German American Bancorp, Inc. Posts Seven Consecutive Quarters of Record Earnings

German American Bancorp, Inc. Posts Seven Consecutive Quarters of Record
Earnings

JASPER, Ind., Oct. 29, 2012 (GLOBE NEWSWIRE) -- German American Bancorp, Inc.
(Nasdaq:GABC) reported third quarter earnings of $6.3 million, or $0.50 per
share, representing the latest in the Company's series of record quarterly
earnings performance having achieved record net income in each of the past
seven consecutive quarters. The current year third quarter earnings was an
increase of 22% from the third quarter 2011 net income of $5.2 million, or
$0.41 per share, and represented a comparable 22% increase, on an annualized
basis, from 2012 second quarter net income of $6.0 million, or $0.47 per
share.

On a year-to-date basis, the Company's 2012 net income of $17.9 million, or
$1.41 per share, resulted in a similar improvement in earnings per share of
approximately 22% over the reported earnings in the first three quarters of
2011 of $14.7 million, or $1.17 per share. 

As compared to prior year same quarter results, this quarter's record earnings
increase was driven primarily by a $1.6 million across the board increase in
the Company's level of non-interest income.During the current quarter the
Company reported improved income levels in trust and investment fees,
insurance revenues, debit card interchange fees, as well as significant
increases in the net gains generated from the sale of residential mortgage
loans, other real estate, and securities.

Further enhancing the level of the Company's third quarter 2012 earnings was a
$660,000 reduction in the amount of provision for loan lossthat booked during
the prior year's third quarter.This reduction in the level of loan loss
provision was related to a continued improvement during the current quarter of
this year of the Company's historically strong level of asset quality within
its loan portfolio.

Commenting on the Company's 7^th consecutive quarter of record earnings
performance, Mark A. Schroeder, Chairman & CEO, stated, "We're extremely
pleased to be able to once again this quarter deliver exceptional earnings
performance for our shareholders.It is notable that this quarter's record
performance level clearly demonstrates the value of our efforts to build
multiple sources of revenue within our Company as well as the financial
rewards gained from the continued focus on our historic commitment to credit
quality."

Schroeder continued, "During this period of prolonged historically low level
of interest rates, which makes generating significant increases in the level
of net interest income difficult, German American has been able to continue to
post record earnings during the current quarter by generating increases in
virtually every segment of our non-interest dependent sources of fee income,
and by benefitting from a relatively low level of credit-related provision for
loan loss expense.This diversification of our revenue sources and
exceptionally strong level of asset quality has allowed German American to
continue to post earnings improvement at a time when much of the industry is
facing serious challenges in terms of generating earning growth.

"Obviously, our ability to generate fee income from multiple revenue sources
and the continuation of our historically strong level of asset quality is
directly attributable to a stable and growing base of satisfied clients, who
are, in increasing numbers, entrusting to German American the full range of
their banking, insurance, investment, and trust financial needs.We thank them
for their trust in and commitment to German American's team of financial
professionals."

The Company also announced that its Board of Directors declared its regular
quarterly cash dividend of $0.14 per share which will be payable on November
20, 2012 to shareholders of record as of November 10, 2012.

Balance Sheet Highlights

Total assets for the Company increased to $1.962 billion at September 30,
2012, representing an increase of $18.5 million compared with June 30,
2012.The increase during the third quarter of 2012 was attributable to growth
of the Company's loan portfolio.

September 30, 2012 loans outstanding increased by $21.1 million, or
approximately 7% on an annualized basis, compared with June 30, 2012, and
increased $53.3 million, or approximately 5%, compared to September 30,
2011.The increase in loans during the third quarter of 2012 was broad based
from each segment of the Company's portfolio.

End of Period Loan Balances   09/30/12     06/30/12     09/30/11
(dollars in thousands)                                
                                                     
Commercial & Industrial Loans $328,058   $323,618   $290,519
Commercial Real Estate Loans  467,666     460,052     450,596
Agricultural Loans            165,198     158,463     157,310
Consumer Loans                116,480     116,049     126,648
Residential Mortgage Loans    90,744      88,859      89,741
                             $1,168,146 $1,147,041 $1,114,814

Non-performing assets totaled $14.1 million at September 30, 2012 compared to
$18.1 million of non-performing assets at June 30, 2012 and $17.8 million at
September 30, 2011.Non-performing assets represented 0.72% of total assets at
September 30, 2012 compared to 0.93% of total assets at June 30, 2012, and
compared to 0.95% at September 30, 2011.Non-performing loans totaled $12.5
million at September 30, 2012 compared to $13.9 million at June 30, 2012, and
compared to $14.8 million of non-performing loans at September 30,
2011.Non-performing loans represented 1.08% of total loans at September 30,
2012 compared with 1.21% of total outstanding loans at June 30, 2012 and 1.33%
of total loans outstanding at September 30, 2011.

Non-performing Assets                              
(dollars in thousands)                             
                                                  
                                09/30/12  06/30/12  09/30/11
Non-Accrual Loans                $12,144 $13,398 $14,331
Past Due Loans (90 days or more) --       99       --
Restructured Loans               382      386      420
Total Non-Performing Loans       12,526   13,883   14,751
Other Real Estate                1,610    4,250    3,004
Total Non-Performing Assets      $14,136 $18,133 $17,755

The Company's allowance for loan losses totaled $15.9 million at September 30,
2012, which increased modestly compared to $15.7 million at June 30, 2012 and
$15.2 million at September 30, 2011.The allowance for loan losses represented
1.37% of period end loans at September 30, 2012 and June 30, 2012 and 1.36% at
September 30, 2011.Under acquisition accounting treatment, loans acquired are
recorded at fair value which includes a credit risk component, and therefore
the allowance on loans acquired is not carried over from the seller.As of
September 30, 2012, the Company held a discount on acquired loans of $3.8
million.

Total deposits increased $15.8 million or 4% on an annualized basis, as of
September 30, 2012 compared with June 30, 2012 total deposits and increased by
approximately $65.3 million or 4% compared with September 30, 2011.

End of Period Deposit Balances        09/30/12     06/30/12     09/30/11
(dollars in thousands)                                        
                                                             
Non-interest-bearing Demand Deposits  $327,450   $303,040   $272,846
IB Demand, Savings, and MMDA Accounts 933,561     944,730     881,424
Time Deposits < $100,000              248,290     259,350     283,321
Time Deposits > $100,000              109,736     96,120      116,187
                                     $1,619,037 $1,603,240 $1,553,778

Results of Operations Highlights – Quarter ended September 30, 2012

Net income for the quarter ended September 30, 2012 totaled $6,292,000 or
$0.50 per share, an increase of $325,000, or 6% on a per share basis, from the
second quarter of 2012 net income of $5,967,000 or $0.47 per share, and an
increase of $1,125,000, or 22%, from the third quarter of 2011 net income of
$5,167,000 or $0.41 per share.

Summary Average                                                                             
Balance Sheet
(Tax-equivalent
basis / dollars                                                                             
in thousands)
                Quarter Ended September 30,  Quarter Ended June 30, 2012 Quarter Ended September 30,
                 2012                                                       2011
                                                                                           
                Principal    Income/   Yield/ Principal    Income/   Yield/ Principal    Income/   Yield/
                 Balance     Expense  Rate  Balance     Expense  Rate  Balance     Expense  Rate
Assets                                                                                      
Federal Funds
Sold and Other   $31,575    $11     0.14%  $65,760    $40     0.24%  $82,010    $48     0.23%
Short-term
Investments
Securities       634,605     4,197    2.65%  626,584     4,326    2.76%  524,862     4,382    3.34%
Loans and Leases 1,161,325   15,148   5.19%  1,121,425   15,579   5.58%  1,110,637   15,993   5.72%
Total Interest   $1,827,505 $19,356 4.22%  $1,813,769 $19,945 4.42%  $1,717,509 $20,423 4.73%
Earning Assets
                                                                                           
Liabilities                                                                                 
Demand Deposit   $322,003                  $298,580                  $256,764            
Accounts
IB Demand,
Savings, and     $943,035   $387    0.16%  $963,060   $457    0.19%  $879,435   $989    0.45%
MMDA Accounts
Time Deposits    358,477     1,235    1.37%  364,446     1,398    1.54%  393,693     1,834    1.85%
FHLB Advances
and Other        121,340     938      3.08%  114,932     1,059    3.71%  128,356     1,079    3.34%
Borrowings
Total
Interest-Bearing $1,422,852 $2,560  0.72%  $1,442,438 $2,914  0.81%  $1,401,484 $3,902  1.10%
Liabilities
                                                                                           
Cost of Funds                         0.56%                       0.65%                       0.90%
Net Interest                 $16,796                   $17,031                   $16,521 
Income
Net Interest                          3.66%                       3.77%                       3.83%
Margin

During the quarter ended September 30, 2012, net interest income totaled
$16,393,000 representing a decrease of $256,000, or 2%, from the quarter ended
June 30, 2012 net interest income of $16,649,000 and an increase of $190,000,
or approximately 1%, compared with the third quarter 2011 net interest income
of $16,203,000.The tax equivalent net interest margin for the quarter ended
September 30, 2012 was 3.66% compared to 3.77% in the second quarter of 2012
and 3.83% in the third quarter of 2011.The decline in the net interest margin
and net interest income in the third quarter of 2012 compared with the second
quarter of 2012 was attributable to a lower level of accretion of loan
discounts on acquired loans. Accretion of loan discounts on acquired loans
contributed approximately 6 basis points on an annualized basis to the net
interest margin in the third quarter of 2012 compared with 18 basis points in
the second quarter of 2012 and compared to approximately 9 basis points during
the third quarter of 2011.Absent the decline in the accretion of purchased
loan discount during the third quarter of 2012 compared with the second
quarter of 2012, the net interest margin remained relatively stable while net
interest income increased despite continued downward pressure on earning asset
yields being driven by a historically low market interest rate environment and
a continued very competitive marketplace for lending opportunities.The
Company's cost of funds declined by approximately 9 basis points to 0.56%
during the third quarter of 2012 compared to 0.65% during the second quarter
2012 and declined 34 basis points compared to the 0.90% cost of funds during
the third quarter of 2011.This decline has been driven by a continued decline
in deposit rates.

The provision for loan loss totaled $640,000 during the quarter ended
September 30, 2012 representing an increase of $249,000 or 64% from the second
quarter of 2012 and a decline of $660,000 or 51% from the third quarter of
2011.During the third quarter of 2012, the provision for loan loss
represented approximately 22 basis points of average loans on an annualized
basis while net charge-offs represented approximately 14 basis points of
average loans on an annualized basis.

During the third quarter of 2012, non-interest income totaled $6,158,000, an
increase of $1,325,000, or 27%, compared with the second quarter of 2012, and
an increase of $1,598,000, or 35%, compared with the third quarter of 2011.

                                   Quarter Ended Quarter Ended Quarter Ended
Non-interest Income                 09/30/12      06/30/12      09/30/11
(dollars in thousands)                                        
                                                             
Trust and Investment Product Fees   $659        $664        $602
Service Charges on Deposit Accounts 1,049        1,017        1,120
Insurance Revenues                  1,469        1,358        1,261
Company Owned Life Insurance        213          266          233
Interchange Fee Income              418          460          395
Other Operating Income              811          316          86
Subtotal                           4,619        4,081        3,697
Net Gains on Sales of Loans        941          676          863
Net Gains on Securities             598          76           --
Total Non-interest Income           $6,158      $4,833      $4,560

Insurance revenues increased $111,000, or 8%, during the quarter ended
September 30, 2012, compared with the second quarter of 2012 and increased
$208,000, or 16%, compared with the third quarter of 2011.The increase was
largely attributable to a higher level of commercial related insurance
revenues.

Other operating income increased $495,000 or 157% during the quarter ended
September 30, 2012 compared with the second quarter of 2012 and increased
$725,000 or 843% compared with the third quarter of 2011.The increase in the
third quarter of 2012 compared to both quarterly periods was largely related
to the net gain on sales of other real estate which totaled approximately
$301,000 during the third quarter of 2012 compared with a net loss on sales
and write-down of other real estate of $35,000 during the second quarter of
2012 and $294,000 during the third quarter of 2011.The remainder of the
increase in the 3^rd quarter 2012 compared to the 2^nd quarter 2012 was
largely attributable to $154,000 of fees related to loan customer interest
rate swap transactions in the 3^rd quarter of 2012.

Net gains on sales of loans totaled $941,000 during the quarter ended
September 30, 2012, an increase of $265,000, or 39%, compared to the second
quarter of 2012 and an increase of $78,000, or 9%, compared with the third
quarter of 2011.Loan sales totaled $37.8 million during the third quarter of
2012, compared with $36.3 million during the second quarter of 2012 and $25.0
million during the third quarter of 2011.

During the third quarter of 2012, the Company realized a net gain on the sale
of securities of $598,000 related to the sale of approximately $40.4 million
of securities.

During the quarter ended September 30, 2012, non-interest expense totaled
$12,728,000, an increase of $305,000, or 2%, compared with the second quarter
of 2012, and an increase of $723,000, or 6%, compared with the third quarter
of 2011.

                                    Quarter Ended Quarter Ended Quarter Ended
Non-interest Expense                 09/30/12      06/30/12      09/30/11
(dollars in thousands)                                         
                                                              
Salaries and Employee Benefits       $7,261      $6,828      $6,687
Occupancy, Furniture and Equipment   1,716        1,785        1,763
Expense
FDIC Premiums                        271          283          295
Data Processing Fees                 311          321          321
Professional Fees                   585          587          526
Advertising and Promotion            439          396          383
Intangible Amortization              405          422          480
Other Operating Expenses             1,740        1,801        1,550
Total Non-interest Expense           $12,728     $12,423     $12,005

Salaries and benefits increased $433,000, or 6%, during the quarter ended
September 30, 2012 compared with the second quarter of 2012 and increased
$574,000, or 9%, compared with the third quarter of 2011.The increase in
salaries and benefits during the third quarter of 2012 compared with the
second quarter of 2012 was largely related to an increase in the Company's
costs related to its partially self-insured health insurance plan and
increased commission payout related to higher levels of mortgage loan sales
revenues in the secondary market and increased insurance revenues.The
increase in salaries and benefits during the third quarter of 2012 compared
with the third quarter of 2011 was primarily the result of an increased number
of full-time equivalent employees, increased costs related to the Company's
partially self-insured health insurance plan and increased commission payout
related to higher levels of mortgage loan sales revenues in the secondary
market and increased insurance revenues.

About German American

German American Bancorp, Inc., is a NASDAQ-traded (symbol: GABC) financial
services holding company based in Jasper, Indiana.German American, through
its banking subsidiary German American Bancorp, operates 34 retail banking
offices in 12 contiguous southern Indiana counties. The Company also owns a
trust, brokerage, and financial planning subsidiary (German American Financial
Advisors & Trust Company) and a full line property and casualty insurance
agency (German American Insurance, Inc.).

Cautionary Note Regarding Forward-Looking Statements

The Company's statements in this press release regarding the continuing growth
and expansion of the Company's business and the continuation of its trend of
record-setting financial performance could be deemed to be "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995.Readers are cautioned that, by their nature, forward-looking
statements are based on assumptions and are subject to risks, uncertainties,
and other factors. Actual results and experience could differ materially from
the anticipated results or other expectations expressed or implied by these
forward-looking statements as a result of a number of factors, including but
not limited to, those discussed in the press release. Factors that could cause
actual experience to differ from the expectations implied in this press
release include the unknown future direction of interest rates and the timing
and magnitude of any changes in interest rates; changes in competitive
conditions; the introduction, withdrawal, success and timing of
asset/liability management strategies or of mergers and acquisitions and other
business initiatives and strategies; changes in customer borrowing, repayment,
investment and deposit practices; changes in fiscal, monetary and tax
policies; changes in financial and capital markets; deterioration in general
economic conditions, either nationally or locally, resulting in, among other
things, credit quality deterioration; capital management activities, including
possible future sales of new securities, or possible repurchases or
redemptions by the Company of outstanding debt or equity securities; risks of
expansion through acquisitions and mergers, such as unexpected credit quality
problems of the acquired loans or other assets, unexpected attrition of the
customer base of the acquired institution or branches, and difficulties in
integration of the acquired operations; factors driving impairment charges on
investments; the impact, extent and timing of technological changes;
litigation liabilities, including related costs, expenses, settlements and
judgments, or the outcome of matters before regulatory agencies, whether
pending or commencing in the future; actions of the Federal Reserve Board;
changes in accounting principles and interpretations; potential increases of
federal deposit insurance premium expense, and possible future special
assessments of FDIC premiums, either industry wide or specific to the
Company's banking subsidiary; actions of the regulatory authorities under the
Dodd-Frank Wall Street Reform and Consumer Protection Act and the Federal
Deposit Insurance Act and other possible legislative and regulatory actions
and reforms; and the continued availability of earnings and excess capital
sufficient for the lawful and prudent declaration and payment of cash
dividends.Such statements reflect our views with respect to future events and
are subject to these and other risks, uncertainties and assumptions relating
to the operations, results of operations, growth strategy and liquidity of the
Company.Readers are cautioned not to place undue reliance on these
forward-looking statements.It is intended that these forward-looking
statements speak only as of the date they are made.We do not undertake any
obligation to release publicly any revisions to these forward-looking
statements to reflect future events or circumstances or to reflect the
occurrence of unanticipated events.

GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
                                                              
                                                              
Consolidated Balance Sheets
                                                              
                                     September 30, June 30,     September 30,
                                      2012          2012         2011
                                                              
ASSETS                                                         
Cash and Due from Banks               $33,960     $31,537    $32,581
Short-term Investments                29,828       11,613      19,974
Interest-bearing Time Deposits with   2,715        3,718       6,750
Banks
Investment Securities                 612,742      645,240     584,041
                                                              
Loans Held-for-Sale                   18,993       8,627       10,009
                                                              
Loans, Net of Unearned Income         1,165,134    1,143,938   1,112,554
Allowance for Loan Losses             (15,922)     (15,692)    (15,166)
Net Loans                             1,149,212    1,128,246   1,097,388
                                                              
Stock in FHLB and Other Restricted    8,340        8,340       8,340
Stock
Premises and Equipment                36,730       35,413      37,264
Goodwill and Other Intangible Assets  21,942       22,347      23,977
Other Assets                          47,836       48,731      50,759
TOTAL ASSETS                          $1,962,298  $1,943,812 $1,871,083
                                                              
LIABILITIES                                                    
Non-interest-bearing Demand Deposits  $327,450    $303,040   $272,846
Interest-bearing Demand, Savings, and 933,561      944,730     881,424
Money Market Accounts
Time Deposits                         358,026      355,470     399,508
Total Deposits                        1,619,037    1,603,240   1,553,778
                                                              
Borrowings                            141,074      143,132     131,400
Other Liabilities                     19,218       20,290      18,858
TOTAL LIABILITIES                     1,779,329    1,766,662   1,704,036
                                                              
SHAREHOLDERS' EQUITY                                           
Common Stock and Surplus              108,065      107,956     107,426
Retained Earnings                     61,996       57,472      45,624
Accumulated Other Comprehensive       12,908       11,722      13,997
Income
TOTAL SHAREHOLDERS' EQUITY            182,969      177,150     167,047
                                                              
TOTAL LIABILITIES AND SHAREHOLDERS'   $1,962,298  $1,943,812 $1,871,083
EQUITY
                                                              
END OF PERIOD SHARES OUTSTANDING      12,630,646    12,626,205   12,593,524
                                                              
BOOK VALUE PER SHARE                  $14.49      $14.03     $13.26



GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
                                                               
                                                               
Consolidated Statements of Income
                                                               
                       Three Months Ended               Nine Months Ended
                        September  June 30,   September  September  September
                       30,        2012       30,        30,        30,
                        2012                  2011       2012       2011
                                                               
INTEREST INCOME                                                 
Interest and Fees on    $15,082  $15,513  $15,933  $46,380  $48,620
Loans
Interest on Short-term
Investments and Time    11        40        48        84        179
Deposits
Interest and Dividends
on Investment           3,860     4,010     4,124     11,779    11,346
Securities
TOTAL INTEREST INCOME   18,953    19,563    20,105    58,243    60,145
                                                               
INTEREST EXPENSE                                                
Interest on Deposits    1,622     1,855     2,823     5,523     9,464
Interest on Borrowings  938       1,059     1,079     3,066     3,107
TOTAL INTEREST EXPENSE  2,560     2,914     3,902     8,589     12,571
                                                               
NET INTEREST INCOME     16,393    16,649    16,203    49,654    47,574
Provision for Loan      640       391       1,300     1,721     3,900
Losses
NET INTEREST INCOME
AFTER PROVISION FOR     15,753    16,258    14,903    47,933    43,674
LOAN LOSSES
                                                               
NON-INTEREST INCOME                                             
Net Gain on Sales of    941       676       863       2,330     1,651
Loans
Net Gain on Securities  598       76        --       692       1,045
Other Non-interest      4,619     4,081     3,697     12,770    12,240
Income
TOTAL NON-INTEREST      6,158     4,833     4,560     15,792    14,936
INCOME
                                                               
NON-INTEREST EXPENSE                                            
Salaries and Benefits   7,261     6,828     6,687     21,409    20,810
Other Non-interest      5,467     5,595     5,318     16,335    17,336
Expenses
TOTAL NON-INTEREST      12,728    12,423    12,005    37,744    38,146
EXPENSE
                                                               
Income before Income    9,183     8,668     7,458     25,981    20,464
Taxes
Income Tax Expense      2,891     2,701     2,291     8,120     5,788
                                                               
NET INCOME              $6,292   $5,967   $5,167   $17,861  $14,676
                                                               
BASIC EARNINGS PER      $0.50    $0.47    $0.41    $1.42    $1.17
SHARE
DILUTED EARNINGS PER    $0.50    $0.47    $0.41    $1.41    $1.17
SHARE
                                                               
                                                               
WEIGHTED AVERAGE SHARES 12,628,335 12,627,715 12,593,521 12,618,863 12,577,558
OUTSTANDING
DILUTED WEIGHTED
AVERAGE SHARES          12,648,924 12,638,526 12,598,212 12,633,872 12,583,277
OUTSTANDING



GERMAN AMERICAN BANCORP, INC.
(unaudited, dollars in thousands except per share data)
                                                              
                                                              
              Three Months Ended                     Nine Months Ended
               September    June 30,     September    September    September
              30,          2012         30,          30,          30,
               2012                      2011         2012         2011
EARNINGS
PERFORMANCE                                                    
RATIOS
Annualized
Return on      1.29%        1.23%        1.12%        1.24%        1.09%
Average Assets
Annualized
Return on      13.97%       13.66%       12.74%       13.61%       12.42%
Average Equity
Net Interest   3.66%        3.77%        3.83%        3.77%        3.87%
Margin
Efficiency     55.45%       56.82%       56.95%       56.67%       60.19%
Ratio ^(1)
Net Overhead
Expense to
Average        1.44%        1.67%        1.73%        1.63%        1.85%
Earning Assets
^ (2)
                                                              
ASSET QUALITY                                                  
RATIOS
Annualized Net
Charge-offs to 0.14%        0.17%        0.33%        0.13%        0.25%
Average Loans
Allowance for
Loan Losses to 1.37%        1.37%        1.36%                    
Period End
Loans
Non-performing
Assets to      0.72%        0.93%        0.95%                    
Period End
Assets
Non-performing
Loans to       1.08%        1.21%        1.33%                    
Period End
Loans
Loans 30-89
Days Past Due  0.40%        0.43%        0.39%                    
to Period End
Loans
                                                              
                                                              
SELECTED
BALANCE SHEET                                                  
& OTHER
FINANCIAL DATA
Average Assets $1,945,853 $1,935,262 $1,837,445 $1,921,181 $1,797,257
Average        $1,827,505 $1,813,769 $1,717,509 $1,800,357 $1,673,071
Earning Assets
Average Total  $1,161,325 $1,121,425 $1,110,637 $1,132,352 $1,110,640
Loans
Average Demand $322,003   $298,580   $256,764   $304,214   $249,529
Deposits
Average
Interest       $1,422,852 $1,442,438 $1,401,484 $1,422,066 $1,375,343
Bearing
Liabilities
Average Equity $180,181   $174,728   $162,199   $174,979   $157,498
                                                              
Period End
Non-performing $14,136    $18,133    $17,755                
Assets ^(3)
Period End
Non-performing $12,526    $13,883    $14,751                
Loans ^(4)
Period End
Loans 30-89    $4,603     $4,929     $4,340                 
Days Past Due
^(5)
                                                              
Tax Equivalent
Net Interest   $16,796    $17,031    $16,521    $50,816    $48,440
Income
Net
Charge-offs    $410       $465       $914       $1,111     $2,051
during Period
                                                              
^(1) Efficiency Ratio is defined as Non-interest Expense divided by the sum of
Net Interest Income, on a tax equivalent basis, and Non-interest Income.
^(2) Net Overhead Expense is defined as Total Non-interest Expense less Total
Non-interest Income.
^(3) Non-performing assets are defined as Non-accrual Loans, Loans Past Due 90
days or more, Restructured Loans, and Other Real Estate Owned.
^(4) Non-performing loans are defined as Non-accrual Loans, Loans Past Due 90
days or more, and Restructured Loans.
^(5) Loans 30-89 days past due and still accruing.

CONTACT: Mark A Schroeder,
         Chief Executive Officer of German American Bancorp, Inc.
         Bradley M Rust,
         Executive Vice President/CFO of German American Bancorp, Inc.
         (812) 482-1314