205 DATURA STREET
                                                       WEST PALM BEACH, FL 33401
                                                       (561) 803-9900


        Fidelity Bankshares Announces Major Expansion Into Broward County

West Palm Beach,  FL,  February 3, 2006 -- Fidelity  Bankshares,  Inc.  (Nasdaq:
FFFL),  the holding company for Fidelity  Federal Bank & Trust,  announced today
the launch of a major expansion into Broward County.

The  company  has leased  more than  13,000  square feet of space in a 21-story,
Class A office  building in downtown  Fort  Lauderdale at 200 East Broward Blvd.
The facility,  located in the heart of the Fort Lauderdale  financial  district,
will be renamed the Fidelity  Federal Center and will include a loan  production
office as well as a full-service  banking facility.  The company will occupy the
space beginning March 13, 2006.

Chairman and CEO Vince Elhilow said,  "We are entering the Broward County market
in a major  way.  We believe  our strong  reputation  for  outstanding  customer
service  with new and  existing  customers  will  serve  us well in this  highly
competitive market. Our studies have shown that the opportunities for commercial
deposits  and  business  loans are even  greater in Broward  County than in Palm
Beach  County  where we have had a strong  and  growing  business  for 53 years.
Existing loan  customers  with strong  Broward ties have  encouraged  this move,
telling us they are thrilled they will now be able to expand their  relationship
with us.

"This expansion was not originally included in our operations plan for 2006. But
we moved  quickly  when the  opportunity  arose to obtain  this well  positioned
facility,  which includes three drive-through teller lanes. The branch will cost
approximately  $2.4 million annually to operate,  but we expect to break even in
about a year. To further increase convenience for our customers,  we will now be
seeking additional sites in Broward County," Elhilow said.

Elhilow continued,  "We have been gratified by the success of our two offices in
Northern  Broward  County,  which  opened in the last two weeks,  and which have
already generated more than $41 million in deposits though January."

At December 31, 2005, Fidelity Bankshares, Inc., through its subsidiary Fidelity
Federal Bank & Trust, had assets of $4.08 billion and deposits of $3.54 billion.
The company  operates in Florida  through 50 branches and three loan  production
offices in Palm Beach, Martin, Broward, Indian River and St. Lucie counties.

An   investment    profile   on   Fidelity    Bankshares   may   be   found   on
http://www.hawkassociates.com/fffl/profile.htm.

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For  more  information,  contact  Chairman  and CEO  Vince A.  Elhilow  or Chief
Financial Officer Richard D. Aldred at (561) 803-9900, or Frank Hawkins or Julie
Marshall,    Hawk    Associates,    Inc.,    at    (305)    451-1888,    e-mail:
info@hawkassociates.com.  Information  about  Fidelity  Bankshares,  Inc. can be
found on http://www.fidelityfederal.com. Fidelity Bankshares press releases, SEC
filings,  current price quotes,  stock charts and other valuable information for
investors may be found on http://www.hawkassociates.com.