The Bancorp, Inc. Reports Fourth Quarter and Fiscal 2006 Earnings

Wilmington, De – January 30, 2007 - The Bancorp, Inc. ("Bancorp") (Nasdaq NM: TBBK)

Fourth Quarter and Fiscal 2006 Financial highlights:

• Total loans increased 56.2% to $1.064 billion at December 31, 2006 from $681.6 million at December 31, 2005
• Efficiency ratio improved to 50.11% for the three months ended December 31, 2006 from 56.48% for the three months ended December 31, 2005

Bancorp, a bank holding company, reported net income available to common shareholders for the three months ended December 31, 2006 of $3.1 million (after tax expense of $2.5 million), or $0.22 diluted earnings per share, based on diluted shares of 14,398,485, compared to net income available to common shareholders of $2.6 million (after tax expense of $1.4 million), or $0.19 diluted earnings per share, based on diluted shares of 14,072,525, for the three months ended December 31, 2005. Bancorp reported net income available to common shareholders for the year ended December 31, 2006 of $12.3 million (after tax expense of $8.3 million), or $0.86 diluted earnings per share, based on diluted shares of 14,310,050, compared to net income available to common shareholders of $6.3 million (after tax expense of $4.2 million), or $0.48 diluted earnings per share, based on diluted shares of 13,199,925, for the year ended December 31, 2005.

At December 31, 2006, Bancorp's total assets were $1.3 billion, an increase of $416.5 million or 45.4% from December 31, 2005. Loans grew to $1.064 billion, an increase of $383.2 million or 56.2% from those of December 31, 2005, and deposits grew to $1.07 billion, an increase of $336.7 million or 46.0%, from deposits at December 31, 2005. Total common shares outstanding were 13,724,023 at December 31, 2006 and 13,637,148 at December 31, 2005.

Conference Call Webcast

Interested parties can access the LIVE webcast of Bancorp's Quarterly Earnings Conference Call at 9:00 AM EST on

Wednesday, January 31, 2007 by clicking on the webcast link on Bancorp's homepage at www.thebancorp.com. For those who are not available to listen to the live broadcast, the replay of the webcast will be available following the live call on Bancorp's investor relations website and telephonically until Wednesday, February 7, 2007 by dialing 888-286-8010, access code 66926772.

About Bancorp

Bancorp, a bank holding company that operates The Bancorp Bank, an FDIC-insured commercial bank that delivers a full array of financial services and products both directly and through private-label affinity partner programs nationwide. The Bancorp Bank, through Philadelphia Private Bank, its regional community bank division, serves the needs of small and mid-size businesses and their principals in the Philadelphia-Wilmington region.

The Bancorp, Inc. Contact
Andres Viroslav
215-861-7990
andres.viroslav@thebancorp.com

The Bancorp, Inc.
Financial highlights
(unaudited)
		Three months ended				Year ended
		December 31,				December 31,
	2006			2005		2006		2005
		(unaudited) (dollars in thousands except per share data)
Condensed income statement
Net interest income	$	11,954	$	9,572	$	44,273	$	32,159
Provision for loan and lease losses		850		500		2,975		2,100
Non-interest income		1,216		1,048		5,038		4,323
Non-interest expense		6,599		6,005		25,505		21,469
Net income from operations		5,721		4,115		20,831		12,913
Prepayment expense for the redemption of trust preferred
subordinated debt		-		-		-		(1,285)
Net income before income tax expense		5,721		4,115		20,831		11,628
Income tax expense		2,528		1,422		8,331		4,181
Net income		3,193		2,693		12,500		7,447
Less preferred stock dividends and accretion		(18)		(20)		(75)		(598)
Income allocated to Series A preferred shareholders		(27)		(26)		(110)		(72)
Less preferred stock conversion dividend		-		-		-		(459)
Net income available to common shareholders	$	3,148	$	2,647	$	12,315	$	6,318
Basic earnings per share	$	0.23	$	0.19	$	0.90	$	0.49
Diluted earnings per share	$	0.22	$	0.19	$	0.86	$	0.48
Weighted average shares - basic	13,706,406			13,586,489		13,673,730		12,805,690
Weighted average shares - diluted	14,398,485			14,072,525		14,310,050		13,199,925
	December 31,		September 30,			June 30,	December 31,
	2006			2006		2006		2005
Condensed balance sheet				(unaudited)
Assets
Federal funds sold	$	122,048	$	156,222	$	118,918	$	89,437
Investment securities		115,946		115,477		113,725		103,596
Loans	1,064,819			947,501		842,822		681,582
Allowance for loan and lease losses		(8,400)		(7,583)		(6,751)		(5,513)
Other assets		40,245		41,447		36,645		48,369
Total assets	$ 1,334,658		$	1,253,064	$	1,105,359	$	917,471
Liabilities and shareholders' equity
Transaction accounts		611,286		509,868	$	479,687		467,826
Time deposits		457,969		511,600		417,164		264,762
Total deposits	1,069,255			1,021,468		896,851		732,588
Other borrowings		108,145		81,181		64,569		46,908
Other liabilities		8,349		4,990		3,213		3,028
Shareholders' equity		148,909		145,425		140,726		134,947
Total liabilities and shareholders' equity	$ 1,334,658		$	1,253,064	$	1,105,359	$	917,471

	Fourth		Third	Second		Fourth
	quarter		quarter	quarter		quarter
Average condensed balance sheet	average 2006	average 2006		average 2006	average 2005
Assets
Federal funds sold	$ 61,665	$	57,148	$ 57,762	$	63,742
Investment securities	114,406		113,337	112,885		104,888
Loans	990,788		899,369	803,704		631,554
Allowance for loan and lease losses	(7,915)		(7,022)	(6,359)		(5,268)
Other assets	37,514		34,382	35,614		42,237
Total assets	$ 1,196,458	$	1,097,214	$ 1,003,606	$	837,153
Liabilities and shareholders' equity
Transaction accounts	$ 500,615	$	464,223	$ 474,392	$	413,473
Time deposits	497,715		443,585	348,607		259,073
Total deposits	998,330		907,808	822,999		672,546
Other borrowings	42,505		43,765	37,130		28,492
Other liabilities	8,175		4,368	4,972		2,176
Shareholders' equity	147,448		141,273	138,505		133,939
Total liabilities and shareholders' equity	$ 1,196,458	$	1,097,214	$ 1,003,606	$	837,153
Loan Portfolio
	December 31,	September 30,		June 30,	December 31,
	2006		2006	2006		2005
	Amount		Amount	Amount		Amount
Commercial	$ 199,397	$	154,750	$ 136,892	$	104,337
Commercial mortgage	327,639		287,719	238,406		205,470
Construction	275,079		245,338	227,842		168,149
Total commercial loans	802,115		687,807	603,140		477,956
Direct financing leases, net	92,947		93,447	92,729		81,162
Residential mortgage	62,413		62,763	67,823		62,378
Consumer loans and others	108,374		104,174	79,867		60,972
	1,065,849		948,191	843,559		682,468
Unamortized fees	(1,030)		(690)	(737)		(886)
Total loans, net of unamortized fees and costs	$ 1,064,819	$	947,501	$ 842,822	$	681,582
	Three months ended			Year ended
	December 31,			December 31,
	2006		2005	2006		2005
Selected operating ratios
Return on average assets	1.07%		1.29%	1.19%		1.02%
Return on average equity	8.66%		8.05%	8.89%		5.69%
Net interest margin	4.09%		4.75%	4.32%		4.57%
Efficiency ratio	50.11%		56.48%	51.72%		62.47%
Book value per share	$ 10.76	$	9.80	$ 10.76	$	9.80

		As of or for the period ended
		December 31,
Asset quality ratios		2006		2005
Nonperforming loans to total loans		0.06%		0.08%
Nonperforming assets to total assets		0.05%		0.06%
Allowance for loan and lease losses to total loans		0.79%		0.81%
Nonaccrual loans	$	-	$	-
Loans 90 days past due still accruing interest	$	668	$	538