EXHIBIT 99.1
NEWS
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[LOGO OF FIRST INDIANA CORPORATION]
[LOGO OF METROBANCORP]
September 4, 2002
At MetroBanCorp:
Charles V. Turean
(317) 573-2400
At First Indiana Corporation:
Beth Copeland - Media (317) 269-1395
William J. Brunner - Shareholders & Analysts
(317) 269-1614
FOR IMMEDIATE RELEASE
First Indiana Corporation Signs Agreement
to Acquire MetroBanCorp
Merger Will Give First Indiana Bank Largest Market Share of Deposits
in Fastest-Growing County in Midwest
Indianapolis - First Indiana Corporation (NASDAQ NMS - FINB), the
holding company for First Indiana Bank, N.A., announced today that it has signed
an agreement to acquire the outstanding shares of Carmel, Indiana-based
MetroBanCorp (NASDAQ SC - METB). MetroBanCorp is the holding company for
MetroBank, a $174 million bank with seven offices in suburban Indianapolis,
Carmel, Fishers, and Noblesville. Combined with First Indiana Bank's existing 10
percent market share of deposits in Hamilton County, the merger will increase
First Indiana's pro forma market share to 18 percent, the largest in Hamilton
County. Hamilton County is the fastest-growing county in the Midwest.
First Indiana Corporation to Acquire MetroBanCorp
September 4, 2002
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In the merger, MetroBanCorp shareholders will receive $17.00 in cash in
exchange for each share of MetroBanCorp stock. The purchase price amounts to 228
percent of MetroBanCorp's book value, which was $7.44 per share at June 30,
2002. The total value of the merger is currently estimated at approximately $40
million.
"Our Board of Directors chose to become part of First Indiana because
of the shared values of both of our companies," said Ike G. Batalis, President
and CEO of MetroBanCorp. "Like MetroBanCorp, First Indiana has a tradition of
local ownership and community investment, and a commitment to helping Central
Indiana grow and prosper."
"First Indiana welcomes MetroBank to its financial services family,"
said Marni McKinney, Vice Chairman and Chief Executive Officer of First Indiana
Corporation. "We look forward to continuing MetroBanCorp's tradition in Hamilton
County and the opportunity to earn the respect and trust of their employees and
clients."
The acquisition is expected to close in the first quarter of 2003 and
is subject to the approval of state and federal banking authorities and
MetroBanCorp's shareholders. The acquisition is expected to be accretive to
First Indiana's earnings per share in 2003. Upon completion of the merger, First
Indiana will have approximately $2.3 billion in assets and 33 banking centers in
Central Indiana, along with 20 additional off-site ATMs acquired from
MetroBanCorp and located primarily in convenience stores.
Ms. McKinney, Owen B. (Bud) Melton, Jr., President of First Indiana
Corporation, and William J. Brunner, Vice President of First Indiana Corporation
and Chief Financial Officer of First Indiana Bank, will host a conference call
to discuss the transaction on Thursday, September
First Indiana Corporation to Acquire MetroBanCorp
September 4, 2002
Page 3 of 4
5 at 7:30 a.m. EST (8:30 a.m. New York time). To gain access to the conference
call, please dial 1 (800) 278-9857 and ask for First Indiana Acquisition.
First Indiana Corporation is a full-service financial services company
offering comprehensive financial solutions to businesses and individuals. It is
the holding company for First Indiana Bank, N.A., the largest commercial bank
headquartered in Indianapolis, and Somerset Financial Services, an accounting
and consulting firm. Founded in 1915, First Indiana Bank is a national bank with
$2.1 billion in assets and 26 offices in Central Indiana, plus construction and
consumer loan offices in Indiana, Arizona, Florida, Illinois, North Carolina,
Oregon, and Ohio. First Indiana also originates consumer loans in 46 states
through a national independent agent network. Through Somerset Financial
Services and FirstTrust Indiana, First Indiana offers a full array of tax
planning, accounting, consulting, retirement and estate planning, and investment
advisory and trust services. Information about First Indiana is available at
(317) 269-1200, or at www.firstindiana.com, which is not a part of this news
release.
Information about MetroBanCorp is available at (317) 573-2400, or at
www.metb.com, which is not a part of this news release.
Statements contained in this news release that are not historical facts
may constitute forward-looking statements (within the meaning of Section 21E of
the Securities Exchange Act of 1934, as amended) which involve significant risks
and uncertainties. First Indiana and MetroBanCorp intend such forward-looking
statements to be covered by the Private Securities Litigation Reform Act of
1995, and are including this statement for purposes of invoking these
safe-harbor provisions. The ability to predict results or the actual effect of
future plans or strategies is inherently uncertain, and involves a number of
risks and uncertainties. In particular,
First Indiana Corporation to Acquire MetroBanCorp
September 4, 2002
Page 4 of 4
among the factors that could cause actual results to differ materially are
general economic conditions, unforeseen international political events, changes
in interest rates (including reductions or increases in lending rates
established by the Board of Governors of the Federal Reserve System), changes in
consumers' investment decisions due to shifts in interest rates, loss of
deposits and loans to other savings and financial institutions, substantial
changes in financial markets, changes in real estate values and the real estate
market, regulatory changes, or unanticipated results in pending legal
proceedings or regulatory filings. The fact that there are various risks and
uncertainties should be considered in evaluating forward-looking statements, and
undue reliance should not be placed on such statements.