Exhibit 99.1

FOR IMMEDIATE RELEASE

MEDIA CONTACT:	Sue Atkinson, 615-320-7532
FINANCIAL CONTACT:	Harold Carpenter, 615-744-3742
WEBSITE:	www.pnfp.com

PINNACLE FINANCIAL REPORTS
SECOND QUARTER 2010 RESULTS

     NASHVILLE, Tenn., July 20, 2010 – Pinnacle Financial Partners, Inc. (Nasdaq/NGS: PNFP) today reported its second quarter results. Loss per fully diluted common share available to common stockholders was $0.85 for the quarter ended June 30, 2010, compared to loss per fully diluted common share available to common stockholders for the quarter ended June 30, 2009 of $1.33. Pinnacle also reported a loss per fully diluted common share available to common stockholders of $1.02 for the six months ended June 30, 2010, compared to a loss per fully diluted common share of $1.34 for the six months ended June 30, 2009.

     The second quarter 2010 results reflect tax expense of $5.6 million, compared to a tax benefit of $23.0 million for the second quarter of 2009. The tax expense in the second quarter of 2010 is primarily the result of a non-cash charge of approximately $17.4 million, or approximately $0.53 per fully diluted common share, to record a valuation allowance for deferred tax assets. During the second quarter of 2010, the company recorded the valuation allowance pursuant to accounting rules. This charge does not preclude Pinnacle from carrying back available current year operating losses to obtain refunds from prior periods.

     “During the second quarter, we continued our two primary initiatives – aggressively dealing with problem loans while enhancing the core earnings capacity of the firm,” said M. Terry Turner, Pinnacle’s president and chief executive officer. “This quarter was impacted by a significant non-cash tax charge that we will potentially recover at some point in the future. Additionally, this quarter reflects significant credit costs incurred both through increased charge-offs and expenses associated with foreclosed properties. We believe the Nashville market is well positioned to begin the process of recovery and that our capital and liquidity

position will enable us to take advantage of local market opportunities as they begin to present themselves.”

Aggressively Dealing with Problem Loans

• $68.8 million in nonperforming asset resolutions during the second quarter compared to $33.6 million in the first quarter 2010

• $33.3 million in foreclosures during the second quarter

• $33.5 million in net charge-offs during the second quarter

• Built allowance for loan losses from 2.59 percent at March 31, 2010 to 2.61 percent at June 30, 2010

• Reduced exposure to construction and land development loans from $486.3 million at March 31, 2010, to $411.5 million at June 30, 2010

     “We have taken a number of steps to reduce the impact of problem loans,” said Turner. “That said, we believe our nonperforming asset and charge-off levels will remain elevated for the next several quarters until we realize the full benefit of our actions. This year we have significantly increased the capacity of our problem asset resolution group and have added several experienced workout officers to that group. Their charge is to reduce troubled assets such that we minimize the resulting losses from these assets. We also continue to have capital and liquidity positions which give us the capacity to resolve credit-related matters.”

Expanding the Core Earnings Capacity of the Firm

• Continued double digit annualized growth in core deposits of 15.8 percent during the second quarter.

• Net interest margin increased from 2.75 percent for the quarter ended June 30, 2009, to 3.23 percent for the quarter ended June 30, 2010.

• Net interest income increased by 17.0 percent between the second quarter of 2010 and second quarter of 2009.

     “Growing core deposits at a 15.8 percent rate and increasing our net interest margin by 48 basis points over the same quarter last year reflect our ability to continue to expand the core earnings capacity of our firm even in this difficult environment,” Turner said.

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SECOND QUARTER 2010 HIGHLIGHTS:

• Capital

o At June 30, 2010, and Dec. 31, 2009, Pinnacle’s ratio of tangible common stockholders’ equity to tangible assets was 7.1 percent. Pinnacle’s tangible book value per common share was $10.04 at June 30, 2010, compared to $10.71 at Dec. 31, 2009. Book value per common share was $17.61 and $18.41 at June 30, 2010, and Dec. 31, 2009, respectively.

o At June 30, 2010, Pinnacle’s total risk-based capital ratio was 14.8 percent, compared to 14.8 percent at Dec. 31, 2009.

• Balance sheet and Liquidity

o Total deposits at June 30, 2010, were $3.85 billion, up $91.96 million from $3.76 billion at June 30, 2009.

o Core deposits amounted to $2.77 billion at June 30, 2010, an increase of 32.1 percent from the $2.10 billion at June 30, 2009. Core deposits also increased by an annual growth rate of 15.8 percent during the second quarter.

o Loans at June 30, 2010, were $3.33 billion, down from $3.54 billion at June 30, 2009, and $3.56 billion at Dec. 31, 2009.

• Operating results

o Revenue for the quarter ended June 30, 2010, amounted to $46.27 million, compared to $41.11 million for the same quarter of last year, an increase of 12.5 percent or $5.16 million for the second quarter of 2010.

o Net loss available to common stockholders for the second quarter of 2010 was $27.87 million, compared to the prior year’s second quarter net loss available to common stockholders of $33.25 million and first quarter 2010 net loss available to common stockholders of $5.37 million.

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• Credit quality

o Net charge-offs were $33.46 million for the three months ended June 30, 2010, compared to $44.58 million for the three months ended June 30, 2009, and $15.12 million for the first quarter of 2010.

o Nonperforming loans plus other real estate were 4.77 percent of total loans plus other real estate at June 30, 2010, compared to 4.45 percent at March 31, 2010, and 4.29 percent at Dec. 31, 2009.

o Past due loans over 30 days, excluding nonperforming loans, were 0.66 percent of total loans at June 30, 2010, compared to 1.54 percent at March 31, 2010, and 0.46 percent at Dec. 31, 2009.

     “Client acquisition continues to be strong as evidenced by the double-digit growth in core deposits. Loan demand remained soft during the second quarter and we continue to believe it will remain soft for the balance of the year,” said Turner.

     Additionally, the Nashville-Davidson-Murfreesboro-Franklin, Tenn. MSA has been recently selected as the site for several corporate expansion projects. These include the construction of a new manufacturing facility in Smyrna, Tenn. for batteries to supply Nissan’s new electric vehicle which is anticipated to employ up to 1,300 before the end of 2012. Three other expansion projects that have been announced are expected to create approximately 1,000 jobs over the next few years. The construction of Nashville’s new $600 million downtown convention center continues to progress with expected opening in late 2012 or early 2013. Nashville also saw its unemployment figures decline to 9.0 percent and its median home values increase during the second quarter of 2010.

CREDIT QUALITY

• Allowance for loan losses represented 2.61 percent of total loans at June 30, 2010, compared to 2.58 percent at Dec. 31, 2009, and 1.86 percent at June 30, 2009.

• Provision for loan losses was $30.51 million for the second quarter of 2010, compared to $65.32 million for the second quarter of 2009.

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     “During the second quarter, we experienced net charge-offs of approximately $33.5 million, including $21.5 million in our construction and development loan portfolio,” Turner said. “Over the last several quarters we have experienced significant charge-offs as well as other expenses associated with the maintenance and disposition of foreclosed residential real estate development properties. Our goal is to continue to aggressively reduce both the size of and losses attributable to this portfolio.”

     The following is a summary of the activity in various nonperforming asset and restructured accruing loan categories for the quarter ended June 30, 2010:

			Payments,
	Balances		Sales and				Balances
(in thousands)	March 31, 2010		Reductions		Increases		June 30, 2010
Restructured accruing loans:
Residential construction and development	$	223	$	—	$	—	$	223
Other		9,311		3,195		4,522		10,638
Totals		9,534		3,195		4,522		10,861
Nonperforming loans:
Residential construction and development		58,693		32,127		13,542		40,108
Other		72,688		52,642		58,177		78,223
Totals		131,381		84,769		71,719		118,331
Other real estate:
Residential construction and development		19,332		9,823		19,815		29,324
Other		5,372		5,553		13,473		13,292
Totals		24,704		15,376		33,288		42,616
Total nonperforming assets and restructured accruing loans	$	165,619	$	103,340	$	109,529	$	171,808

REVENUE

• Net interest income for the second quarter of 2010 was $35.70 million, compared to $30.51 million for the same quarter last year, an increase of 17.0 percent.

o Net interest margin for the second quarter of 2010 was 3.23 percent, compared to 2.75 percent for the same period last year.

• Noninterest income for the second quarter of both 2010 and 2009 was $10.6 million. Excluding pre-tax gains on sales of investment securities of $2.26 and $2.12 million, respectively, noninterest income for the second quarter of 2010 was $8.31 million, a 2.1 percent decrease from the $8.49 million recorded during the same quarter in 2009.

     “Absent increased credit costs, our net interest margin has increased consistently over the last several quarters,” said Harold Carpenter, Pinnacle’s chief financial officer. “Our second quarter net interest margin was impacted negatively by increased nonperforming assets and interest reversals of $1.2 million, which were more than anticipated. We continue

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to be pleased with growth in core funding, as we believe that core deposit growth will be an important source of continued improvement in our margins for the next several quarters.”

     Net interest income was $35.70 million during the second quarter of 2010, which represented an increase of 17.0 percent over the second quarter of 2009. The increase in net interest income was primarily attributable to less expensive funding sources. The continued funding shift from time deposits to money market accounts also contributed to the increase in net interest income during the second quarter of 2010 compared to the same quarter last year.

     The decrease in noninterest income was largely driven by a decrease in mortgage loan originations occurring during the second quarter of 2010 as compared to the second quarter of 2009. During the second quarter of 2010, Pinnacle’s mortgage origination unit sold $92 million of mortgage loans, compared to $121 million sold during the fourth quarter of 2009 and $213 million during the second quarter of 2009. Gross fees on these loan sales were $1.68 million in the second quarter of 2010, compared to $1.88 million in the fourth quarter of 2009 and $3.03 million in the second quarter of 2009.

NONINTEREST EXPENSE

• Noninterest expense for the quarter ended June 30, 2010, was $36.49 million, compared to $36.17 million in the first quarter of 2010 and $30.6 million in the second quarter of 2010.

• Compensation expense was $15.85 million during the second quarter of 2010, compared to $17.00 million during the first quarter of 2010 and $12.68 million during the second quarter of 2009.

• Included in noninterest expense for the second quarter of 2010 was $7.41 million in other real estate expenses, compared to $3.9 million in the second quarter of 2009. First quarter 2010 other real estate expense was approximately $5.40 million.

     “Noninterest expenses for the second quarter of 2010, exclusive of the $7.4 million of ORE expenses, decreased from the first quarter of 2010 by approximately $1.7 million,” Carpenter said. “These decreases were driven primarily by reduced incentive accruals and broad reductions in various other expense categories.”

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     Carpenter also noted that with the opening of its new 100 Oaks office in April 2010, the firm’s distribution system was substantially complete in the Nashville MSA. With respect to Knoxville, the firm has plans to construct two more facilities over the next two years.

WEBCAST AND CONFERENCE CALL INFORMATION

     Pinnacle will host a webcast and conference call at 8:30 a.m. (CDT) on Wednesday, July 21, 2010, to discuss second quarter 2010 results and other matters. To access the call for audio only, please call 1-877-602-7944. For the presentation and streaming audio, please access the webcast on the investor relations page of Pinnacle’s website at www.pnfp.com.

     For those unable to participate in the webcast, the webcast will be archived on the investor relations page of Pinnacle’s website at www.pnfp.com for 90 days following the presentation.

     Pinnacle Financial Partners provides a full range of banking, investment, mortgage and insurance products and services designed for small- to mid-sized businesses and their owners, real estate professionals and individuals interested in a comprehensive relationship with their financial institution. Comprehensive wealth management services, such as financial planning and trust, help clients increase, protect and distribute their assets.

     The firm began operations in a single downtown Nashville location in Oct. 2000 and has since grown to over $4.9 billion in assets at June 30, 2010. In 2007, Pinnacle launched an expansion into Knoxville, another high growth MSA. At June 30, 2010, Pinnacle is the second-largest bank holding company headquartered in Tennessee, with 31 offices in eight Middle Tennessee counties and three in Knoxville. The firm was also added to Standard & Poor’s SmallCap 600 index in 2009.

     Additional information concerning Pinnacle can be accessed at www.pnfp.com.

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Certain of the statements in this release may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The words “expect,” “anticipate,” “goal,” “objective,” “intend,” “plan,” “believe,” ”should,” “seek,” ”estimate” and similar expressions are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking. All forward-looking statements are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of Pinnacle to differ materially from any results expressed or implied by such forward-looking statements. Such factors include, without limitation, (i) deterioration in the financial condition of borrowers resulting in significant increases in loan losses and provisions for those losses; (ii) continuation of the historically low short-term interest rate environment; (iii) the continued reduction of Pinnacle Financial’s loan balances, and conversely, the

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inability of Pinnacle Financial to ultimately grow its loan portfolio in the Nashville-Davidson-Murfreesboro-Franklin MSA and the Knoxville MSA; (iv) changes in loan underwriting, credit review or loss reserve policies associated with economic conditions, examination conclusions, or regulatory developments; (v) increased competition with other financial institutions; (vi) greater than anticipated deterioration or lack of sustained growth in the national or local economies including the Nashville-Davidson-Murfreesboro-Franklin MSA and the Knoxville MSA, particularly in commercial and residential real estate markets; (vii) rapid fluctuations or unanticipated changes in interest rates; (viii) the results of regulatory examinations; (ix) the development of any new market other than Nashville or Knoxville; (x) a merger or acquisition; (xi) any matter that would cause Pinnacle Financial to conclude that there was impairment of any asset, including intangible assets; (xii) the impact of governmental restrictions on entities participating in the Capital Purchase Program, of the U.S. Department of the Treasury (the “Treasury”); (xiii) further deterioration in the valuation of other real estate owned; (xiv) inability to comply with regulatory capital requirements and to secure any required regulatory approvals for capital actions; and (xv) changes in state and federal legislation, regulations or policies applicable to banks and other financial service providers, including regulatory or legislative developments arising out of current unsettled conditions in the economy, including passage and implementation of the Dodd-Frank Wall Street Reform and Consumer Protection Act; and (xvi) Pinnacle Financial recording a further valuation allowance related to its deferred tax asset. A more detailed description of these and other risks is contained in Pinnacle Financial’s most recent annual report on Form 10-K filed with the Securities and Exchange Commission on February 26, 2010 and most recent quarterly report on Form 10-Q filed with the Securities and Exchange Commission on May 7, 2010. Many of such factors are beyond Pinnacle Financial’s ability to control or predict, and readers are cautioned not to put undue reliance on such forward-looking statements. Pinnacle Financial disclaims any obligation to update or revise any forward-looking statements contained in this release, whether as a result of new information, future events or otherwise.

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PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS – UNAUDITED

	June 30, 2010			December 31, 2009
ASSETS
Cash and noninterest-bearing due from banks	$	58,740,749		$	55,651,737
Interest-bearing due from banks		154,124,605			19,338,499
Federal funds sold and other		5,839,609			41,611,838
Short-term discount notes		19,999,527			50,000,000
Cash and cash equivalents		238,704,490			166,602,074
Securities available-for-sale, at fair value		902,795,231			931,012,091
Securities held-to-maturity (fair value of $4,634,598 and $6,737,336 at June 30, 2010 and December 31, 2009, respectively)		4,500,354			6,542,496
Mortgage loans held-for-sale		21,816,946			12,440,984
Loans		3,333,899,762			3,563,381,741
Less allowance for loan losses		(87,106,983	)		(91,958,789	)
Loans, net		3,246,792,779			3,471,422,952
Premises and equipment, net		82,739,008			80,650,936
Other investments		41,199,644			40,138,660
Accrued interest receivable		17,390,199			19,083,468
Goodwill		244,096,729			244,107,086
Core deposit and other intangible assets		12,194,089			13,686,091
Other real estate owned		42,615,866			29,603,439
Other assets		103,632,928			113,520,727
Total assets	$	4,958,478,263		$	5,128,811,004
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deposits:
Noninterest-bearing	$	529,867,447		$	498,087,015
Interest-bearing		527,143,944			483,273,551
Savings and money market accounts		1,339,161,225			1,198,012,445
Time		1,457,227,769			1,644,226,290
Total deposits		3,853,400,385			3,823,599,301
Securities sold under agreements to repurchase		159,490,197			275,465,096
Federal Home Loan Bank advances		131,477,454			212,654,782
Subordinated debt		97,476,000			97,476,000
Accrued interest payable		5,855,440			6,555,801
Other liabilities		28,863,650			12,039,843
Total liabilities		4,276,563,126			4,427,790,823
Stockholders’ equity:
Preferred stock, no par value; 10,000,000 shares authorized; 95,000 shares issued and outstanding at June 30, 2010 and December 31, 2009		90,127,092			89,462,633
Common stock, par value $1.00; 90,000,000 shares authorized; 33,421,741 issued and outstanding at June 30, 2010 and 33,029,719 issued and outstanding at December 31, 2009		33,421,741			33,029,719
Common stock warrants		3,348,402			3,348,402
Additional paid-in capital		527,003,530			524,366,603
Retained earnings		10,146,029			43,372,743
Accumulated other comprehensive income, net of taxes		17,868,343			7,440,081
Stockholders’ equity		681,915,137			701,020,181
Total liabilities and stockholders’ equity	$	4,958,478,263		$	5,128,811,004

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS – UNAUDITED

	Three Months Ended						Six Months Ended						Three Months Ended
	June 30,						June 30,						Dec. 31,
	2010			2009			2010			2009			2009
Interest income:
Loans, including fees	$	40,323,693		$	39,626,873		$	81,398,800		$	78,152,618		$	42,452,503
Securities:
Taxable		8,058,265			8,393,225			17,145,853			17,480,912			8,968,012
Tax-exempt		1,985,946			1,573,470			4,036,199			3,048,124			1,798,206
Federal funds sold and other		560,611			434,684			1,037,753			864,924			509,074
Total interest income		50,928,515			50,028,252			103,618,605			99,546,578			53,727,795
Interest expense:
Deposits		12,925,139			16,420,194			26,388,954			34,153,979			13,875,334
Securities sold under agreements to repurchase		364,648			423,274			916,961			784,061			541,710
Federal Home Loan Bank advances and other borrowings		1,941,437			2,672,595			4,055,492			5,396,097			2,279,986
Total interest expense		15,231,224			19,516,063			31,361,407			40,334,137			16,697,030
Net interest income		35,697,291			30,512,189			72,257,198			59,212,441			37,030,765
Provision for loan losses		30,508,685			65,320,390			43,734,605			78,929,925			15,694,281
Net interest income after provision for loan losses		5,188,606			(34,808,201	)		28,522,593			(19,717,484	)		21,336,484
Noninterest income:
Service charges on deposit accounts		2,429,200			2,568,429			4,794,511			5,045,380			2,595,064
Investment services		1,315,263			1,078,282			2,551,646			1,932,385			1,136,657
Insurance sales commissions		904,359			919,342			2,003,378			2,224,551			894,990
Gain on loans and loan participations sold, net		918,703			1,633,342			1,481,301			2,921,114			1,107,875
Net gain on sale of investment securities		2,259,124			2,116,095			2,623,674			6,462,241			—
Trust fees		754,515			641,646			1,651,088			1,299,354			705,906
Other noninterest income		1,987,990			1,645,290			3,949,202			3,852,924			1,736,093
Total noninterest income		10,569,154			10,602,426			19,054,800			23,737,949			8,176,585
Noninterest expense:
Salaries and employee benefits		15,847,121			12,676,044			32,851,647			27,427,093			15,037,236
Equipment and occupancy		5,492,406			4,310,934			10,858,593			8,546,262			5,064,152
Other real estate owned		7,411,206			3,913,628			12,813,359			4,614,223			8,392,630
Marketing and other business development		793,696			466,201			1,547,614			905,717			1,116,173
Postage and supplies		700,505			829,548			1,434,044			1,659,686			754,651
Amortization of intangibles		746,001			1,164,534			1,492,002			1,923,067			773,760
Other noninterest expense		5,500,424			7,245,521			11,660,655			10,773,386			4,309,075
Total noninterest expense		36,491,359			30,606,410			72,657,914			55,849,434			35,447,677
Loss before income taxes		(20,733,599	)		(54,812,185	)		(25,080,521	)		(51,828,969	)		(5,934,608	)
Income tax expense (benefit)		5,630,431			(23,036,434	)		5,106,734			(22,143,426	)		(3,467,354	)
Net loss		(26,364,030	)		(31,775,751	)		(30,187,255	)		(29,685,543	)		(2,467,254	)
Preferred dividends		1,200,694			1,200,694			2,388,194			2,388,194			1,213,889
Accretion on preferred stock discount		306,466			269,612			664,459			528,954			294,927
Net loss available to common stockholders	$	(27,871,190	)	$	(33,246,057	)	$	(33,239,908	)	$	(32,602,691	)	$	(3,976,070	)
Per share information:
Basic net loss per common share available to common stockholders	$	(0.85	)	$	(1.33	)	$	(1.02	)	$	(1.34	)	$	(0.12	)
Diluted net loss per common share available to common stockholders	$	(0.85	)	$	(1.33	)	$	(1.02	)	$	(1.34	)	$	(0.12	)
Weighted average shares outstanding:
Basic		32,675,221			24,965,291			32,616,943			24,242,160			32,502,101
Diluted		32,675,221			24,965,291			32,616,943			24,242,160			32,502,101

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED

	Three months ended							Three months ended
(dollars in thousands)	June 30, 2010							June 30, 2009
	Average							Average
	Balances		Interest		Rates/Yields			Balances		Interest		Rates/Yields
Interest-earning assets:
Loans (1)	$	3,418,928	$	40,324		4.74	%	$	3,517,254	$	39,627		4.52	%
Securities:
Taxable		760,338		8,058		4.25	%		752,302		8,393		4.47	%
Tax-exempt (2)		202,063		1,986		5.20	%		159,890		1,573		5.21	%
Federal funds sold and other		146,142		561		1.65	%		93,557		435		2.01	%
Total interest-earning assets		4,527,471	$	50,929		4.58	%		4,523,003	$	50,028		4.49	%
Nonearning assets
Intangible assets		256,753							259,954
Other nonearning assets		212,224							218,532
Total assets	$	4,996,448						$	5,001,489
Interest-bearing liabilities:
Interest-bearing deposits:
Interest checking	$	531,157	$	901		0.68	%	$	359,330	$	469		0.52	%
Savings and money market		1,286,115		4,538		1.42	%		774,255		2,415		1.25	%
Certificates of deposit		1,495,347		7,486		2.01	%		2,146,495		13,536		2.53	%
Total interest-bearing deposits		3,312,619		12,925		1.57	%		3,280,080		16,420		2.01	%
Securities sold under agreements to repurchase		210,798		365		0.69	%		243,765		423		0.70	%
Federal Home Loan Bank advances and other borrowings		147,491		1,059		2.88	%		255,263		1,615		2.52	%
Subordinated debt		97,476		882		3.63	%		97,476		1,058		4.39	%
Total interest-bearing liabilities		3,768,384		15,231		1.62	%		3,876,584		19,516		2.02	%
Noninterest-bearing deposits		504,354		—		—			455,709		—		—
Total deposits and interest-bearing liabilities		4,272,738	$	15,231		1.43	%		4,332,293	$	19,516		1.81	%
Other liabilities		19,524							19,404
Stockholders’ equity		704,186							649,792
Total liabilities and stockholders’ equity	$	4,996,448						$	5,001,489
Net interest income			$	35,697						$	30,512
Net interest spread (3)						2.96	%						2.47	%
Net interest margin (4)						3.23	%						2.75	%

(1)	Average balances of nonperforming loans are included in the above amounts.
(2)	Yields computed on tax-exempt instruments on a tax equivalent basis.
(3)	Yields realized on interest-bearing assets less the rates paid on interest-bearing liabilities. The net interest spread calculation excludes the impact of demand deposits. Had the impact of demand deposits been included, the net interest spread for the quarter ended June 30, 2010 would have been 3.15% compared to a net interest spread of 2.68% for the quarter ended June 30, 2009.
(4)	Net interest margin is the result of annualized net interest income calculated on a tax equivalent basis divided by average interest-earning assets for the period.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
ANALYSIS OF INTEREST INCOME AND EXPENSE, RATES AND YIELDS-UNAUDITED

	Six months ended							Six months ended
(dollars in thousands)	June 30, 2010							June 30, 2009
	Average							Average
	Balances		Interest		Rates/Yields			Balances		Interest		Rates/Yields
Interest-earning assets:
Loans (1)	$	3,469,161	$	81,399		4.74	%	$	3,467,136	$	78,153		4.55	%
Securities:
Taxable		792,192		17,146		4.36	%		734,409		17,481		4.80	%
Tax-exempt (2)		205,292		4,036		5.23	%		153,959		3,048		5.27	%
Federal funds sold and other		122,565		1,037		1.85	%		87,255		865		2.16	%
Total interest-earning assets		4,589,210	$	103,618		4.62	%		4,442,759	$	99,547		4.57	%
Nonearning assets
Intangible assets		257,132							260,340
Other nonearning assets		212,914							232,726
Total assets	$	5,059,256						$	4,935,825
Interest-bearing liabilities:
Interest-bearing deposits:
Interest checking	$	503,640	$	1,702		0.68	%	$	359,426	$	897		0.50	%
Savings and money market		1,268,909		8,837		1.40	%		745,141		4,355		1.18	%
Certificates of deposit		1,562,665		15,850		2.05	%		2,150,962		28,902		2.71	%
Total interest-bearing deposits		3,335,214		26,389		1.60	%		3,255,529		34,154		2.12	%
Securities sold under agreements to repurchase		242,530		917		0.76	%		236,879		784		0.67	%
Federal Home Loan Bank advances and other borrowings		163,298		2,326		2.87	%		245,132		3,175		2.61	%
Subordinated debt		97,476		1,729		3.58	%		97,476		2,221		4.59	%
Total interest-bearing liabilities		3,838,518		31,361		1.65	%		3,835,016		40,334		2.12	%
Noninterest-bearing deposits		500,006		—		—			436,890		—		—
Total deposits and interest-bearing liabilities		4,338,524	$	31,361		1.46	%		4,271,906	$	40,334		1.90	%
Other liabilities		15,055							21,742
Stockholders’ equity		705,677							642,177
	$	5,059,256						$	4,935,825
Net interest income			$	72,257						$	59,213
Net interest spread (3)						2.97	%						2.45	%
Net interest margin (4)						3.24	%						2.74	%

(1)	Average balances of nonperforming loans are included in the above amounts.
(2)	Yields computed on tax-exempt instruments on a tax equivalent basis.
(3)	Yields realized on interest-earning assets less the rates paid on interest-bearing liabilities. The net interest spread calculation excludes the impact of demand deposits. Had the impact of demand deposits been included, the net interest spread for the quarter ended June 30, 2010 would have been 3.16% compared to a net interest spread of 2.67% for the quarter ended June 30, 2009.
(4)	Net interest margin is the result of annualized net interest income calculated on a tax equivalent basis divided by average interest-earning assets for the period.

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
SELECTED QUARTERLY FINANCIAL DATA — UNAUDITED

	June			March			December			September			June			March
(dollars in thousands)	2010			2010			2009			2009			2009			2009
Balance sheet data, at quarter end:
Total assets	$	4,958,478			5,021,689			5,128,811			5,094,710			5,036,742			4,952,151
Total loans		3,333,900			3,479,536			3,563,382			3,607,886			3,544,176			3,473,959
Allowance for loan losses		(87,107	)		(90,062	)		(91,959	)		(82,981	)		(66,075	)		(45,334	)
Securities		907,296			989,325			937,555			932,440			926,085			868,472
Noninterest-bearing deposits		529,867			522,928			498,087			504,481			470,049			451,418
Total deposits		3,853,400			3,836,362			3,823,599			3,819,909			3,761,444			3,750,958
Securities sold under agreements to repurchase		159,490			200,489			275,465			215,674			215,135			209,591
FHLB advances and other borrowings		131,477			157,319			212,655			222,986			228,317			221,642
Subordinated debt		97,476			97,476			97,476			97,476			97,476			97,476
Total stockholders’ equity		681,915			700,261			701,020			710,091			703,772			631,646
Balance sheet data, quarterly averages:
Total assets	$	4,996,448			5,122,773			5,143,832			5,028,855			5,001,489			4,869,390
Total loans		3,418,928			3,520,012			3,580,790			3,583,182			3,517,254			3,416,462
Securities		962,401			1,032,957			984,893			918,628			912,192			864,280
Total earning assets		4,527,471			4,651,695			4,690,347			4,576,473			4,523,003			4,354,177
Noninterest-bearing deposits		504,354			495,610			517,296			462,783			455,709			417,861
Total deposits		3,816,973			3,853,671			3,786,680			3,746,566			3,735,789			3,648,567
Securities sold under agreements to repurchase		210,798			274,614			303,801			223,737			243,765			229,918
Advances from FHLB and other borrowings		147,491			179,280			229,734			236,660			255,263			234,887
Subordinated debt		97,476			97,476			97,476			97,476			97,476			97,476
Total stockholders’ equity		704,186			707,210			714,741			715,844			649,792			634,481
Statement of operations data, for the three months ended:
Interest income	$	50,929			52,690			53,728			52,442			50,028			49,518
Interest expense		15,231			16,130			16,697			17,894			19,516			20,818
Net interest income		35,697			36,560			37,031			34,548			30,512			28,700
Provision for loan losses		30,509			13,226			15,694			22,134			65,320			13,610
Net interest income (loss) after provision for loan losses		5,189			23,334			21,336			12,414			(34,808	)		15,090
Noninterest income		10,569			8,486			8,177			7,737			10,602			13,136
Noninterest expense		36,491			36,167			35,448			27,281			30,607			25,243
Income (loss) before taxes		(20,734	)		(4,347	)		(5,935	)		(7,130	)		(54,813	)		2,983
Income tax expense (benefit)		5,630			(525	)		(3,467	)		(3,782	)		(23,036	)		893
Preferred dividends and accretion		1,507			1,545			1,509			1,504			1,470			1,447
Net income (loss) available to common stockholders	$	(27,871	)		(5,368	)		(3,977	)		(4,852	)		(33,247	)		643
Profitability and other ratios:
Return on avg. assets (1)		(2.24	)%		(0.42	)%		(0.31	)%		(0.38	)%		(2.67	)%		0.05	%
Return on avg. equity (1)		(15.88	)%		(3.08	)%		(2.21	)%		(2.69	)%		(20.52	)%		0.41	%
Net interest margin (1) (2)		3.23	%		3.25	%		3.19	%		3.05	%		2.75	%		2.72	%
Noninterest income to total revenue (3)		22.84	%		18.84	%		18.09	%		18.30	%		25.79	%		31.40	%
Noninterest income to avg. assets (1)		0.85	%		0.67	%		0.63	%		0.61	%		0.85	%		1.09	%
Noninterest exp. to avg. assets (1)		2.93	%		2.86	%		2.73	%		2.15	%		2.45	%		2.10	%
Efficiency ratio (4)		78.87	%		80.29	%		78.41	%		64.52	%		74.44	%		60.34	%
Avg. loans to average deposits		89.57	%		91.34	%		94.56	%		95.64	%		94.15	%		93.64	%
Securities to total assets		18.30	%		19.70	%		18.28	%		18.30	%		18.39	%		17.54	%
Average interest-earning assets to average interest-bearing liabilities		120.14	%		118.99	%		120.25	%		119.13	%		116.67	%		114.80	%
Brokered time deposits to total deposits (15)		3.70	%		5.40	%		8.67	%		11.50	%		14.71	%		17.06	%

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
SELECTED QUARTERLY FINANCIAL DATA — UNAUDITED

	June			March			December			September			June			March
(dollars in thousands)	2010			2010			2009			2009			2009			2009
Asset quality information and ratios:
Nonperforming assets:
Nonaccrual loans	$	118,331			131,381			124,709			121,726			100,328			33,863
Other real estate (ORE)		42,616			24,704			29,603			22,769			18,845			19,817
Past due loans over 90 days and still accruing interest		3,116			395			181			65			—			3,871
Restructured accruing loans		10,861			9,534			26,978			12,827			—			—
Totals	$	174,924			166,014			181,471			157,387			119,173			57,551
Net loan charge-offs	$	33,463			15,123			6,718			5,228			44,579			4,760
Allowance for loan losses to nonaccrual loans		73.6	%		68.5	%		73.7	%		68.2	%		65.9	%		133.9	%
As a percentage of total loans:
Past due accruing loans over 30 days		0.66	%		1.54	%		0.46	%		0.86	%		0.52	%		1.13	%
Potential problem loans (5)		9.30	%		8.63	%		7.18	%		7.24	%		4.03	%		2.56	%
Allowance for loan losses		2.61	%		2.59	%		2.58	%		2.30	%		1.86	%		1.30	%
Nonperforming assets to total loans and ORE		4.77	%		4.45	%		4.29	%		3.98	%		3.34	%		1.54	%
Nonperforming assets to total assets		3.25	%		3.11	%		3.01	%		2.84	%		2.37	%		1.08	%
Annualized net loan charge-offs year-to-date to avg. loans (6)		2.84	%		1.74	%		1.71	%		2.04	%		2.81	%		0.56	%
Avg. commercial loan internal risk ratings (5)		4.9			4.9			4.8			4.7			4.6			4.3
Interest rates and yields:
Loans		4.74	%		4.74	%		4.71	%		4.61	%		4.52	%		4.57	%
Securities		4.45	%		4.63	%		4.57	%		4.69	%		4.60	%		5.18	%
Total earning assets		4.58	%		4.66	%		4.60	%		4.60	%		4.49	%		4.66	%
Total deposits, including non-interest bearing		1.43	%		1.42	%		1.45	%		1.60	%		1.76	%		1.97	%
Securities sold under agreements to repurchase		0.69	%		0.82	%		0.71	%		0.64	%		0.70	%		0.64	%
FHLB advances and other borrowings		2.88	%		2.87	%		2.50	%		2.48	%		2.52	%		2.71	%
Subordinated debt		3.63	%		3.52	%		3.38	%		3.86	%		4.39	%		4.80	%
Total deposits and interest-bearing liabilities		1.43	%		1.49	%		1.50	%		1.65	%		1.81	%		2.01	%
Capital ratios (7):
Stockholders’ equity to total assets		13.8	%		13.9	%		13.7	%		13.9	%		14.0	%		12.8	%
Leverage		10.4	%		10.6	%		10.7	%		10.9	%		11.1	%		9.7	%
Tier one risk-based		13.1	%		13.4	%		13.1	%		13.1	%		13.3	%		11.8	%
Total risk-based		14.8	%		15.0	%		14.8	%		14.7	%		15.0	%		13.3	%
Tangible common equity to tangible assets		7.1	%		7.4	%		7.3	%		7.5	%		7.4	%		6.0	%
Tangible common equity to risk weighted assets		9.0	%		9.1	%		8.9	%		9.1	%		9.0	%		7.4	%

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
SELECTED QUARTERLY FINANCIAL DATA — UNAUDITED

	June			March			December			September			June			March
(dollars in thousands, except per share data)	2010			2010			2009			2009			2009			2009
Per share data:
Earnings (loss) — basic	$	(0.85	)		(0.16	)		(0.12	)		(0.15	)		(1.33	)		0.03
Earnings (loss) — diluted	$	(0.85	)		(0.16	)		(0.12	)		(0.15	)		(1.33	)		0.03
Book value per common share at quarter end (8)	$	17.61			18.20			18.41			18.74			18.57			22.30
Weighted avg. common shares — basic		32,675,221			32,558,016			32,502,101			32,460,614			24,965,291			23,510,994
Weighted avg. common shares — diluted		32,675,221			32,558,016			32,502,101			32,460,614			24,965,291			24,814,408
Common shares outstanding		33,421,741			33,351,118			33,029,719			32,956,737			32,929,747			24,060,703
Investor information:
Closing sales price	$	12.85			15.11			14.22			12.71			13.32			23.71
High closing sales price during quarter	$	18.93			16.88			14.47			17.03			24.01			29.90
Low closing sales price during quarter	$	11.81			13.10			11.45			12.15			12.86			13.32
Other information:
Gains on sale of loans and loan participations sold:
Mortgage loan sales:
Gross loans sold	$	92,144			72,196			120,760			114,049			213,218			192,932
Gross fees (9)	$	1,680			1,204			1,883			1,832			3,032			2,656
Gross fees as a percentage of mortgage loans originated		1.82	%		1.67	%		1.56	%		1.61	%		1.42	%		1.38	%
Gains on sales of investment securities, net	$	2,259			365			—			—			2,116			4,346
Brokerage account assets, at quarter-end (10)	$	921,000			974,000			933,000			898,000			786,000			724,000
Trust account assets, at quarter-end	$	627,000			648,000			635,000			607,000			580,000			544,000
Floating rate loans as a percentage of total loans (11)		37.8	%		38.9	%		38.0	%		38.0	%		39.8	%		40.0	%
Balance of commercial loan participations sold to other banks and serviced by Pinnacle, at quarter end	$	66,503			78,529			81,630			92,837			102,515			122,123
Core deposits to total funding (12)		65.2	%		62.4	%		58.7	%		51.5	%		48.7	%		46.7	%
Risk-weighted assets	$	3,748,498			3,878,884			3,970,193			4,000,359			3,942,844			3,825,590
Total assets per full-time equivalent employee	$	6,229			6,389			6,601			6,634			6,752			6,728
Annualized revenues per full-time equivalent employee		233.1			232.4			234.0			221.4			221.7			226.1
Number of employees (full-time equivalent)		796.0			786.0			777.0			768.0			746.0			736.0
Associate retention rate (13)		97.3	%		96.6	%		95.5	%		94.2	%		92.5	%		92.1	%
Selected economic information (in thousands) (14):
Nashville MSA nonfarm employment		720.8			713.7			724.7			728.3			725.1			733.0
Knoxville MSA nonfarm employment		324.0			317.2			322.1			323.2			322.5			324.5
Nashville MSA unemployment		9.0	%		9.5	%		9.4	%		9.2	%		10.0	%		8.8	%
Knoxville MSA unemployment		8.0	%		8.8	%		8.7	%		8.6	%		9.3	%		8.2	%
Nashville residential median home price	$	171.3			159.4			160.8			163.7			170.7			161.0
Nashville inventory of residential homes for sale		14.9			14.1			13.3			14.7			15.0			14.0

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP SELECTED QUARTERLY FINANCIAL DATA — UNAUDITED

	As of June 30,			As of December 31,
(dollars in thousands, except per share data)	2010			2009
Reconciliation of certain financial measures:
Tangible assets:
Total assets	$	4,958,478		$	5,128,811
Less: Goodwill		(244,097	)		(244,107	)
Core deposit and other intangibles		(12,194	)		(13,686	)
Net tangible assets	$	4,702,187		$	4,871,018
Tangible common equity:
Total stockholders’ equity	$	681,915		$	701,020
Less: Preferred stock		(90,127	)		(89,463	)
Goodwill		(244,097	)		(244,107	)
Core deposit and other intangibles		(12,194	)		(13,686	)
Net tangible common equity	$	335,497		$	353,764
Ratio of tangible common equity to tangible assets		7.13	%		7.26	%
Tangible common equity per common share	$	10.04		$	10.71

	For the three months ended June 30,						For the six months ended June 30,
(dollars in thousands)	2010			2009			2010			2009
Average tangible assets:
Total average assets	$	4,996,448		$	5,001,489		$	5,059,256		$	4,935,825
Less: Average intangible assets		(256,753	)		(259,954	)		(257,132	)		(260,340	)
Net average tangible assets	$	4,739,695		$	4,741,535		$	4,802,124		$	4,675,485
Average tangible equity:
Total average stockholders’ equity	$	704,186		$	649,792		$	705,677		$	642,177
Less: Average intangible assets		(256,753	)		(259,954	)		(257,132	)		(260,340	)
Net average tangible stockholders’ equity	$	447,433		$	389,838		$	448,545		$	381,837
Net income (loss) available to common stockholders	$	(27,871	)	$	(33,246	)	$	(33,240	)	$	(32,603	)
Return on average tangible assets (annualized)		(2.36	)%		(2.81	)%		(1.40	)%		(1.41	)%
Return on average tangible stockholders’ equity (annualized)		(24.98	)%		(34.21	)%		(14.94	)%		(17.22	)%

PINNACLE FINANCIAL PARTNERS, INC. AND SUBSIDIARIES
SELECTED QUARTERLY FINANCIAL DATA — UNAUDITED

1. Ratios are presented on an annualized basis.

2. Net interest margin is the result of net interest income on a tax equivalent basis divided by average interest earning assets.

3. Total revenue is equal to the sum of net interest income and noninterest income.

4. Efficiency ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

5. Average risk ratings are based on an internal loan review system which assigns a numeric value of 1 to 10 to all loans to commercial entities based on their underlying risk characteristics as of the end of each quarter. A “1” risk rating is assigned to credits that exhibit Excellent risk characteristics, “2” exhibit Very Good risk characteristics, “3” Good, “4” Satisfactory, “5” Acceptable or Average, “6” Watch List, “7” Criticized, “8” Classified or Substandard, “9” Doubtful and “10” Loss (which are charged-off immediately). Additionally, loans rated “8” or worse that are not nonperforming or restructured loans are considered potential problem loans. Generally, consumer loans are not subjected to internal risk ratings.

6. Annualized net loan charge-offs to average loans ratios are computed by annualizing year-to-date net loan charge-offs and dividing the result by average loans for the year-to-date period.

7. Capital ratios are for Pinnacle Financial Partners, Inc. and are defined as follows:

Equity to total assets — End of period total stockholders’ equity as a percentage of end of period assets.

Leverage — Tier one capital (pursuant to risk-based capital guidelines) as a percentage of adjusted average assets.

Tier one risk-based — Tier one capital (pursuant to risk-based capital guidelines) as a percentage of total risk-weighted assets.

Total risk-based — Total capital (pursuant to risk-based capital guidelines) as a percentage of total risk-weighted assets.

8. Book value per share computed by dividing total stockholders’ equity less preferred stock and common stock warrants by common shares outstanding.

9. Amounts are included in the statement of operations in “Gains on the sale of loans and loan participations sold”, net of commissions paid on such amounts.

10. At fair value, based on information obtained from Pinnacle’s third party broker/dealer for non-FDIC insured financial products and services.

11. Floating rate loans are those loans that are eligible for repricing on a daily basis subject to changes in Pinnacle’s prime lending rate or other factors.

12. Core deposits include all transaction deposit accounts, money market and savings accounts and all certificates of deposit issued in a denomination of less than $100,000. The ratio noted above represents total core deposits divided by total funding, which includes total deposits, FHLB advances, securities sold under agreements to repurchase, subordinated indebtedness and all other interest-bearing liabilities.

13. Associate retention rate is computed by dividing the number of associates employed at quarter-end less the number of associates that have resigned in the last 12 months by the number of associates employed at quarter-end.

14. Employment and unemployment data is from the US Dept. of Labor Bureau of Labor Statistics. Labor force data is not seasonally adjusted. The most recent quarter data presented is as of the most recent month that data is available as of the release date. The Nashville home data is from the Greater Nashville Association of Realtors.

15. Brokered deposits do not include reciprocal balances under the Certificate of Deposit Account Registry Service (CDARS).