EXHIBIT 99.1

First Financial Bancorp Reports Second Quarter 2012 Financial Results

Cincinnati, Ohio - July 24, 2012 - First Financial Bancorp (Nasdaq: FFBC) (“First Financial” or the “Company”) announced today financial and operational results for the second quarter 2012.

Second quarter 2012 net income was $17.8 million and earnings per diluted common share were $0.30. This compares with first quarter 2012 net income of $17.0 million and earnings per diluted common share of $0.29 and second quarter 2011 net income of $16.0 million and earnings per diluted common share of $0.27.

The board of directors has authorized a regular dividend of $0.15 per common share and a variable dividend of $0.15 per common share for the next regularly scheduled dividend, payable on October 1, 2012 to shareholders of record as of August 31, 2012. This is a continuation of the 100% dividend payout ratio first announced in the second quarter 2011 and is expected to continue through 2013 unless the Company's capital position materially changes or capital deployment opportunities arise.

▪ 87^th consecutive quarter of profitability

▪ Quarterly adjusted pre-tax, pre-provision income remains solid, totaling $30.2 million, or 1.92% of average assets

▪ Continued strong quarterly performance

• Return on average assets of 1.13%

• Return on average risk-weighted assets of 1.92%

• Return on average shareholders' equity of 9.98%

▪ Capital ratios remain high

• Tangible common equity to tangible assets of 9.91%

• Tier 1 capital ratio of 17.14%

• Total risk-based capital ratio of 18.42%

▪ Quarterly net interest margin remains strong at 4.49%, benefiting from the continued decline in deposit funding costs resulting from strategic initiatives

▪ Total uncovered loan portfolio growth of 6.7% on an annualized basis

• Strong growth in commercial real estate loan balances

• Increasing contribution from specialty finance product lines

▪ Total classified assets declined $9.1 million, or 5.9%, compared to the linked quarter and $39.2 million, or 21.2%, compared to June 30, 2011

During the quarter, the Company incurred certain pre-tax expenses that are not expected to recur of $2.2 million, or $0.02 per diluted common share after taxes, primarily related to employee benefit and exit costs associated with the banking center consolidation and closure plans effective late in the second quarter 2012 and for those planned for August 2012. Additionally, the Company recognized pre-tax gains

1

of approximately $5.0 million, or $0.05 per diluted common share after taxes, associated with the settlement of litigation related to a subsidiary.

Claude Davis, President and Chief Executive Officer, commented, “Our financial results for the second quarter reflected continued solid performance despite ongoing challenges in our operating environment. While earnings were impacted by certain significant one-time items and an increase in credit costs related to our uncovered loan portfolio, we continued to execute on our community bank business model and leverage our increased presence in the Indianapolis and Dayton markets. We were especially pleased with the continued positive impact of our deposit pricing and rationalization strategies on both earnings and net interest margin. Non-core time deposits declined over 10% during the quarter and our cost of deposits declined 8 basis points to 0.49%, helping us to maintain one of the stronger net interest margins among banks in our peer group.

“Our uncovered loan portfolio increased 6.7% on an annualized basis during the quarter, driven primarily by commercial real estate activity. Additionally, we continued to gain traction with our specialty finance product lines as evidenced by the growth in our equipment finance portfolio. Our pipeline at the end of the first quarter translated into strong second quarter originations and renewals, which increased almost 30% compared to the linked quarter. The impact was muted, however, as we experienced payoffs on some larger credits during the quarter. Our pipeline at the end of the second quarter remained strong and consistent with levels at March 31. While there is still economic uncertainty in our strategic markets, we are optimistic that our sales efforts and client-centered approach to building long-term relationships will drive strong future revenue growth.

We also remain firmly committed to increasing our efficiency and ensuring that sufficient resources are focused on markets and product offerings that provide the greatest opportunities for maximizing growth and shareholder value. We completed the consolidation or market exit of 10 locations during the quarter and have announced that we will be consolidating another two Indiana-based banking centers and exiting four other Indiana markets where we have a limited presence, effective August 2012. Net of the anticipated impact on revenue from expected deposit attrition, the estimated annual pre-tax operating expenses associated with all of these closures are approximately $3.0 million. This will provide us the flexibility to channel greater resources into our metropolitan markets of Cincinnati, Dayton and Indianapolis. Additionally, we will be initiating an in-depth analysis of our cost structure during the third quarter to ensure that we achieve our stated strategic operating efficiency ratio target of 55% - 60%."

NET INTEREST INCOME

Net interest income for the second quarter 2012 was $64.8 million as compared to $66.7 million for the first quarter 2012 and $65.9 million as compared to the year-over-year period. Compared to the linked quarter, total interest income decreased $3.2 million, or 4.2%, during the second quarter 2012 as a result of lower interest income earned on loans. The lower interest income earned on loans was driven primarily by a 6.9% decline in the average balance of covered loans outstanding and, to a lesser extent, a decrease in the yield earned on uncovered loans. Total interest expense declined $1.3 million, or 15.6%, compared to the first quarter 2012 due primarily to lower interest expense on deposits.

NET INTEREST MARGIN

Net interest margin was 4.49% for the second quarter 2012 as compared to 4.51% for the first quarter 2012 and 4.61% for the second quarter 2011. Net interest margin continued to benefit from the impact of deposit pricing and rationalization strategies as the average balance of interest-bearing deposits declined 7.4% and the cost of funds related to these deposits decreased 7 bps compared to the linked quarter. The improvement in deposit funding costs offset the continued negative impact of amortization and paydowns in the Company's high-yielding covered loan portfolio as well as the effect of lower yields earned on uncovered loans and a decline in loan fees. Additionally, net interest margin benefitted from the impact of a lower earning asset base.

2

NONINTEREST INCOME

The following table presents noninterest income for the three months ended June 30, 2012, March 31, 2012 and June 30, 2011 highlighting the estimated impact of covered loan activity and other transition items on the Company's reported balance.

Table I
	For the Three Months Ended
	June 30,		March 31,			June 30,
(Dollars in thousands)	2012		2012			2011
Total noninterest income	$	33,545	$	31,925		$	41,118
Certain significant components of noninterest income
Items likely to recur:
Accelerated discount on covered loans 1, 2	3,764		3,645			4,756
FDIC loss sharing income	8,280		12,816			21,643
Income (loss) related to transition/non-strategic operations	91		(10		)	(485		)
Items not expected to recur:
Other items not expected to recur	5,000		209			(152		)
Total noninterest income excluding items noted above	$	16,410	$	15,265		$	15,356
1  See Selected Financial Information for additional information
2  Net of the corresponding valuation adjustment on the FDIC indemnification asset

Excluding the items highlighted in Table I, noninterest income earned in the second quarter 2012 was $16.4 million as compared to $15.3 million in the first quarter 2012 and $15.4 million in the second quarter 2011. The increase of $1.1 million was driven by an increase in service charges on deposits, client derivative fees and gain on sale of loans from mortgage originations and franchise loan sales, partially offset by lower trust and wealth management fees. During the quarter, the Company recognized a $5.0 million gain associated with the settlement of litigation related to a subsidiary.

NONINTEREST EXPENSE

The following table presents noninterest expense for the three months ended June 30, 2012, March 31, 2012 and June 30, 2011 including the estimated effect of covered asset activity, acquired-non-strategic operations, acquisition-related costs and other transition items.

3

Table II
	For the Three Months Ended
	June 30,		March 31,			June 30,
(Dollars in thousands)	2012		2012			2011
Total noninterest expense	$	57,459	$	55,778		$	52,497
Certain significant components of noninterest expense
Items likely to recur:
Loss share and covered asset expense	4,317		3,043			3,376
FDIC loss share support	1,014		1,163			1,369
Acquired-non-strategic operating expenses 1	19		(146		)	2,673
Transition-related items 1	—		—			161
Items not expected to recur:
Acquisition-related costs 1	78		188			76
Other items not expected to recur	2,870		2,797			1,140
Total noninterest income excluding items noted above	$	49,161	$	48,733		$	43,702
1  See Selected Financial Information for additional information

Excluding the items highlighted in Table II, noninterest expense in the second quarter 2012 was $49.2 million as compared to $48.7 million in the first quarter 2012 and $43.7 million in the second quarter 2011. The increase of $0.4 million compared to the linked quarter was due to modestly higher data processing costs, collection expenses, uncovered OREO expenses and other miscellaneous expenses, partially offset by lower occupancy costs. Loss share and covered asset expense includes $1.2 million of losses on covered OREO and $3.1 million of other credit-related expenses. Included in other items not expected to recur are $2.2 million of employee benefit and exit costs primarily associated with announced banking center consolidation and closure plans.

INCOME TAXES

For the second quarter 2012, income tax expense was $8.7 million, resulting in an effective tax rate of 32.8%, compared with income tax expense of $9.6 million and an effective tax rate of 36.2% during the first quarter 2012 and $8.9 million and an effective tax rate of 35.7% during the comparable year-over-year period. The decrease in the effective tax rate during the second quarter 2012 was driven by a one-time provision to return adjustment related to state income taxes at the subsidiary level.

CREDIT QUALITY - EXCLUDING COVERED ASSETS

The following table presents certain credit quality metrics related to the Company's uncovered loan portfolio as of June 30, 2012 and for the trailing four quarters.

4

Table III
	As of or for the Three Months Ended
	June 30,			March 31,			December 31,			September 30,			June 30,
(Dollars in thousands)	2012			2012			2011			2011			2011
Total nonaccrual loans	$	63,093		$	55,945		$	54,299		$	59,150		$	56,536
Troubled debt restructurings - accruing	9,909			9,495			4,009			4,712			3,039
Troubled debt restructurings - nonaccrual	10,185			17,205			18,071			12,571			14,443
Total troubled debt restructurings	20,094			26,700			22,080			17,283			17,482
Total nonperforming loans	83,187			82,645			76,379			76,433			74,018
Total nonperforming assets	98,875			97,681			87,696			88,436			90,331
Nonperforming assets as a % of:
Period-end loans plus OREO	3.27		%	3.28		%	2.94		%	3.00		%	3.22		%
Total assets	1.57		%	1.52		%	1.31		%	1.40		%	1.50		%
Nonperforming assets ex. accruing TDRs as a % of:
Period-end loans plus OREO	2.94		%	2.96		%	2.81		%	2.84		%	3.11		%
Total assets	1.42		%	1.37		%	1.25		%	1.32		%	1.44		%
Nonperforming loans as a % of total loans	2.76		%	2.79		%	2.57		%	2.60		%	2.65		%
Provision for loan and lease losses - uncovered	$	8,364		$	3,258		$	5,164		$	7,643		$	5,756
Allowance for uncovered loan & lease losses	$	50,952		$	49,437		$	52,576		$	54,537		$	53,671
Allowance for loan & lease losses as a % of:
Period-end loans	1.69		%	1.67		%	1.77		%	1.86		%	1.92		%
Nonaccrual loans	80.8		%	88.4		%	96.8		%	92.2		%	94.9		%
Nonaccrual loans plus nonaccrual TDRs	69.5		%	67.6		%	72.7		%	76.0		%	75.6		%
Nonperforming loans	61.3		%	59.8		%	68.8		%	71.4		%	72.5		%
Total net charge-offs	$	6,849		$	6,397		$	7,125		$	6,777		$	5,730
Annualized net-charge-offs as a % of average
loans & leases	0.93		%	0.87		%	0.95		%	0.96		%	0.83		%

Net Charge-offs

Significant items driving net charge-offs for the quarter included $2.0 million related to the dispositions of a commercial real estate credit and a construction and land development credit and $1.2 million related to valuation adjustments of two commercial real estate credits.

Nonperforming Assets

Nonaccrual loans, including nonaccrual troubled debt restructurings, totaled $73.3 million as of June 30, 2012 compared to $73.2 million as of March 31, 2012 as total additions during the quarter slightly outweighed credits removed from nonaccrual status due to the finalization of resolution strategies, including transfers to OREO, dispositions and net charge-offs. Nonaccrual troubled debt restructurings declined $7.0 million during the quarter, driven primarily by the sale of a $4.4 million construction and land development credit.

OREO increased $0.7 million to $15.7 million during the second quarter as additions of $1.8 million exceeded resolutions and valuation adjustments during the quarter of $1.1 million. There were no individually significant items included in either the additions or resolutions for the quarter.

Classified assets as of June 30, 2012 totaled $145.6 million as compared to $154.7 million for the linked quarter and $184.8 million as of June 30, 2011, representing declines of 5.9% and 21.2%, respectively. Classified assets, which have declined for seven consecutive quarters, are defined by the Company as nonperforming assets plus performing loans internally rated substandard or worse.

Delinquent Loans

As of June 30, 2012, loans 30-to-89 days past due increased to $26.0 million, or 0.86% of period end loans, as compared to $20.2 million, or 0.68%, as of March 31, 2012 and $26.8 million, or 0.96%, as of

5

June 30, 2011. The increase compared to the linked quarter resulted from increased delinquencies in the commercial real estate and residential real estate portfolios.

Provision for Loan & Lease Losses

Second quarter 2012 provision expense related to uncovered loans and leases was $8.4 million as compared to $3.3 million during the linked quarter and $5.8 million during the comparable year-over-year quarter. Provision expense is a result of the Company's modeling efforts to estimate the period end allowance for loan and lease losses. The increase relative to the linked quarter was due primarily to either establishing or adding to specific reserves totaling $6.1 million in the aggregate on three separate commercial and commercial real estate credits, offset partially by the continued positive migration trends in classified assets as well as the finalization of resolution strategies on certain loans during the quarter. As a percentage of net charge-offs, second quarter 2012 provision expense equaled 122.1%.

LOANS (EXCLUDING COVERED LOANS)

The following table presents the loan portfolio, not including covered loans, as of June 30, 2012, March 31, 2012 and June 30, 2011.

Table IV
	As of
	June 30, 2012				March 31, 2012				June 30, 2011
			Percent				Percent				Percent
(Dollars in thousands)	Balance		of Total		Balance		of Total		Balance		of Total
Commercial	$	823,890	27.3	%	$	831,101	28.0	%	$	798,552	28.6	%
Real estate - construction	86,173		2.9	%	104,305		3.5	%	142,682		5.1	%
Real estate - commercial	1,321,446		43.9	%	1,262,775		42.6	%	1,144,368		41.0	%
Real estate - residential	292,503		9.7	%	288,922		9.7	%	256,788		9.2	%
Installment	61,590		2.0	%	63,793		2.2	%	63,799		2.3	%
Home equity	365,413		12.1	%	359,711		12.1	%	344,457		12.3	%
Credit card	31,486		1.0	%	31,149		1.1	%	28,618		1.0	%
Lease financing	30,109		1.0	%	21,794		0.7	%	9,890		0.4	%
Total	$	3,012,610	100.0	%	$	2,963,550	100.0	%	$	2,789,154	100.0	%

Loans, excluding covered loans, totaled $3.0 billion as of June 30, 2012, increasing $49.1 million, or 6.7% on an annualized basis, compared to the linked quarter and $223.5 million, or 8.0%, compared to the second quarter 2011.

6

INVESTMENTS

The following table presents a summary of the total investment portfolio at June 30, 2012.

Table V
	As of June 30, 2012
	Securities		Securities		Other		Total		Percent		Tax Equiv.		Effective
(Dollars in thousands)	HTM		AFS		Investments		Securities		of Portfolio		Yield		Duration
Agencies	$	21,080	$	26,117	—		$	47,197	2.8	%	2.80	%	3.1
CMO - fixed rate	534,662		105,671		—		640,333		38.4	%	2.24	%	1.6
CMO - variable rate	—		210,900		—		210,900		12.6	%	0.74	%	1.0
MBS - fixed rate	130,481		249,857		—		380,338		22.8	%	2.92	%	1.7
MBS - variable rate	185,166		72,539		—		257,705		15.4	%	2.66	%	2.3
Municipal	2,149		7,663		—		9,812		0.6	%	7.14	%	0.4
Corporate	—		40,315		—		40,315		2.4	%	6.26	%	7.8
Other AFS securities	—		11,456		—		11,456		0.7	%	2.61	%	0.1
Regulatory stock	—		—		71,492		71,492		4.3	%	3.83	%	—
	$	873,538	$	724,518	$	71,492	$	1,669,548	100.0	%	2.48	%	1.8

The investment portfolio decreased $56.0 million, or 3.2%, during the second quarter 2012 as $39.5 million of purchases during the quarter were offset by amortizations and paydowns in the portfolio. The purchases consisted primarily of agency MBS with a weighted average yield of 2.39% and duration of 3.8 years. As of June 30, 2012, the overall duration of the investment portfolio decreased to 1.8 years compared to 2.6 years as of March 31, 2012 due to increased prepayment speeds resulting from the continued decline in interest rates. The yield earned on the portfolio during the quarter declined to 2.46% from 2.57% for the linked quarter. As of June 30, 2012, the market value of the portfolio classified as available-for-sale resulted in a net unrealized gain of $17.8 million which is included in other comprehensive income. With regard to increased prepayment speeds and premium risk inherent in the investment portfolio, the Company has partially mitigated its refinancing and premium risk by capping the premium at which it has purchased securities and by selectively purchasing agency MBS collateralized by assets less subject to refinancing in this interest rate environment.

DEPOSITS

Non-time deposit balances totaled $3.8 billion as of June 30, 2012, representing a decrease of $139.8 million, or 3.6%, compared to March 31, 2012. The decline was driven by a $162.2 million decrease in public fund interest-bearing demand and money market balances and a $54.5 million decrease in retail balances resulting primarily from the branch consolidation plan occurring during the quarter. Offsetting this activity was an increase of $64.5 million in core noninterest-bearing accounts.

Total time deposit balances decreased $159.4 million, or 10.7%, compared to the linked quarter as the Company continued to focus on reducing non-core relationship deposits in connection with its deposit rationalization strategies.

The Company's rationalization strategies related to deposit pricing continued to have a positive impact as the cost of funds related to interest bearing deposits declined to 61 bps for the second quarter compared to 68 bps for the linked quarter and 98 bps for the second quarter 2011. The Company's total cost of deposit funding declined to 49 bps for the quarter, a decrease of 14.0% compared to the prior quarter and 41.7% compared to the second quarter 2011.

7

CAPITAL MANAGEMENT

The following table presents First Financial's regulatory and other capital ratios as of June 30, 2012, March 31, 2012 and June 30, 2011.

Table VI
	As of
	June 30,		March 31,		June 30,		"Well-Capitalized"
	2012		2012		2011		Minimum
Leverage Ratio	10.21	%	9.94	%	11.01	%	5.00	%
Tier 1 Capital Ratio	17.14	%	17.18	%	20.14	%	6.00	%
Total Risk-Based Capital Ratio	18.42	%	18.45	%	21.42	%	10.00	%
Ending tangible shareholders' equity
to ending tangible assets	9.91	%	9.66	%	11.11	%	N/A
Ending tangible common shareholders'
equity to ending tangible assets	9.91	%	9.66	%	11.11	%	N/A

The Company's leverage and tangible common equity ratios increased during the quarter as total tangible assets declined and tangible common equity remained essentially unchanged compared to balances as of March 31, 2012. As of June 30, 2012, tangible book value per common share was $10.47 compared to $10.41 as of March 31, 2012 and $11.42 as of June 30, 2011. Regulatory capital ratios as of June 30, 2012 are considered preliminary pending the filing of the Company's regulatory reports.

8

Teleconference / Webcast Information

First Financial's senior management will host a conference call to discuss the Company's financial and operating results on Wednesday, July 25, 2012 at 9:00 a.m. Eastern Time. Members of the public who would like to listen to the conference call should dial (877) 317-6789 (U.S. toll free), (866) 605-3852 (Canada toll free) or +1 (412) 317-6789 (International) (no passcode required). The number should be dialed five to ten minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast via the Investor Relations section of the Company's website at www.bankatfirst.com. A replay of the conference call will be available beginning one hour after the completion of the live call through August 9, 2012 at (877) 344-7529 (U.S. toll free) and +1 (412) 317-0088 (International); conference number 10016666. The webcast will be archived on the Investor Relations section of the Company's website through July 25, 2013.

Press Release and Additional Information on Website

This press release as well as supplemental information and any non-GAAP reconciliations related to this release is available to the public through the Investor Relations section of First Financial's website at www.bankatfirst.com/investor.

Forward-Looking Statement

Certain statements contained in this news release which are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act (the ''Act''). In addition, certain statements in future filings by First Financial with the SEC, in press releases, and in oral and written statements made by or with the approval of First Financial which are not statements of historical fact constitute forward-looking statements within the meaning of the Act. Examples of forward-looking statements include, but are not limited to, projections of revenues, income or loss, earnings or loss per share, the payment or non-payment of dividends, capital structure and other financial items, statements of plans and objectives of First Financial or its management or board of directors, and statements of future economic performances and statements of assumptions underlying such statements. Words such as ''believes,'' ''anticipates,'' “likely,” “expected,” ''intends,'' and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Management's analysis contains forward-looking statements that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risks and uncertainties that may cause actual results to differ materially. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to:

▪ management's ability to effectively execute its business plan;

▪ the risk that the strength of the United States economy in general and the strength of the local economies in which we conduct operations may continue to deteriorate resulting in, among other things, a further deterioration in credit quality or a reduced demand for credit, including the resultant effect on our loan portfolio, allowance for loan and lease losses and overall financial performance;

▪ U.S. fiscal debt and budget matters;

▪ the ability of financial institutions to access sources of liquidity at a reasonable cost;

▪ the impact of recent upheaval in the financial markets and the effectiveness of domestic and international governmental actions taken in response, and the effect of such governmental actions on us, our competitors and counterparties, financial markets generally and availability of credit specifically, and the U.S. and international economies, including potentially higher FDIC premiums arising from increased payments from FDIC insurance funds as a result of depository institution failures;

▪ the effect of and changes in policies and laws or regulatory agencies (notably the recently enacted Dodd-Frank Wall Street Reform and Consumer Protection Act);

▪ the effect of the current low interest rate environment or changes in interest rates on our net interest margin and our loan originations and securities holdings;

▪ our ability to keep up with technological changes;

▪ failure or breach of our operational or security systems or infrastructure, or those of our third party vendors or other service providers;

▪ our ability to comply with the terms of loss sharing agreements with the FDIC;

▪ mergers and acquisitions, including costs or difficulties related to the integration of acquired companies and the wind-down of non-strategic operations that may be greater than expected, such as the risks and

9

uncertainties associated with the Irwin Mortgage Corporation bankruptcy proceedings and other acquired subsidiaries;

▪ the risk that exploring merger and acquisition opportunities may detract from management's time and ability to successfully manage our Company;

▪ expected cost savings in connection with the consolidation of recent acquisitions may not be fully realized or realized within the expected time frames, and deposit attrition, customer loss and revenue loss following completed acquisitions may be greater than expected;

▪ our ability to increase market share and control expenses;

▪ the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies as well as the Financial Accounting Standards Board and the SEC;

▪ adverse changes in the securities, debt and/or derivatives markets;

▪ our success in recruiting and retaining the necessary personnel to support business growth and expansion and maintain sufficient expertise to support increasingly complex products and services;

▪ monetary and fiscal policies of the Board of Governors of the Federal Reserve System (Federal Reserve) and the U.S. government and other governmental initiatives affecting the financial services industry;

▪ our ability to manage loan delinquency and charge-off rates and changes in estimation of the adequacy of the allowance for loan and lease losses; and

▪ the costs and effects of litigation and of unexpected or adverse outcomes in such litigation.

In addition, please refer to our Annual Report on Form 10-K for the year ended December 31, 2011, as well as our other filings with the SEC, for a more detailed discussion of these risks and uncertainties and other factors. Such forward-looking statements are meaningful only on the date when such statements are made, and First Financial undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which such a statement is made to reflect the occurrence of unanticipated events.

About First Financial Bancorp

First Financial Bancorp is a Cincinnati, Ohio based bank holding company. As of June 30, 2012, the Company had $6.3 billion in assets, $3.9 billion in loans, $5.1 billion in deposits and $717 million in shareholders' equity. The Company's subsidiary, First Financial Bank, N.A., founded in 1863, provides banking and financial services products through its three lines of business: commercial, retail and wealth management. The commercial and retail units provide traditional banking services to business and consumer clients. First Financial Wealth Management provides wealth planning, portfolio management, trust and estate, brokerage and retirement plan services and had approximately $2.3 billion in assets under management as of June 30, 2012. The Company's strategic operating markets are located in Ohio, Indiana and Kentucky where it operates 129 banking centers. Additional information about the Company, including its products, services and banking locations is available at www.bankatfirst.com.

Contact Information

Investors/AnalystsMedia

Kenneth LovikCheryl Lipp

Vice President, Investor Relations andFirst Vice President, Director of Communications

Corporate Development(513) 979-5797

(513) 979-5837cheryl.lipp@bankatfirst.com

kenneth.lovik@bankatfirst.com

10

Selected Financial Information

June 30, 2012

(unaudited)

Contents	Page
Consolidated Financial Highlights	2
Consolidated Statements of Income	3
Consolidated Quarterly Statements of Income	4 - 5
Consolidated Statements of Condition	6
Average Consolidated Statements of Condition	7
Net Interest Margin Rate / Volume Analysis	8 - 9
Credit Quality	10
Capital Adequacy	11
Supplemental Information on Covered Assets and Acquisition-Related Items	12 - 15

FIRST FINANCIAL BANCORP.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Dollars in thousands, except per share data)
(Unaudited)
	Three Months Ended,															Six months ended,
	Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,			Jun. 30,
	2012			2012			2011			2011			2011			2012			2011
RESULTS OF OPERATIONS
Net income	$	17,802		$	16,994		$	17,941		$	15,618		$	15,973		$	34,796		$	33,180
Net earnings per share - basic	$	0.31		$	0.29		$	0.31		$	0.27		$	0.28		$	0.60		$	0.58
Net earnings per share - diluted	$	0.30		$	0.29		$	0.31		$	0.27		$	0.27		$	0.59		$	0.57
Dividends declared per share	$	0.29		$	0.31		$	0.27		$	0.27		$	0.12		$	0.60		$	0.24
KEY FINANCIAL RATIOS
Return on average assets	1.13		%	1.05		%	1.09		%	1.01		%	1.03		%	1.09		%	1.07		%
Return on average shareholders' equity	9.98		%	9.67		%	9.89		%	8.54		%	9.05		%	9.83		%	9.54		%
Return on average tangible shareholders' equity	11.68		%	11.37		%	11.59		%	9.56		%	9.84		%	11.52		%	10.38		%
Net interest margin	4.49		%	4.51		%	4.32		%	4.55		%	4.61		%	4.50		%	4.67		%
Net interest margin (fully tax equivalent) (1)	4.50		%	4.52		%	4.34		%	4.57		%	4.62		%	4.51		%	4.69		%
Ending shareholders' equity as a percent of ending assets	11.41		%	11.14		%	10.68		%	11.47		%	11.95		%	11.41		%	11.95		%
Ending tangible shareholders' equity as a percent of:
Ending tangible assets	9.91		%	9.66		%	9.23		%	10.38		%	11.11		%	9.91		%	11.11		%
Risk-weighted assets	16.39		%	16.42		%	16.63		%	18.47		%	19.65		%	16.39		%	19.65		%
Average shareholders' equity as a percent of average assets	11.32		%	10.91		%	11.05		%	11.83		%	11.38		%	11.11		%	11.24		%
Average tangible shareholders' equity as a percent of
average tangible assets	9.84		%	9.43		%	9.58		%	10.70		%	10.56		%	9.64		%	10.42		%
Book value per share	$	12.25		$	12.21		$	12.22		$	12.48		$	12.39		$	12.25		$	12.39
Tangible book value per share	$	10.47		$	10.41		$	10.41		$	11.15		$	11.42		$	10.47		$	11.42
Tier 1 Ratio (2)	17.14		%	17.18		%	17.47		%	18.81		%	20.14		%	17.14		%	20.14		%
Total Capital Ratio (2)	18.42		%	18.45		%	18.74		%	20.08		%	21.42		%	18.42		%	21.42		%
Leverage Ratio (2)	10.21		%	9.94		%	9.87		%	10.87		%	11.01		%	10.21		%	11.01		%
AVERAGE BALANCE SHEET ITEMS
Loans (3)	$	2,995,296		$	2,979,508		$	2,983,354		$	2,800,466		$	2,782,947		$	2,987,402		$	2,802,092
Covered loans and FDIC indemnification asset	1,100,014			1,179,670			1,287,776			1,380,128			1,481,353			1,139,842			1,554,592
Investment securities	1,713,503			1,664,643			1,257,574			1,199,473			1,093,870			1,689,073			1,069,715
Interest-bearing deposits with other banks	4,454			126,330			485,432			306,969			375,434			65,392			326,408
Total earning assets	$	5,813,267		$	5,950,151		$	6,014,136		$	5,687,036		$	5,733,604		$	5,881,709		$	5,752,807
Total assets	$	6,334,973		$	6,478,931		$	6,515,756		$	6,136,815		$	6,219,754		$	6,406,952		$6,242,952
Noninterest-bearing deposits	$	1,044,405		$	931,347		$	860,863		$	735,621		$	734,674		$	987,876		$	733,962
Interest-bearing deposits	4,210,079			4,545,151			4,630,412			4,366,827			4,402,103			4,377,615			4,416,732
Total deposits	$	5,254,484		$	5,476,498		$	5,491,275		$	5,102,448		$	5,136,777		$	5,365,491		$	5,150,694
Borrowings	$	234,995		$	161,911		$	174,939		$	195,140		$	218,196		$	198,453		$	224,109
Shareholders' equity	$	717,111		$	706,547		$	719,964		$	725,809		$	707,750		$	711,829		$	701,441
CREDIT QUALITY RATIOS (excluding covered assets)
Allowance to ending loans	1.69		%	1.67		%	1.77		%	1.86		%	1.92		%	1.69		%	1.92		%
Allowance to nonaccrual loans	80.76		%	88.37		%	96.83		%	92.20		%	94.93		%	80.76		%	94.93		%
Allowance to nonperforming loans	61.25		%	59.82		%	68.84		%	71.35		%	72.51		%	61.25		%	72.51		%
Nonperforming loans to total loans	2.76		%	2.79		%	2.57		%	2.60		%	2.65		%	2.76		%	2.65		%
Nonperforming assets to ending loans, plus OREO	3.27		%	3.28		%	2.94		%	3.00		%	3.22		%	3.27		%	3.22		%
Nonperforming assets to total assets	1.57		%	1.52		%	1.31		%	1.40		%	1.50		%	1.57		%	1.50		%
Net charge-offs to average loans (annualized)	0.93		%	0.87		%	0.95		%	0.96		%	0.83		%	0.90		%	0.72		%

(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest margin and net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provide useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

(2) June 30, 2012 regulatory capital ratios are preliminary.

(3) Includes loans held for sale.

2

FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
	Three months ended,								Six months ended,
	Jun. 30,								Jun. 30,
	2012			2011			% Change		2012			2011			% Change
Interest income
Loans, including fees	$	63,390		$	71,929		(11.9	)%	$	129,826		$	145,945		(11.0	)%
Investment securities
Taxable	10,379			7,080			46.6	%	20,896			13,883			50.5	%
Tax-exempt	121			192			(37.0	)%	255			390			(34.6	)%
Total investment securities interest	10,500			7,272			44.4	%	21,151			14,273			48.2	%
Other earning assets	(1,967		)	(1,384		)	42.1	%	(3,957		)	(2,338		)	69.2	%
Total interest income	71,923			77,817			(7.6	)%	147,020			157,880			(6.9	)%
Interest expense
Deposits	6,381			10,767			(40.7	)%	14,097			22,167			(36.4	)%
Short-term borrowings	37			49			(24.5	)%	49			94			(47.9	)%
Long-term borrowings	675			937			(28.0	)%	1,355			2,026			(33.1	)%
Subordinated debentures and capital securities	0			197			(100.0	)%	0			391			(100.0	)%
Total interest expense	7,093			11,950			(40.6	)%	15,501			24,678			(37.2	)%
Net interest income	64,830			65,867			(1.6	)%	131,519			133,202			(1.3	)%
Provision for loan and lease losses - uncovered	8,364			5,756			45.3	%	11,622			6,403			81.5	%
Provision for loan and lease losses - covered	6,047			23,895			(74.7	)%	18,998			49,911			(61.9	)%
Net interest income after provision for loan and lease losses	50,419			36,216			39.2	%	100,899			76,888			31.2	%
Noninterest income
Service charges on deposit accounts	5,376			4,883			10.1	%	10,285			9,493			8.3	%
Trust and wealth management fees	3,377			3,507			(3.7	)%	7,168			7,432			(3.6	)%
Bankcard income	2,579			2,328			10.8	%	5,115			4,483			14.1	%
Net gains from sales of loans	1,132			854			32.6	%	2,072			1,843			12.4	%
FDIC loss sharing income	8,280			21,643			(61.7	)%	21,096			45,078			(53.2	)%
Accelerated discount on covered loans	3,764			4,756			(20.9	)%	7,409			10,539			(29.7	)%
Other	9,037			3,147			187.2	%	12,325			5,908			108.6	%
Total noninterest income	33,545			41,118			(18.4	)%	65,470			84,776			(22.8	)%
Noninterest expenses
Salaries and employee benefits	29,048			25,123			15.6	%	57,909			52,693			9.9	%
Net occupancy	5,025			4,493			11.8	%	10,407			11,353			(8.3	)%
Furniture and equipment	2,323			2,581			(10.0	)%	4,567			5,134			(11.0	)%
Data processing	2,076			1,453			42.9	%	3,977			2,691			47.8	%
Marketing	1,238			1,402			(11.7	)%	2,392			2,643			(9.5	)%
Communication	913			753			21.2	%	1,807			1,567			15.3	%
Professional services	2,151			3,095			(30.5	)%	4,298			5,322			(19.2	)%
State intangible tax	970			1,236			(21.5	)%	1,996			2,601			(23.3	)%
FDIC assessments	1,270			1,152			10.2	%	2,433			3,273			(25.7	)%
Other	12,445			11,209			11.0	%	23,451			23,010			1.9	%
Total noninterest expenses	57,459			52,497			9.5	%	113,237			110,287			2.7	%
Income before income taxes	26,505			24,837			6.7	%	53,132			51,377			3.4	%
Income tax expense	8,703			8,864			(1.8	)%	18,336			18,197			0.8	%
Net income	$	17,802		$	15,973		11.5	%	$	34,796		$	33,180		4.9	%
ADDITIONAL DATA
Net earnings per share - basic	$	0.31		$	0.28				$	0.60		$	0.58
Net earnings per share - diluted	$	0.30		$	0.27				$	0.59		$	0.57
Dividends declared per share	$	0.29		$	0.12				$	0.60		$	0.24
Return on average assets	1.13		%	1.03		%			1.09		%	1.07		%
Return on average shareholders' equity	9.98		%	9.05		%			9.83		%	9.54		%
Interest income	$	71,923		$	77,817		(7.6	)%	$	147,020		$	157,880		(6.9	)%
Tax equivalent adjustment	216			240			(10.0	)%	434			478			(9.2	)%
Interest income - tax equivalent	72,139			78,057			(7.6	)%	147,454			158,358			(6.9	)%
Interest expense	7,093			11,950			(40.6	)%	15,501			24,678			(37.2	)%
Net interest income - tax equivalent	$	65,046		$	66,107		(1.6	)%	$	131,953		$	133,680		(1.3	)%
Net interest margin	4.49		%	4.61		%			4.50		%	4.67		%
Net interest margin (fully tax equivalent) (1)	4.50		%	4.62		%			4.51		%	4.69		%
Full-time equivalent employees	1,525			1,374
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

3

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
	2012
	Second			First						% Change
	Quarter			Quarter			YTD			Linked Qtr.
Interest income
Loans, including fees	63,390			$	66,436		$	129,826		(4.6	)%
Investment securities
Taxable	10,379			10,517			20,896			(1.3	)%
Tax-exempt	121			134			255			(9.7	)%
Total investment securities interest	10,500			10,651			21,151			(1.4	)%
Other earning assets	(1,967		)	(1,990		)	(3,957		)	(1.2	)%
Total interest income	71,923			75,097			147,020			(4.2	)%
Interest expense
Deposits	6,381			7,716			14,097			(17.3	)%
Short-term borrowings	37			12			49			208.3	%
Long-term borrowings	675			680			1,355			(0.7	)%
Total interest expense	7,093			8,408			15,501			(15.6	)%
Net interest income	64,830			66,689			131,519			(2.8	)%
Provision for loan and lease losses - uncovered	8,364			3,258			11,622			156.7	%
Provision for loan and lease losses - covered	6,047			12,951			18,998			(53.3	)%
Net interest income after provision for loan and lease losses	50,419			50,480			100,899			(0.1	)%
Noninterest income
Service charges on deposit accounts	5,376			4,909			10,285			9.5	%
Trust and wealth management fees	3,377			3,791			7,168			(10.9	)%
Bankcard income	2,579			2,536			5,115			1.7	%
Net gains from sales of loans	1,132			940			2,072			20.4	%
FDIC loss sharing income	8,280			12,816			21,096			(35.4	)%
Accelerated discount on covered loans	3,764			3,645			7,409			3.3	%
Other	9,037			3,288			12,325			174.8	%
Total noninterest income	33,545			31,925			65,470			5.1	%
Noninterest expenses
Salaries and employee benefits	29,048			28,861			57,909			0.6	%
Net occupancy	5,025			5,382			10,407			(6.6	)%
Furniture and equipment	2,323			2,244			4,567			3.5	%
Data processing	2,076			1,901			3,977			9.2	%
Marketing	1,238			1,154			2,392			7.3	%
Communication	913			894			1,807			2.1	%
Professional services	2,151			2,147			4,298			0.2	%
State intangible tax	970			1,026			1,996			(5.5	)%
FDIC assessments	1,270			1,163			2,433			9.2	%
Other	12,445			11,006			23,451			13.1	%
Total noninterest expenses	57,459			55,778			113,237			3.0	%
Income before income taxes	26,505			26,627			53,132			(0.5	)%
Income tax expense	8,703			9,633			18,336			(9.7	)%
Net income	$	17,802		$	16,994		$	34,796		4.8	%
ADDITIONAL DATA
Net earnings per share - basic	$	0.31		$	0.29		$	0.60
Net earnings per share - diluted	$	0.30		$	0.29		$	0.59
Dividends declared per share	$	0.29		$	0.31		$	0.60
Return on average assets	1.13		%	1.05		%	1.09		%
Return on average shareholders' equity	9.98		%	9.67		%	9.83		%
Interest income	$	71,923		$	75,097		$	147,020		(4.2	)%
Tax equivalent adjustment	216			218			434			(0.9	)%
Interest income - tax equivalent	72,139			75,315			147,454			(4.2	)%
Interest expense	7,093			8,408			15,501			(15.6	)%
Net interest income - tax equivalent	$	65,046		$	66,907		$	131,953		(2.8	)%
Net interest margin	4.49		%	4.51		%	4.50		%
Net interest margin (fully tax equivalent) (1)	4.50		%	4.52		%	4.51		%
Full-time equivalent employees	1,525			1,513
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

4

FIRST FINANCIAL BANCORP.
CONSOLIDATED QUARTERLY STATEMENTS OF INCOME
(Dollars in thousands, except per share data)
(Unaudited)
	2011
	Fourth			Third			Second			First			Full
	Quarter			Quarter			Quarter			Quarter			Year
Interest income
Loans, including fees	$	69,658		$	70,086		$	71,929		$	74,016		$	285,689
Investment securities
Taxable	6,945			7,411			7,080			6,803			28,239
Tax-exempt	201			176			192			198			767
Total investment securities interest	7,146			7,587			7,272			7,001			29,006
Other earning assets	(1,819		)	(1,721		)	(1,384		)	(954		)	(5,878		)
Total interest income	74,985			75,952			77,817			80,063			308,817
Interest expense
Deposits	8,791			9,823			10,767			11,400			40,781
Short-term borrowings	25			44			49			45			163
Long-term borrowings	693			867			937			1,089			3,586
Subordinated debentures and capital securities	0			0			197			194			391
Total interest expense	9,509			10,734			11,950			12,728			44,921
Net interest income	65,476			65,218			65,867			67,335			263,896
Provision for loan and lease losses - uncovered	5,164			7,643			5,756			647			19,210
Provision for loan and lease losses - covered	6,910			7,260			23,895			26,016			64,081
Net interest income after provision for loan and lease losses	53,402			50,315			36,216			40,672			180,605
Noninterest income
Service charges on deposit accounts	4,920			4,793			4,883			4,610			19,206
Trust and wealth management fees	3,531			3,377			3,507			3,925			14,340
Bankcard income	2,490			2,318			2,328			2,155			9,291
Net gains from sales of loans	1,172			1,243			854			989			4,258
FDIC loss sharing income	7,433			8,377			21,643			23,435			60,888
Accelerated discount on covered loans	4,775			5,207			4,756			5,783			20,521
Gain on sale of investment securities	2,541			0			0			0			2,541
Other	2,778			2,800			3,147			2,761			11,486
Total noninterest income	29,640			28,115			41,118			43,658			142,531
Noninterest expenses
Salaries and employee benefits	26,447			27,774			25,123			27,570			106,914
Net occupancy	5,893			4,164			4,493			6,860			21,410
Furniture and equipment	2,425			2,386			2,581			2,553			9,945
Data processing	1,559			1,466			1,453			1,238			5,716
Marketing	1,567			1,584			1,402			1,241			5,794
Communication	864			772			753			814			3,203
Professional services	2,252			2,062			3,095			2,227			9,636
State intangible tax	436			546			1,236			1,365			3,583
FDIC assessments	1,192			1,211			1,152			2,121			5,676
Other	12,033			11,177			11,209			11,801			46,220
Total noninterest expenses	54,668			53,142			52,497			57,790			218,097
Income before income taxes	28,374			25,288			24,837			26,540			105,039
Income tax expense	10,433			9,670			8,864			9,333			38,300
Net income	$	17,941		$	15,618		$	15,973		$	17,207		$	66,739
ADDITIONAL DATA
Net earnings per share - basic	$	0.31		$	0.27		$	0.28		$	0.30		$	1.16
Net earnings per share - diluted	$	0.31		$	0.27		$	0.27		$	0.29		$	1.14
Dividends declared per share	$	0.27		$	0.27		$	0.12		$	0.12		$	0.78
Return on average assets	1.09		%	1.01		%	1.03		%	1.11		%	1.06		%
Return on average shareholders' equity	9.89		%	8.54		%	9.05		%	10.04		%	9.37		%
Interest income	$	74,985		$	75,952		$	77,817		$	80,063		$	308,817
Tax equivalent adjustment	265			236			240			238			979
Interest income - tax equivalent	75,250			76,188			78,057			80,301			309,796
Interest expense	9,509			10,734			11,950			12,728			44,921
Net interest income - tax equivalent	$	65,741		$	65,454		$	66,107		$	67,573		$	264,875
Net interest margin	4.32		%	4.55		%	4.61		%	4.73		%	4.55		%
Net interest margin (fully tax equivalent) (1)	4.34		%	4.57		%	4.62		%	4.75		%	4.57		%
Full-time equivalent employees	1,508			1,377			1,374			1,483
(1) The tax equivalent adjustment to net interest income recognizes the income tax savings when comparing taxable and tax-exempt assets and assumes a 35% tax rate. Management believes that it is a standard practice in the banking industry to present net interest income on a fully tax equivalent basis. Therefore, management believes, these measures provided useful information to investors by allowing them to make peer comparisons. Management also uses these measures to make peer comparisons.

5

FIRST FINANCIAL BANCORP.
CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
	Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,			% Change		% Change
	2012			2012			2011			2011			2011			Linked Qtr.		Comparable Qtr.
ASSETS
Cash and due from banks	$	126,392		$	125,949		$	149,653		$	108,253		$	104,150		0.4	%	21.4	%
Interest-bearing deposits with other banks	9,187			24,101			375,398			369,130			147,108			(61.9	)%	(93.8	)%
Investment securities available-for-sale	724,518			736,309			1,441,846			1,120,179			1,134,114			(1.6	)%	(36.1	)%
Investment securities held-to-maturity	873,538			917,758			2,664			2,724			3,001			(4.8	)%	29,008.2	%
Other investments	71,492			71,492			71,492			71,492			71,492			0.0	%	0.0	%
Loans held for sale	20,971			21,052			24,834			14,259			8,824			(0.4	)%	137.7	%
Loans
Commercial	823,890			831,101			856,981			822,552			798,552			(0.9	)%	3.2	%
Real estate - construction	86,173			104,305			114,974			136,651			142,682			(17.4	)%	(39.6	)%
Real estate - commercial	1,321,446			1,262,775			1,233,067			1,202,035			1,144,368			4.6	%	15.5	%
Real estate - residential	292,503			288,922			287,980			300,165			256,788			1.2	%	13.9	%
Installment	61,590			63,793			67,543			70,034			63,799			(3.5	)%	(3.5	)%
Home equity	365,413			359,711			358,960			362,919			344,457			1.6	%	6.1	%
Credit card	31,486			31,149			31,631			30,435			28,618			1.1	%	10.0	%
Lease financing	30,109			21,794			17,311			12,870			9,890			38.2	%	204.4	%
Total loans, excluding covered loans	3,012,610			2,963,550			2,968,447			2,937,661			2,789,154			1.7	%	8.0	%
Less
Allowance for loan and lease losses	50,952			49,437			52,576			54,537			53,671			3.1	%	(5.1	)%
Net loans - uncovered	2,961,658			2,914,113			2,915,871			2,883,124			2,735,483			1.6	%	8.3	%
Covered loans	903,862			986,619			1,053,244			1,151,066			1,242,730			(8.4	)%	(27.3	)%
Less
Allowance for loan and lease losses	48,327			46,156			42,835			48,112			51,044			4.7	%	(5.3	)%
Net loans - covered	855,535			940,463			1,010,409			1,102,954			1,191,686			(9.0	)%	(28.2	)%
Net loans	3,817,193			3,854,576			3,926,280			3,986,078			3,927,169			(1.0	)%	(2.8	)%
Premises and equipment	142,744			141,664			138,096			120,325			114,797			0.8	%	24.3	%
Goodwill	95,050			95,050			95,050			68,922			51,820			0.0	%	83.4	%
Other intangibles	9,195			10,193			10,844			8,436			4,847			(9.8	)%	89.7	%
FDIC indemnification asset	146,765			156,397			173,009			177,814			193,113			(6.2	)%	(24.0	)%
Accrued interest and other assets	245,632			262,027			262,345			290,117			281,172			(6.3	)%	(12.6	)%
Total Assets	$	6,282,677		$	6,416,568		$	6,671,511		$	6,337,729		$	6,041,607		(2.1	)%	4.0	%
LIABILITIES
Deposits
Interest-bearing demand	$	1,154,852		$	1,289,490		$	1,317,339		$	1,288,721		$	1,021,519		(10.4	)%	13.1	%
Savings	1,543,619			1,613,244			1,724,659			1,537,420			1,643,110			(4.3	)%	(6.1	)%
Time	1,331,758			1,491,132			1,654,662			1,658,031			1,581,603			(10.7	)%	(15.8	)%
Total interest-bearing deposits	4,030,229			4,393,866			4,696,660			4,484,172			4,246,232			(8.3	)%	(5.1	)%
Noninterest-bearing	1,071,520			1,007,049			946,180			814,928			728,178			6.4	%	47.2	%
Total deposits	5,101,749			5,400,915			5,642,840			5,299,100			4,974,410			(5.5	)%	2.6	%
Federal funds purchased and securities sold
under agreements to repurchase	73,919			78,619			99,431			95,451			105,291			(6.0	)%	(29.8	)%
FHLB short-term borrowings	176,000			0			0			0			0			N/M		N/M
Total short-term borrowings	249,919			78,619			99,431			95,451			105,291			217.9	%	137.4	%
Long-term debt	75,120			75,745			76,544			76,875			102,255			(0.8	)%	(26.5	)%
Total borrowed funds	325,039			154,364			175,975			172,326			207,546			110.6	%	56.6	%
Accrued interest and other liabilities	139,101			146,596			140,475			139,171			137,889			(5.1	)%	0.9	%
Total Liabilities	5,565,889			5,701,875			5,959,290			5,610,597			5,319,845			(2.4	)%	4.6	%
SHAREHOLDERS' EQUITY
Common stock	576,929			575,675			579,871			578,974			577,856			0.2	%	(0.2	)%
Retained earnings	331,315			330,563			331,351			329,243			329,455			0.2	%	0.6	%
Accumulated other comprehensive loss	(18,172		)	(18,687		)	(21,490		)	(3,388		)	(7,902		)	(2.8	)%	130.0	%
Treasury stock, at cost	(173,284		)	(172,858		)	(177,511		)	(177,697		)	(177,647		)	0.2	%	(2.5	)%
Total Shareholders' Equity	716,788			714,693			712,221			727,132			721,762			0.3	%	(0.7	)%
Total Liabilities and Shareholders' Equity	$	6,282,677		$	6,416,568		$	6,671,511		$	6,337,729		$	6,041,607		(2.1	)%	4.0	%
N/M = Not meaningful.

6

FIRST FINANCIAL BANCORP.
AVERAGE CONSOLIDATED STATEMENTS OF CONDITION
(Dollars in thousands)
(Unaudited)
	Quarterly Averages															Year-to-Date Averages
	Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,			Jun. 30,
	2012			2012			2011			2011			2011			2012			2011
ASSETS
Cash and due from banks	$	121,114		$	123,634		$	121,603		$	110,336		$	118,829		$	122,374		$	115,410
Interest-bearing deposits with other banks	4,454			126,330			485,432			306,969			375,434			65,392			326,408
Investment securities	1,713,503			1,664,643			1,257,574			1,199,473			1,093,870			1,689,073			1,069,715
Loans held for sale	19,554			19,722			21,067			9,497			8,530			19,638			12,304
Loans
Commercial	827,722			850,092			851,006			794,447			797,158			838,907			800,035
Real estate - construction	99,087			112,945			135,825			141,791			139,255			106,016			148,776
Real estate - commercial	1,279,869			1,235,613			1,206,678			1,145,195			1,132,662			1,257,741			1,134,138
Real estate - residential	290,335			287,749			293,158			258,377			260,920			289,042			263,211
Installment	62,846			65,302			68,945			63,672			65,568			64,074			66,628
Home equity	361,166			358,360			360,389			346,486			341,876			359,763			341,085
Credit card	31,383			31,201			30,759			29,505			28,486			31,292			28,404
Lease financing	23,334			18,524			15,527			11,496			8,492			20,929			7,511
Total loans, excluding covered loans	2,975,742			2,959,786			2,962,287			2,790,969			2,774,417			2,967,764			2,789,788
Less
Allowance for loan and lease losses	50,353			53,513			55,157			55,146			55,132			51,933			57,431
Net loans - uncovered	2,925,389			2,906,273			2,907,130			2,735,823			2,719,285			2,915,831			2,732,357
Covered loans	950,226			1,020,220			1,113,876			1,196,327			1,295,228			985,223			1,357,367
Less
Allowance for loan and lease losses	47,964			47,152			51,330			51,955			39,070			47,558			31,278
Net loans - covered	902,262			973,068			1,062,546			1,144,372			1,256,158			937,665			1,326,089
Net loans	3,827,651			3,879,341			3,969,676			3,880,195			3,975,443			3,853,496			4,058,446
Premises and equipment	143,261			140,377			128,168			116,070			115,279			141,819			117,132
Goodwill	95,050			95,050			77,158			52,004			51,820			95,050			51,820
Other intangibles	9,770			10,506			9,094			4,697			5,031			10,138			5,225
FDIC indemnification asset	149,788			159,450			173,900			183,801			186,125			154,619			197,225
Accrued interest and other assets	250,828			259,878			272,084			273,773			289,393			255,353			289,267
Total Assets	$	6,334,973		$	6,478,931		$	6,515,756		$	6,136,815		$	6,219,754		$	6,406,952		$	6,242,952
LIABILITIES
Deposits
Interest-bearing demand	$	1,192,868		$	1,285,196		$	1,388,903		$	1,153,178		$	1,130,503		$	1,239,032		$	1,109,762
Savings	1,610,411			1,682,507			1,617,588			1,659,152			1,636,821			1,646,459			1,611,086
Time	1,406,800			1,577,448			1,623,921			1,554,497			1,634,779			1,492,124			1,695,884
Total interest-bearing deposits	4,210,079			4,545,151			4,630,412			4,366,827			4,402,103			4,377,615			4,416,732
Noninterest-bearing	1,044,405			931,347			860,863			735,621			734,674			987,876			733,962
Total deposits	5,254,484			5,476,498			5,491,275			5,102,448			5,136,777			5,365,491			5,150,694
Federal funds purchased and securities sold
under agreements to repurchase	80,715			85,891			98,268			100,990			95,297			83,303			92,432
FHLB short-term borrowings	78,966			0			0			0			0			39,483			0
Total short-term borrowings	159,681			85,891			98,268			100,990			95,297			122,786			92,432
Long-term debt	75,314			76,020			76,671			94,150			102,506			75,667			111,171
Other long-term debt	0			0			0			0			20,393			0			20,506
Total borrowed funds	234,995			161,911			174,939			195,140			218,196			198,453			224,109
Accrued interest and other liabilities	128,383			133,975			129,578			113,418			157,031			131,179			166,708
Total Liabilities	5,617,862			5,772,384			5,795,792			5,411,006			5,512,004			5,695,123			5,541,511
SHAREHOLDERS' EQUITY
Common stock	576,276			578,514			579,321			578,380			577,417			577,395			578,597
Retained earnings	332,280			324,370			323,624			331,107			318,466			328,325			313,680
Accumulated other comprehensive loss	(18,242		)	(20,344		)	(5,396		)	(6,013		)	(10,488		)	(19,293		)	(11,862		)
Treasury stock, at cost	(173,203		)	(175,993		)	(177,585		)	(177,665		)	(177,645		)	(174,598		)	(178,974		)
Total Shareholders' Equity	717,111			706,547			719,964			725,809			707,750			711,829			701,441
Total Liabilities and Shareholders' Equity	$	6,334,973		$	6,478,931		$	6,515,756		$	6,136,815		$	6,219,754		$	6,406,952		$	6,242,952

7

FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1)
(Dollars in thousands)
(Unaudited)
	Quarterly Averages															Year-to-Date Averages
	Jun. 30, 2012					Mar. 31, 2012					Jun. 30, 2011					Jun. 30, 2012					Jun. 30, 2011
	Balance			Yield		Balance			Yield		Balance			Yield		Balance			Yield		Balance			Yield
Earning assets
Investment securities	$	1,713,503		2.46	%	$	1,664,643		2.57	%	$	1,093,870		2.67	%	$	1,689,073		2.53	%	$	1,069,715		2.69	%
Interest-bearing deposits with other banks	4,454			0.18	%	126,330			0.28	%	375,434			0.35	%	65,392			0.28	%	326,408			0.38	%
Gross loans (2)	4,095,310			6.02	%	4,159,178			6.21	%	4,264,300			6.60	%	4,127,244			6.15	%	4,356,684			6.62	%
Total earning assets	5,813,267			4.96	%	5,950,151			5.06	%	5,733,604			5.44	%	5,881,709			5.04	%	5,752,807			5.53	%
Nonearning assets
Allowance for loan and lease losses	(98,317		)			(100,665		)			(94,202		)			(99,491		)			(88,709		)
Cash and due from banks	121,114					123,634					118,829					122,374					115,410
Accrued interest and other assets	498,909					505,811					461,523					502,360					463,444
Total assets	$	6,334,973				$	6,478,931				$	6,219,754				$	6,406,952				$	6,242,952
Interest-bearing liabilities
Total interest-bearing deposits	$	4,210,079		0.61	%	$	4,545,151		0.68	%	$	4,402,103		0.98	%	$	4,377,615		0.65	%	$	4,416,732		1.01	%
Borrowed funds
Short-term borrowings	159,681			0.09	%	85,891			0.06	%	95,297			0.21	%	122,786			0.08	%	92,432			0.21	%
Long-term debt	75,314			3.59	%	76,020			3.59	%	102,506			3.67	%	75,667			3.61	%	111,171			3.68	%
Other long-term debt	0			N/M		0			N/M		20,393			3.87	%	0			N/M		20,506			3.85	%
Total borrowed funds	234,995			1.22	%	161,911			1.71	%	218,196			2.17	%	198,453			1.43	%	224,109			2.26	%
Total interest-bearing liabilities	4,445,074			0.64	%	4,707,062			0.72	%	4,620,299			1.04	%	4,576,068			0.68	%	4,640,841			1.07	%
Noninterest-bearing liabilities
Noninterest-bearing demand deposits	1,044,405					931,347					734,674					987,876					733,962
Other liabilities	128,383					133,975					157,031					131,179					166,708
Shareholders' equity	717,111					706,547					707,750					711,829					701,441
Total liabilities & shareholders' equity	$	6,334,973				$	6,478,931				$	6,219,754				$	6,406,952				$	6,242,952
Net interest income (1)	$	64,830				$	66,689				$	65,867				$	131,519				$	133,202
Net interest spread (1)				4.32	%				4.34	%				4.40	%				4.36	%				4.46	%
Net interest margin (1)				4.49	%				4.51	%				4.61	%				4.50	%				4.67	%
(1) Not tax equivalent.
(2) Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans.
N/M = Not meaningful.

8

FIRST FINANCIAL BANCORP.
NET INTEREST MARGIN RATE/VOLUME ANALYSIS (1)
(Dollars in thousands)
(Unaudited)
	Linked Qtr. Income Variance									Comparable Qtr. Income Variance									Year-to-Date Income Variance
	Rate			Volume			Total			Rate			Volume			Total			Rate			Volume			Total
Earning assets
Investment securities	$	(450	)	$	299		$	(151	)	$	(569	)	$	3,797		$	3,228		$	(878	)	$	7,756		$	6,878
Interest-bearing deposits with other banks	(32		)	(55		)	(87		)	(159		)	(167		)	(326		)	(156		)	(363		)	(519		)
Gross loans (2)	(1,978		)	(958		)	(2,936		)	(6,262		)	(2,534		)	(8,796		)	(10,227		)	(6,992		)	(17,219		)
Total earning assets	(2,460		)	(714		)	(3,174		)	(6,990		)	1,096			(5,894		)	(11,261		)	401			(10,860		)
Interest-bearing liabilities
Total interest-bearing deposits	$	(827	)	$	(508	)	$	(1,335	)	$	(4,095	)	$	(291	)	$	(4,386	)	$	(7,944	)	$	(126	)	$	(8,070	)
Borrowed funds
Short-term borrowings	8			17			25			(27		)	15			(12		)	(57		)	12			(45		)
Long-term debt	1			(6		)	(5		)	(18		)	(244		)	(262		)	(35		)	(636		)	(671		)
Other long-term debt	0			0			0			(197		)	0			(197		)	(391		)	0			(391		)
Total borrowed funds	9			11			20			(242		)	(229		)	(471		)	(483		)	(624		)	(1,107		)
Total interest-bearing liabilities	(818		)	(497		)	(1,315		)	(4,337		)	(520		)	(4,857		)	(8,427		)	(750		)	(9,177		)
Net interest income (1)	$	(1,642	)	$	(217	)	$	(1,859	)	$	(2,653	)	$	1,616		$	(1,037	)	$	(2,834	)	$	1,151		$	(1,683	)
(1) Not tax equivalent.
(2) Loans held for sale, nonaccrual loans, covered loans, and indemnification asset are included in gross loans.

9

FIRST FINANCIAL BANCORP.
CREDIT QUALITY
(excluding covered assets)
(Dollars in thousands)
(Unaudited)
																Six months ended,
	Jun. 30,			Mar 31,			Dec. 31,			Sep. 30,			Jun. 30,			Jun. 30,			Jun. 30,
	2012			2012			2011			2011			2011			2012			2011
ALLOWANCE FOR LOAN AND LEASE LOSS ACTIVITY
Balance at beginning of period	$	49,437		$	52,576		$	54,537		$	53,671		$	53,645		$	52,576		$	57,235
Provision for uncovered loan and lease losses	8,364			3,258			5,164			7,643			5,756			11,622			6,403
Gross charge-offs
Commercial	1,129			1,186			1,742			879			383			2,315			815
Real estate - construction	717			1,787			2,105			1,771			1,213			2,504			2,403
Real estate - commercial	3,811			2,244			2,505			2,997			2,791			6,055			4,880
Real estate - residential	191			604			473			564			406			795			514
Installment	116			60			115			162			177			176			249
Home equity	915			644			488			510			923			1,559			1,185
Other	259			297			363			291			339			556			787
Total gross charge-offs	7,138			6,822			7,791			7,174			6,232			13,960			10,833
Recoveries
Commercial	48			72			348			92			222			120			322
Real estate - construction	0			0			5			0			27			0			27
Real estate - commercial	68			113			68			168			38			181			73
Real estate - residential	9			28			3			4			29			37			38
Installment	75			123			96			87			82			198			180
Home equity	28			24			71			9			12			52			37
Other	61			65			75			37			92			126			189
Total recoveries	289			425			666			397			502			714			866
Total net charge-offs	6,849			6,397			7,125			6,777			5,730			13,246			9,967
Ending allowance for uncovered loan and lease losses	$	50,952		$	49,437		$	52,576		$	54,537		$	53,671		$	50,952		$	53,671
NET CHARGE-OFFS TO AVERAGE LOANS AND LEASES (ANNUALIZED)
Commercial	0.53		%	0.53		%	0.65		%	0.39		%	0.08		%	0.53		%	0.12		%
Real estate - construction	2.91		%	6.36		%	6.13		%	4.96		%	3.42		%	4.75		%	3.22		%
Real estate - commercial	1.18		%	0.69		%	0.80		%	0.98		%	0.97		%	0.94		%	0.85		%
Real estate - residential	0.25		%	0.81		%	0.64		%	0.86		%	0.58		%	0.53		%	0.36		%
Installment	0.26		%	(0.39		)%	0.11		%	0.47		%	0.58		%	(0.07		)%	0.21		%
Home equity	0.99		%	0.70		%	0.46		%	0.57		%	1.07		%	0.84		%	0.68		%
Other	1.46		%	1.88		%	2.47		%	2.46		%	2.68		%	1.66		%	3.36		%
Total net charge-offs	0.93		%	0.87		%	0.95		%	0.96		%	0.83		%	0.90		%	0.72		%
COMPONENTS OF NONPERFORMING LOANS, NONPERFORMING ASSETS, AND UNDERPERFORMING ASSETS
Nonaccrual loans
Commercial	$	12,065		$	5,936		$	7,809		$	10,792		$	9,811		$	12,065		$	9,811
Real estate - construction	7,243			7,005			10,005			13,844			13,237			7,243			13,237
Real estate - commercial	36,116			35,581			28,349			26,408			26,213			36,116			26,213
Real estate - residential	5,069			5,131			5,692			5,507			4,564			5,069			4,564
Installment	319			377			371			322			335			319			335
Home equity	2,281			1,915			2,073			2,277			2,376			2,281			2,376
Nonaccrual loans	63,093			55,945			54,299			59,150			56,536			63,093			56,536
Troubled debt restructurings (TDRs)
Accruing	9,909			9,495			4,009			4,712			3,039			9,909			3,039
Nonaccrual	10,185			17,205			18,071			12,571			14,443			10,185			14,443
Total TDRs	20,094			26,700			22,080			17,283			17,482			20,094			17,482
Total nonperforming loans	83,187			82,645			76,379			76,433			74,018			83,187			74,018
Other real estate owned (OREO)	15,688			15,036			11,317			12,003			16,313			15,688			16,313
Total nonperforming assets	98,875			97,681			87,696			88,436			90,331			98,875			90,331
Accruing loans past due 90 days or more	143			203			191			235			149			143			149
Total underperforming assets	$	99,018		$	97,884		$	87,887		$	88,671		$	90,480		$	99,018		$	90,480
Total classified assets	$	145,621		$	154,684		$	162,372		$	172,581		$	184,786		$	145,621		$	184,786
CREDIT QUALITY RATIOS (excluding covered assets)
Allowance for loan and lease losses to
Nonaccrual loans	80.76		%	88.37		%	96.83		%	92.20		%	94.93		%	80.76		%	94.93		%
Nonaccrual loans plus nonaccrual TDRs	69.53		%	67.58		%	72.65		%	76.04		%	75.62		%	69.53		%	75.62		%
Nonperforming loans	61.25		%	59.82		%	68.84		%	71.35		%	72.51		%	61.25		%	72.51		%
Total ending loans	1.69		%	1.67		%	1.77		%	1.86		%	1.92		%	1.69		%	1.92		%
Nonperforming loans to total loans	2.76		%	2.79		%	2.57		%	2.60		%	2.65		%	2.76		%	2.65		%
Nonperforming assets to
Ending loans, plus OREO	3.27		%	3.28		%	2.94		%	3.00		%	3.22		%	3.27		%	3.22		%
Total assets	1.57		%	1.52		%	1.31		%	1.40		%	1.50		%	1.57		%	1.50		%
Nonperforming assets, excluding accruing TDRs to
Ending loans, plus OREO	2.94		%	2.96		%	2.81		%	2.84		%	3.11		%	2.94		%	3.11		%
Total assets	1.42		%	1.37		%	1.25		%	1.32		%	1.44		%	1.42		%	1.44		%

10

FIRST FINANCIAL BANCORP.
CAPITAL ADEQUACY
(Dollars in thousands, except per share data)
(Unaudited)
																Six months ended,
	Jun. 30,			Mar. 31,			Dec. 31,			Sep. 30,			Jun. 30,			Jun. 30,			Jun. 30,
	2012			2012			2011			2011			2011			2012			2011
PER COMMON SHARE
Market Price
High	$	17.70		$	18.28		$	17.06		$	17.12		$	17.20		$	18.28		$	18.91
Low	$	14.88		$	16.11		$	13.40		$	13.34		$	15.04		$	14.88		$	15.04
Close	$	15.98		$	17.30		$	16.64		$	13.80		$	16.69		$	15.98		$	16.69
Average shares outstanding - basic	57,933,281			57,795,258			57,744,662			57,735,811			57,694,792			57,864,269			57,642,970
Average shares outstanding - diluted	58,958,279			58,881,043			58,672,575			58,654,099			58,734,662			58,921,689			58,722,448
Ending shares outstanding	58,513,393			58,539,458			58,267,054			58,256,136			58,259,440			58,513,393			58,259,440
REGULATORY CAPITAL	Preliminary
Tier 1 Capital	$	640,644		$	637,612		$	636,836		$	661,838		$	681,492		$	640,644		$	681,492
Tier 1 Ratio	17.14		%	17.18		%	17.47		%	18.81		%	20.14		%	17.14		%	20.14		%
Total Capital	$	688,401		$	684,838		$	683,255		$	706,570		$	724,763		$	688,401		$	724,763
Total Capital Ratio	18.42		%	18.45		%	18.74		%	20.08		%	21.42		%	18.42		%	21.42		%
Total Capital in excess of minimum
requirement	$	389,367		$	387,954		$	391,623		$	425,128		$	454,034		$	389,367		$	454,034
Total Risk-Weighted Assets	$	3,737,920		$	3,711,053		$	3,645,403		$	3,518,026		$	3,384,115		$	3,737,920		$	3,384,115
Leverage Ratio	10.21		%	9.94		%	9.87		%	10.87		%	11.01		%	10.21		%	11.01		%
OTHER CAPITAL RATIOS
Ending shareholders' equity to ending assets	11.41		%	11.14		%	10.68		%	11.47		%	11.95		%	11.41		%	11.95		%
Ending tangible shareholders' equity to ending tangible assets	9.91		%	9.66		%	9.23		%	10.38		%	11.11		%	9.91		%	11.11		%
Average shareholders' equity to average assets	11.32		%	10.91		%	11.05		%	11.83		%	11.38		%	11.11		%	11.24		%
Average tangible shareholders' equity to average tangible assets	9.84		%	9.43		%	9.58		%	10.70		%	10.56		%	9.64		%	10.42		%

11

SUPPLEMENTAL INFORMATION ON COVERED ASSETS AND ACQUISITION-RELATED ITEMS

To assist in analyzing the effect of the Company's 2009 FDIC assisted transactions and 2011 branch transactions on its financial results, supplemental information that segregates the estimated impact on pre-tax earnings of certain acquisition-related items and provides additional detail on the covered loan portfolio follows.

SUMMARY OF SIGNIFICANT ACQUISITION-RELATED ITEMS

The following table illustrates the estimated income and expense effects of certain direct acquisition-related items for the three months ended June 30, 2012, March 31, 2012 and June 30, 2011.

Table VII
	For the Three Months Ended
	June 30,		March 31,			June 30,
(Dollars in thousands)	2012		2012			2011
Income effect:
Accelerated discount on covered loans 1, 2	$	3,764	$	3,645		$	4,756
Acquired-non-strategic net interest income	7,117		7,428			8,821
FDIC loss sharing income 1	8,280		12,816			21,643
Service charges on deposit accounts related to
acquired-non-strategic operations	42		37			108
Other income (loss) related to transition/non-strategic operations	49		(47		)	(593		)
Total income effect	$	19,252	$	23,879		$	34,735
Expense effect:
Provision for loan and lease losses - covered	$	6,047	$	12,951		$	23,895
Loss share and covered asset expense 3	4,317		3,043			3,376
FDIC loss share support 3	1,014		1,163			1,369
Acquired-non-strategic operating expenses: 3	19		(146		)	2,673
Acquisition-related costs: 3	78		188			76
Transition-related items: 3	—		—			161
Total expense effect	$	11,475	$	17,199		$	31,550
1 Included in noninterest income
2  Net of the corresponding valuation adjustment on the FDIC indemnification asset
3  Included in noninterest expense

ACCELERATED DISCOUNT ON LOAN PREPAYMENTS AND DISPOSITIONS

During the second quarter 2012, First Financial recognized approximately $3.8 million in accelerated discount from acquired loans, net of the corresponding adjustment on the FDIC indemnification asset. Accelerated discount is recognized when acquired loans, which are recorded on the Company's balance sheet at an amount less than the unpaid principal balance, prepay at an amount greater than their recorded book value. Prepayments can occur through either customer driven payments before the maturity date or loan sales. The amount of discount attributable to the credit loss component of each loan varies and the recognized amount is offset by a related reduction in the FDIC indemnification asset. Accelerated discount recognized during the quarter resulted primarily from loan prepayments.

OPERATING EXPENSES AND OTHER ACQUISITION-RELATED COSTS

Acquired-non-strategic operating expenses, acquisition-related costs and transition-related items have declined significantly as costs associated with acquisitions, including market exit costs and professional services and other resolution expenses related to non-strategic acquired subsidiaries, have continued to wind down over the past several quarters.

12

NET INTEREST MARGIN IMPACT

Net interest margin is affected by certain activity related to the acquired loan portfolio. The majority of these loans are accounted for under ASC Topic 310-30 and, as such, the Company is required to periodically update its forecast of expected cash flows from these loans. Impairment, as a result of a decrease in expected cash flows, is recognized as provision expense in the period it is measured and has no impact on net interest margin. Improvements in expected cash flows, in excess of any prior impairment, are recognized on a prospective basis through an upward adjustment to the yield earned on the portfolio. Impairment and improvement are both partially offset by the impact of changes in the value of the FDIC indemnification asset. Impairment is partially offset by an increase to the FDIC indemnification asset as a result of FDIC loss sharing income. Improvement, which is reflected as a higher yield, is partially offset by a lower yield earned on the FDIC indemnification asset until the next periodic valuation of the loans and the indemnification asset. The weighted average yield of the acquired loan portfolio may also be subject to change as loans with higher yields pay down more quickly or slowly than loans with lower yields.

The following table shows the estimated yield earned by the Company on its covered and uncovered loan portfolios and the FDIC indemnification asset for the three months ended June 30, 2012.

Table VIII	For the Three Months Ended
	June 30, 2012
	Average
(Dollars in thousands)	Balance		Yield
Loans, excluding covered loans 1	$	2,995,296	4.88%
Covered loan portfolio accounted for under ASC Topic 310-30 2	863,609		11.03%
Covered loan portfolio accounted for under ASC Topic 310-20 3	86,617		15.12%
FDIC indemnification asset 2	149,788		-5.29%
Total	$	4,095,310	6.02%
1  Includes loans with loss share coverage removed
2  Future yield adjustments subject to change based on required, periodic valuation procedures
3  Includes loans with revolving privileges which are scoped out of ASC Topic 310-30 and certain loans
which the Company elected to treat under the cost recovery method of accounting.

As part of its on-going valuation procedures, the Company experienced a $0.8 million improvement in the cash flow expectations related to certain loan pools. During the quarter, the average yield earned on covered loans accounted for under ASC Topic 310-30 was 11.03%. On a prospective basis and until its next periodic valuation, the Company expects the yield on covered loans to be 11.54%.

This projected improvement in cash flow expectations on loans is partially offset by a related decline in cash flow expectations on the FDIC indemnification asset which is recognized through its yield. The average yield earned on the indemnification asset during the second quarter 2012 was -5.29%. On a prospective basis and until its next periodic valuation, the Company expects the yield on the indemnification asset to be -5.45%.

LOSS SHARE AGREEMENTS

As of June 30, 2012, 23.1% of the Company's total loans were covered loans. As required under the loss-share arrangements, First Financial must file monthly certifications with the FDIC on single-family residential loans and quarterly certifications on all other loans. To date, all certifications have been filed in a timely manner and without significant issues.

13

COVERED LOAN PORTFOLIO

The following table presents estimated activity in the covered loan portfolio by loan type during the second quarter 2012.

Table IX
	Covered Loan Activity - Second Quarter 2012
			Reduction in Recorded Investment Due to:
	March 31,						Contractual			Net		Loans With		June 30,
(Dollars in thousands)	2012		Sales		Prepayments		Activity 1			Charge-Offs 2		Coverage Removed		2012
Commercial	$	164,933	$	—	$	14,360	$	7,365		$	1,199	$	—	$	142,009
Real estate - construction	16,727		—		35		566			793		—		15,333
Real estate - commercial	609,141		1,285		35,579		13,159			1,399		1,046		556,673
Real estate - residential	115,428		—		2,667		939			102		—		111,720
Installment	12,079		—		333		99			6		—		11,641
Home equity	64,824		—		3,155		(1,870		)	377		—		63,162
Other covered loans	3,487		—		—		163			—		—		3,324
Total covered loans	$	986,619	$	1,285	$	56,129	$	20,421		$	3,876	$	1,046	$	903,862
1  Includes partial paydowns, accretion of the valuation discount and advances on revolving loans
2  Indemnified at 80% from the FDIC

During the second quarter 2012, the total balance of covered loans decreased $82.8 million, or 8.4%, as compared to the previous quarter.

ALLOWANCE FOR LOAN AND LEASE LOSSES - COVERED

Under the applicable accounting guidance, the allowance for loan losses related to covered loans is a result of impairment identified in on-going valuation procedures and is generally recognized in the current period as provision expense. However, if improvement is noted in a loan pool that had previously experienced impairment, the amount of improvement is recognized as a reduction to the applicable period's provision expense. Additional improvement beyond previously recorded impairment is reflected as a yield adjustment on a prospective basis. The timing inherent in this accounting treatment may result in earnings volatility in future periods.

The following table presents activity in the allowance for loan losses related to covered loans for the three months ended June 30, 2012, March 31, 2012, December 31, 2011 and September 30, 2011.

Table X
	As of or for the Three Months Ended
	June 30,			March 31,			December 31,			September 30,
(Dollars in thousands)	2012			2012			2011			2011
Balance at beginning of period	$	46,156		$	42,835		$	48,112		$	51,044
Provision for loan and lease losses - covered	6,047			12,951			6,910			7,260
Total gross charge-offs	(5,163		)	(10,118		)	(13,513		)	(10,609		)
Total recoveries	1,287			488			1,326			417
Total net charge-offs	(3,876		)	(9,630		)	(12,187		)	(10,192		)
Ending allowance for loan and lease losses - covered	$	48,327		$	46,156		$	42,835		$	48,112

14

The Company has established an allowance for loan losses associated with covered loans based on estimated valuation procedures performed each quarter. The allowance for covered loan losses increased $2.2 million, or 4.7%, during the second quarter. As a percentage of total covered loans, the allowance for loan losses totaled 5.35% as of June 30, 2012 compared to 4.68% as of March 31, 2012.

Net charge-offs on covered loans during the second quarter 2012 were $3.9 million compared to $9.6 million for the first quarter 2012, a decrease of $5.8 million, or 59.8%. During the second quarter 2012, the Company recognized a provision expense of $6.0 million, representing a decrease of $6.9 million, or 53.3%, compared to the linked quarter. The difference between provision expense and net charge-offs primarily relates to the quarterly re-estimation of cash flow expectations required under ASC Topic 310-30. The net present value of expected cash flows is influenced by both the amount and timing of such cash flows. The Company continues to refine its expectations with respect to both factors as the covered portfolio ages.

In addition to the provision expense, the Company incurred loss share and covered asset expenses of $4.3 million, including $1.2 million of losses related to covered OREO and $3.1 million of other credit expenses related to covered assets. The receivable due from the FDIC under loss share agreements of $8.3 million related to total credit costs incurred was recognized as FDIC loss share income and a corresponding increase to the FDIC indemnification asset.

15