8-K

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) October 23, 2009

CENTERSTATE BANKS, INC.

(Exact name of registrant as specified in its charter)

Florida	000-32017	59-3606741
(State or other jurisdiction of incorporation)	(Commission file number)	(IRS employer identification no.)

42745 U.S. Highway 27, Davenport, FL	33837
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: (863) 419-7750

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02. Results of Operations and Financial Condition.

On October 23, 2009, CenterState Banks, Inc. issued a press release announcing certain financial results and additional information. A copy of the press release is furnished with this Form 8-K.

In accordance with General Instruction B.2 of Form 8-K, the information in this Current Report on Form 8-K, including Exhibit 99.1 hereto, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01. Financial Statements and Exhibits.

(a) Exhibits:

Exhibit 99.1        Press release dated October 23, 2009

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SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

CENTERSTATE BANKS, INC.
By:	/S/    JAMES J. ANTAL
	James J. Antal
	Senior Vice President and
	Chief Financial Officer

Date: October 23, 2009

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EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

October 23, 2009

CenterState Banks, Inc. Announces

Third Quarter 2009 Operating Results

DAVENPORT, FL. – October 23, 2009 – CenterState Banks, Inc. (NASDAQ: CSFL) reported a net loss for the third quarter of 2009 of $2,230,000, which included a loan loss provision of $8,682,000.

A summary of the third quarter highlights are as follows:

• completion of an $86 million public stock offering

• TARP repayment – redeemed all $27,875,000 of preferred stock issued pursuant to TARP CPP on September 30, 2009

• strong capital position – the Company has a Tier 1 Leverage Capital ratio of 11.7% and a Tangible Common Equity ratio of 11.4%, one of the strongest capitalized publicly traded community banks in Florida

• improvement of credit metrics from previous quarter – NPL ratio improved to 3.12% from 3.94%, NPA ratio improved to 2.20% from 2.57%, and the allowance for loan losses as a percentage of total loans increased to 1.85% compared to last quarter’s 1.77%.

• strong and growing earnings excluding credit costs – pre-tax pre-provision and credit cost earnings (see table and notes below) was $5,749,000 during the current quarter compared to $3,882,000 during the previous sequential quarter

• margin expansion – net interest margin (“NIM”) increased to 3.42% during the current quarter compared to 3.14% during the previous sequential quarter

• enhanced correspondent banking division (a reportable segment) – expanded the division by adding approximately 40 new employees from the failed Silverton Bank in Atlanta, Georgia during July – the reportable segment contributed approximately $1,545,000 of after tax earnings during the current quarter

As stated above, the Company reported a net loss of $2,230,000 for the third quarter 2009. This resulted in a net loss available to common shareholders of $3,569,000 after consideration of preferred stock dividends and accretion related to the redemption of the preferred stock issued pursuant to TARP on September 30, 2009. The net loss per common share for the current quarter was $0.17 per share basic and diluted, compared to earnings of $0.06 per share basic and diluted for the same quarter last year, on net income of $761,000.

Average earning assets increased by $546,080,000 between 3Q09 and 3Q08, which was more than enough to offset the corresponding 46bps decrease in net interest margin (“NIM”) resulting in a $3,449,000 increase in net interest income. Non interest income also increased significantly due primarily to commissions on bond sales and trading securities revenue.

These increases were offset by a $6,918,000 increase in the provision for loan losses and increases in our non interest expenses primarily due to compensation and compensation related expenses resulting from our newly formed bond sales division, operating expenses related to our January 31^st Ocala deposit and branch acquisition and increases in OREO and other foreclosure related expenses.

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All per share data is presented herein on a diluted basis, unless otherwise stated. Quarterly condensed consolidated income statements (unaudited) are shown below for the periods indicated.

Quarterly Condensed Consolidated Income Statements (unaudited) Amounts in thousands of dollars (except per share data)
For the quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Net interest income	$	13,825		$	12,852		$	11,492		$	10,065		$	10,376
Provision for loan losses		(8,682	)		(4,125	)		(1,703	)		(2,637	)		(1,764	)
Net interest income after loan loss provision		5,143			8,727			9,789			7,428			8,612
Non interest income		8,536			5,117			4,950			3,772			2,007
Non interest expense		(17,663	)		(15,145	)		(13,701	)		(11,356	)		(9,613	)
Income (loss) before income tax		(3,984	)		(1,301	)		1,038			(156	)		1,006
Income tax benefit (expense)		1,754			569			(266	)		237			(245	)
NET (LOSS) INCOME	$	(2,230	)	$	(732	)	$	772		$	81		$	761
Net (loss) income available to common shareholders	$	(3,569	)	$	(1,129	)	$	376		$	(86	)	$	761
Earnings (loss) per share (basic)	$	(0.17	)	$	(0.09	)	$	0.03		$	(0.01	)	$	0.06
Earnings (loss) per share (diluted)	$	(0.17	)	$	(0.09	)	$	0.03		$	(0.01	)	$	0.06
Average common shares outstanding (basic)		20,713,017			12,481,504			12,475,432			12,464,933			12,454,407
Average common shares outstanding (diluted)		20,713,017			12,551,741			12,575,424			12,617,383			12,590,330
Common shares outstanding at period end		25,773,229			12,481,719			12,481,019			12,474,315			12,454,407
PTPP earnings (note 1)	$	5,749		$	3,882		$	3,602		$	2,926		$	3,120
PTPP earnings per share (diluted) (note 2)	$	0.28		$	0.31		$	0.29		$	0 .23		$	0.25

Note 1:

Pre-tax pre-provision earnings (“PTPP”) means income (loss) before income tax excluding provision for loan losses. In addition to excluding the provision for loan losses, the Company also excluded other credit related costs including losses on repossessed real estate and other assets, and other foreclosure related expenses of $1,051,000, $1,058,000, $861,000, $445,000 and $350,000 for 3Q09, 2Q09, 1Q09, 4Q08 and 3Q08, respectively.

Note 2:

PTPP earnings per share means, PTPP as defined in note 1 above divided by the average number of diluted common shares outstanding. This calculation does not include the effect of preferred dividends and related accretion resulting from the preferred stock issued pursuant to TARP which the Company has redeemed on September 30, 2009.

Selected financial ratios (unaudited)
As of or for the quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Return on average assets (annualized)		(0.50	)%		(0.16	)%		0.19	%		0.03	%		0.25	%
Return on average equity (annualized)		(4.11	)%		(1.64	)%		1.74	%		0.19	%		2.03	%
Net interest margin (tax equivalent basis)		3.42	%		3.14	%		3.16	%		3.54	%		3.88	%
Loan / deposit ratio		75.4	%		75.6	%		68.8	%		89.8	%		91.3	%
Stockholders equity (to total assets)		13.2	%		10.4	%		10.0	%		13.4	%		12.1	%
Common tangible equity (to total tangible assets)		11.4	%		6.9	%		6.6	%		9.2	%		9.7	%
Tier 1 capital (to average assets)		11.7	%		8.5	%		9.5	%		12.6	%		11.1	%
Efficiency ratio		79	%		84	%		83	%		82	%		78	%
Common equity per common share	$	9.14		$	12.24		$	12.33		$	12.22		$	11.96
Common tangible equity per common share	$	7.72		$	9.29		$	9.32		$	9.64		$	9.37

Loan portfolio mix, credit quality and allowance for loan losses

Management continues to aggressively monitor credit risk and potential losses in the Company’s loan portfolio in light of the current real estate environment in Florida. During the current quarter, the Company took a charge of $8,682,000 to loan loss provision (expense) and charged-off (net of recoveries) $7,538,000, or 0.82% of average loans outstanding during the quarter (3.28% on an annualized basis). The Company’s allowance for loan losses was $17,553,000 at September 30, 2009 compared to

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$13,335,000 at December 31, 2008, an increase of $4,218,000. This increase is the result of a $4,280,000 increase in our general loan loss allowance plus a $62,000 decrease in our specific loan loss allowance. The increase in our general allowance is primarily due to changes in our historical charge-off rates, changes in our current environmental factors, changes in the loan portfolio mix, and the increase in our loan portfolio. Our specific allowance is the result of specific allowance analyses prepared for each of our impaired loans. The decrease in our specific allowance is the result of charge-offs taken during the period, as well as the change in mix and evaluation of impaired loans. The Company aggressively charged-down loans during the current quarter. Of the $7,554,000 gross charge-offs, $3,684,000 were partial charge-offs related to impaired loans. A summary of the Company’s impaired loans at September 30, 2009 is presented below. Amounts are in thousands of dollars.

Impaired loans, unpaid principal balance	$	61,269
partial charge-offs taken during the current quarter		(3,684	)
partial charge-offs taken prior to the current quarter		(638	)
Impaired loans at September 30, 2009	$	56,947

The allowance for loan losses as a percentage of loans outstanding was 1.85% as of September 30, 2009 compared to 1.49% as of December 31, 2008. Management believes the Company’s allowance for loan losses was adequate at September 30, 2009. However, management recognizes that many factors can adversely impact various segments of the Company’s market and customers, and therefore there is no assurance as to the amount of losses or probable losses which may develop in the future. The table below summarizes the changes in allowance for loan losses during the previous five quarters.

Allowance for loan losses (unaudited) (amounts are in thousands $)
as of or for the quarter ending	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Allowance at beginning of period	$	16,409		$	13,472		$	13,335		$	12,269		$	11,599
Charge-offs		(7,554	)		(1,208	)		(1,597	)		(1,587	)		(1,120	)
Recoveries		16			20			31			16			26
Net charge-offs		(7,538	)		(1,188	)		(1,566	)		(1,571	)		(1,094	)
Provision for loan losses		8,682			4,125			1,703			2,637			1,764
Allowance at end of period	$	17,553		$	16,409		$	13,472		$	13,335		$	12,269

Eighty-five percent (85%) of the Company’s loans are collateralized by real estate, 9% are commercial non real estate loans and the remaining 6% are consumer and other non real estate loans. The table below summarizes the Company’s loan mix over the most recent five quarter ends.

Loan mix (in thousands of dollars)
At quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Real estate loans
Residential	$	253,363		$	260,060		$	240,184		$	223,290		$	221,546
Commercial		426,025			407,511			423,930			434,488			426,268
Construction, development and land loans - (note 1)		124,306			112,975			93,186			92,475			90,270
Total real estate loans		803,694			780,546			757,300			750,253			738,084
Commercial		88,116			89,889			91,403			80,523			78,115
Consumer and other loans		56,268			56,584			54,248			61,939			60,882
Total loans before unearned fees and costs		948,078			927,019			902,951			892,715			877,081
Unearned fees and costs		(775	)		(748	)		(699	)		(714	)		(774	)
Total loans	$	947,303		$	926,271		$	902,252		$	892,001		$	876,307

note 1: The increase in this category during the second quarter 2009 was due to several reclassifications from commercial real estate to land and land development loans at several of the Company’s banks and the increase during the third quarter 2009 was due to reclassifications of singly family lot loans from residential real estate to land and land development loans at one of the Company’s subsidiary banks.

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The Company defines non performing loans as non accrual loans plus loans past due 90 days or more and still accruing interest. Non performing loans as a percentage of total loans were 3.12% at September 30, 2009 compared to 3.94% at June 30, 2009, and 2.23% at December 31, 2008.

Non performing assets (which the Company defines as non performing loans, as defined above, plus (a) OREO (i.e. real estate acquired through foreclosure, in-substance foreclosure, or deed in lieu of foreclosure); and (b) other repossessed assets that are not real estate), were $39,319,000 at September 30, 2009, compared to $44,312,000 at June 30, 2009, and $24,835,000 at December 31, 2008. Non performing assets as a percentage of total assets were 2.20%, 2.57% and 1.86% at September 30, 2009, June 30, 2009, and December 31, 2008, respectively.

The table below summarizes selected credit quality data for the periods indicated.

Selected credit quality ratios, dollars are in thousands (unaudited)
As of or for the quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Non accrual loans	$	29,519		$	34,772		$	20,819		$	19,863		$	12,943
Past due loans 90 days or more And still accruing interest		27			1,752			1,304			50			155
Total non performing loans		29,546			36,524			22,123			19,913			13,098
Other real estate owned (OREO)		8,983			7,012			11,903			4,494			2,897
Repossessed assets other than real estate		790			776			416			428			348
Total non performing assets	$	39,319		$	44,312		$	34,442		$	24,835		$	16,343
Non performing loans as a percentage of total loans		3.12	%		3.94	%		2.45	%		2.23	%		1.49	%
Non performing assets as a percentage of total assets		2.20	%		2.57	%		1.91	%		1.86	%		1.32	%
Net charge-offs (recoveries)	$	7,538		$	1,188		$	1,566		$	1,571		$	1,094
Net charge-offs as a percentage of average loans for the period		0.82	%		0.13	%		0.18	%		0.18	%		0.13	%
Net charge-offs as a percentage of average loans for the period on an annualized basis		3.28	%		0.52	%		0.72	%		0.72	%		0.52	%
Loans past due between 30 and 89 days and accruing interest as a percentage of total loans		1.34	%		1.03	%		1.59	%		2.12	%		1.00	%
Impaired loans (SFAS No. 114)	$	56,947		$	40,467		$	22,865		$	24,191		$	21,637
Non impaired loans (SFAS No. 5)		890,356			885,804			879,387			867,810			854,670
Total loans	$	947,303		$	926,271		$	902,252		$	892,001		$	876,307
Allowance for loan losses as a percentage of period end loans:
Impaired loans (SFAS No. 114)		3.05	%		7.58	%		5.69	%		7.44	%		4.92	%
Non impaired loans (SFAS No. 5)		1.78	%		1.51	%		1.38	%		1.33	%		1.31	%
Total loans		1.85	%		1.77	%		1.49	%		1.49	%		1.40	%

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As shown in the table above, the largest component of non performing loans is non accrual loans. As of September 30, 2009 management had identified a total of 123 non accrual loans with an aggregate book value of $29,519,000. This amount is further delineated by collateral category and number of loans in the table below (in thousands of dollars).

Collateral category	Total amount in thousands of dollars		Percentage of total non accrual loans		Number of non accrual loans in category
Residential real estate loans	$	5,592	19	%	37
Commercial real estate loans		13,267	45	%	31
Construction, development and land loans		10,068	34	%	32
Non real estate commercial loans		294	1	%	11
Non real estate consumer and other loans		298	1	%	12
Total non accrual loans at September 30, 2009	$	29,519	100	%	123

There are no construction or development loans with national builders. The Company has historically done business with local builders and developers that have typically been long time customers. As indicated above, non accrual construction, acquisition and development, and land loans totaled $10,068,000 at September 30, 2009. Of this amount, approximately 18% is construction and the remaining 82% is developed lots and other land. The largest loan in this category is $2,250,000, which is collateralized by single family residential building lots. There are no other non accrual loans in the category in excess of $1,000,000. The Company believes that this is the loan category where the most risk is present. The category represents only 13% of the total loan portfolio, yet 34% of total non accrual loans are in this category. During the current quarter, the Company has charged down approximately $4,566,000 of the loans in this category.

The second largest component in non performing assets after non accrual loans is repossessed real estate, or OREO. At September 30, 2009 OREO was $8,983,000, which is further delineated in the table below (in thousands of dollars).

Description of repossessed real estate	estimated market value at Sept 30, 2009
22 single family homes	$	2,355
7 mobile homes with land		321
5 office condominium units		539
7 commercial buildings		2,507
Mixed (9 duplexes/ 1 single fam/ 9 vac lots)		521
17 residential building lots		996
Vacant land / various acreages		1,606
1 parcel commercial vacant lot		138
Total	$	8,983

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Deposit activity

During the current quarter, total deposits increased by $31,443,000, or 2.6%. Time deposits decreased by $2,734,000, or 0.5%, and non time deposits (i.e., core deposits) increased by $34,177,000, or 5.4%. With the purchase of the Ocala deposits from the FDIC in January 2009 and the correspondent banking activity, the Company has excess liquidity, and has no incentive to aggressively price rate sensitive time deposits. Management continues to believe that core deposits and the number of customer relationships is the value of the franchise, and continues to incentive the employees to grow these accounts and relationships.

Deposit mix (in thousands of dollars)
At quarter ended:	9/30/09		6/30/09		3/31/09		12/31/08		9/30/08
Checking accounts
Non interest bearing	$	218,509	$	200,875	$	209,906	$	141,229	$	147,154
Interest bearing		168,486		170,574		160,227		143,510		137,694
Savings deposits		132,589		116,922		109,194		84,837		76,035
Money market accounts		151,386		148,422		152,736		137,530		107,545
Time deposits		585,278		588,012		679,621		486,694		490,884
Total deposits	$	1,256,248	$	1,224,805	$	1,311,684	$	993,800	$	959,312

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Presented below are condensed consolidated balance sheets and average balance sheets for the periods indicated.

Condensed Consolidated Balance Sheets (unaudited) Amounts in thousands of dollars
At quarter ended:	9/30/2009			6/30/2009			3/31/2009			12/31/2008			9/30/2008
Cash and due from banks	$	23,081		$	23,096		$	27,693		$	19,702		$	32,818
Fed funds sold		168,190			82,356			108,073			57,850			38,411
Trading securities		3,431			—			—			—			—
Investments securities, available for sale		508,290			549,870			617,790			252,080			176,085
Loans		947,303			926,271			902,252			892,001			876,307
Allowance for loan losses		(17,553	)		(16,409	)		(13,472	)		(13,335	)		(12,269	)
Premises and equipment, net		64,716			63,135			64,401			61,343			60,010
Goodwill		32,840			32,840			33,377			28,118			28,118
Core deposit intangible		3,818			4,015			4,216			3,948			4,137
Bank owned life insurance		15,514			15,358			10,209			10,115			10,020
Other assets		34,193			42,333			49,485			21,321			21,085
TOTAL ASSETS	$	1,783,823		$	1,722,865		$	1,802,024		$	1,333,143		$	1,234,722
Deposits	$	1,256,248		$	1,224,805		$	1,311,684		$	993,800		$	959,312
Federal funds purchased		218,273			221,659			209,973			88,976			22,954
Other borrowings		62,828			82,300			72,356			64,707			96,274
Other liabilities		10,965			14,392			27,230			6,495			7,216
Preferred stockholders equity		—			26,879			26,830			26,787			—
Common stockholders equity		235,509			152,830			153,951			152,378			148,966
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	1,783,823		$	1,722,865		$	1,802,024		$	1,333,143		$	1,234,722
Condensed Consolidated Average Balance Sheets (unaudited) Amounts in thousands of dollars
At quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Investments, fed funds, and other	$	703,799		$	743,683		$	600,384		$	262,666		$	217,338
Loans		921,405			920,434			894,676			889,367			861,786
Allowance for loan losses		(15,785	)		(13,910	)		(13,188	)		(12,914	)		(11,759	)
All other assets		163,697			168,546			153,880			147,961			141,707
TOTAL ASSETS	$	1,773,116		$	1,818,753		$	1,635,752		$	1,287,080		$	1,209,072
Deposits- interest bearing	$	1,036,896		$	1,082,911		$	1,029,330		$	846,550		$	803,980
Deposits- non interest bearing		203,982			180,774			176,900			143,385			147,255
Other borrowings		311,972			352,673			237,386			122,620			101,067
Other liabilities		5,031			21,177			11,814			6,253			7,556
Stockholders equity		215,235			181,218			180,322			168,272			149,214
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	1,773,116		$	1,818,753		$	1,635,752		$	1,287,080		$	1,209,072

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Non interest income and non interest expense

The table below summarizes the Company’s non interest income for the periods indicated.

Quarterly Condensed Consolidated Non Interest Income (unaudited) Amounts in thousands of dollars
For the quarter ended:	9/30/09		6/30/09		3/31/09		12/31/08		9/30/08
Service charges on deposit accounts	$	1,405	$	1,300	$	1,133	$	1,255	$	1,131
Commissions from bond sales		5,630		2,610		2,557		1,412		—
Commissions from mortgage broker activities		30		52		8		30		7
Commissions from sale of mutual funds and annuities		130		103		193		76		145
Debit card and ATM fees		344		352		280		269		271
Loan related fees		103		125		88		108		96
BOLI income		156		148		94		95		100
Trading securities revenue		312		—		—		—		—
Gain on sale of securities available for sale		257		303		418		426		197
Other service charges and fees		169		124		179		101		60
Total non interest income	$	8,536	$	5,117	$	4,950	$	3,772	$	2,007

The revenue category “commissions from bond sales” ($5,630,000) listed in the table above is new for the Company beginning in the fourth quarter of 2008. This revenue source is related to the Company’s new correspondent banking division initiated in the fourth quarter of 2008 and expanded dung the third quarter of 2009 with the addition of the team hired from the failed Silverton Bank discussed previously. This division, as well as the Ocala banking offices acquisition (January 30, 2009), is also the reason for the increase in “employee salaries and wages” category listed in our non interest expense table below, as well as various other non interest expense categories.

The revenue category “trading securities revenue” listed in the table above is new for the Company beginning in the third quarter of 2009. During July of 2009, the Company initiated a trading securities portfolio at its lead subsidiary bank. Realized and unrealized gains and losses are included in trading securities revenue. During the current quarter, the Company recognized an aggregate of realized and unrealized net gains of $312,000 from this newly initiated activity.

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The table below summarizes the Company’s non interest expense for the periods indicated.

Quarterly Condensed Consolidated Non Interest Expense (unaudited) Amounts in thousands of dollars
For the quarter ended:	9/30/09			6/30/09			3/31/09			12/31/08			9/30/08
Employee salaries and wages	$	8,496		$	6,085		$	5,879		$	4,946		$	4,123
Employee incentive/bonus compensation		548			365			408			(29	)		116
Employee stock option and stock grant expense		99			112			104			102			102
Deferred compensation expense		55			55			55			137			—
Health insurance and other employee benefits		367			346			393			383			376
Payroll taxes		451			389			440			325			276
Other employee related expenses		267			266			230			230			239
Incremental direct cost of loan origination		(190	)		(197	)		(163	)		(192	)		(224	)
Total salaries, wages and employee benefits	$	10,093		$	7,421		$	7,346		$	5,902		$	5,008
Occupancy expense		1,408			1,368			1,209			993			1,067
Depreciation of premises and equipment		728			681			751			778			617
Supplies, stationary and printing		210			233			187			206			164
Marketing expenses		464			444			442			447			378
Data processing expenses		621			607			547			261			265
Legal, auditing and other professional fees		602			488			449			342			335
Bank regulatory related expenses		612			1,349			493			579			250
Postage and delivery		113			110			100			99			90
ATM and debit card related expenses		264			284			222			190			182
Amortization of CDI		197			201			198			189			193
Loss on sale of repossessed real estate (“OREO”)		175			209			80			29			22
Valuation write down of repossessed real estate (“OREO”)		482			511			394			219			190
Loss on repossessed assets other than real estate		176			54			214			48			38
Foreclosure and repossession related expenses		218			284			173			149			100
Internet and telephone banking		111			136			111			100			86
Operational write-offs and losses		85			44			33			105			39
Correspondent account and Federal Reserve charges		83			92			77			65			62
Conferences, seminars, education and training		122			81			92			37			52
Director fees		87			84			88			92			82
Other expenses		812			464			495			526			393
Total non interest expense	$	17,663		$	15,145		$	13,701		$	11,356		$	9,613

About CenterState Banks, Inc.

The Company is a multi bank holding company which operates through four wholly owned subsidiary banks with 38 locations in ten counties throughout Central Florida. The Company’s stock is listed on the NASDAQ national market under the symbol CSFL. Request for information regarding the purchase or sale of the common stock can be obtained from Troy Carlson, at Keefe, Bruyette & Woods (800-221-3246), Chris Cerniglia, at Stifel Nicolaus (866-780-7926), Michael Acampora, at Raymond James (800-363-9652), or Dudley Stephens, at Burke Capital Markets (404-446-1800). For additional information contact Ernest S. Pinner, CEO, or James J. Antal, CFO, at 863-419-7750.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995:

Some of the statements in this report constitute forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. These

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statements related to future events, other future financial performance or business strategies, and may be identified by terminology such as “may,” “will,” “should,” “expects,” “scheduled,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “potential,” or “continue” or the negative of such terms or other comparable terminology. Actual events or results may differ materially. In evaluating these statements, you should specifically consider the factors described throughout this report. We cannot assure you that future results, levels of activity, performance or goals will be achieved.

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