8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

----------------------

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported)

July 24, 2006

WASHINGTON TRUST BANCORP, INC.

-----------------------------

(Exact Name of Registrant as Specified in Charter)

Rhode Island	0-13091	05-0404671
--------------------	--------------------	---------------------
(State or Other Jurisdiction	(Commission	(IRS Employer
of Incorporation)	File Number)	Identification No.)

23 Broad Street, Westerly, Rhode Island 02891

------------------------------------------------------------

(Address of Principal Executive Offices) (Zip Code)

Registrant’s telephone number, including area code: (401) 348-1200

Former name or address, if changed from last report: N/A

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

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

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

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

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

Item 2.02 Results of Operations and Financial Condition.

On July 24, 2006, Washington Trust Bancorp, Inc. issued a press release in which it disclosed unaudited financial information related to second quarter consolidated earnings. A copy of the press release relating to such announcement, dated July 24, 2006, is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Pursuant to General Instructions B.2 of Form 8-K, this information shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(c)	Exhibits.
	Exhibit No.	Exhibit
	99.1	Press Release dated July 24, 2006*
	*Filed herewith

SIGNATURES

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

	WASHINGTON TRUST BANCORP, INC.
Date: July 24, 2006	By:	/s/ David V. Devault
		David V. Devault
		Executive Vice President, Secretary, Treasurer and Chief Financial Officer

EXHIBIT INDEX

Exhibit No.	Exhibit
99.1	Press Release dated July 24, 2006*
* Filed herewith

EX-99

Exhibit 99.1

[Omitted Graphic Reference]

NASDAQ: WASH

Contact:Elizabeth B. Eckel

Senior Vice President, Marketing

Telephone: (401) 348-1309

E-mail: ebeckel@washtrust.com

Date: July 24, 2006

FOR IMMEDIATE RELEASE

Washington Trust Second Quarter Earnings Up 9.5%

Westerly, Rhode Island…Washington Trust Bancorp, Inc. (NASDAQ Global Market; symbol: WASH), parent company of The Washington Trust Company, today announced second quarter 2006 net income of $6.2 million, up 9.5 percent from the $5.6 million reported for the second quarter of 2005. On a diluted earnings per share basis, the Corporation earned 45 cents for the second quarter of 2006, up 4 cents, or 9.8 percent, from the 41 cents earned for the same quarter in 2005. The returns on average equity and average assets for the quarter ended June 30, 2006 were 15.28% and 1.02%, respectively, compared to 14.58% and 0.97%, respectively, for the comparable quarter in 2005.

"We're pleased with our second quarter performance in light of an extremely challenging interest rate environment," stated John F. Treanor, Washington Trust President and Chief Operating Officer.

Net income for the six months ended June 30, 2006 amounted to $12.3 million, an increase of 10.9 percent from the $11.0 million reported for the same period a year ago. On a diluted earnings per share basis, the Corporation earned 89 cents for the first half of 2006, up 8 cents from the 81 cents reported for the first half of 2005. The returns on average equity and average assets for the six months ended June 30, 2006 were 15.19% and 1.02%, respectively, compared to 14.39% and 0.95%, respectively, for the comparable period in 2005.

Net interest income totaled $15.2 million for the second quarter of 2006, up 1.6 percent from the second quarter a year ago. In the second quarter of 2006, no dividend income was recognized nor included in net interest income on the Corporation’s investment in Federal Home Loan Bank of Boston (“FHLB”) stock due to a timing change made by the FHLB in its dividend payment schedule. The Corporation estimates that it would have otherwise recorded approximately $450 thousand of FHLB stock dividend income in the second quarter. The FHLB has indicated that it intends to pay dividends during the third quarter with a catch-up for the delayed dividend, although the amout of such dividends has not yet been announced.

-M O R E-

Washington Trust

Page Two, July 24, 2006

The net interest margin (annualized tax-equivalent net interest income as a percentage of average earning assets) for the second quarter of 2006 amounted to 2.75%, down 9 basis points from the first quarter of 2006. The decline in the net interest margin on a linked quarter basis was largely due to the FHLB dividend schedule change, which was approximately 8 basis points. The continuing rise in short-term interest rates in the first half of 2006, combined with the shift in the deposit mix has also affected the margin.

Excluding net realized gains on securities, noninterest income amounted to $10.7 million in the second quarter of 2006, an increase of 53 percent from the same quarter of 2005. This increase is primarily attributable to higher revenues from wealth management and trust services, mainly due to the acquisition of Weston Financial Group, Inc. (“Weston Financial”) in the third quarter of 2005.

Wealth management and trust services, the largest component of noninterest income, totaled $6.2 million for the second quarter of 2006, up $2.7 million, or 77 percent, from the second quarter of 2005. As previously stated, this increase was primarily attributable to the acquisition of Weston Financial completed on August 31, 2005. Revenue from wealth management and trust services is largely dependent on the value of assets under administration and is closely tied to the performance of the financial markets. Assets under administration totaled $3.425 billion at June 30, 2006, up $153 million, or 5 percent, from $3.272 billion at December 31, 2005. The increase is due to business development efforts and, to a lesser extent, financial market appreciation.

In the second quarter of 2006, Washington Trust recognized $765 thousand of net realized gains on sales of securities, primarily equity securities. Approximately $381 thousand of the gains resulted from the Corporation’s annual contribution of appreciated equity securities to the Corporation’s charitable foundation. The cost of the annual contribution, which was included in noninterest expenses, amounted to $513 thousand for the second quarter of 2006. Washington Trust made its 2005 annual contribution to the charitable foundation in the fourth quarter of 2005. The remainder of the net realized gains recognized in the second quarter of 2006 resulted primarily from the market sale of appreciated equity securities.

Noninterest expenses amounted to $17.3 million for the quarter ended June 30, 2006 an increase of $3.9 million, or 29 percent, over the comparable quarter a year ago. Approximately $2.1 million, or 54 percent, of this increase was attributable to the operating expenses of Weston Financial.

-M O R E-

Washington Trust

Page Three, July 24, 2006

Total assets were $2.432 billion at June 30, 2006, up from $2.402 billion at December 31, 2005. Loan growth was modest in the first half of 2006, with total loans increasing by $29.4 million, or 2.1 percent. Total commercial and commercial real estate loans rose by $10.9 million, or 2.0 percent. Residential mortgages increased by $6.5 million, or 1.1 percent, in the first six months of 2006. Consumer loans rose by $12.0 million, or 4.6 percent, led by growth in home equity loans. The securities portfolio was little changed, up $2.3 million during the six months ended June 30, 2006.

Total deposits totaled $1.671 billion at June 30, 2006, up $31.5 million, or 1.9 percent, from December 31, 2005. Excluding a $16.0 million increase in brokered certificates of deposit, in-market deposits were up $15.5 million, or 1.1 percent, during the first six months of 2006. Due to increases in short-term interest rates, the Corporation has continued to experience a shift in the mix of deposits away from savings accounts and into premium money market accounts and certificates of deposit. FHLB advances decreased by $1.7 million during the first half of 2006.

Asset quality, as measured by the level of nonperforming assets, remained strong during the first half of 2006. Nonperforming assets (nonaccrual loans and property acquired through foreclosure) totaled $2.4 million, or 0.10% of total assets, at June 30, 2006, essentially unchanged from a year ago. Net charge-offs amounted to $38 thousand in the first half of 2006, compared to net loan recoveries of $71 thousand for the same period a year ago.

The allowance for loan losses was $18.5 million, or 1.29% of total loans, at June 30, 2006, compared to $17.4 million, or 1.30% of total loans, at June 30, 2005. The Corporation’s loan loss provision charged to earnings amounted to $300 and $600 thousand, respectively, for the three and six months ended June 30, 2006, consistent with the amounts recorded in 2005.

Total shareholders’ equity amounted to $161.3 million at June 30, 2006, compared to $158.4 million at December 31, 2005. Book value per share as of June 30, 2006 and December 31, 2005 amounted to $12.01 and $11.86, respectively.

- M O R E -

Washington Trust

Page Four, July 24, 2006

Washington Trust President and Chief Operating Officer John F. Treanor, and David V. Devault, Executive Vice President, Secretary, Treasurer, and Chief Financial Officer, will host a conference call on Monday, July 24, at 4:30 p.m. (Eastern Time) to discuss the Corporation’s second quarter results. This call is being webcast by VCall and can be accessed through the Investor Relations section of the Washington Trust website, www.washtrust.com. A replay of the call will be posted in this same location on the website shortly after the conclusion of the call. You may also listen to a replay by dialing (877) 660-6853, and entering Account #: 286 and Conference ID #: 207175. The replay will be available until 11:59 p.m. on July 31, 2006.

Washington Trust Bancorp, Inc. is the parent of The Washington Trust Company, a Rhode Island state-chartered bank founded in 1800. Washington Trust offers personal banking, business banking and wealth management services through its offices in Rhode Island, Massachusetts and southeastern Connecticut. Washington Trust Bancorp, Inc.’s common stock trades on the NASDAQ Global Market^Ò under the symbol WASH. Investor information is available on the Corporation’s web site: www.washtrust.com.

# # #

This report contains certain statements that may be considered “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.  The actual results, performance or achievements of the Corporation could differ materially from those projected in the forward-looking statements as a result, among other factors, of changes in general national or regional economic conditions, changes in interest rates, reductions in the market value of wealth management and trust assets under administration, reductions in loan demand, reductions in deposit levels necessitating increased borrowing to fund loans and investments, changes in loan default and charge-off rates, changes in the size and nature of the Corporation’s competition, changes in legislation or regulation and accounting principles, policies and guidelines, and changes in the assumptions used in making such forward-looking statements. The Corporation assumes no obligation to update forward-looking statements or update the reasons actual results, performance or achievements could differ materially from those provided in the forward-looking statements, except as required by law.

Washington Trust Bancorp, Inc. and Subsidiaries
FINANCIAL SUMMARY
	Three Months Ended
	June 30,			Mar. 31,			June 30,
(Dollars and shares in thousands, except per share amounts)	2006			2006			2005
Operating Results
Net interest income	$	15,217		$	15,415		$	14,972
Provision for loan losses		300			300			300
Net realized gains on securities		765			59			3
Other noninterest income		10,682			9,461			6,991
Noninterest expenses		17,280			15,704			13,373
Income tax expense		2,907			2,858			2,654
Net income		6,177			6,073			5,639
Per Share
Basic earnings	$	0.46		$	0.45		$	0.42
Diluted earnings	$	0.45		$	0.44		$	0.41
Dividends declared	$	0.19		$	0.19		$	0.18
Weighted Average Shares Outstanding
Basic		13,419.9			13,386.8			13,296.0
Diluted		13,703.2			13,698.6			13,592.3
Key Ratios
Return on average assets		1.02	%		1.01	%		0.97	%
Return on average equity		15.28	%		15.09	%		14.58	%
Interest rate spread (taxable equivalent basis)		2.43	%		2.53	%		2.48	%
Net interest margin (taxable equivalent basis)		2.75	%		2.84	%		2.76	%
Allowance for Loan Losses
Balance at beginning of period	$	18,247		$	17,918		$	17,058
Provision charged to earnings		300			300			300
Net (charge-offs) recoveries		(67	)		29			84
Balance at end of period	$	18,480		$	18,247		$	17,442

Washington Trust Bancorp, Inc. and Subsidiaries
FINANCIAL SUMMARY
	Six Months Ended
	June 30,			June 30,
(Dollars and shares in thousands, except per share amounts)	2006			2005
Operating Results
Net interest income	$	30,632		$	29,593
Provision for loan losses		600			600
Net realized gains on securities		824			3
Other noninterest income		20,143			13,070
Noninterest expenses		32,984			25,817
Income tax expense		5,765			5,200
Net income		12,250			11,049
Per Share
Basic earnings	$	0.91		$	0.83
Diluted earnings	$	0.89		$	0.81
Dividends declared	$	0.38		$	0.36
Weighted Average Shares Outstanding
Basic		13,403.4			13,289.4
Diluted		13,699.6			13,602.3
Key Ratios
Return on average assets		1.02	%		0.95	%
Return on average equity		15.19	%		14.39	%
Interest rate spread (taxable equivalent basis)		2.49	%		2.49	%
Net interest margin (taxable equivalent basis)		2.79	%		2.76	%
Allowance for Loan Losses
Balance at beginning of period	$	17,918		$	16,771
Provision charged to earnings		600			600
Net (charge-offs) recoveries		(38	)		71
Balance at end of period	$	18,480		$	17,442

Washington Trust Bancorp, Inc. and Subsidiaries
FINANCIAL SUMMARY
	June 30,			Dec. 31,			June 30,
(Dollars and shares in thousands, except per share amounts)	2006			2005			2005
Period-End Balance Sheet
Assets	$	2,432,277		$	2,402,003		$	2,339,264
Total securities		786,251			783,941			826,052
Loans:
Commercial and other:
Mortgages		273,186			291,292			274,330
Construction and development		33,768			37,190			32,382
Other		258,655			226,252			221,877
Total commercial and other		565,609			554,734			528,589
Residential real estate:
Mortgages		568,914			565,680			546,364
Homeowner construction		20,280			17,028			20,846
Total residential real estate		589,194			582,708			567,210
Consumer:
Home equity lines		153,037			161,100			162,465
Other		123,468			103,366			86,960
Total consumer		276,505			264,466			249,425
Total loans		1,431,308			1,401,908			1,345,224
Deposits:
Demand deposits		184,227			196,102			201,509
NOW accounts		178,063			178,677			179,824
Money market accounts		239,912			223,255			183,318
Savings accounts		191,585			212,499			233,811
Time deposits		877,010			828,725			732,236
Total deposits		1,670,797			1,639,258			1,530,698
Brokered deposits included in time deposits		216,138			200,115			202,754
Federal Home Loan Bank advances		543,588			545,323			625,641
Shareholders’ equity		161,329			158,446			156,870
Capital Ratios
Tier 1 risk-based capital		9.41	%		9.06	%		9.26	%
Total risk-based capital		10.85	%		10.51	%		10.78	%
Tier 1 leverage ratio		5.73	%		5.45	%		5.53	%
Share Information
Shares outstanding at end of period		13,429.4			13,361.8			13,307.4
Book value per share	$	12.01		$	11.86		$	11.79
Tangible book value per share	$	8.02		$	7.79		$	10.01
Market value per share	$	27.72		$	26.18		$	27.67
Credit Quality
Nonaccrual loans	$	2,435		$	2,414		$	2,435
Other real estate owned, net		-			-			4
Nonperforming assets to total assets		0.10	%		0.10	%		0.10	%
Nonaccrual loans to total loans		0.17	%		0.17	%		0.18	%
Allowance for loan losses to nonaccrual loans		758.93	%		742.25	%		716.30	%
Allowance for loan losses to total loans		1.29	%		1.28	%		1.30	%
Assets Under Administration
Market value	$	3,424,698		$	3,271,756		$	1,852,925

Washington Trust Bancorp, Inc. and Subsidiaries
CONSOLIDATED BALANCE SHEETS
	(Unaudited)
(Dollars in thousands)	June 30,			December 31,
	2006			2005
Assets:
Cash and due from banks	$	44,042		$	48,997
Federal funds sold and other short-term investments		8,133			17,166
Mortgage loans held for sale		1,362			439
Securities:
Available for sale, at fair value; amortized cost $636,298 in 2006 and $620,638 in 2005		625,793			619,234
Held to maturity, at cost; fair value $155,484 in 2006 and $162,756 in 2005		160,458			164,707
Total securities		786,251			783,941
Federal Home Loan Bank stock, at cost		33,915			34,966
Loans:
Commercial and other		565,609			554,734
Residential real estate		589,194			582,708
Consumer		276,505			264,466
Total loans		1,431,308			1,401,908
Less allowance for loan losses		18,480			17,918
Net loans		1,412,828			1,383,990
Premises and equipment, net		24,261			23,737
Accrued interest receivable		10,749			10,594
Investment in bank-owned life insurance		38,985			30,360
Goodwill		39,963			39,963
Identifiable intangible assets		13,598			14,409
Other assets		18,190			13,441
Total assets	$	2,432,277		$	2,402,003
Liabilities:
Deposits:
Demand deposits	$	184,227		$	196,102
NOW accounts		178,063			178,677
Money market accounts		239,912			223,255
Savings accounts		191,585			212,499
Time deposits		877,010			828,725
Total deposits		1,670,797			1,639,258
Dividends payable		2,554			2,408
Federal Home Loan Bank advances		543,588			545,323
Junior subordinated debentures		22,681			22,681
Other borrowings		7,173			9,774
Accrued expenses and other liabilities		24,155			24,113
Total liabilities		2,270,948			2,243,557
Shareholders’ Equity:
Common stock of $.0625 par value; authorized 30,000,000 shares;
issued 13,443,046 shares in 2006 and 13,372,295 in 2005		840			836
Paid-in capital		34,516			32,778
Retained earnings		133,880			126,735
Accumulated other comprehensive (loss) income		(7,566	)		(1,653	)
Treasury stock, at cost; 13,677 shares in 2006 and 10,519 in 2005		(341	)		(250	)
Total shareholders’ equity		161,329			158,446
Total liabilities and shareholders’ equity	$	2,432,277		$	2,402,003

Washington Trust Bancorp, Inc. and Subsidiaries
CONSOLIDATED STATEMENTS OF INCOME
(Dollars and shares in thousands, except per share amounts)	(Unaudited)
	Three Months				Six Months
Periods ended June 30,	2006		2005		2006		2005
Interest income:
Interest and fees on loans	$	23,130	$	19,096	$	45,027	$	36,921
Interest on securities
Taxable		8,648		8,285		17,060		16,719
Nontaxable		371		204		699		389
Dividends on corporate stock and Federal Home Loan Bank stock		249		625		926		1,244
Interest on federal funds sold and other short-term investments		150		79		265		134
Total interest income		32,548		28,289		63,977		55,407
Interest expense:
Deposits		11,161		7,627		21,399		14,559
Federal Home Loan Bank advances		5,745		5,670		11,104		11,219
Junior subordinated debentures		338		-		676		-
Other		87		20		166		36
Total interest expense		17,331		13,317		33,345		25,814
Net interest income		15,217		14,972		30,632		29,593
Provision for loan losses		300		300		600		600
Net interest income after provision for loan losses		14,917		14,672		30,032		28,993
Noninterest income:
Wealth management and trust services		6,177		3,486		12,059		6,698
Service charges on deposit accounts		1,236		1,168		2,355		2,179
Merchant processing fees		1,656		1,337		2,703		2,115
Income from bank-owned life insurance		346		279		625		551
Net gains on loan sales		336		418		612		905
Net realized gains on securities		765		3		824		3
Other income		931		303		1,789		622
Total noninterest income		11,447		6,994		20,967		13,073
Noninterest expense:
Salaries and employee benefits		9,830		7,450		19,449		14,909
Net occupancy		1,018		802		1,972		1,655
Equipment		881		869		1,680		1,751
Merchant processing costs		1,407		1,098		2,294		1,734
Advertising and promotion		681		733		1,118		1,036
Outsourced services		496		444		1,014		857
Legal, audit and professional fees		403		520		779		912
Amortization of intangibles		406		99		811		246
Other		2,158		1,358		3,867		2,717
Total noninterest expense		17,280		13,373		32,984		25,817
Income before income taxes		9,084		8,293		18,015		16,249
Income tax expense		2,907		2,654		5,765		5,200
Net income	$	6,177	$	5,639	$	12,250	$	11,049
Weighted average shares outstanding - basic		13,419.9		13,296.0		13,403.4		13,289.4
Weighted average shares outstanding - diluted		13,703.2		13,592.3		13,699.6		13,602.3
Per share information:
Basic earnings per share	$	0.46	$	0.42	$	0.91	$	0.83
Diluted earnings per share	$	0.45	$	0.41	$	0.89	$	0.81
Cash dividends declared per share	$	0.19	$	0.18	$	0.38	$	0.36

Washington Trust Bancorp, Inc. and Subsidiaries
CONSOLIDATED AVERAGE BALANCE SHEETS
	(Unaudited)
Three months ended June 30,	2006							2005
	Average				Yield/			Average				Yield/
(Dollars in thousands)	Balance		Interest		Rate			Balance		Interest		Rate
Assets:
Residential real estate loans	$	590,595	$	7,505		5.10	%	$	558,645	$	6,889		4.95	%
Commercial and other loans		568,937		11,049		7.79	%		518,025		8,922		6.91	%
Consumer loans		272,819		4,633		6.81	%		243,756		3,329		5.48	%
Total loans		1,432,351		23,187		6.49	%		1,320,426		19,140		5.81	%
Federal funds sold and
other short-term investments		12,827		150		4.69	%		12,018		79		2.64	%
Taxable debt securities		737,987		8,648		4.70	%		804,232		8,285		4.13	%
Nontaxable debt securities		39,659		570		5.76	%		21,369		315		5.91	%
Corporate stocks and FHLB stock		51,128		343		2.69	%		51,511		720		5.61	%
Total securities		841,601		9,711		4.63	%		889,130		9,399		4.24	%
Total interest-earning assets		2,273,952		32,898		5.80	%		2,209,556		28,539		5.18	%
Non interest-earning assets		154,648							127,417
Total assets	$	2,428,600						$	2,336,973
Liabilities and Shareholders’ Equity:
NOW accounts	$	177,260	$	80		0.18	%	$	180,103	$	77		0.17	%
Money market accounts		233,489		1,835		3.15	%		186,957		919		1.97	%
Savings deposits		195,251		274		0.56	%		241,594		372		0.62	%
Time deposits		871,519		8,972		4.13	%		733,927		6,259		3.42	%
FHLB advances		554,639		5,745		4.15	%		631,390		5,670		3.60	%
Junior subordinated debentures		22,681		338		5.98	%		-		-		-	%
Other		7,346		87		4.75	%		1,891		20		4.12	%
Total interest-bearing liabilities		2,062,185		17,331		3.37	%		1,975,862		13,317		2.70	%
Demand deposits		182,546							189,465
Other liabilities		22,184							16,983
Shareholders’ equity		161,685							154,663
Total liabilities and shareholders’ equity	$	2,428,600						$	2,336,973
Net interest income (FTE)			$	15,567						$	15,222
Interest rate spread						2.43	%						2.48	%
Net interest margin						2.75	%						2.76	%

Washington Trust Bancorp, Inc. and Subsidiaries
CONSOLIDATED AVERAGE BALANCE SHEETS
	(Unaudited)
Six months ended June 30,	2006							2005
	Average				Yield/			Average				Yield/
(Dollars in thousands)	Balance		Interest		Rate			Balance		Interest		Rate
Assets:
Residential real estate loans	$	590,217	$	14,909		5.09	%	$	544,822	$	13,394		4.96	%
Commercial and other loans		562,511		21,303		7.64	%		515,158		17,348		6.79	%
Consumer loans		269,960		8,922		6.66	%		237,278		6,268		5.33	%
Total loans		1,422,688		45,134		6.40	%		1,297,258		37,010		5.75	%
Federal funds sold and
other short-term investments		11,510		265		4.64	%		11,349		134		2.38	%
Taxable debt securities		737,776		17,060		4.66	%		817,412		16,719		4.12	%
Nontaxable debt securities		37,430		1,074		5.79	%		20,256		599		5.96	%
Corporate stocks and FHLB stock		50,241		1,104		4.43	%		52,178		1,443		5.58	%
Total securities		836,957		19,503		4.70	%		901,195		18,895		4.23	%
Total interest-earning assets		2,259,645		64,637		5.77	%		2,198,453		55,905		5.13	%
Non interest-earning assets		152,019							126,801
Total assets	$	2,411,664						$	2,325,254
Liabilities and Shareholders’ Equity:
NOW accounts	$	173,859	$	147		0.17	%	$	175,630	$	155		0.18	%
Money market accounts		230,911		3,442		3.01	%		191,740		1,760		1.85	%
Savings deposits		199,984		561		0.57	%		245,256		748		0.62	%
Time deposits		861,464		17,249		4.04	%		711,527		11,896		3.37	%
FHLB advances		551,035		11,104		4.06	%		643,410		11,219		3.52	%
Junior subordinated debentures		22,681		676		6.01	%		-		-		-	%
Other		7,183		166		4.67	%		1,700		36		4.17	%
Total interest-bearing liabilities		2,047,117		33,345		3.28	%		1,969,263		25,814		2.64	%
Demand deposits		181,257							185,893
Other liabilities		21,972							16,550
Shareholders’ equity		161,318							153,548
Total liabilities and shareholders’ equity	$	2,411,664						$	2,325,254
Net interest income (FTE)			$	31,292						$	30,091
Interest rate spread						2.49	%						2.49	%
Net interest margin						2.79	%						2.76	%