Independent Bank (INDB) 8-K Independent Bank Corp. Reports First Quarter Net Income of $12.3 Million

Exhibit 99.1

Independent Bank Corp. Reports First Quarter Net Income of $12.3 Million

ROCKLAND, Mass.--(BUSINESS WIRE)--April 25, 2013--Independent Bank Corp., (NASDAQ: INDB), parent of Rockland Trust Company, today announced net income for the first quarter of 2013 was $12.3 million, or $0.54 on a diluted earnings per share basis. The results of the first quarter of 2013 represent an increase of $0.09, or 20.0%, on a diluted earnings per share basis as compared to the fourth quarter of 2012. These quarters contained various items such as merger and acquisition expenses, which the Company considers to be non-core in nature. When excluding these items, net operating earnings for the first quarter were $13.3 million, or $0.58 on a diluted earnings per share basis, as compared with the prior quarter net operating earnings of $13.7 million, or $0.61 on a diluted earnings per share basis. Additionally, the Company’s net operating earnings increased by $1.1 million or 9.2%, as compared to the year ago quarter’s net operating earnings of $12.2 million.

Christopher Oddleifson, President and Chief Executive Officer of Independent Bank Corp. and Rockland Trust Company, stated: “Despite the pervasive low interest rate environment, Rockland Trust continues to perform well as a result of our customer centric approach. Our formula for success – high-touch service, state-of-the-art technology, and convenient banking options – allows our customers to bank on their terms. Our focus remains on growing long-term profitable relationships while continuing to add value for our shareholders. This quarter’s performance reflects continued progress in both of these areas.”

BALANCE SHEET

Total assets of $5.7 billion at March 31, 2013 have decreased by $35.9 million from the prior quarter and increased by $735.4 million, or 14.8%, as compared to the year ago period, inclusive of the acquisition of Central Bancorp, Inc. (“Central”) in November 2012.

Total loans of $4.5 billion at March 31, 2013, have decreased by $31.5 million when compared to the prior quarter and have increased by $617.7 million or 16.0% when compared to March 31, 2012. The commercial loan portfolio continued to grow, rising by $38.4 million, or 5.1% on an annualized basis, during the quarter. The pipeline of new originations is steadily rebuilding following the high level of closings experienced during the fourth quarter. Offsetting the growth in commercial, the residential portfolio decreased by $57.5 million, or 38.0% on an annualized basis, due to the majority of new production being sold into the secondary market, as well as elevated prepayment activity. On a year-over year basis, the loan growth in the commercial portfolio has been strong, with balances increasing 16.2%. The consumer real estate portfolio, driven by home equities, has also seen robust growth as compared to the prior year with an increase of 17.0%.

Deposits remained steady at $4.6 billion at March 31, 2013, with core deposits representing 82.9% of total deposits. The increase in deposits as compared to the first quarter of 2012, represents growth of $605.7 million, or 15.4%, as the Company continues to focus on building profitable relationships. Total cost of deposits declined slightly to 0.24% for the quarter, reflecting the Company’s continued emphasis on core deposits.

The securities portfolio of $544.8 million increased by $37.2 million during the quarter due to purchases of $79.6 million, used to strengthen balance sheet liquidity and meet collateral needs, partly offset by principal pay downs. The securities portfolio represents 9.5% of total assets at March 31, 2013 as compared to 8.8% of total assets at December 31, 2012.

Stockholders’ equity at March 31, 2013 rose to $537.6 million, an increase of 1.6% for the quarter. As compared to the year ago period, stockholders’ equity has increased by $58.7 million, or 12.3%. The Tier 1 common ratio at March 31, 2013 increased to an estimated 8.98%, as compared to 8.76% in the prior quarter. The Company’s tangible common ratio was 6.76%, representing an increase from the prior quarter’s level of 6.56%.

NET INTEREST INCOME

Net interest income was $44.9 million for the first quarter of 2013, a $617,000 decrease from the linked quarter, primarily driven by the accelerated recognition of fair value discounts from payoffs of acquired loans in the prior quarter, which had a negative impact on the margin of six basis points on a comparative basis. In addition, the Company continues to experience lower earning asset yields coupled with a limited ability to further reduce the Company’s overall cost of funds. As a result of these factors, the Company’s net interest margin decreased, as anticipated, to 3.58% for the first quarter of 2013, representing a decrease of ten basis points.

NONINTEREST INCOME

The Company recorded noninterest income of $15.7 million during the first quarter of 2013 which represents a $1.3 million, or 7.6%, decrease from the prior quarter. Significant changes in noninterest income included the following:

• Investment management income increased by $218,000, or 6.0%, as assets under administration in the investment management division continued to increase to $2.3 billion at March 31, 2013, representing growth of $98.3 million, or 4.5% as compared to the linked quarter.
• Interchange and ATM fees decreased by $266,000, or 10.3%, due to a seasonal decrease in usage by customers.
• Income from loan level derivatives associated with the Company’s commercial customers decreased by $179,000 due to reduced new loan activity during the first quarter as the Company’s new business pipeline rebuilds.
• Other noninterest income decreased by $986,000, or 36.2%, driven by the prior quarter’s inclusion of $622,000 of income associated with certain tax credits, as well as decreases in various other categories, including commercial loan fees and income on called securities.

NONINTEREST EXPENSE

The Company recorded noninterest expense of $42.9 million during the first quarter of 2013 which represents a $2.1 million, or 4.7% decrease from the prior quarter. Significant changes in noninterest expense included the following:

• Merger and acquisition expenses associated with the Central Bancorp., Inc. acquisition were $1.3 million for the first quarter, representing a decrease of $4.1 million from the linked quarter.
• Salaries and employee benefits increased by $616,000, or 2.8%, largely as a result of an increase in salaries driven by the inclusion of Central’s employee base for the full quarter, and higher payroll taxes offset by a decrease in incentive program accruals.
• Occupancy and equipment expense increased $694,000, or 15.2%, mainly due to higher snow removal costs.
• Other noninterest expenses increased by $789,000, or 7.3%, mainly due to an increase in advertising expense of $701,000 due to the timing of a new marketing campaign.

The Company generated a return on average assets and a return on average common equity in the first quarter of 2013 of 0.88% and 9.25%, respectively, as compared to 0.73% and 7.68% for the quarter ended December 31, 2012. On an operating basis the return on average assets and the return on average common equity were 0.96% and 10.04%, respectively, in the first quarter, as compared to 1.00% and 10.54% in the fourth quarter.

ASSET QUALITY

The provision for loan losses was $1.3 million for the first quarter compared to $4.4 million for the quarter ended December 31, 2012. The provision for loan losses exceeded net charge-offs in both periods as the Company continues to prudently add to loan loss reserves in line with recent loan growth trends. For the quarter, net charge-offs decreased to $1.2 million, or 0.11%, on an annualized basis of average loans as compared to $2.3 million, or 0.21%, in the prior quarter. Nonperforming loans increased by $4.3 million to $33.1 million, or 0.74% of total loans at March 31, 2013, from $28.8 million, or 0.64% of total loans at December 31, 2012. Nonperforming assets increased to $46.8 million at the end of the first quarter compared to $42.4 million in the linked quarter. Delinquency as a percentage of loans increased to 1.05% at March 31, 2013 compared to 0.82% at December 31, 2012.

The allowance for loan losses was $51.9 million at March 31, 2013, an increase of $72,000 from the prior quarter levels. The Company’s allowance for loan losses was 1.16% and 1.15% as a percentage of total loans at March 31, 2013 and December 31, 2012, respectively.

Christopher Oddleifson and Denis K. Sheahan, Chief Financial Officer, of Independent Bank Corp. and Rockland Trust Company, will host a conference call to discuss first quarter earnings at 10:00 a.m. Eastern Time on Friday, April 26, 2013. Internet access to the call is available on the Company’s website at www.RocklandTrust.com or by telephonic access by dial-in at 1-888-317-6016 reference: INDB. A replay of the call will be available by calling 1-877-344-7529. Replay Pass code: 10027151. The webcast replay will be available until April 26, 2014.

Independent Bank Corp., which has Rockland Trust Company as a wholly-owned bank subsidiary, has approximately $5.7 billion in assets. Rockland Trust offers a wide range of commercial banking products and services, retail banking products and services, business and consumer loans, insurance products and services, and investment management services. To find out why Rockland Trust is the bank Where Each Relationship Matters^®, visit www.RocklandTrust.com.

This press release contains certain “forward-looking statements” with respect to the financial condition, results of operations and business of the Company. Actual results may differ from those contemplated by these statements. The Company wishes to caution readers not to place undue reliance on any forward-looking statements. The Company disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise.

This press release contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Operating earnings, which is a non-GAAP financial measure, excludes gain or loss due to items that management believes are unrelated to its core banking business and will not have a material financial impact on operating results in future periods, such as gains or losses on the sales of securities, merger and acquisition expenses, and other items. The Company’s management uses operating earnings to measure the strength of the Company’s core banking business and to identify trends that may to some extent be obscured by such gains or losses. The Company has included information on operating earnings because management believes that investors may find it useful to have access to the same analytical tool used by management and may also find that it facilitates the comparison of the Company to other companies in the financial services industry. Non-GAAP operating earnings should not be viewed as a substitute for operating results determined in accordance with GAAP. An item which management deems to be non-core and excludes when computing non-GAAP operating earnings can be of substantial importance to the Company’s results for any particular quarter or year. The Company’s non-GAAP operating earnings are not necessarily comparable to non-GAAP performance measures which may be presented by other companies.

INDEPENDENT BANK CORP. FINANCIAL SUMMARY
										% Change		% Change
CONSOLIDATED BALANCE SHEETS	March 31,			December 31,			March 31,			Mar. 2013 vs.		Mar. 2013 vs.
(Unaudited Dollars in thousands)	2013			2012			2012			Dec. 2012		Mar. 2012
Assets
Cash and due from banks	$	70,434		$	98,144		$	57,658		-28.23	%	22.16	%
Interest earning deposits with banks		129,406			117,330			75,865		10.29	%	70.57	%
Fed funds sold		-			-			2,269		0.00	%	-100.00	%
Securities
Securities available for sale		335,693			329,286			362,109		1.95	%	-7.30	%
Securities held to maturity		209,090			178,318			200,921		17.26	%	4.07	%
Total securities		544,783			507,604			563,030		7.32	%	-3.24	%
Loans held for sale		36,790			48,187			22,846		-23.65	%	61.03	%
Loans
Commercial and industrial		702,486			687,511			599,603		2.18	%	17.16	%
Commercial real estate		2,123,778			2,122,153			1,853,711		0.08	%	14.57	%
Commercial construction		211,984			188,768			148,034		12.30	%	43.20	%
Small business		77,220			78,594			79,937		-1.75	%	-3.40	%
Total commercial		3,115,468			3,077,026			2,681,285		1.25	%	16.19	%
Residential real estate		547,649			604,668			402,910		-9.43	%	35.92	%
Residential construction		7,764			8,213			13,291		-5.47	%	-41.58	%
Home equity - 1st position		481,935			487,246			425,245		-1.09	%	13.33	%
Home equity - 2nd position		310,695			314,903			310,578		-1.34	%	0.04	%
Total consumer real estate		1,348,043			1,415,030			1,152,024		-4.73	%	17.02	%
Other consumer		23,967			26,955			36,447		-11.09	%	-34.24	%
Total loans		4,487,478			4,519,011			3,869,756		-0.70	%	15.96	%
Less - allowance for loan losses		(51,906	)		(51,834	)		(48,340	)	0.14	%	7.38	%
Net loans		4,435,572			4,467,177			3,821,416		-0.71	%	16.07	%
Federal Home Loan Bank stock		38,674			41,767			33,564		-7.41	%	15.22	%
Bank premises and equipment		55,160			55,227			49,678		-0.12	%	11.04	%
Goodwill and core deposit intangible		161,616			162,144			140,323		-0.33	%	15.17	%
Other assets		248,685			259,405			219,090		-4.13	%	13.51	%
Total assets	$	5,721,120		$	5,756,985		$	4,985,739		-0.62	%	14.75	%
Liabilities and Stockholders' Equity
Deposits
Demand deposits	$	1,199,623		$	1,248,394		$	1,015,231		-3.91	%	18.16	%
Savings and interest checking accounts		1,711,477			1,691,187			1,501,826		1.20	%	13.96	%
Money market		872,044			853,971			803,744		2.12	%	8.50	%
Time certificates of deposit		768,266			753,125			624,912		2.01	%	22.94	%
Total deposits		4,551,410			4,546,677			3,945,713		0.10	%	15.35	%
Borrowings
Federal Home Loan Bank and other borrowings		267,091			283,569			194,580		-5.81	%	37.27	%
Wholesale repurchase agreements		50,000			50,000			50,000		0.00	%	0.00	%
Customer repurchase agreements		129,618			153,359			147,678		-15.48	%	-12.23	%
Junior subordinated debentures		74,073			74,127			61,857		-0.07	%	19.75	%
Subordinated debentures		30,000			30,000			30,000		0.00	%	0.00	%
Total borrowings		550,782			591,055			484,115		-6.81	%	13.77	%
Total deposits and borrowings		5,102,192			5,137,732			4,429,828		-0.69	%	15.18	%
Other liabilities		81,353			89,933			77,048		-9.54	%	5.59	%
Stockholders' equity
Common stock		226			225			213		0.44	%	6.10	%
Additional paid in capital		270,927			269,950			235,381		0.36	%	15.10	%
Retained earnings		270,891			263,671			247,097		2.74	%	9.63	%
Accumulated other comprehensive loss, net of tax		(4,469	)		(4,526	)		(3,828	)	-1.26	%	16.75	%
Total stockholders' equity		537,575			529,320			478,863		1.56	%	12.26	%
Total liabilities and stockholders' equity	$	5,721,120		$	5,756,985		$	4,985,739		-0.62	%	14.75	%

CONSOLIDATED STATEMENTS OF INCOME	Three Months Ended
(Unaudited Dollars in thousands)										% Change		% Change
	March 31,			December 31,			March 31,			Mar. 2013 vs.		Mar. 2013 vs.
	2013			2012			2012			Dec. 2012		Mar. 2012
Interest income
Interest on fed funds sold and short term investments	$	34		$	47		$	33		-27.66	%	3.03	%
Interest and dividends on securities		3,540			3,753			4,556		-5.68	%	-22.30	%
Interest on loans		46,978			47,166			43,077		-0.40	%	9.06	%
Interest on loans held for sale		268			448			130		-40.18	%	106.15	%
Total interest income		50,820			51,414			47,796		-1.16	%	6.33	%
Interest expense
Interest on deposits		2,665			2,658			2,739		0.26	%	-2.70	%
Interest on borrowed funds		3,293			3,277			3,204		0.49	%	2.78	%
Total interest expense		5,958			5,935			5,943		0.39	%	0.25	%
Net interest income		44,862			45,479			41,853		-1.36	%	7.19	%
Less - provision for loan losses		1,300			4,350			1,600		-70.11	%	-18.75	%
Net interest income after provision for loan losses		43,562			41,129			40,253		5.92	%	8.22	%
Noninterest income
Deposit account fees		4,217			4,159			3,889		1.39	%	8.43	%
Interchange and ATM fees		2,328			2,594			2,368		-10.25	%	-1.69	%
Investment management		3,884			3,666			3,563		5.95	%	9.01	%
Mortgage banking income		2,281			2,261			1,330		0.88	%	71.50	%
Increase in cash surrender value of life insurance policies		746			903			713		-17.39	%	4.63	%
Loan level derivative income		532			711			328		-25.18	%	62.20	%
Other noninterest income		1,736			2,722			1,718		-36.22	%	1.05	%
Total noninterest income		15,724			17,016			13,909		-7.59	%	13.05	%
Noninterest expense
Salaries and employee benefits		22,715			22,099			21,436		2.79	%	5.97	%
Occupancy and equipment expenses		5,249			4,555			4,300		15.24	%	22.07	%
Data processing and facilities management		1,184			1,227			1,175		-3.50	%	0.77	%
FDIC assessment		821			878			749		-6.49	%	9.61	%
Merger and acquisition expenses		1,345			5,474			-		-75.43	%	100.00	%
Other noninterest expense		11,606			10,817			9,698		7.29	%	19.67	%
Total noninterest expense		42,920			45,050			37,358		-4.73	%	14.89	%
Income before income taxes		16,366			13,095			16,804		24.98	%	-2.61	%
Provision for income taxes		4,114			3,127			4,621		31.56	%	-10.97	%
Net income	$	12,252		$	9,968		$	12,183		22.91	%	0.57	%
Basic earnings per share	$	0.54		$	0.45		$	0.57		20.00	%	-5.26	%
Diluted earnings per share	$	0.54		$	0.45		$	0.56		20.00	%	-3.57	%
Basic average shares		22,823,753			22,286,841			21,561,006
Diluted average shares		22,869,793			22,318,343			21,585,487
Performance ratios
Net interest margin (FTE)		3.58	%		3.68	%		3.82	%
Return on average assets		0.88	%		0.73	%		1.00	%
Return on average common equity		9.25	%		7.68	%		10.31	%
Reconciliation table - non-GAAP financial information
Net income	$	12,252		$	9,968		$	12,183		22.91	%	0.57	%
Noninterest income components
Less - gain on sale of securities, net of tax		-			(3	)		-
Noninterest expense components
Add - prepayment fees on borrowings, net of tax		-			4			-
Add - severance, net of tax		192			-			-
Add - merger & acquisition expenses, net of tax		856			3,710			-
Net operating earnings	$	13,300		$	13,679		$	12,183		-2.77	%	9.17	%
Diluted earnings per share, on an operating basis	$	0.58		$	0.61		$	0.56		-4.92	%	3.57	%

Reconciliation table - non-GAAP financial information
(Unaudited Dollars in thousands)	Three Months Ended
										% Change			% Change
	March 31,			December 31,			March 31,			Mar. 2013 vs.			Mar. 2013 vs.
	2013			2012			2012			Dec. 2012			Mar. 2012
Noninterest income GAAP	$	15,724		$	17,016		$	13,909			-7.59	%		13.05	%
Less - net gain on sale of securities		-			(5	)		-			100.00	%		n/a
Total noninterest income as adjusted	$	15,724		$	17,011		$	13,909			-7.57	%		13.05	%
Noninterest expense GAAP	$	42,920		$	45,050		$	37,358			-4.73	%		14.89	%
Less - prepayment fee on borrowings		-			(7	)		-			100.00	%		n/a
Less - severance		(325	)		-			-			-100.00	%		-100.00	%
Less - merger and acquisition expenses		(1,345	)		(5,474	)		-			-75.43	%		-100.00	%
Total noninterest expense as adjusted	$	41,250		$	39,569		$	37,358			4.25	%		10.42	%
Asset quality	Nonperforming Assets									Net Charge-Offs
	At									For the Three Months Ending
	March 31,			December 31,			March 31,			March 31,			December 31,			March 31,
	2013			2012			2012			2013			2012			2012
Nonperforming loans
Commercial & industrial loans	$	3,188		$	2,666		$	2,429		$	287			($326	)		($185	)
Commercial real estate loans		9,355			6,574			15,015			407			990			604
Small business loans		680			570			544			106			197			118
Residential real estate loans		11,950			11,472			10,465			61			581			109
Home equity		7,687			7,311			2,773			256			646			737
Other consumer		231			173			420			111			174			137
Total Nonperforming Loans / Total Net Charge-offs	$	33,091		$	28,766		$	31,646		$	1,228		$	2,262		$	1,520
Nonaccrual securities		1,903			1,511			1,400
Other assets in possession		176			176			92
Other real estate owned		11,645			11,974			7,598
Total nonperforming assets	$	46,815		$	42,427		$	40,736
Nonperforming loans/gross loans		0.74	%		0.64	%		0.82	%
Allowance for loan losses/nonperforming loans		156.86	%		180.19	%		152.75	%
Gross loans/total deposits		98.60	%		99.39	%		98.07	%
Allowance for loan losses/total loans		1.16	%		1.15	%		1.25	%
Net charge-offs to average loans (quarter annualized)											0.11	%		0.21	%		0.16	%
	Troubled Debt Restructurings
	At
	March 31,			December 31,			March 31,
	2013			2012			2012
Troubled debt restructurings on accrual status	$	41,682		$	46,764		$	38,006
Troubled debt restructurings on nonaccrual status		8,748			6,554			9,189
Total troubled debt restructurings	$	50,430		$	53,318		$	47,195
	Three Months Ending			Three Months Ending			Three Months Ending
	March 31,			December 31,			March 31,
Nonperforming assets reconciliation	2013			2012			2012
Nonperforming assets beginning balance	$	42,427		$	41,529		$	37,149
New to Nonperforming		10,243			6,927			8,803
Loans charged-off		(1,574	)		(3,053	)		(1,944	)
Loans paid-off		(2,402	)		(2,438	)		(1,172	)
Loans transferred to other real estate owned/other assets		(771	)		(1,632	)		(1,503	)
Loans restored to accrual status		(1,096	)		(2,194	)		(1,870	)
New to other real estate owned		771			1,632			1,503
Acquired other real estate owned		-			2,633			-
Sale of other real estate owned		(918	)		(1,281	)		(1,587	)
Other		135			304			1,357
Nonperforming assets ending balance	$	46,815		$	42,427		$	40,736
	March 31,			December 31,			March 31,
Financial ratios	2013			2012			2012
Book value per common share	$	23.50		$	23.24		$	22.16
Tangible common book value per share (proforma to include
the tax deductibility of goodwill) - non-GAAP	$	17.31		$	17.00		$	16.59
Tangible common capital/tangible assets		6.76	%		6.56	%		6.99	%
Tangible common capital/tangible asset (proforma to include
the tax deductibility of goodwill) - non-GAAP		7.09	%		6.90	%		7.37	%
Capital adequacy
Tier one leverage capital ratio (1)		8.51	%		8.65	%		8.77	%
Tier one common ratio (1)		8.98	%		8.76	%		9.18	%
(1) Estimated number for March 31, 2013

INDEPENDENT BANK CORP. SUPPLEMENTAL FINANCIAL INFORMATION
(Unaudited - Dollars in thousands)	Three Months Ended
	March 31, 2013						December 31, 2012						March 31, 2012
			Interest						Interest							Interest
	Average		Earned/		Yield/		Average		Earned/		Yield/			Average		Earned/		Yield/
	Balance		Paid		Rate		Balance		Paid		Rate			Balance		Paid		Rate
Interest-earning assets
Interest earning deposits with banks, federal funds sold, and short term investments	$	53,149	$	34	0.26	%	$	79,894	$	47	0.23	%		$	53,228	$	33	0.25	%
Securities
Trading assets		-		-	-			-		-	-				5,490		38	2.78	%
Taxable investment securities		523,550		3,529	2.73	%		509,289		3,742	2.92	%			530,323		4,489	3.40	%
Nontaxable investment securities (1)		916		18	7.97	%		915		19	8.26	%			2,493		49	7.91	%
Total securities		524,466		3,547	2.74	%		510,204		3,761	2.93	%			538,306		4,576	3.42	%
Loans held for sale		41,890		268	2.59	%		48,091		448	3.71	%			17,189		130	3.04	%
Loans
Commercial and industrial		693,284		6,838	4.00	%		666,606		6,666	3.98	%			579,087		5,901	4.10	%
Commercial real estate (1)		2,121,824		23,729	4.54	%		2,027,330		24,702	4.85	%			1,848,121		22,734	4.95	%
Commercial construction		199,303		2,016	4.10	%		182,293		1,882	4.11	%			142,729		1,543	4.35	%
Small business		77,688		1,060	5.53	%		78,719		1,120	5.66	%			78,706		1,137	5.81	%
Total commercial		3,092,099		33,643	4.41	%		2,954,948		34,370	4.63	%			2,648,643		31,315	4.76	%
Residential real estate		572,715		5,837	4.13	%		514,605		5,055	3.91	%			410,604		4,466	4.37	%
Residential construction		7,902		81	4.16	%		8,419		87	4.11	%			11,622		130	4.50	%
Home equity		797,204		7,094	3.61	%		797,792		7,289	3.63	%			717,620		6,660	3.73	%
Total consumer real estate		1,377,821		13,012	3.83	%		1,320,816		12,431	3.74	%			1,139,846		11,256	3.97	%
Other consumer		25,884		561	8.79	%		27,490		615	8.90	%			38,698		771	8.01	%
Total loans		4,495,804		47,216	4.26	%		4,303,254		47,416	4.38	%			3,827,187		43,342	4.55	%
Total interest-earning assets	$	5,115,309	$	51,065	4.05	%	$	4,941,443	$	51,672	4.16	%		$	4,435,910	$	48,081	4.36	%
Cash and due from banks		68,653						70,404							58,226
Federal Home Loan Bank stock		41,045						38,201							35,275
Other assets		420,470						405,179							367,401
Total assets	$	5,645,477					$	5,455,227						$	4,896,812
Interest-bearing liabilities
Deposits
Savings and interest checking accounts	$	1,612,395	$	707	0.18	%	$	1,548,798	$	729	0.19	%		$	1,424,455	$	697	0.20	%
Money market		868,405		578	0.27	%		842,574		586	0.28	%			769,891		639	0.33	%
Time deposits		758,504		1,380	0.74	%		697,599		1,343	0.77	%			626,478		1,403	0.90	%
Total interest-bearing deposits	$	3,239,304	$	2,665	0.33	%	$	3,088,971	$	2,658	0.34	%		$	2,820,824	$	2,739	0.39	%
Borrowings
Federal Home Loan Bank and other borrowings	$	279,258	$	1,420	2.06	%	$	253,758	$	1,398	2.19	%		$	226,365	$	1,344	2.39	%
Wholesale repurchase agreements		50,000		286	2.32	%		50,000		292	2.32	%			50,000		289	2.32	%
Customer repurchase agreements		147,966		49	0.13	%		176,624		57	0.13	%			158,489		110	0.28	%
Junior subordinated debentures		74,104		999	5.47	%		68,587		983	5.70	%			61,857		920	5.98	%
Subordinated debentures		30,000		539	7.29	%		30,000		547	7.25	%			30,000		541	7.25	%
Total borrowings	$	581,328	$	3,293	2.30	%	$	578,969	$	3,277	2.25	%		$	526,711	$	3,204	2.45	%
Total interest-bearing liabilities	$	3,820,632	$	5,958	0.63	%	$	3,667,940	$	5,935	0.64	%		$	3,347,535	$	5,943	0.71	%
Demand deposits		1,200,810						1,178,975							985,455
Other liabilities		86,769						92,158							88,598
Total liabilities	$	5,108,211					$	4,939,073						$	4,421,588
Stockholders' equity		537,266						516,154							475,224
Total liabilities and stockholders' equity	$	5,645,477					$	5,455,227						$	4,896,812
Net interest income			$	45,107					$	45,737						$	42,138
Interest rate spread (2)					3.42	%					3.53	%						3.65	%
Net interest margin (3)					3.58	%					3.68	%						3.82	%
Supplemental Information
Total deposits, including demand deposits	$	4,440,114	$	2,665			$	4,267,946	$	2,658				$	3,806,279	$	2,739
Cost of total deposits					0.24	%					0.25	%						0.29	%
Total funding liabilities, including demand deposits	$	5,021,442	$	5,958			$	4,846,915	$	5,935				$	4,332,990	$	5,943
Cost of total funding liabilities					0.48	%					0.49	%						0.55	%

(1) The total amount of adjustment to present interest income and yield on a fully tax-equivalent basis is $245,000, $258,000, and $285,000 for the three months ended March 31, 2013, December 31, 2012, and March 31, 2012, respectively.

(2) Interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities.

(3) Net interest margin represents annualized net interest income as a percentage of average interest-earning assets.

CONTACT:
Independent Bank Corp.
Chris Oddleifson, 781-982-6660
President and
Chief Executive Officer
or
Denis K. Sheahan, 781-982-6341
Chief Financial Officer