First Business

August 02, 2011

First Business Reports Increased Net Income

MADISON, Wisc., Aug. 2, 2011 (GLOBE NEWSWIRE) -- First Business Financial Services, Inc. (Nasdaq:FBIZ) filed its Quarterly Report on Form 10-Q on Friday, June 29, 2011 reporting net income of $2.5 million, or earnings per diluted common share of $0.98 for the second quarter ending June 30, 2011 as compared to a net loss of $1.5 million reported in the second quarter of 2010. The second quarter 2010 net loss was primarily the result of a charge to earnings of $2.7 million to reflect the impairment of the Company’s goodwill. Excluding the goodwill impairment, net income was $1.2 million for the second quarter of 2010.

For the six month period ending June 30, 2011 net income was $3.9 million, or earnings per diluted common share of $1.49, as compared to a net loss of $626,000 reported for the same period of 2010. Excluding the goodwill impairment of $2.7 million, net income was $2.1 million for the six months ended June 30, 2010.

Corey A. Chambas, President and Chief Executive Officer, commented, "In addition to a good bottom line for the quarter, we also produced strong top line revenue growth, increased core earnings and had significant asset quality improvement. Given the challenging economic environment, we are very pleased with these results and feel we are well positioned moving forward."

A complete copy of the Corporation’s Quarterly Report on Form 10-Q for the period ending June 30, 2011 and all reports filed by the Corporation with the SEC may be accessed through the Corporation’s website, www.firstbusiness.com.

About First Business Financial Services, Inc.

First Business Financial Services (Nasdaq:FBIZ) is a $1.3 billion Wisconsin-based bank holding company that specializes in focused financial solutions for businesses, key executives, and high net worth individuals through its operating companies. Its companies include: First Business Bank - Madison; First Business Bank - Milwaukee; First Business Bank - Northeast; First Business Trust & Investments; First Business Equipment Finance, LLC; and First Business Capital Corp. For additional information, visit www.firstbusiness.com or call (608) 238-8008.

The First Business Financial Services, Inc. logo is available at http://www.firstbusiness.com/logo

Forward-Looking Statements
This press release contains forward-looking statements that reflect the Corporation's plans, estimates and beliefs. When used in this press release, the words "anticipate," "believe," "estimate," "expect," "objective" and similar expressions and verbs in the future tense are intended to identify forward-looking statements. The statements contained in this press release involve or may involve certain assumptions, risks, and uncertainties, many of which are beyond the Corporation's control, which could cause actual results to differ materially from those discussed in the forward-looking statements. The forward-looking statements included in this press release are only made as of the date hereof, and the Corporation undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances. In addition to the assumptions and other factors referenced specifically in connection with such statements, the factors described in "Item 1A. Risk Factors" in our Annual Report on Form 10-K and the following factors could impact the business and financial prospects of the Corporation: general economic conditions; legislative and regulatory initiatives; increased competition and other effects of deregulation and consolidation of the financial services industry; monetary and fiscal policies of the federal government; deposit flows; disintermediation; the cost and availability of funds; general market rates of interest; interest rates or investment returns on competing investments; demand for loan products; demand for financial services; changes in accounting policies or guidelines; general economic developments; acts of terrorism and developments in the war on terrorism; and changes in the quality or composition of loan and investment portfolios.

Contact:
James F. Ropella
Senior Vice President & CFO
First Business Financial Services, Inc.
608-232-5970
Email