EXHIBIT 99.1
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NEWS RELEASE
DATE: April 25, 2006 9:15 a.m. E.S.T.
CONTACT: Daryl R. Tressler, Chairman and CEO
MainSource Bank - 812-663-4711
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MainSource Bank and First Financial Bank
Announce Purchase and Assumption Agreement
MainSource Financial Group, Inc., Greensburg, Indiana (NASDAQ: MSFG) - Daryl R.
Tressler, Chairman and Chief Executive Officer of MainSource Bank today
announced that MainSource Bank has executed a purchase and assumption agreement
with First Financial Bank, N.A. to purchase five branch locations with one
office in each of Madison, East Enterprise and Liberty, Indiana and two offices
in Vevay, Indiana. In total, these branches comprise approximately $30 million
in loans and $56 million in deposits. MainSource Bank currently maintains a
presence in Jefferson and Switzerland Counties through three offices in Madison,
one office in Hanover, and one office in Vevay, Indiana.
The agreement calls for these offices to be merged into MainSource Bank, which
is a wholly owned subsidiary of MainSource Financial Group. The transaction,
which is expected to close in the third quarter of 2006, is subject to various
regulatory approvals. MainSource Financial Group anticipates the deal to be
accretive to earnings within the first full year of consolidation.
Mr. Tressler stated, "This acquisition is a strategic opportunity for MainSource
Bank to expand our relationships in the Madison and Vevay markets. In addition,
we are eager to expand our brand of community banking to the residents of
Liberty and East Enterprise, Indiana. This acquisition will allow MainSource
Bank to be a stronger financial institution that remains committed to community
values and local decision making."
The agreement provides that the majority of consumer and small business deposit
accounts and loans, including checking, savings, home equity, CDs and
installment loans, will be transferred to MainSource Bank. Consumers will be
notified in the coming months with the details of how their accounts will be
impacted.
MainSource Bank, Greensburg, Indiana, is a wholly-owned subsidiary of MainSource
Financial Group, Inc., a community-focused, financial holding company
headquartered in Greensburg, Indiana. MainSource Financial Group is listed on
the NASDAQ National Market (under the symbol: "MSFG"), has assets of
approximately $1.9 billion and operates 60 offices in 27 Indiana counties and
six offices in three Illinois counties through its three banking subsidiaries,
MainSource Bank, Greensburg, Indiana, MainSource Bank of Illinois, Kankakee,
Illinois, and MainSource Bank - Crawfordsville, Crawfordsville, Indiana. Through
its non-banking subsidiaries, MainSource Insurance LLC, MainSource Title LLC,
and MainSource Mortgage LLC, the Company and its banking subsidiaries provide
various related financial services.
Forward-Looking Statements
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Except for historical information contained herein, the discussion in this press
release may include certain forward-looking statements based upon management
expectations. Factors which could cause future results to differ from these
expectations include the following: general economic conditions; legislative and
regulatory initiatives; monetary and fiscal policies of the federal government;
deposit flows; the costs of funds; general market rates of interest; interest
rates on competing investments; demand for loan products; demand for financial
services; changes in accounting policies or guidelines; and changes in the
quality or composition of MainSource and its subsidiaries' loan and investment
portfolios; the timing of the closing of the transaction; the timing and success
of integration efforts once the transaction is complete; MainSource's
expectations or ability to realize success with the acquisition of branches of
First Financial Bank; and the impact of this transaction, if successful, on
MainSource's business.
The forward-looking statements included in the press release relating to certain
matters involve risks and uncertainties, including anticipated financial
performance, business prospects, and other similar matters, which reflect
management's best judgment based on factors currently known. Actual results and
experience could differ materially from the anticipated results or other
expectations expressed in MainSource's forward-looking statements as a result of
a number of factors, including but not limited to, those discussed in the press
release.
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