Ameris Bancorp Announces 51% Increase in Second Quarter Earnings

Company Release - 7/19/2006

MOULTRIE, Ga., July, 19 /PRNewswire-FirstCall/ -- AMERIS BANCORP (Nasdaq: ABCB), Moultrie, Georgia, and Edwin W. Hortman, Jr., President and CEO of Ameris Bancorp, today announced earnings for the quarter ended June 30, 2006. Ameris's second quarter 2006 earnings were $5.3 million, an increase of $1.8 million, or 51.43%, from the second quarter of 2005. Diluted earnings per share for the second quarter of 2006 were $.40, an increase of $.11, or 37.93%, over the same quarter a year ago. Earnings for the year to date ending June 30, 2006 were $10.4 million, or $0.79 per diluted share, an increase of 31.67% in diluted earnings per share when compared to the same period in 2005.

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Ameris's second quarter performance was highlighted by the following significant items:

     - Profitability Improvement:  Return on average assets and return on
       average equity was 1.23% and 14.60%, respectively, for the second
       quarter of 2006.
     - Balance Sheet Growth:  Total assets for the second quarter were $1.78
       billion, an increase of $478.2 million, or 36.64%, over the second
       quarter of 2005.
     - Net interest income increased 40.61% over the same quarter in 2005, due
       to strong growth in earning assets and control of deposit costs.
     - Non-recurring, pre-tax loss to restructure a portion of the investment
       portfolio of $315,000, or $0.02 per diluted share.
     - Asset Quality improvements continued with non-performing assets down
       13.27%, compared to levels at December 31, 2005.
     - Efficiency ratio improved to 57.97% in the second quarter of 2006,
       compared to 62.84% in the same quarter of 2005.
     - Announcement, subsequent to quarter end, of agreements for transfer of
       certain banking operations to result in one-time pre-tax gain of
       approximately $3.1 million, or $0.15 (net of tax) per diluted share.

    Profitability

Return on assets for the second quarter of 2006 improved to 1.23%, compared to 1.10% for the same quarter in 2005. Return on equity for the same period improved to 14.60%, compared to 11.29% for the second quarter of 2005. Return on assets and return on equity were 1.21% and 13.78%, respectively for the year to date period in 2006, compared to 1.12% and 11.55% in 2005. Continued growth in earning assets, control of deposit costs, improvement in operating efficiency, and minimal loan charge-offs continue to fuel the Company's profitability.

Net Interest Income Expansion

Net interest income expanded in the second quarter to $17.7 million, an improvement of 40.6% over the same quarter in 2005. The Company's net interest margin was 4.48% in the second quarter of 2006, compared to 4.30% for the same quarter in 2005. The Company's net interest margin was 4.43% for the year to date period ending June 30, 2006, compared to 4.38% in 2005.

Yields on earning assets climbed to 7.56% during the second quarter of 2006 compared to 6.35% for the same quarter in 2005. Loan and investment yields benefited from rising short term interest rates, and the loan portfolio comprised a larger percentage of earning assets than in the past. Loans represented 80.55% of the Company's average earning assets during the second quarter of 2006, compared to 78.57% for the same quarter a year ago.

Deposit costs increased during the quarter, due to the interest rate environment as well as to aggressive deposit acquisition campaigns in several of the Company's growth markets. Even with an aggressive posture on rates in some markets, the Company's base of core deposits has been less rate sensitive and is a significant contributor to the improving net interest margin.

Balance Sheet Growth

Total assets at June 30, 2006 were $1.78 billion, an increase of $478 million, or 36.64%, over total assets reported at the same time in 2005. Strong growth in assets in many of Ameris's markets combined with the First National acquisition in December 2005 contributed to the increase. Ameris's internal growth rate in loans, excluding acquisitions, was 18.1% when compared to balances at June 30, 2005.

Deposits grew at a slightly slower pace than loans, increasing to $1.45 billion at June 30, 2006, compared to $1.04 billion at June 30, 2005. Deposits at quarter end represented 89.56% of our total funding compared to 88.30% a year ago. Excluding the deposits acquired in the First National transaction, the Company's growth rate in deposits was 16.5% when compared to June 30, 2005 balances. The Company has continued its efforts to improve deposit growth to a level that can match the attractive growth in loans. This focus includes prioritizing sales goals and initiatives, better measurement of expectations and various other strategies to improve deposit growth rates. Focused efforts in all markets have been supported by aggressive sales and media campaigns in key markets where growth potential is considered to be good, including Jacksonville, Florida.

Credit Quality and the Provision for Loan Losses

The provision for loan losses in the second quarter of 2006 amounted to $901,000, compared to the $753,000 recorded in the second quarter of 2005. The Company's allowance for loan losses was 1.76% and 1.72% of total loans at June 30, 2006 and 2005, respectively. The increased loan loss provision expense related primarily to loan growth experienced in the quarter as loan net charge-offs were again minimal. Annualized net charge-offs as a percentage of loans for the second quarter was 0.05%, compared to 0.07% for the same quarter in 2005. Year to date net charge-offs as a percentage of loans through June 30, 2006 were 0.03%, compared to net recoveries of 0.02% for the same period in 2005.

Non-performing assets as a percentage of total loans and foreclosed assets were $9.3 million, or 0.70%, as a percentage of loans and foreclosed assets at June 30, 2006, compared to $10.7 million, or 0.90%, as a percentage of loans and foreclosed assets at December 31, 2005. Non-performing assets decreased $1.4 million from December 31, 2005, reflecting primarily from a decrease in non-accrual loans.

Efficiency Improvements

Ameris's efficiency ratio continued to improve, mostly through strong gains in revenue. The Company's efficiency ratio improved to 57.97% during the second quarter of 2006, compared to 62.84% in the second quarter of 2005. Non-interest income (excluding the loss on investment sales) increased 8.4% to $3.9 million, compared to $3.6 million for the same quarter in 2005. Increases in service charges on deposit accounts were responsible for most of the increase, moving higher by 11.5% compared to the same period in 2005.

Non-interest expense increased to $12.3 million during the second quarter of 2006, an increase of 21.4% over the same quarter in 2005. Increased advertising and marketing expenses, professional fees and the merger of First National late in 2005 accounted for the majority of this increase. The Company anticipates little improvement from the current level of efficiency as efforts to build and staff additional branches in several growth markets will likely replace most of the savings generated from improvements in its existing operational structure.

One time Gain

In a press release dated July 13, 2006, Ameris announced various definitive agreements for the transfer of certain limited banking operations to three unrelated financial institutions. As a result, the Company anticipates a pre-tax gain of approximately $3.1 million, or $0.15 (net of tax) per share. The transactions are subject to various regulatory approvals and are expected to close before December 31, 2006.

Ameris Bancorp is headquartered in Moultrie, Georgia, and has 42 locations in Georgia, Alabama and northern Florida.

Ameris Bancorp Common Stock is quoted on the NASDAQ National Market under the symbol "ABCB". The preceding release contains statements that constitute "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 words "believe", "estimate", "expect", "intend", "anticipate" and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates which they were made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Readers are cautioned that any such forward- looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors. Readers are cautioned not to place undue reliance on these forward-looking statements.


                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                     Three Months Ended
                                                June        Mar.        Dec.
                                                2006        2006        2005
    EARNINGS
      Net Income                               $5,315      $5,100      $2,723

    PER COMMON SHARE DATA
      Earnings per share:
        Basic                                    0.41        0.39        0.22
        Diluted                                  0.40        0.39        0.22
      Cash Dividends per share                   0.14        0.14        0.14
      Book value per share (period end)         11.75       11.68       11.48
      Tangible book value per share
       (period end)                              7.99        7.86        7.64
      Weighted average number of shares:
        Basic                              12,985,424  12,951,765  12,232,165
        Diluted                            13,139,130  13,102,633  12,365,296
      Period-end number of shares          13,021,510  12,967,576  12,952,318
      Market data:
        High closing price                      23.24       23.29       20.99
        Low closing price                       20.23       19.71       17.57
        Period end closing price                23.14       23.26       19.84
        Average daily volume                   21,949      15,952      13,687

    PERFORMANCE RATIOS
      Return on average assets                  1.23%       1.20%       0.77%
      Return on average equity                 14.60%      13.60%       8.51%
      Earning asset yield (TE)                  7.56%       7.13%       6.97%
      Total cost of funds                       3.10%       2.83%       2.58%
      Net interest margin (TE)                  4.48%       4.32%       4.46%
      Non-interest income excluding
       securities transactions,
       as a percent of total revenue (TE)      11.53%      12.48%      12.35%
      Efficiency ratio                         57.97%      59.57%      74.71%

    CAPITAL ADEQUACY
      Equity to assets                          8.58%       8.71%       8.76%
      Tangible common equity to assets          6.00%       6.03%       6.01%

    OTHER PERIOD-END DATA
      FTE Headcount                               585         584         585
      Assets per FTE                           $3,048      $2,978      $2,901
      Branch locations                             42          42          42
      Deposits per branch location            $34,432     $33,836     $32,744


                                                       Three Months Ended
                                                     Sept.              June
                                                      2005              2005
    EARNINGS
      Net Income                                     $3,905            $3,500

    PER COMMON SHARE DATA
      Earnings per share:
        Basic                                          0.33              0.30
        Diluted                                        0.33              0.29
      Cash Dividends per share                         0.14              0.14
      Book value per share (period end)               10.67             10.54
      Tangible book value per share
       (period end)                                    8.30              8.15
      Weighted average number of shares:
        Basic                                    11,865,107        11,849,739
        Diluted                                  11,990,917        11,958,176
      Period-end number of shares                11,865,991        11,866,295
      Market data:
        High closing price                            20.32             19.20
        Low closing price                             17.60             16.42
        Period end closing price                      19.19             18.08
        Average daily volume                         14,611            16,777

    PERFORMANCE RATIOS
      Return on average assets                        1.18%             1.10%
      Return on average equity                       12.40%            11.29%
      Earning asset yield (TE)                        6.68%             6.35%
      Total cost of funds                             2.39%             2.11%
      Net interest margin (TE)                        4.35%             4.30%
      Non-interest income excluding
       securities transactions,
       as a percent of total revenue (TE)            15.08%            15.99%
      Efficiency ratio                               61.16%            62.84%

    CAPITAL ADEQUACY
      Equity to assets                                9.24%             9.58%
      Tangible common equity to assets                7.34%             7.58%

    OTHER PERIOD-END DATA
      FTE Headcount                                     523               533
      Assets per FTE                                 $2,620            $2,449
      Branch locations                                   37                37
      Deposits per branch location                  $29,005           $27,996


                                                        Six Months Ended
                                                      June              June
                                                      2006              2005

    EARNINGS
      Net Income                                    $10,415            $7,100

    PER COMMON SHARE DATA
      Earnings per share:
        Basic                                          0.80              0.60
        Diluted                                        0.79              0.60
      Cash Dividends per share                         0.28              0.28
      Book value per share (period end)               11.75             10.54
      Tangible book value per share
       (period end)                                    7.99              8.15
      Weighted average number of shares:
        Basic                                    12,968,687        11,816,619
        Diluted                                  13,118,881        11,921,183
      Period-end number of shares                13,021,510        11,866,295
      Market data:
        High closing price                            23.24             18.35
        Low closing price                             19.45             14.78
        Period end closing price                      23.14             17.59
        Average daily volume                         19,127            17,877

    PERFORMANCE RATIOS
      Return on average assets                        1.21%             1.12%
      Return on average equity                       13.78%            11.55%
      Earning asset yield (TE)                        7.40%             6.41%
      Total cost of funds                             2.97%             2.03%
      Net interest margin (TE)                        4.43%             4.38%
      Non-interest income excluding
       securities transactions,
       as a percent of total revenue (TE)            11.99%            16.33%
      Efficiency ratio                               58.75%            63.71%

    CAPITAL ADEQUACY
      Equity to assets                                8.58%             9.58%
      Tangible common equity to assets                6.00%             7.58%

    OTHER PERIOD-END DATA
      FTE Headcount                                     585               533
      Assets per FTE                                 $3,048            $2,449
      Branch locations                                   42                37
      Deposits per branch location                  $34,432           $27,996



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                     Three Months Ended
                                                June        Mar.        Dec.
                                                2006        2006        2005
    INCOME STATEMENT

    Interest income
      Interest and fees on loans              $26,355     $23,476     $19,836
      Interest on taxable securities            2,950       2,742       2,186
      Interest on nontaxable securities           127          98          43
      Interest on deposits in other banks         390         667         774
      Interest on federal funds sold              -           158          53
        Total interest income                  29,822      27,141      22,892

    Interest expense
      Interest on deposits                      9,979       8,628       6,238
      Interest on federal funds purchased
       and securities sold under agreements
       to repurchase                               48          33          38
      Interest on other borrowings              2,122       2,088       2,015
        Total interest expense                 12,149      10,749       8,291

    Net interest income                        17,673      16,392      14,601

    Provision for loan losses                     901         510          28

    Net interest income after provision
     for loan losses                           16,772      15,882      14,573

    Noninterest income
      Service charges on deposit accounts       2,926       2,631       2,695
      Other service charges, commissions
       and fees                                   803         719         286
      Other                                       121         535         191
      Gain(loss) on sale of securities           (314)          9        (452)
        Total noninterest income                3,536       3,894       2,720

    Noninterest expense
      Salaries and employee benefits            6,042       6,624       5,205
      Equipment and occupancy expense           1,544       1,353       1,033
      Amortization of intangible assets           232         209         206
      Other operating expenses                  4,476       3,899       6,496
        Total noninterest expense              12,294      12,085      12,940

    Operating Profit                            8,014       7,691       4,353

      Provision for income taxes                2,699       2,591       1,630

    Net Income                                 $5,315      $5,100      $2,723

    Diluted earnings per share                   0.40        0.39        0.22


                                                      Three Months Ended
                                                    Sept.              June
                                                     2005              2005
    INCOME STATEMENT

    Interest income
      Interest and fees on loans                   $18,140           $16,209
      Interest on taxable securities                 2,138             2,149
      Interest on nontaxable securities                 40                37
      Interest on deposits in other banks              176                45
      Interest on federal funds sold                   -                 155
        Total interest income                       20,494            18,595

    Interest expense
      Interest on deposits                           4,861             4,020
      Interest on federal funds purchased
       and securities sold under agreements to
       repurchase                                       24                20
      Interest on other borrowings                   2,297             1,986
        Total interest expense                       7,182             6,026

    Net interest income                             13,312            12,569

    Provision for loan losses                          718               753

    Net interest income after provision
     for loan losses                                12,594            11,816

    Noninterest income
      Service charges on deposit accounts            2,690             2,625
      Other service charges, commissions
       and fees                                        843               881
      Other                                            121                46
      Gain(loss) on sale of securities                 -                 -
        Total noninterest income                     3,654             3,552

    Noninterest expense
      Salaries and employee benefits                 5,675             5,665
      Equipment and occupancy expense                1,423             1,273
      Amortization of intangible assets                204               198
      Other operating expenses                       3,075             2,995
        Total noninterest expense                   10,377            10,131

    Operating Profit                                 5,871             5,237

      Provision for income taxes                     1,966             1,737

    Net Income                                      $3,905            $3,500

    Diluted earnings per share                        0.33              0.29


                                                       Six Months Ended
                                                    June              June
                                                    2006              2005
    INCOME STATEMENT

    Interest income
      Interest and fees on loans                   $49,831           $31,262
      Interest on taxable securities                 5,692             4,223
      Interest on nontaxable securities                225                80
      Interest on deposits in other banks            1,057               552
      Interest on federal funds sold                   158                36
        Total interest income                       56,963            36,153

    Interest expense
      Interest on deposits                          18,607             7,530
      Interest on federal funds purchased
       and securities sold under agreements
       to repurchase                                    81                41
      Interest on other borrowings                   4,210             3,890
        Total interest expense                      22,898            11,461

    Net interest income                             34,065            24,692

    Provision for loan losses                        1,411               905

    Net interest income after provision
     for loan losses                                32,654            23,787

    Noninterest income
      Service charges on deposit accounts            5,557             5,043
      Other service charges, commissions
       and fees                                      1,522             1,741
      Other                                            656               311
      Gain(loss) on sale of securities                (305)               61
        Total noninterest income                     7,430             7,156

    Noninterest expense
      Salaries and employee benefits                12,666            11,603
      Equipment and occupancy expense                2,897             2,475
      Amortization of intangible assets                441               409
      Other operating expenses                       8,375             5,803
        Total noninterest expense                   24,379            20,290

    Operating Profit                                15,705            10,653

      Provision for income taxes                     5,290             3,553

    Net Income                                     $10,415            $7,100

    Diluted earnings per share                        0.79              0.60



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                June        Mar.        Dec.
                                                2006        2006        2005
    PERIOD-END BALANCE SHEET

    Assets
      Cash and due from banks                 $63,894     $67,570     $74,420
      Federal funds sold & interest
       bearing balances                        26,642      56,998      99,781
      Securities available for sale, at
       fair value                             257,283     273,031     235,145

      Loans                                 1,330,713   1,240,436   1,186,601
      Less: allowance for loan losses          23,366      22,616      22,294
        Loans, net                          1,307,347   1,217,820   1,164,307

      Premises and equipment, net              40,625      40,194      39,606
      Intangible assets, net                    5,971       6,203       6,412
      Goodwill                                 42,933      43,304      43,304
      Other assets                             38,649      33,771      34,234
        Total Assets                       $1,783,344  $1,738,891  $1,697,209

    Liabilities
      Deposits:
        Noninterest-bearing demand           $201,489    $193,869    $200,840
        Interest-bearing demand               418,310     423,682     420,248
        Savings                                71,873      73,532      73,268
        Time deposits                         754,456     730,023     680,876
      Total deposits                        1,446,128   1,421,106   1,375,232
      Federal funds purchased & securities
       sold under agreements to repurchase      3,769       8,502      10,307
      Other borrowings                        124,094     100,095     106,022
      Other liabilities                        15,629      17,036      16,223
      Subordinated deferrable interest
       debentures                              40,722      40,722      40,722
        Total liabilities                   1,630,342   1,587,461   1,548,506


    Stockholders' equity
      Common stock                             14,340      14,286      14,271
      Capital surplus                          68,459      67,520      67,381
      Retained earnings                        87,466      83,970      80,683
      Accumulated other comprehensive loss     (5,675)     (3,442)     (2,625)
      Unearned compensation                    (1,107)       (423)       (526)
      Less treasury stock                     (10,481)    (10,481)    (10,481)
        Total stockholders' equity            153,002     151,430     148,703
        Total liabilities and
         stockholders' equity              $1,783,344  $1,738,891  $1,697,209


    Other Balance Sheet Data
    Earning Assets                          1,614,638   1,570,465   1,521,527
    Intangible Assets                          48,904      49,507      49,716
    Interest bearing liabilities            1,413,224   1,376,556   1,331,443


                                                     Sept.             June
                                                     2005              2005
    PERIOD-END BALANCE SHEET

    Assets
      Cash and due from banks                       $47,548           $40,070
      Federal funds sold & interest
       bearing balances                              42,021            17,948
      Securities available for sale, at
       fair value                                   207,832           218,371

      Loans                                       1,004,614           962,412
      Less: allowance for loan losses                17,261            16,557
        Loans, net                                  987,353           945,855

      Premises and equipment, net                    28,355            28,218
      Intangible assets, net                          3,091             3,296
      Goodwill                                       25,054            25,054
      Other assets                                   29,185            26,344
        Total Assets                             $1,370,439        $1,305,156

    Liabilities
      Deposits:
        Noninterest-bearing demand                 $153,946          $150,930
        Interest-bearing demand                     312,880           311,220
        Savings                                      70,911            72,700
        Time deposits                               535,440           501,013
      Total deposits                              1,073,177         1,035,863
      Federal funds purchased & securities
       sold under agreements to repurchase            5,448             6,387
      Other borrowings                              121,130            95,237
      Other liabilities                               8,507             7,018
      Subordinated deferrable interest
       debentures                                    35,567            35,567
        Total liabilities                         1,243,829         1,180,072


    Stockholders' equity
      Common stock                                   13,184            13,181
      Capital surplus                                46,202            46,173
      Retained earnings                              79,791            77,549
      Accumulated other comprehensive loss           (1,490)             (736)
      Unearned compensation                            (603)             (681)
      Less treasury stock                           (10,474)          (10,402)
        Total stockholders' equity                  126,610           125,084
        Total liabilities and
         stockholders' equity                    $1,370,439        $1,305,156


    Other Balance Sheet Data
    Earning Assets                                1,254,467         1,198,731
    Intangible Assets                                28,145            28,350
    Interest bearing liabilities                  1,081,376           983,400



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                     Three Months Ended
                                                June        Mar.        Dec.
                                                2006        2006        2005
    ASSET QUALITY INFORMATION

    Allowance for loan losses
      Balance at beginning of period          $22,616     $22,294     $17,261
      Acquired Reserves                           -           -         5,528
      Provision for loan loss                     901         510          28

        Charge-offs                              (339)     (1,419)       (863)
        Recoveries                                188       1,231         340
      Net (charge-offs) recoveries               (151)       (188)       (523)

      Ending balance                          $23,366     $22,616     $22,294

      As a percentage of loans                  1.76%       1.82%       1.88%
      As a percentage of nonperforming
       loans                                  316.74%     231.67%     232.57%
      As a percentage of nonperforming
       assets                                 250.95%     203.05%     207.68%


    Net Charge-off information
      Charge-offs
      Commercial                                 $153        $181        $385
      Installment                                 167         163         259
      Real Estate                                  14       1,005         199
      Agriculture                                   3         -            18
      Other                                         2          70           2
        Total charge-offs                         339       1,419         863

      Recoveries
      Commercial                                   55         636         150
      Installment                                  62         247         100
      Real Estate                                  27         335          42
      Agriculture                                  32         -            47
      Other                                        12          13           1
        Total recoveries                          188       1,231         340

      Net (charge-offs) recoveries               $151        $188        $523


    Non-accrual loans                           7,377       9,762       9,586
    Foreclosed assets                           1,934       1,376       1,149
    Total non-performing assets                 9,311      11,138      10,735
    Non-performing assets as a percent of
     loans and foreclosed assets                0.70%       0.90%       0.90%


                                                      Three Months Ended
                                                    Sept.             June
                                                    2005              2005
    ASSET QUALITY INFORMATION

    Allowance for loan losses
      Balance at beginning of period               $16,557           $15,976
      Acquired Reserves                                -                 -
      Provision for loan loss                          718               753

        Charge-offs                                   (321)             (625)
        Recoveries                                     307               453
      Net (charge-offs) recoveries                     (14)             (172)

      Ending balance                               $17,261           $16,557

      As a percentage of loans                       1.72%             1.72%
      As a percentage of nonperforming
       loans                                       437.65%           377.50%
      As a percentage of nonperforming
       assets                                      383.32%           323.25%


    Net Charge-off information
      Charge-offs
      Commercial                                       $55              $167
      Installment                                      113               202
      Real Estate                                       81               155
      Agriculture                                       72                97
      Other                                            -                   4
        Total charge-offs                              321               625

      Recoveries
      Commercial                                       182               138
      Installment                                       50                64
      Real Estate                                       55               147
      Agriculture                                       17                99
      Other                                              3                 5
        Total recoveries                               307               453

      Net (charge-offs) recoveries                     $14              $172


    Non-accrual loans                                3,944             4,386
    Foreclosed assets                                  559               736
    Total non-performing assets                      4,503             5,122
    Non-performing assets as a percent of
     loans and foreclosed assets                     0.45%             0.53%


                                                        Six Months Ended
                                                    June              June
                                                    2006              2005
    ASSET QUALITY INFORMATION

    Allowance for loan losses
      Balance at beginning of period               $22,294           $15,493
      Acquired Reserves                                -                 -
      Provision for loan loss                        1,411               905

        Charge-offs                                 (1,758)             (971)
        Recoveries                                   1,419             1,130
      Net (charge-offs) recoveries                    (339)              159

      Ending balance                               $23,366           $16,557

      As a percentage of loans                       1.76%             1.72%
      As a percentage of nonperforming
       loans                                       316.74%           377.50%
      As a percentage of nonperforming
       assets                                      250.95%           323.25%


    Net Charge-off information
      Charge-offs
      Commercial                                      $334              $194
      Installment                                      330               347
      Real Estate                                    1,019               375
      Agriculture                                        3                44
      Other                                             72                11
        Total charge-offs                            1,758               971

      Recoveries
      Commercial                                       691               172
      Installment                                      309               158
      Real Estate                                      362               758
      Agriculture                                       32                35
      Other                                             25                 7
        Total recoveries                             1,419             1,130

      Net (charge-offs) recoveries                    $339             $(159)


    Non-accrual loans                                7,377             4,386
    Foreclosed assets                                1,934               736
    Total non-performing assets                      9,311             5,122
    Non-performing assets as a percent of
     loans and foreclosed assets                     0.70%             0.53%



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                     Three Months Ended
                                                June        Mar.        Dec.
                                                2006        2006        2005
      AVERAGE BALANCES

        Short term assets                     $25,277     $69,529     $62,080
        Investment securities                 270,842     265,680     215,867
        Loans                               1,289,354   1,213,916   1,028,705
          Total Earning Assets              1,585,473   1,549,125   1,306,652

        Noninterest bearing deposits          188,562     190,075     161,398
        Interest bearing deposits             417,953     409,215     332,980
        Savings                                73,368      73,062      70,502
        CDs                                   738,859     707,895     568,205
          Deposits                          1,418,742   1,380,247   1,133,085

        FHLB advances                         101,044     100,866      97,794
        Subordinated debentures                40,722      40,722      36,426
        Other borrowings                       12,737      17,664       8,879
          Total non-deposit funding           154,503     159,252     143,099

          Total funding                    $1,573,245  $1,539,499  $1,276,184


                                                      Three Months Ended
                                                    Sept.              June
                                                     2005              2005
    AVERAGE BALANCES

        Short term assets                           $20,376           $25,691
        Investment securities                       220,283           226,724
        Loans                                       981,895           925,652
          Total Earning Assets                    1,222,554         1,178,067

        Noninterest bearing deposits                152,521           149,068
        Interest bearing deposits                   310,807           319,203
        Savings                                      71,927            74,768
        CDs                                         514,614           462,829
          Deposits                                1,049,869         1,005,868

        FHLB advances                                99,869            99,907
        Subordinated debentures                      35,567            35,567
        Other borrowings                              5,856             5,830
          Total non-deposit funding                 141,292           141,304

          Total funding                          $1,191,161        $1,147,172


                                                        Six Months Ended
                                                     June              June
                                                     2006              2005
    AVERAGE BALANCES

        Short term assets                           $40,445           $20,334
        Investment securities                       264,550           222,194
        Loans                                     1,251,841           900,229
          Total Earning Assets                    1,556,836         1,142,757

        Noninterest bearing deposits                189,315           148,798
        Interest bearing deposits                   413,608           317,028
        Savings                                      73,216            77,136
        CDs                                         723,462           454,814
          Deposits                                1,399,601           997,776

        FHLB advances                               100,955           100,818
        Subordinated debentures                      40,722            35,567
        Other borrowings                             12,751             6,013
          Total non-deposit funding                 154,428           142,398

          Total funding                          $1,554,029        $1,140,174



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                     Three Months Ended
                                                June        Mar.        Dec.
                                                2006        2006        2005
    INTEREST INCOME/EXPENSE

        Short term assets                        $303        $825        $827
        Investment securities (TE)              3,143       2,890       2,252
        Loans (TE)                             26,419      23,529      19,890
          Total Earning Assets                 29,865      27,244      22,969

        Noninterest bearing deposits              -           -           -
        Interest bearing deposits               2,045       1,635       1,279
        Savings                                   186         174         167
        CDs                                     7,748       6,819       4,792
          Deposits                              9,979       8,628       6,238

        FHLB advances                           1,131       1,129       1,174
        Subordinated debentures                   909         884         800
        Other borrowings                          130         108          79
          Total non-deposit funding             2,170       2,121       2,053

          Total funding                       $12,149     $10,749      $8,291

        Net Interest Income (TE)              $17,716     $16,495     $14,678


                                                       Three Months Ended
                                                     Sept.             June
                                                     2005              2005
    INTEREST INCOME/EXPENSE

        Short term assets                             $176              $200
        Investment securities (TE)                   2,199             2,207
        Loans (TE)                                  18,197            16,258
          Total Earning Assets                      20,572            18,665

        Noninterest bearing deposits                   -                 -
        Interest bearing deposits                      906               766
        Savings                                        153               138
        CDs                                          3,802             3,116
          Deposits                                   4,861             4,020

        FHLB advances                                1,135             1,042
        Subordinated debentures                        800               801
        Other borrowings                               386               163
          Total non-deposit funding                  2,321             2,006

          Total funding                             $7,182            $6,026

        Net Interest Income (TE)                   $13,390           $12,639


                                                        Six Months Ended
                                                     June              June
                                                     2006              2005
    INTEREST INCOME/EXPENSE

        Short term assets                           $1,128              $588
        Investment securities (TE)                   6,033             4,345
        Loans (TE)                                  49,948            31,364
          Total Earning Assets                      57,109            36,297

        Noninterest bearing deposits                   -                 -
        Interest bearing deposits                    3,680             1,423
        Savings                                        360               260
        CDs                                         14,567             5,848
          Deposits                                  18,607             7,531

        FHLB advances                                2,260             2,067
        Subordinated debentures                      1,793             1,815
        Other borrowings                               238                49
          Total non-deposit funding                  4,291             3,931

          Total funding                            $22,898           $11,462

        Net Interest Income (TE)                   $34,211           $24,835



                                AMERIS BANCORP
                             FINANCIAL HIGHLIGHTS
                                 (unaudited)
        (dollars in thousands except per share data and FTE headcount)

                                                                 Six Months
                                    Three Months Ended              Ended
                             June   Mar.   Dec.   Sept.  June   June    June
                             2006   2006   2005   2005   2005   2006    2005
    YIELDS (1)

      Short term assets      4.81%  4.81%  5.29%  3.43%  3.12%  5.62%   5.83%
      Investment securities  4.65%  4.41%  4.14%  3.96%  3.90%  4.60%   3.94%
      Loans                  8.22%  7.86%  7.67%  7.35%  7.04%  8.05%   7.03%
        Total Earning
         Assets (2)          7.56%  7.13%  6.97%  6.68%  6.35%  7.40%   6.41%

      Noninterest bearing
       deposits
      Interest bearing
       deposits              1.96%  1.62%  1.52%  1.16%  0.96%  1.79%   0.91%
      Savings                1.02%  0.97%  0.94%  0.84%  0.74%  0.99%   0.68%
      CDs                    4.21%  3.91%  3.35%  2.93%  2.70%  4.06%   2.59%
        Deposits             2.82%  2.54%  2.18%  1.84%  1.60%  2.68%   1.52%

      FHLB advances          4.49%  4.54%  4.76%  4.51%  4.18%  4.51%   4.13%
      Subordinated
       debentures            8.95%  8.80%  8.71%  8.92%  9.03%  8.88%  10.29%
      Other borrowings       4.09%  2.48%  3.53%  5.62%  5.85%  3.76%   1.64%
        Total non-deposit
         funding             5.63%  5.40%  5.69%  6.52%  5.69%  5.60%   5.57%

        Total funding (3)    3.10%  2.83%  2.58%  2.39%  2.11%  2.97%   2.03%

      Net interest spread    4.46%  4.30%  4.40%  4.28%  4.25%  4.43%   4.38%
      Net interest margin    4.48%  4.32%  4.46%  4.35%  4.30%  4.43%   4.38%


    (1) Interest and average rates are calculated on a tax-equivalent basis
        using an effective tax rate of 34%.
    (2) Rate calculated based on average earning assets.
    (3) Rate calculated based on average interest bearing liabilities.

SOURCE Ameris Bancorp