 million or less than 1.0 percent; however, average commercial, commercial real estate, and construction loans increased $185.9 million or 13.8 percent from 2006.

Fourth Quarter 2007 vs. Fourth Quarter 2006

Average total loans for the fourth quarter 2007 increased $88.0 million or 3.5 percent from the comparable period a year ago. Period-end commercial, commercial real estate, and construction loans increased $244.2 million or 17.5 percent from the fourth quarter 2006.

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Fourth Quarter 2007 vs. Third Quarter 2007

Average total loans for the fourth quarter 2007 increased $11.2 million or 1.7 percent on an annualized basis from the third quarter 2007; and average commercial, commercial real estate, and construction loans increased $36.3 million or 9.1 percent on an annualized basis from the third quarter 2007. Period-end commercial, commercial real estate, and construction loans increased $28.5 million or 7.1 percent on an annualized basis from the third quarter 2007.

Investments

Securities available-for-sale were $306.9 million at December 31, 2007, compared to $324.3 million at December 31, 2006, and $307.9 million at September 30, 2007. The combined investment portfolio was 10.3 percent and 11.1 percent of total assets at December 31, 2007, and 2006, respectively, and 10.4 percent of total assets at September 30, 2007. At December 31, 2007, First Financial held approximately 44 percent of its available-for-sale securities in pass-through residential real estate 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

Full Year 2007 vs. Full Year 2006

Full year 2007 average total deposits decreased $48.2 million or 1.7 percent from 2006. Excluding the $74.6 million of average deposit balances included with the branch sales in the third quarter 2006, full year 2007 average deposits increased $26.4 million from 2006.

Fourth Quarter 2007 vs. Fourth Quarter 2006

Average deposits for the fourth quarter 2007 increased $50.7 million or 1.8 percent from the comparable period a year ago. Average total interest-bearing deposits for the fourth quarter 2007 increased $69.4 million or 2.9 percent, and average noninterest-bearing deposits decreased $18.7 million or 4.5 percent, both from the fourth quarter 2006.

Fourth Quarter 2007 vs. Third Quarter 2007

Average deposits for the fourth quarter 2007 increased $24.3 million or 3.4 percent on an annualized basis from the third quarter 2007. Average total interest-bearing deposits increased $10.6 million or 1.7 percent, and average noninterest-bearing deposits increased $13.7 million or 14.2 percent, both on an annualized basis from the third quarter 2007. Period-end noninterest-bearing deposits increased $76.7 million from the third quarter 2007 with approximately $60 million of the variance primarily due to the seasonal deposit activity of large commercial clients. These seasonal fluctuations are generally temporary in nature.

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NONINTEREST INCOME

Full Year 2007 vs. Full Year 2006

Full year noninterest income was $63.6 million in 2007 compared to $68.0 million in 2006, a $4.4 million or 6.5 percent decrease. The full year 2007 included a $5.5 million fourth quarter gain on the sale of the merchant payment processing portfolio, $0.4 million in gains on the sale of investment securities during the third quarter, and a $1.1 million first quarter gain on the sale of mortgage servicing rights. The full year 2006 included third quarter gains of $12.5 million on the sales of branches, $2.2 million on the sales of problem loans, and a first quarter $0.5 million loss from the sales of investment securities. Excluding these items, full year 2007 noninterest income increased $2.8 million or 5.5 percent from 2006. This remaining increase was primarily due to higher trust and wealth management fees and bankcard income.

Fourth Quarter 2007 vs. Fourth Quarter 2006

Fourth quarter 2007 noninterest income was $20.3 million, an increase of $7.4 million or 57.0 percent from the fourth quarter 2006. Excluding the fourth quarter 2007 gain on the sale of the merchant payment processing portfolio, fourth quarter 2007 noninterest income increased $1.9 million or 14.4 percent from the comparable period in 2006. This increase was primarily due to higher trust and wealth management fees as well as increased earnings from bank-owned life insurance, offset by lower service charge income on deposit accounts.

Fourth Quarter 2007 vs. Third Quarter 2007

On a linked-quarter basis, excluding the fourth quarter 2007 gain on the sale of the merchant payment processing portfolio and the third quarter 2007 gain on sale of investment securities, total noninterest income increased $0.7 million or 19.3 percent on an annualized basis.

NONINTEREST EXPENSE

Full Year 2007 vs. Full Year 2006

Full year noninterest expense was $120.7 million in 2007 compared to $152.5 million in 2006, a $31.8 million or 20.8 percent decrease. Significant items that impacted the level of noninterest expense for both years are shown below, by quarter:

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	Full Year			Full Year
	2007			2006			$ Change			% Change
Total noninterest expense	$	120,747		$	152,515		$	(31,768	)		(20.8	)%
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			—
Q4 items:
Pension settlement charges		(2,222	)		(2,969	)		747			—
Technology contract early termination costs		—			(408	)		408			—
Gain (loss) on properties and fixed assets		227			(985	)		1,212			—
Severance		(38	)		(798	)		760			—
Visa member litigation charges		(461	)		—			(461	)		—
Q4 items subtotal		(2,494	)		(5,160	)		2,666			—
Adjusted total noninterest expense	$	117,019		$	137,033		$	(20,014	)		(14.6	)%

The following items contributed to the adjusted $20.0 million decrease in noninterest expense from the full year 2006:

• decreases in salaries and employee benefits of $9.0 million primarily due to the $5.3 million reduction in salaries and other performance and incentive-based compensation as a result of an overall reduction in staffing levels and the $3.2 million reduction in pension and other retirement-related expenses

• decreases in data processing of $4.5 million primarily due to the impact of First Financial’s prior year technology upgrade in which the company moved from an out-sourced to an in-house data processing environment

• decreases in professional services of $3.7 million primarily due to 2006 costs associated with the corporate reorganization, branding initiative, branch staffing, and recruiting fees, combined with an overall reduction in consultant usage

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Fourth Quarter 2007 vs. Fourth Quarter 2006

Total noninterest expense decreased $6.4 million or 16.9 percent during the fourth quarter 2007 as compared to the fourth quarter 2006, in addition to the items listed in the table above, primarily due to the following:

• decreases in salaries and employee benefits of $1.8 million primarily due to the $1.0 million reduction in pension and other retirement-related expenses

• decreases in data processing of $0.3 million primarily due to 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 $0.5 million primarily due to the costs associated with the branding initiative in the prior year

• decreases in professional services of $1.0 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 totalling $0.6 million in other individually immaterial, noninterest expense categories, primarily due to the company’s heightened focus on expense control.

Fourth Quarter 2007 vs. Third Quarter 2007

On a linked-quarter basis, noninterest expense increased $2.6 million or 9.2 percent from the third quarter 2007. The increase in noninterest expense was primarily due to the previously mentioned fourth quarter 2007 pension settlement charge.

INCOME TAXES

Income tax expense was $18.0 million and $9.4 million for the full years 2007 and 2006, respectively. The effective tax rates for the full years 2007 and 2006 were 33.5 percent and 30.8 percent, respectively. Income tax expense was $5.6 million for the fourth quarter 2007 with an effective tax rate of 34.5 percent. The fourth quarter 2006 included an income tax benefit of $1.4 million.

CREDIT QUALITY

First Financial’s December 31, 2007 allowance for loan and lease losses to period-end loans ratio was 1.12 percent, 2 basis points higher when compared to December 31, 2006 and equal to September 30, 2007. Full year 2007 net charge-offs of 24 basis points of average loans were significantly improved from the full year 2006 net charge-offs of 48 basis points of average loans, excluding the impact of the transfer of approximately $53 million of loans to loans held for sale. 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 December 31, 2007.

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In the second quarter 2005, First Financial made the strategic decision to discontinue the origination of residential real estate loans for retention on its balance sheet. As a result, the residential real estate portfolio has declined $174.3 million, excluding the impact of the loan sales, since that time. Earlier in 2007, First Financial sold the servicing of its remaining residential real estate 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 real estate loans in the current originate-and-sell model.

At December 31, 2007, the commercial real estate and real estate construction loan portfolio totaled $857.8 million, or 33.0 percent of total loans, including $91.9 million or 3.5 percent of total loans for commercial real estate construction, and $46.6 million or 1.8 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 relatively strong housing demand or with borrowers who have undergone an extensive underwriting process.

First Financial continually 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 the $29.1 million allowance for loan and lease losses is adequate to absorb probable credit losses inherent in the portfolio.

Full Year 2007 vs. Full Year 2006

Full year net charge-offs were $6.0 million, an annualized 24 basis points of average loans, compared to full year 2006 net charge-offs of $12.2 million, or 48 basis points of average loans excluding the full year 2006 impact of the transfer of approximately $53 million of loans to loans held for sale. Full year 2006 net charge-offs were 97 basis points of average loans including the impact of the previously mentioned transfer of loans to loans held for sale.

Total underperforming assets at the end of the fourth quarter 2007 were $17.6 million, an increase of $4.3 million from the end of the fourth quarter 2006 primarily due to higher commercial real estate, residential real estate, and home equity loans on nonaccrual status. As a result, the ratio of nonperforming assets to ending loans, plus other real estate owned, increased from 53 basis points at the end of the fourth quarter 2006 to 67 basis points at the end of the fourth quarter 2007, and the ratio of nonperforming loans to total loans increased from 44 basis points at the end of the fourth quarter 2006 to 56 basis points at the end of the fourth quarter 2007.

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Fourth Quarter 2007 vs. Fourth Quarter 2006

Fourth quarter 2007 net charge-offs were $1.7 million, an annualized 26 basis points of average loans, compared to fourth quarter 2006 net charge-offs of $5.9 million, an annualized 95 basis points of average loans excluding the impact of the transfer of approximately $15 million of loans to loans held for sale. The fourth quarter 2006 net charge-offs to average loans ratio was 1.64 percent including the impact of the previously mentioned transfer of loans to loans held for sale.

Fourth Quarter 2007 vs. Third Quarter 2007

Fourth quarter 2007 net charge-offs were $1.7 million, an annualized 26 basis points of average loans, compared to third quarter 2007 net charge-offs of $1.5 million, an annualized 23 basis points of average loans. Total underperforming assets at the end of the fourth quarter 2007 were $17.6 million, an increase of $0.6 million from the end of the third quarter 2007. The ratio of nonperforming assets to ending loans, plus other real estate owned, increased 2 basis points to 67 basis points at the end of the fourth 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 January 30, 2008, First Financial will host an earnings conference call that will be webcast live at 9:00 a.m. EST. 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 1-800-860-2442 (no passcode needed) or by logging on to the company’s website(www.bankatfirst.com) for a live audio webcast of 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 atwww.bankatfirst.com and on the SEC’s website atwww.sec.gov. Additional information will also be set forth in our annual report on Form 10-K for the year ended December 31, 2007, which will be filed with the SEC by February 29, 2008.

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FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS

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

	Three months ended,															Twelve months ended
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Dec. 31,
	2007			2007			2007			2007			2006			2007			2006
RESULTS OF OPERATIONS
Net interest income	$	29,079		$	29,417		$	29,601		$	30,403		$	30,104		$	118,500		$	125,073
Net income	$	10,701		$	8,373		$	8,172		$	8,435		$	827		$	35,681		$	21,271
Net earnings per common share — basic	$	0.29		$	0.22		$	0.21		$	0.22		$	0.02		$	0.93		$	0.54
Net earnings per common share — diluted	$	0.29		$	0.22		$	0.21		$	0.22		$	0.02		$	0.93		$	0.54
Dividends declared per common share	$	0.17		$	0.16		$	0.16		$	0.16		$	0.16		$	0.65		$	0.64
KEY FINANCIAL RATIOS
Return on average assets		1.27	%		1.00	%		1.00	%		1.04	%		0.10	%		1.08	%		0.62	%
Return on average shareholders’ equity		15.37	%		12.03	%		11.61	%		11.94	%		1.10	%		12.73	%		7.13	%
Return on average tangible shareholders’ equity		17.17	%		13.44	%		12.95	%		13.31	%		1.24	%		14.20	%		8.05	%
Net interest margin		3.79	%		3.88	%		3.97	%		4.12	%		3.95	%		3.94	%		4.01	%
Net interest margin (fully tax equivalent)(1)		3.86	%		3.95	%		4.05	%		4.20	%		4.05	%		4.01	%		4.09	%
Average shareholders’ equity to average assets		8.27	%		8.34	%		8.58	%		8.68	%		8.98	%		8.47	%		8.69	%
Tier 1 Ratio (2)		10.29	%		10.18	%		11.13	%		11.57	%		11.73	%		10.29	%		11.73	%
Total Capital Ratio (2)		11.38	%		11.27	%		12.18	%		12.64	%		12.81	%		11.38	%		12.81	%
Leverage Ratio (2)		8.26	%		8.21	%		9.04	%		9.08	%		9.02	%		8.33	%		8.76	%
AVERAGE BALANCE SHEET ITEMS
Loans(3)	$	2,588,985		$	2,576,308		$	2,530,638		$	2,490,252		$	2,497,389		$	2,546,898		$	2,571,935
Investment securities		350,346			349,686			364,050			367,407			381,985			357,803			407,116
Other earning assets		106,922			81,669			93,986			134,635			142,320			104,165			141,347
Total earning assets	$	3,046,253		$	3,007,663		$	2,988,674		$	2,992,294		$	3,021,694		$	3,008,866		$	3,120,398
Total assets	$	3,338,828		$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,310,040		$	3,432,661
Noninterest-bearing deposits	$	399,304		$	385,653		$	405,179		$	401,698		$	418,009		$	397,918		$	415,211
Interest-bearing deposits		2,461,464			2,450,830			2,403,919			2,406,913			2,392,092			2,430,986			2,461,914
Total deposits	$	2,860,768		$	2,836,483		$	2,809,098		$	2,808,611		$	2,810,101		$	2,828,904		$	2,877,125
Borrowings	$	177,876		$	176,528		$	177,472		$	181,613		$	192,811		$	178,357		$	227,146
Shareholders’ equity	$	276,269		$	276,183		$	282,354		$	286,453		$	299,320		$	280,275		$	298,227
CREDIT QUALITY RATIOS
Allowance to ending loans		1.12	%		1.12	%		1.10	%		1.10	%		1.10	%		1.12	%		1.10	%
Allowance to nonaccrual loans		205.89	%		221.70	%		194.92	%		254.59	%		267.55	%		205.89	%		267.55	%
Allowance to nonperforming loans		197.94	%		212.42	%		187.35	%		241.41	%		252.82	%		197.94	%		252.82	%
Nonperforming loans to total loans		0.56	%		0.53	%		0.59	%		0.45	%		0.44	%		0.56	%		0.44	%
Nonperforming assets to ending loans, plus OREO		0.67	%		0.65	%		0.67	%		0.56	%		0.53	%		0.67	%		0.53	%
Nonperforming assets to total assets		0.51	%		0.51	%		0.52	%		0.42	%		0.40	%		0.51	%		0.40	%
Net charge-offs to average loans (annualized) (4)		0.26	%		0.23	%		0.23	%		0.22	%		1.64	%		0.24	%		0.97	%

(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)	December 31, 2007 regulatory capital ratios are preliminary.
(3)	Includes loans held for sale.
(4)	December 31, 2006 and the full year 2006 charge-offs include $4,375 and $12,731, 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 thousands)
(Unaudited)

	Three months ended,									Twelve months ended,
	Dec. 31,									Dec. 31,
	2007			2006			% Change			2007			2006			% Change
Interest income
Loans, including fees	$	45,709		$	44,972			1.6	%	$	182,670		$	177,699			2.8	%
Investment securities
Taxable		3,641			3,925			(7.2	%)		14,961			16,592			(9.8	%)
Tax-exempt		859			985			(12.8	%)		3,542			4,142			(14.5	%)
Total investment securities interest		4,500			4,910			(8.4	%)		18,503			20,734			(10.8	%)
Federal funds sold		1,224			1,894			(35.4	%)		5,269			7,092			(25.7	%)
Total interest income		51,433			51,776			(0.7	%)		206,442			205,525			0.4	%
Interest expense
Deposits		20,238			19,349			4.6	%		79,184			70,012			13.1	%
Short-term borrowings		1,211			1,027			17.9	%		4,232			3,768			12.3	%
Long-term borrowings		466			609			(23.5	%)		2,099			4,062			(48.3	%)
Subordinated debentures and capital securities		439			687			(36.1	%)		2,427			2,610			(7.0	%)
Total interest expense		22,354			21,672			3.1	%		87,942			80,452			9.3	%
Net interest income		29,079			30,104			(3.4	%)		118,500			125,073			(5.3	%)
Provision for loan and lease losses		1,640			5,822			(71.8	%)		7,652			9,822			(22.1	%)
Net interest income after provision for loan and lease losses		27,439			24,282			13.0	%		110,848			115,251			(3.8	%)
Noninterest income
Service charges on deposit accounts		5,330			5,766			(7.6	%)		20,766			21,958			(5.4	%)
Trust and wealth management fees		4,989			3,987			25.1	%		18,396			16,264			13.1	%
Bankcard income		1,165			1,126			3.5	%		5,251			4,437			18.3	%
Net gains from sales of loans		295			234			26.1	%		844			3,206			(73.7	%)
Gain on sale of merchant payment processing portfolio		5,501			0			N/M			5,501			0			N/M
Gain on sale of mortgage servicing rights		0			0			N/M			1,061			0			N/M
Gains on sales of branches		0			0			N/M			0			12,545			N/M
Gains (losses) on sales of investment securities		0			0			N/M			367			(476	)		177.1	%
Other		2,982			1,791			66.5	%		11,402			10,050			13.5	%
Total noninterest income		20,262			12,904			57.0	%		63,588			67,984			(6.5	%)
Noninterest expenses
Salaries and employee benefits		16,508			18,265			(9.6	%)		69,891			81,560			(14.3	%)
Pension settlement charges		2,222			2,969			(25.2	%)		2,222			2,969			(25.2	%)
Net occupancy		2,842			2,699			5.3	%		10,861			11,038			(1.6	%)
Furniture and equipment		1,742			1,496			16.4	%		6,761			5,607			20.6	%
Data processing		825			1,574			(47.6	%)		3,498			9,969			(64.9	%)
Marketing		523			1,022			(48.8	%)		2,441			3,490			(30.1	%)
Communication		903			1,204			(25.0	%)		3,230			3,334			(3.1	%)
Professional services		1,109			2,074			(46.5	%)		4,142			7,835			(47.1	%)
Debt extinguishment		0			0			N/M			0			4,295			N/M
Other		4,698			6,466			(27.3	%)		17,701			22,418			(21.0	%)
Total noninterest expenses		31,372			37,769			(16.9	%)		120,747			152,515			(20.8	%)
Income (loss) before income taxes		16,329			(583	)		N/M			53,689			30,720			74.8	%
Income tax expense (benefit)		5,628			(1,410	)		N/M			18,008			9,449			90.6	%
Net income	$	10,701		$	827			N/M		$	35,681		$	21,271			67.7	%
ADDITIONAL DATA
Net earnings per common share — basic	$	0.29		$	0.02					$	0.93		$	0.54
Net earnings per common share — diluted	$	0.29		$	0.02					$	0.93		$	0.54
Dividends declared per common share	$	0.17		$	0.16					$	0.65		$	0.64
Book value per common share	$	7.40		$	7.27					$	7.40		$	7.27
Return on average assets		1.27	%		0.10	%					1.08	%		0.62	%
Return on average shareholders’ equity		15.37	%		1.10	%					12.73	%		7.13	%
Interest income	$	51,433		$	51,776			(0.7	%)	$	206,442		$	205,525			0.4	%
Tax equivalent adjustment		561			712			(21.2	%)		2,281			2,655			(14.1	%)
Interest income — tax equivalent		51,994			52,488			(0.9	%)		208,723			208,180			0.3	%
Interest expense		22,354			21,672			3.1	%		87,942			80,452			9.3	%
Net interest income — tax equivalent	$	29,640		$	30,816			(3.8	%)	$	120,781		$	127,728			(5.4	%)
Net interest margin		3.79	%		3.95	%					3.94	%		4.01	%
Net interest margin (fully tax equivalent)(1)		3.86	%		4.05	%					4.01	%		4.09	%
Full-time equivalent employees		1,057			1,214						1,057			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 QUARTERLY STATEMENTS OF INCOME

(Dollars in thousands)
(Unaudited)

	2007
	Fourth			Third			Second			First			Full			% Change
	Quarter			Quarter			Quarter			Quarter			Year			Linked Qtr.
Interest income
Loans, including fees	$	45,709		$	46,606		$	45,291		$	45,064		$	182,670			(1.9	%)
Investment securities
Taxable		3,641			3,667			3,762			3,891			14,961			(0.7	%)
Tax-exempt		859			863			911			909			3,542			(0.5	%)
Total investment securities interest		4,500			4,530			4,673			4,800			18,503			(0.7	%)
Federal funds sold		1,224			1,048			1,241			1,756			5,269			16.8	%
Total interest income		51,433			52,184			51,205			51,620			206,442			(1.4	%)
Interest expense
Deposits		20,238			20,528			19,409			19,009			79,184			(1.4	%)
Short-term borrowings		1,211			1,041			984			996			4,232			16.3	%
Long-term borrowings		466			532			542			559			2,099			(12.4	%)
Subordinated debentures and capital securities		439			666			669			653			2,427			(34.1	%)
Total interest expense		22,354			22,767			21,604			21,217			87,942			(1.8	%)
Net interest income		29,079			29,417			29,601			30,403			118,500			(1.1	%)
Provision for loan and lease losses		1,640			2,558			2,098			1,356			7,652			(35.9	%)
Net interest income after provision for loan and lease losses		27,439			26,859			27,503			29,047			110,848			2.2	%
Noninterest income
Service charges on deposit accounts		5,330			5,396			5,296			4,744			20,766			(1.2	%)
Trust and wealth management fees		4,989			4,721			4,526			4,160			18,396			5.7	%
Bankcard income		1,165			1,422			1,424			1,240			5,251			(18.1	%)
Net gains from sales of loans		295			203			184			162			844			45.3	%
Gain on sale of merchant payment processing portfolio		5,501			0			0			0			5,501			N/M
Gain on sale of mortgage servicing rights		0			0			0			1,061			1,061			N/M
Gains on sales of investment securities		0			367			0			0			367			N/M
Other		2,982			2,341			2,702			3,377			11,402			27.4	%
Total noninterest income		20,262			14,450			14,132			14,744			63,588			40.2	%
Noninterest expenses
Salaries and employee benefits		16,508			17,288			17,134			18,961			69,891			(4.5	%)
Pension settlement charges		2,222			0			0			0			2,222			N/M
Net occupancy		2,842			2,728			2,484			2,807			10,861			4.2	%
Furniture and equipment		1,742			1,684			1,708			1,627			6,761			3.4	%
Data processing		825			1,010			818			845			3,498			(18.3	%)
Marketing		523			407			642			869			2,441			28.5	%
Communication		903			664			798			865			3,230			36.0	%
Professional services		1,109			964			1,063			1,006			4,142			15.0	%
Other		4,698			3,980			4,793			4,230			17,701			18.0	%
Total noninterest expenses		31,372			28,725			29,440			31,210			120,747			9.2	%
Income before income taxes		16,329			12,584			12,195			12,581			53,689			29.8	%
Income tax expense		5,628			4,211			4,023			4,146			18,008			33.6	%
Net income	$	10,701		$	8,373		$	8,172		$	8,435		$	35,681			27.8	%
ADDITIONAL DATA
Net earnings per common share — basic	$	0.29		$	0.22		$	0.21		$	0.22		$	0.93
Net earnings per common share — diluted	$	0.29		$	0.22		$	0.21		$	0.22		$	0.93
Dividends declared per common share	$	0.17		$	0.16		$	0.16		$	0.16		$	0.65
Book value per common share	$	7.40		$	7.26		$	7.18		$	7.29		$	7.40
Return on average assets		1.27	%		1.00	%		1.00	%		1.04	%		1.08	%
Return on average shareholders’ equity		15.37	%		12.03	%		11.61	%		11.94	%		12.73	%
Interest income	$	51,433		$	52,184		$	51,205		$	51,620		$	206,442			(1.4	%)
Tax equivalent adjustment		561			564			580			576			2,281			(0.5	%)
Interest income — tax equivalent		51,994			52,748			51,785			52,196			208,723			(1.4	%)
Interest expense		22,354			22,767			21,604			21,217			87,942			(1.8	%)
Net interest income — tax equivalent	$	29,640		$	29,981		$	30,181		$	30,979		$	120,781			(1.1	%)
Net interest margin		3.79	%		3.88	%		3.97	%		4.12	%		3.94	%
Net interest margin (fully tax equivalent)(1)		3.86	%		3.95	%		4.05	%		4.20	%		4.01	%
Full-time equivalent employees		1,057			1,078			1,158			1,166			1,057

(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		18,265			19,968			23,110			20,217			81,560
Pension settlement charges		2,969			0			0			0			2,969
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
(Loss) income before income taxes		(583	)		19,030			6,732			5,541			30,720
Income tax (benefit) expense		(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)

	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			% Change			% Change
	2007			2007			2007			2007			2006			Linked Qtr.			Comparable Qtr.
ASSETS
Cash and due from banks	$	106,224		$	92,414		$	87,808		$	87,969		$	119,407			14.9	%		(11.0	%)
Federal funds sold		106,990			71,700			55,000			159,200			102,000			49.2	%		4.9	%
Investment securities held-to-maturity		5,639			5,467			5,711			7,769			7,995			3.1	%		(29.5	%)
Investment securities available-for-sale		306,928			307,908			313,575			325,755			324,259			(0.3	%)		(5.3	%)
Other investments		33,969			33,969			33,969			33,969			33,969			0.0	%		0.0	%
Loans held for sale		1,515			5,763			0			0			8,824			(73.7	%)		(82.8	%)
Loans
Commercial		785,143			774,059			747,292			709,341			673,445			1.4	%		16.6	%
Real estate — construction		151,432			155,495			125,732			107,867			101,688			(2.6	%)		48.9	%
Real estate — commercial		706,409			684,931			676,679			647,126			623,603			3.1	%		13.3	%
Real estate — residential		539,332			556,255			580,005			604,213			628,579			(3.0	%)		(14.2	%)
Installment		138,895			149,881			162,506			180,116			198,881			(7.3	%)		(30.2	%)
Home equity		250,888			245,853			235,734			228,660			228,128			2.0	%		10.0	%
Credit card		26,610			24,904			24,488			23,678			24,587			6.9	%		8.2	%
Lease financing		378			500			608			732			923			(24.4	%)		(59.0	%)
Total loans		2,599,087			2,591,878			2,553,044			2,501,733			2,479,834			0.3	%		4.8	%
Less
Allowance for loan and lease losses		29,057			29,136			28,060			27,407			27,386			(0.3	%)		6.1	%
Net loans		2,570,030			2,562,742			2,524,984			2,474,326			2,452,448			0.3	%		4.8	%
Premises and equipment		78,994			78,214			79,079			79,553			79,609			1.0	%		(0.8	%)
Goodwill		28,261			28,261			28,261			28,261			28,261			0.0	%		0.0	%
Other intangibles		698			828			1,003			1,195			5,842			(15.7	%)		(88.1	%)
Accrued interest and other assets		130,068			141,890			143,277			129,991			138,985			(8.3	%)		(6.4	%)
Total Assets	$	3,369,316		$	3,329,156		$	3,272,667		$	3,327,988		$	3,301,599			1.2	%		2.1	%
LIABILITIES
Deposits
Interest-bearing	$	603,870		$	611,764		$	594,788		$	627,996		$	667,305			(1.3	%)		(9.5	%)
Savings		596,636			595,664			588,229			564,340			526,663			0.2	%		13.3	%
Time		1,227,954			1,253,383			1,211,182			1,218,823			1,179,852			(2.0	%)		4.1	%
Total interest-bearing deposits		2,428,460			2,460,811			2,394,199			2,411,159			2,373,820			(1.3	%)		2.3	%
Noninterest-bearing		465,731			389,070			399,260			420,521			424,138			19.7	%		9.8	%
Total deposits		2,894,191			2,849,881			2,793,459			2,831,680			2,797,958			1.6	%		3.4	%
Short-term borrowings
Federal funds purchased and securities sold
under agreements to repurchase		26,289			26,749			31,700			39,998			57,201			(1.7	%)		(54.0	%)
Other		72,000			74,500			52,500			52,246			39,500			(3.4	%)		82.3	%
Total short-term borrowings		98,289			101,249			84,200			92,244			96,701			(2.9	%)		1.6	%
Federal Home Loan Bank long-term debt		45,896			55,317			59,021			60,298			63,762			(17.0	%)		(28.0	%)
Other long-term debt		20,620			20,620			30,930			30,930			30,930			0.0	%		(33.3	%)
Accrued interest and other liabilities		33,737			30,386			25,831			28,481			26,769			11.0	%		26.0	%
Total Liabilities		3,092,733			3,057,453			2,993,441			3,043,633			3,016,120			1.2	%		2.5	%
SHAREHOLDERS’ EQUITY
Common stock		391,962			391,355			390,545			393,091			392,736			0.2	%		(0.2	%)
Retained earnings		82,093			77,745			75,444			73,505			71,320			5.6	%		15.1	%
Accumulated other comprehensive loss		(7,127	)		(7,569	)		(16,168	)		(13,121	)		(13,375	)		(5.8	%)		(46.7	%)
Treasury stock, at cost		(190,345	)		(189,828	)		(170,595	)		(169,120	)		(165,202	)		0.3	%		15.2	%
Total Shareholders’ Equity		276,583			271,703			279,226			284,355			285,479			1.8	%		(3.1	%)
Total Liabilities and Shareholders’ Equity	$	3,369,316		$	3,329,156		$	3,272,667		$	3,327,988		$	3,301,599			1.2	%		2.1	%

N/M = Not meaningful.

FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION

(Dollars in thousands)
(Unaudited)

						Quarterly Averages										Full Year Averages
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Dec. 31,
	2007			2007			2007			2007			2006			2007			2006
ASSETS
Cash and due from banks	$	84,771		$	85,576		$	94,541		$	94,384		$	106,010		$	89,780		$	113,553
Federal funds sold		106,922			81,669			93,986			134,635			142,320			104,165			141,347
Investment securities		350,346			349,686			364,050			367,407			381,985			357,803			407,116
Loans held for sale		3,689			2,245			162			6,793			96			3,211			8,491
Loans
Commercial		776,286			766,028			733,936			685,585			664,476			739,238			628,879
Real estate — construction		154,208			139,291			118,425			100,192			96,280			128,208			89,992
Real estate — commercial		693,038			681,920			657,959			637,642			623,632			669,370			632,086
Real estate — residential		542,204			566,618			592,811			616,892			649,638			579,391			716,042
Installment		145,787			155,478			170,748			189,397			209,053			165,206			248,187
Home equity		248,071			239,585			231,982			229,112			229,900			237,246			224,315
Credit card		25,271			24,586			23,944			23,809			23,247			24,407			22,443
Lease financing		431			557			671			830			1,067			621			1,500
Total loans		2,585,296			2,574,063			2,530,476			2,483,459			2,497,293			2,543,687			2,563,444
Less
Allowance for loan and lease losses		29,503			28,278			27,482			27,770			30,894			28,263			35,959
Net loans		2,555,793			2,545,785			2,502,994			2,455,689			2,466,399			2,515,424			2,527,485
Premises and equipment		78,992			79,102			79,491			79,819			79,123			79,348			76,927
Goodwill		28,261			28,261			28,261			28,261			28,263			28,261			28,230
Other intangibles		749			915			1,096			5,464			6,261			2,040			6,970
Accrued interest and other assets		129,305			136,561			127,175			126,894			121,931			130,008			122,542
Total Assets	$	3,338,828		$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,310,040		$	3,432,661
LIABILITIES
Deposits
Interest-bearing	$	607,009		$	632,890		$	606,320		$	646,548		$	669,076		$	623,110		$	705,435
Savings		604,063			586,065			578,357			545,101			526,550			578,579			530,274
Time		1,250,392			1,231,875			1,219,242			1,215,264			1,196,466			1,229,297			1,226,205
Total interest-bearing deposits		2,461,464			2,450,830			2,403,919			2,406,913			2,392,092			2,430,986			2,461,914
Noninterest-bearing		399,304			385,653			405,179			401,698			418,009			397,918			415,211
Total deposits		2,860,768			2,836,483			2,809,098			2,808,611			2,810,101			2,828,904			2,877,125
Short-term borrowings
Federal funds purchased and securities sold under agreements to repurchase		28,952			29,385			34,280			46,397			59,196			34,691			53,599
Other		77,772			58,914			52,849			42,136			35,648			58,018			39,707
Total short-term borrowings		106,724			88,299			87,129			88,533			94,844			92,709			93,306
Federal Home Loan Bank long-term debt		50,532			57,860			59,413			62,150			67,037			57,458			102,910
Other long-term debt		20,620			30,369			30,930			30,930			30,930			28,190			30,930
Total borrowed funds		177,876			176,528			177,472			181,613			192,811			178,357			227,146
Accrued interest and other liabilities		23,915			20,606			22,832			22,669			30,156			22,504			30,163
Total Liabilities		3,062,559			3,033,617			3,009,402			3,012,893			3,033,068			3,029,765			3,134,434
SHAREHOLDERS’ EQUITY
Common stock		391,606			390,898			391,536			392,908			392,931			391,731			392,317
Retained earnings		81,615			77,428			74,049			74,497			78,162			76,918			75,666
Accumulated other comprehensive loss		(6,670	)		(15,097	)		(13,739	)		(13,725	)		(8,768	)		(12,296	)		(9,261	)
Treasury stock, at cost		(190,282	)		(177,046	)		(169,492	)		(167,227	)		(163,005	)		(176,078	)		(160,495	)
Total Shareholders’ Equity		276,269			276,183			282,354			286,453			299,320			280,275			298,227
Total Liabilities and Shareholders’ Equity	$	3,338,828		$	3,309,800		$	3,291,756		$	3,299,346		$	3,332,388		$	3,310,040		$	3,432,661

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

(Dollars in thousands)
(Unaudited)

	Quarterly Averages																		Full Year Averages
	Dec. 31, 2007						Sep. 30, 2007						Dec. 31, 2006						Dec. 31, 2007						Dec. 31, 2006
	Balance			Yield			Balance			Yield			Balance			Yield			Balance			Yield			Balance			Yield
Earning assets
Investment securities	$	350,346			5.10	%	$	349,686			5.14	%	$	381,985			5.10	%	$	357,803			5.17	%	$	407,116			5.09	%
Federal funds sold		106,922			4.54	%		81,669			5.09	%		142,320			5.28	%		104,165			5.06	%		141,347			5.02	%
Gross loans (2)		2,588,985			7.00	%		2,576,308			7.18	%		2,497,389			7.14	%		2,546,898			7.17	%		2,571,935			6.91	%
Total earning assets		3,046,253			6.70	%		3,007,663			6.88	%		3,021,694			6.80	%		3,008,866			6.86	%		3,120,398			6.59	%
Nonearning assets
Allowance for loan and lease losses		(29,503	)					(28,278	)					(30,894	)					(28,263	)					(35,959	)
Cash and due from banks		84,771						85,576						106,010						89,780						113,553
Accrued interest and other assets		237,307						244,839						235,578						239,657						234,669
Total assets	$	3,338,828					$	3,309,800					$	3,332,388					$	3,310,040					$	3,432,661
Interest-bearing liabilities
Total interest-bearing deposits	$	2,461,464			3.26	%	$	2,450,830			3.32	%	$	2,392,092			3.21	%	$	2,430,986			3.26	%	$	2,461,914			2.84	%
Borrowed funds
Short-term borrowings		106,724			4.50	%		88,299			4.68	%		94,844			4.30	%		92,709			4.56	%		93,306			4.04	%
Federal Home Loan Bank long-term debt		50,532			3.66	%		57,860			3.65	%		67,037			3.60	%		57,458			3.65	%		102,910			3.95	%
Other long-term debt		20,620			8.45	%		30,369			8.70	%		30,930			8.81	%		28,190			8.61	%		30,930			8.44	%
Total borrowed funds		177,876			4.72	%		176,528			5.03	%		192,811			4.78	%		178,357			4.91	%		227,146			4.60	%
Total interest-bearing liabilities		2,639,340			3.36	%		2,627,358			3.44	%		2,584,903			3.33	%		2,609,343			3.37	%		2,689,060			2.99	%
Noninterest-bearing liabilities
Noninterest-bearing demand deposits		399,304						385,653						418,009						397,918						415,211
Other liabilities		23,915						20,606						30,156						22,504						30,163
Shareholders’ equity		276,269						276,183						299,320						280,275						298,227
Total liabilities & shareholders’ equity	$	3,338,828					$	3,309,800					$	3,332,388					$	3,310,040					$	3,432,661
Net interest income (1)	$	29,079					$	29,417					$	30,104					$	118,500					$	125,073
Net interest spread (1)					3.34	%					3.44	%					3.47	%					3.49	%					3.60	%
Net interest margin (1)					3.79	%					3.88	%					3.95	%					3.94	%					4.01	%

(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									Full Year Income Variance
	Rate			Volume			Total			Rate			Volume			Total			Rate			Volume			Total
Earning assets
Investment securities	$	(38	)	$	8		$	(30	)	$	(4	)	$	(406	)	$	(410	)	$	319		$	(2,550	)	$	(2,231	)
Federal funds sold		(113	)		289			176			(265	)		(405	)		(670	)		58			(1,881	)		(1,823	)
Gross loans (2)		(1,121	)		224			(897	)		(880	)		1,617			737			6,767			(1,796	)		4,971
Total earning assets		(1,272	)		521			(751	)		(1,149	)		806			(343	)		7,144			(6,227	)		917
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	$	(377	)	$	87		$	(290	)	$	319		$	570		$	889		$	10,179		$	(1,007	)	$	9,172
Borrowed funds
Short-term borrowings		(39	)		209			170			49			135			184			491			(27	)		464
Federal Home Loan Bank long-term debt		2			(68	)		(66	)		9			(152	)		(143	)		(303	)		(1,660	)		(1,963	)
Other long-term debt		(19	)		(208	)		(227	)		(29	)		(219	)		(248	)		53			(236	)		(183	)
Total borrowed funds		(56	)		(67	)		(123	)		29			(236	)		(207	)		241			(1,923	)		(1,682	)
Total interest-bearing liabilities		(433	)		20			(413	)		348			334			682			10,420			(2,930	)		7,490
Noninterest-bearing liabilities
Noninterest-bearing demand deposits
Other liabilities
Shareholders’ equity
Total liabilities & shareholders’ equity
Net interest income (1)	$	(839	)	$	501		$	(338	)	$	(1,497	)	$	472		$	(1,025	)	$	(3,276	)	$	(3,297	)	$	(6,573	)
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)

	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Full Year			Full Year
	2007			2007			2007			2007			2006			2007			2006
ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY
Balance at beginning of period	$	29,136		$	28,060		$	27,407		$	27,386		$	31,888		$	27,386		$	42,485
Provision for loan and lease losses		1,640			2,558			2,098			1,356			5,822			7,652			9,822
Gross charge-offs
Commercial		1,433			1,008			920			746			5,675			4,107			11,950
Real estate — commercial		465			76			176			146			1,099			863			7,312
Real estate — residential		33			49			57			116			2,729			255			4,952
Installment		522			471			604			741			776			2,338			2,620
Home equity		285			189			149			139			331			762			629
All other		304			304			224			265			306			1,097			886
Total gross charge-offs (1)		3,042			2,097			2,130			2,153			10,916			9,422			28,349
Recoveries
Commercial		342			145			246			269			206			1,002			1,328
Real estate — commercial		632			124			48			58			20			862			256
Real estate — residential		3			25			10			18			4			56			222
Installment		242			263			288			346			292			1,139			1,382
Home equity		19			12			25			76			1			132			1
All other		85			46			68			51			69			250			239
Total recoveries		1,323			615			685			818			592			3,441			3,428
Total net charge-offs		1,719			1,482			1,445			1,335			10,324			5,981			24,921
Ending allowance for loan and lease losses	$	29,057		$	29,136		$	28,060		$	27,407		$	27,386		$	29,057		$	27,386
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED) (1)
Commercial		0.56	%		0.45	%		0.37	%		0.28	%		3.27	%		0.42	%		1.69	%
Real estate — commercial		(0.10	%)		(0.03	%)		0.08	%		0.06	%		0.69	%		0.00	%		1.12	%
Real estate — residential		0.02	%		0.02	%		0.03	%		0.06	%		1.66	%		0.03	%		0.66	%
Installment		0.76	%		0.53	%		0.74	%		0.85	%		0.92	%		0.73	%		0.50	%
Home equity		0.43	%		0.29	%		0.21	%		0.11	%		0.57	%		0.27	%		0.28	%
All other		0.48	%		0.62	%		0.44	%		0.70	%		0.78	%		0.55	%		0.57	%
Total net charge-offs (1)		0.26	%		0.23	%		0.23	%		0.22	%		1.64	%		0.24	%		0.97	%
(1) December 31, 2006 and the full year 2006 charge-offs include $4,375 and $12,731, respectively, in loans held for sale write-downs to the lower of cost or estimated fair value.
COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
Nonaccrual loans
Commercial	$	2,677		$	3,782		$	6,812		$	2,529		$	2,610		$	2,677		$	2,610
Real estate — commercial		5,965			5,343			4,140			4,947			4,102			5,965			4,102
Real estate — residential		3,063			2,147			1,694			1,311			1,482			3,063			1,482
Installment		734			745			681			920			1,328			734			1,328
Home equity		1,662			1,117			1,048			1,038			698			1,662			698
All other		12			8			21			20			16			12			16
Total nonaccrual loans		14,113			13,142			14,396			10,765			10,236			14,113			10,236
Restructured loans		567			574			581			588			596			567			596
Total nonperforming loans		14,680			13,716			14,977			11,353			10,832			14,680			10,832
Other real estate owned (OREO)		2,636			3,124			2,023			2,672			2,334			2,636			2,334
Total nonperforming assets		17,316			16,840			17,000			14,025			13,166			17,316			13,166
Accruing loans past due 90 days or more		313			222			165			81			185			313			185
Total underperforming assets	$	17,629		$	17,062		$	17,165		$	14,106		$	13,351		$	17,629		$	13,351
Total classified assets	$	49,372		$	53,997		$	49,263		$	50,364		$	42,469		$	49,372		$	42,469
CREDIT QUALITY RATIOS
Allowance for loan and lease losses to
Nonaccrual loans		205.89	%		221.70	%		194.92	%		254.59	%		267.55	%		205.89	%		267.55	%
Nonperforming loans		197.94	%		212.42	%		187.35	%		241.41	%		252.82	%		197.94	%		252.82	%
Total ending loans		1.12	%		1.12	%		1.10	%		1.10	%		1.10	%		1.12	%		1.10	%
Nonperforming loans to total loans		0.56	%		0.53	%		0.59	%		0.45	%		0.44	%		0.56	%		0.44	%
Nonperforming assets to
Ending loans, plus OREO		0.67	%		0.65	%		0.67	%		0.56	%		0.53	%		0.67	%		0.53	%
Total assets		0.51	%		0.51	%		0.52	%		0.42	%		0.40	%		0.51	%		0.40	%

FIRST FINANCIAL BANCORP.
CAPITAL ADEQUACY

(Dollars in thousands)
(Unaudited)

																Twelve months ended,
	Dec. 31,			Sep. 30,			Jun. 30,			Mar. 31,			Dec. 31,			Dec. 31,			Dec. 31,
	2007			2007			2007			2007			2006			2007			2006
PER COMMON SHARE
Market Price
High	$	13.89		$	15.12		$	15.72		$	16.76		$	17.50		$	16.76		$	18.32
Low	$	10.12		$	10.76		$	14.43		$	14.83		$	15.52		$	10.12		$	14.20
Close	$	11.40		$	12.78		$	14.99		$	15.11		$	16.61		$	11.40		$	16.61
Average shares outstanding — basic		37,370,618			38,383,228			38,965,409			39,121,105			39,377,735			38,455,084			39,539,114
Average shares outstanding — diluted		37,370,650			38,383,228			38,967,061			39,135,637			39,395,456			38,459,138			39,562,010
Ending shares outstanding		37,367,808			37,405,433			38,883,083			39,001,843			39,245,407			37,367,808			39,245,407
REGULATORY CAPITAL	Preliminary															Preliminary
Tier 1 Capital	$	274,046		$	269,961		$	295,996		$	298,020		$	299,199		$	274,046		$	299,199
Tier 1 Ratio		10.29	%		10.18	%		11.13	%		11.57	%		11.73	%		10.29	%		11.73	%
Total Capital	$	303,103		$	299,097		$	324,056		$	325,550		$	326,779		$	303,103		$	326,779
Total Capital Ratio		11.38	%		11.27	%		12.18	%		12.64	%		12.81	%		11.38	%		12.81	%
Total Risk-Adjusted Assets	$	2,663,007		$	2,652,999		$	2,659,915		$	2,575,218		$	2,551,505		$	2,663,007		$	2,551,505
Leverage Ratio		8.26	%		8.21	%		9.04	%		9.08	%		9.02	%		8.33	%		8.76	%
OTHER CAPITAL RATIOS
Ending shareholders’ equity to ending assets		8.21	%		8.16	%		8.53	%		8.54	%		8.65	%		8.21	%		8.65	%
Ending tangible shareholders’ equity to ending tangible assets		7.41	%		7.35	%		7.71	%		7.73	%		7.69	%		7.41	%		7.69	%
Average shareholders’ equity to average assets		8.27	%		8.34	%		8.58	%		8.68	%		8.98	%		8.47	%		8.69	%
Average tangible shareholders’ equity to average tangible assets		7.47	%		7.53	%		7.76	%		7.86	%		8.04	%		7.66	%		7.77	%
REPURCHASE PROGRAM(1)
Shares repurchased		34,300			1,469,700			252,000			244,000			252,000			2,000,000			404,000
Average share repurchase price	$	13.52		$	13.00		$	15.07		$	16.11		$	16.64		$	13.65		$	16.24
Total cost of shares repurchased	$	464		$	19,105		$	3,797		$	3,931		$	4,192		$	27,297		$	6,562

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