Exhibit 99

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The financial performance of First Mid-Illinois Bancshares, Inc. was good during the first nine months of 2007 with diluted earnings per share increasing 4% to $1.15 per share compared to $1.11 per share during the same period in 2006. Net income increased to $7,470,000 for the first nine months of 2007 compared to $7,359,000 for the first nine months of 2006. All share and per share information for current and prior periods presented in this report have been adjusted to reflect the three-for-two stock split in the form of a 50% stock dividend completed in June 2007.

Growth in both non-interest income and net interest income were the primary contributors to the increase in earnings. It is important to note for year-to-year comparisons that the consolidated financial statements include the results of Peoples State Bank of Mansfield since acquisition date of May 1, 2006. Non-interest income increased to $10,991,000 for the first nine months of 2007 as compared to $9,824,000 for the same period in 2006. Growth in customer deposit account balances led to an increase in service charge income. In addition, insurance revenues increased by $230,000 as a result of new business underwritten through The Checkley Agency, Inc., and decreased policy claims. In addition, fees received on ATM and debit cards increased as a result of an increase in the number of electronic transactions.

Net interest income increased to $23,228,000 as compared to $22,748,000 for the first nine months of 2006. This was the result of growth in loan and investment balances. Loan balances on September 30, 2007 were $742 million as compared to $727 million on September 30, 2006 with the majority of the growth in commercial real estate loans. Deposit balances at September 30, 2007 were the same as last September at $791 million. However, $43 million in brokered deposits were allowed to mature during that time and were replaced by customer deposits. The growth in loans has offset a decline in the Company’s net interest margin. The Company’s year-to-date net interest margin was 3.45% on a tax-equivalent basis as compared to 3.57% for the first nine months of last year.

Non-interest expense increased to $22,458,000 for the first nine months of 2007 compared with $20,947,000 for the first nine months of 2006.  This increase is primarily attributed to having the costs associated with the three locations acquired in the Peoples acquisition for the full year of 2007.  I would also like to mention that we recently closed facilities in Deland and the in-store facility in the Sullivan IGA due to the proximity to other First Mid locations. This did not and is not expected to have a material impact on the financial statements.

We continue to stress the importance of credit quality. Our net charge-offs for the first nine months of 2007 were $338,000 as compared to $652,000 last year; but, we have seen an increase in the level of non-performing loans. Non-performing loans were $7.1 million on September 30, 2007 as compared to $3.6 million on September 30, 2006. This increase was primarily due to insufficient cash flow on commercial real estate loans to one borrower which totaled $3 million. We believe we are adequately collateralized on these credits and are actively working with the borrower on repayment plans.

We also continue to provide our shareholders with liquidity for their First Mid investments through our ongoing share repurchase program. During the first nine months of  2007, we repurchased approximately 193,000 shares at a total cost of $5.3 million. This program has proven to be a solid way of increasing shareholder value, as well as providing a supplement to open-market liquidity for our shareholders.  Any shareholder who would like to sell their stock should contact Lee Ann Perry, Manager of Shareholder Services at (217) 258-0493.

Thank you for your continued support of First Mid-Illinois Bancshares, Inc.

/s/ William S. Rowland 

Sincerely,

William S. Rowland

Chairman and Chief Executive Officer

October 25, 2007

First Mid-Illinois Bancshares, Inc.

1515 Charleston Avenue

Mattoon, Illinois 61938

217-234-7454

www.firstmid.com

CONDENSED CONSOLIDATED BALANCE SHEETS
	(unaudited)
(in thousands, except share data)	Sep 30			Dec 31
	2007			2006
Assets
Cash and due from banks	$	22,406		$	20,266
Federal funds sold and other interest-bearing deposits		12,973			1,570
Investment securities:
Available-for-sale, at fair value		188,783			184,266
Held-to-maturity, at amortized cost (estimated fair value of $1,211 and
$1,346 at September 30, 2007 and December 31, 2006, respectively		1,198			1,323
Loans		742,050			723,568
Less allowance for loan losses		(6,136	)		(5,876	)
Net loans		735,914			717,692
Premises and equipment, net		15,761			16,293
Goodwill, net		17,363			17,363
Intangible assets, net		4,519			5,148
Other assets		21,691			16,638
Total assets	$	1,020,608		$	980,559
Liabilities and Stockholders’ Equity
Deposits:
Non-interest bearing	$	114,759		$	121,405
Interest bearing		676,142			649,190
Total deposits		790,901			770,595
Repurchase agreements with customers		58,892			66,693
Other borrowings		64,000			37,800
Junior subordinated debentures		20,620			20,620
Other liabilities		7,113			9,065
Total liabilities		941,526			904,773
Stockholders’ Equity:
Common stock ($4 par value; authorized18,000,000 shares; issued
7,120,368 shares in 2007 and 8,552,886 shares in 2006)		28,503			22,808
Additional paid-in capital		23,147			21,261
Retained earnings		48,400			68,625
Deferred compensation		2,531			2,629
Accumulated other comprehensive income (loss)		237			19
Treasury stock at cost, 746,874 shares in 2007 and 2,121,269
in 2006		(23,736	)		(39,556	)
Total stockholders’ equity		79,082			75,786
Total liabilities and stockholders’ equity	$	1,020,608		$	980,559

CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands) (unaudited)
For the nine months ended September 30,	2007		2006
Interest income:
Interest and fees on loans	$	37,565	$	34,169
Interest on investment securities		6,774		5,937
Interest on federal funds sold & other deposits		180		208
Total interest income		44,519		40,314
Interest expense:
Interest on deposits		16,230		13,091
Interest on repurchase agreements with customers		1,800		1,665
Interest on other borrowings		2,084		1,890
Interest on subordinated debt		1,177		920
Total interest expense		21,291		17,566
Net interest income		23,228		22,748
Provision for loan losses		598		575
Net interest income after provision for loan losses		22,630		22,173
Non-interest income:
Trust revenues		1,924		1,801
Brokerage commissions		371		418
Insurance commissions		1,573		1,343
Services charges		4,152		3,897
Securities gains (losses), net		211		66
Mortgage banking revenues		400		288
Other		2,360		2,011
Total non-interest income		10,991		9,824
Non-interest expense:
Salaries and employee benefits		12,218		11,391
Net occupancy and equipment expense		3,644		3,570
Amortization of intangible assets		629		545
Other		5,967		5,441
Total non-interest expense		22,458		20,947
Income before income taxes		11,163		11,050
Income taxes		3,693		3,691
Net income	$	7,470	$	7,359
Per Share Information (unaudited)
For the nine months ended September 30,	2007		2006
Basic earnings per share	$	1.17	$	1.13
Diluted earnings per share	$	1.15	$	1.11
Book value per share at June 30	$	12.53	$	11.69
Market price of stock at June 30	$	25.70	$	27.67

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
(In thousands) (unaudited)
For the nine months ended September 30,	2007			2006
Balance at beginning of period	$	75,786		$	72,326
Net income		7,470			7,359
Dividends on stock		(1,182	)		(1,128	)
Issuance of stock		1,464			1,481
Purchase of treasury stock		(5,299	)		(5,303	)
Deferred compensation and other adjustments		625			408
Changes in accumulated other comprehensive income (loss)		218			587
Balance at end of period	$	79,082		$	75,730