Press Release

Independent Bank Corp. Reports First Quarter Net Income of $9.2 Million

4/15/2010 4:07 PM ET

Solid Commercial Loan and Core Deposit Growth and Strong Net Interest Margin Drive Performance

ROCKLAND, Mass.--(BUSINESS WIRE)-- Independent Bank Corp., (NASDAQ: INDB), parent of Rockland Trust Company, today announced net income of $9.2 million for the first quarter of 2010. This represents an increase of 1.4% from the $9.1 million recorded in the fourth quarter of 2009. On a diluted earnings per share basis, the Company reported earnings of $0.44 for the quarter as compared to $0.43 for the previous quarter.

Christopher Oddleifson, President and Chief Executive Officer, stated, "It's always nice to report a good start to the year. Our first quarter results reflect how we continue to meet the needs of our customers as indicated by the growth in our commercial loan and home equity portfolios. We also remained focused on core deposit growth, and we're pleased with our deposit-gathering results. Customers that are looking for long-term relationships understand the value they get from Rockland Trust, and we continue to earn their trust and business."

BALANCE SHEET

Total assets increased by $65.2 million, or 1.5%, to $4.5 billion at March 31, 2010 as compared to December 31, 2009.

Total loans were $3.4 billion at March 31, 2010, an increase of $16.3 million, or 0.5% from the prior quarter. The Company continued to generate solid growth during the quarter in the commercial and home equity loan portfolios with annualized growth of 6.5% and 10.8%, respectively. This was partially offset by a continued decline in the residential real estate and other consumer lending categories.

Total deposits increased by $98.6 million, or 2.9%, during the quarter ending March 31, 2010, primarily as a result of a strategy to increase core municipal deposits. Time deposits decreased by $54.1 million due to the Company's strategy to focus on lower-cost core deposits, which grew by $152.7 million or 6.2% in the first quarter and represented 75.1% of total deposits at March 31, 2010.

Stockholders' equity at March 31, 2010 totaled $418.2 million as compared to $412.6 million at December 31, 2009. The Tier 1 leverage capital ratio at March 31, 2010 further strengthened to 8.04%, maintaining the Company's well-capitalized position.

NET INTEREST INCOME

The net interest margin in the first quarter of 2010 grew to 4.08%, compared to the linked quarter period of 3.98%. Net interest income of $40.2 million was down very slightly from the prior period in part due to the fewer number of days in the first quarter.

NON-INTEREST INCOME

The Company recorded non-interest income of $10.1 million during the first quarter of 2010 which represents a slight increase from the prior quarter. The change in non-interest income is composed of the following:

    --  Service charges on deposit accounts decreased by $320,000, or 7.1%.
    --  Wealth management revenue remained consistent with the prior quarter at
        $2.7 million. Assets under management in the wealth management division
        were $1.3 billion at March 31, 2010.
    --  Mortgage banking income decreased by $280,000 largely due to a decrease
        in originations. The balance of the mortgage servicing asset was $2.2
        million at both March 31, 2010 and December 31, 2009, and loans serviced
        amounted to $341.7 million and $350.5 million, respectively.
    --  The Company recorded de minimis credit related impairment charges in the
        first quarter compared to the $2.2 million of charges in the linked
        quarter on certain pooled trust preferred and private mortgage backed
        securities.
    --  Other non-interest income decreased by $1.3 million or 45.0% due
        primarily to the inclusion of large items in the linked quarter which
        resulted in decreases on the gain on the sale of other real estate owned
        of $573,000, a decrease on loan swap income of $300,000, and $413,000
        related to tax credits purchased during the fourth quarter of 2009.

NON-INTEREST EXPENSE

The Company recorded non-interest expense of $33.6 million in the first quarter of 2010, a decrease of $1.1 million, or 3.1%, when compared to the quarter ended December 31, 2009. Significant changes of non-interest expense include the following:

    --  Occupancy and equipment expense increased by $287,000, or 7.5% due
        primarily to increases in snow removal and sanding of $216,000.
    --  Other non-interest expense decreased by $1.4 million, or 14.2%, which is
        primarily attributable to decreases in advertising of $330,000, other
        real estate owned valuation write-off of $315,000, telephone of
        $270,000, legal fees of $252,000, and consultant fees of $221,000,
        offset by branch closing expenses incurred in the first quarter of 2010
        of $266,000.

The Company reported a return on average assets and a return on average common equity in the first quarter of 2010 of 0.84% and 8.95%, respectively, as compared to 0.81% and 8.75% for the quarter ended December 31, 2009.

ASSET QUALITY

The allowance for loan losses increased to $45.3 million at March 31, 2010 as compared to $42.4 million at December 31, 2009. Nonperforming loans increased to $41.8 million, or 1.23% of total loans at March 31, 2010, from $36.2 million, or 1.07% of total loans at December 31, 2009. The Company's allowance for loan losses as a percentage of loans were 1.33% and 1.25% at March 31, 2010 and December 31, 2009, respectively.

The provision for loan losses was $4.7 million and $4.4 million for the quarters ended March 31, 2010 and December 31, 2009. Net charge-offs declined to $1.7 million, or 0.21% annualized of average loans for the quarter ending March 31, 2010 compared to $3.4 million or 0.40% for the quarter ending December 31, 2009.

Christopher Oddleifson and Denis K. Sheahan, Chief Financial Officer, of Independent Bank Corp. and Rockland Trust Company, will host a conference call to discuss first quarter earnings at 10:00 a.m. Eastern Time on Friday, April 16, 2010. Internet access to the call is available on the Company's website at www.RocklandTrust.com or by telephonic access by dial-in at 1-800-860-2442 reference: INDB. A replay of the call will be available by calling 1-877-344-7529, Replay Pass code: 439101. The web cast replay will be available until May 3, 2010.

Independent Bank Corp., which has Rockland Trust Company as a wholly-owned bank subsidiary, has $4.5 billion in assets. Rockland Trust offers a wide range of commercial banking products and services, retail banking products and services, business and consumer loans, insurance products and services, and investment management services. To discover why Rockland Trust is the bank Where Each Relationship Matters(R), visit www.RocklandTrust.com.

This press release contains certain "forward-looking statements" with respect to the financial condition, results of operations and business of the Company. Actual results may differ from those contemplated by these statements. The Company wishes to caution readers not to place undue reliance on any forward-looking statements. The Company disclaims any intent or obligation to update publicly any such forward-looking statements, whether in response to new information, future events or otherwise.

This press release contains financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Operating earnings, which is a non-GAAP financial measure, excludes gain or loss due to items that management does not believe are related to its core banking business, such as gains or losses on the sales of securities, merger and acquisition expenses, and other items. The Company's management uses operating earnings to measure the strength of the Company's core banking business and to identify trends that may to some extent be obscured by gains or losses which management deems not to be core to the Company's operations. The Company has included information on operating earnings because management believes that investors may find it useful to have access to the same analytical tool used by management and may also find that it facilitates the comparison of the Company to other companies in the financial services industry. Non-GAAP operating earnings should not be viewed as a substitute for operating results determined in accordance with GAAP. An item which management deems to be non-core and excludes when computing non-GAAP operating earnings can be of substantial importance to the Company's results for any particular quarter or year. The Company's non-GAAP operating earnings are not necessarily comparable to non-GAAP performance measures which may be presented by other companies.

INDEPENDENT BANK CORP. FINANCIAL SUMMARY

(Unaudited - Dollars in Thousands)

                                                            % Change   % Change

CONSOLIDATED                                                Mar. 2010  Mar. 2010
BALANCE        March 31,      December 31,   March 31,      vs.        vs.
SHEETS

                 2010           2009           2009         Dec. 2009  Mar. 2009

Assets

Cash and Due   $ 219,055      $ 121,905      $ 70,554       79.69  %   210.48  %
From Banks

Fed Funds
Sold and         -              -              149,729      n/a        -100.00 %
Short Term
Investments

Securities

Trading          7,399          6,171          2,580        19.90  %   186.78  %
Assets

Securities
Available for    473,515        508,650        558,541      -6.91  %   -15.22  %
Sale

Securities
Held to          91,059         93,410         30,804       -2.52  %   195.61  %
Maturity

Total            571,973        608,231        591,925      -5.96  %   -3.37   %
Securities

Loans Held       7,570          13,466         22,412       -43.78 %   -66.22  %
for Sale

Loans

Commercial
and              387,785        373,531        286,178      3.82   %   35.50   %
Industrial

Commercial       1,645,251      1,614,474      1,136,411    1.91   %   44.78   %
Real Estate

Commercial       167,161        175,312        166,272      -4.65  %   0.53    %
Construction

Small            81,696         82,569         87,137       -1.06  %   -6.24   %
Business

Total            2,281,893      2,245,886      1,675,998    1.60   %   36.15   %
Commercial

Residential      539,709        555,306        406,119      -2.81  %   32.89   %
Real Estate

Residential      7,732          10,736         9,727        -27.98 %   -20.51  %
Construction

Consumer -       484,413        471,862        411,097      2.66   %   17.83   %
Home Equity

Total
Consumer Real    1,031,854      1,037,904      826,943      -0.58  %   24.78   %
Estate

Consumer -       67,807         79,273         116,375      -14.46 %   -41.73  %
Auto

Consumer -       30,238         32,452         35,847       -6.82  %   -15.65  %
Other

Total Other      98,045         111,725        152,222      -12.24 %   -35.59  %
Consumer

Total Loans      3,411,792      3,395,515      2,655,163    0.48   %   28.50   %

Less -
Allowance for    (45,278   )    (42,361   )    (37,488   )  6.89   %   20.78   %
Loan Losses

Net Loans        3,366,514      3,353,154      2,617,675    0.40   %   28.61   %

Federal Home
Loan Bank        35,854         35,854         24,603       0.00   %   45.73   %
Stock

Bank Premises    44,850         44,235         36,733       1.39   %   22.10   %
and Equipment

Goodwill and
Core Deposit     143,371        143,730        125,726      -0.25  %   14.03   %
Intangible

Other Assets     158,020        161,446        127,082      -2.12  %   24.34   %

Total Assets   $ 4,547,207    $ 4,482,021    $ 3,766,439    1.45   %   20.73   %

Liabilities
and
Stockholders'
Equity

Deposits

Demand         $ 720,246      $ 721,792      $ 541,038      -0.21  %   33.12   %
Deposits

Savings and
Interest         1,170,194      1,073,990      765,258      8.96   %   52.91   %
Checking
Accounts

Money Market     719,761        661,731        536,808      8.77   %   34.08   %

Time
Certificates     863,652        917,781        810,637      -5.90  %   6.54    %
of Deposit

Total            3,473,853      3,375,294      2,653,741    2.92   %   30.90   %
Deposits

Borrowings

Federal Home
Loan Bank        327,807        362,936        408,480      -9.68  %   -19.75  %
Borrowings

Fed Funds
Purchased and
Assets Sold

Under
Repurchase       184,436        190,452        169,616      -3.16  %   8.74    %
Agreements

Junior
Subordinated     61,857         61,857         61,857       0.00   %   0.00    %
Debentures

Subordinated     30,000         30,000         30,000       0.00   %   0.00    %
Debentures

Other            2,873          2,152          2,442        33.50  %   17.65   %
Borrowings

Total            606,973        647,397        672,395      -6.24  %   -9.73   %
Borrowings

Total
Deposits and     4,080,826      4,022,691      3,326,136    1.45   %   22.69   %
Borrowings

Other            48,157         46,681         46,780       3.16   %   2.94    %
Liabilities

Stockholders'
Equity

Preferred        -              -              73,578       n/a        n/a
Stock

Common Stock     209            209            163          0.00   %   28.22   %

Additional
Paid in          225,373        225,088        142,140      0.13   %   58.56   %
Capital

Retained         190,064        184,599        184,387      2.96   %   3.08    %
Earnings

Accumulated
Other
Comprehensive    2,578          2,753          (6,745    )  -6.36  %   -138.22 %
Income/
(Loss), Net
of Tax

Total
Stockholders'    418,224        412,649        393,523      1.35   %   6.28    %
Equity

Total
Liabilities
and            $ 4,547,207    $ 4,482,021    $ 3,766,439    1.45   %   20.73   %
Stockholders'
Equity



INDEPENDENT BANK CORP. FINANCIAL SUMMARY

(Unaudited - Dollars in Thousands, Except Per Share Data)

CONSOLIDATED          Three Months Ended
STATEMENTS OF INCOME

                                                                      % Change   % Change

                      March 31,       December 31,    March 31,       Mar. 2010  Mar. 2010
                                                                      vs.        vs.

                        2010            2009            2009          Dec. 2009  Mar. 2009

INTEREST INCOME

Interest on Fed
Funds Sold and Short  $ 24            $ 18            $ 198           33.33   %  -87.88  %
Term Investments

Interest and
Dividends on            6,671           7,096           7,267         -5.99   %  -8.20   %
Securities

Interest on Loans       44,047          45,637          35,779        -3.48   %  23.11   %

Interest on Loans       106             132             167           -19.70  %  -36.53  %
Held for Sale

Total Interest          50,848          52,883          43,411        -3.85   %  17.13   %
Income

INTEREST EXPENSE

Interest on Deposits    5,939           6,869           8,407         -13.54  %  -29.36  %

Interest on Borrowed    4,699           5,316           5,015         -11.61  %  -6.30   %
Funds

Total Interest          10,638          12,185          13,422        -12.70  %  -20.74  %
Expense

Net Interest Income     40,210          40,698          29,989        -1.20   %  34.08   %

Less - Provision for    4,650           4,424           4,000         5.11    %  16.25   %
Loan Losses

Net Interest Income
after Provision for     35,560          36,274          25,989        -1.97   %  36.83   %
Loan Losses

NON-INTEREST INCOME

Service Charges on      4,221           4,541           3,648         -7.05   %  15.71   %
Deposit Accounts

Wealth Management       2,728           2,729           2,330         -0.04   %  17.08   %

Mortgage Banking        1,000           1,280           1,156         -21.88  %  -13.49  %
Income

BOLI Income             721             813             729           -11.32  %  -1.10   %

Net Gain/(Loss) on      -               -               1,379         n/a        -100.00 %
Sale of Securities

Gross Loss on
Write-Down of           180             2               -             8900.00 %  n/a
certain Investments
to Fair Value

Less: Non-Credit
Related                 (358       )    (2,167     )    -             -83.48  %  n/a
Other-Than-Temporary
Impairment

Net Loss on
Write-Down of           (178       )    (2,165     )    -             -91.78  %  n/a
Certain Investments
to Fair Value

Other Non-Interest      1,558           2,831           1,231         -44.97  %  26.56   %
/Income

Total Non-Interest      10,050          10,029          10,473        0.21    %  -4.04   %
Income

NON-INTEREST EXPENSE

Salaries and            18,464          18,537          14,859        -0.39   %  24.26   %
Employee Benefits

Occupancy and           4,135           3,848           3,705         7.46    %  11.61   %
Equipment Expenses

Data Processing and
Facilities              1,294           1,178           1,416         9.85    %  -8.62   %
Management

Merger & Acquisition    -               -               1,538         n/a        n/a
Expense

FDIC Assessment         1,321           1,320           536           0.08    %  146.46  %

Other Non-Interest      8,374           9,765           6,253         -14.24  %  33.92   %
Expense

Total Non-Interest      33,588          34,648          28,307        -3.06   %  18.66   %
Expense

INCOME BEFORE INCOME    12,022          11,655          8,155         3.15    %  47.42   %
TAXES

PROVISION FOR INCOME    2,795           2,555           1,767         9.39    %  58.18   %
TAXES

NET INCOME            $ 9,227         $ 9,100         $ 6,388         1.40    %  44.44   %

PREFERRED STOCK       $ -             $ -             $ 1,173
DIVIDEND

NET INCOME AVAILABLE
TO COMMON             $ 9,227         $ 9,100         $ 5,215         1.40    %  76.93   %
SHAREHOLDERS

BASIC EARNINGS PER    $ 0.44          $ 0.43          $ 0.32          2.33    %  37.50   %
SHARE

DILUTED EARNINGS PER  $ 0.44          $ 0.43          $ 0.32          2.33    %  37.50   %
SHARE

BASIC AVERAGE SHARES    20,937,589      20,931,154      16,285,955

DILUTED AVERAGE         21,008,422      20,975,807      16,303,836
SHARES

PERFORMANCE RATIOS:

Net Interest Margin     4.08       %    3.98       %    3.62       %
(FTE)

Return on Average       0.84       %    0.81       %    0.57       %
Assets

Return on Average       8.95       %    8.75       %    6.68       %
Common Equity

RECONCILIATION TABLE
- NON-GAAP FINANCIAL
INFORMATION

NET INCOME AVAILABLE
TO COMMON             $ 9,227         $ 9,100         $ 5,215         1.40    %  76.93   %
SHAREHOLDERS (GAAP)

Non-Interest Income
Components

Less - Net Gain on
Sale of Securities,     -               -               (896       )
net of tax

Non-Interest Expense
Components

Add - Merger and
Acquisition             -               -               1,000
Expenses, net of tax

NET OPERATING         $ 9,227         $ 9,100         $ 5,319         1.40    %  73.46   %
EARNINGS

Diluted Earnings Per
Share, on an          $ 0.44          $ 0.43          $ 0.33          2.33    %  33.33   %
Operating Basis



INDEPENDENT BANK CORP. FINANCIAL SUMMARY

(Unaudited - Dollars in Thousands, Except Per Share Data)

RECONCILIATION TABLE - NON-GAAP FINANCIAL INFORMATION

                                 Three Months Ended

                                                                 % Change  % Change

                                 March     December  March 31,   Mar.      Mar. 2010
                                 31,       31,                   2010 vs.  vs.

                                   2010      2009      2009      Dec.      Mar. 2009
                                                                 2009

Non-Interest Income GAAP         $ 10,050  $ 10,029  $ 10,473    0.21   %  -4.04   %

Less - Net Gain on Sale of         -         -         (1,379 )  n/a       n/a
Securities

Add -
Other-Than-Temporary-Impairment    178       2,165     -         -91.78 %  n/a
on Securities

Non-Interest Income as Adjusted  $ 10,228  $ 12,194  $ 9,094     -16.12 %  12.47   %

Non-Interest Expense GAAP        $ 33,588  $ 34,648  $ 28,307    -3.06  %  18.66   %

Less - Merger & Acquisition        -         -         (1,538 )  n/a       -100.00 %
Expenses

Non-Interest Expense as          $ 33,588  $ 34,648  $ 26,769    -3.06  %  25.47   %
Adjusted

Certain non-core items are included in the computation of earnings in accordance
with United States of America generally accepted accounting principles ("GAAP") in
both 2010 and 2009 as indicated by the tables above. In an effort to provide
investors with information regarding the Company's results, the Company has
disclosed the above non-GAAP information, which management believes provides useful
information to the investor. This information should not be viewed as a substitute
for operating results determined in accordance with GAAP, nor is it necessarily
comparable to non-GAAP information which may be presented by other companies.



ASSET QUALITY         Nonperforming Assets            Net Charge-Offs

                      For the Period Ending           For the Three Months Ending

                      March 31,  December   March     March     December  March
                                 31,        31,       31,       31,       31,

                      2010       2009       2009      2010      2009      2009

                      (Dollars in Thousands, Except   (Dollars in Thousands,
                      Per Share Data)                 Except Per Share Data)

Nonperforming Loans

Commercial &          $7,252     $4,205     $3,884    $527      $1,705    $18
Industrial Loans

Small Business Loans  1,294      793        1,638     251       325       280

Commercial Real       23,645     18,525     10,833    198       29        2,059
Estate Loans

Residential Real      8,092      10,829     8,521     135       150       (10    )
Estate Loans

Installment Loans -   948        1,166      2,940     234       599       251
Home Equity

Installment Loans -   438        242        665       -         -         -
Auto

Installment Loans -   171        423        479       388       611       963
Other

Total Nonperforming
Loans / Total Net     $41,840    $36,183    28,960    $1,733    $3,419    $3,561
Charge-offs

Non-Accrual           899        920        1,698
Securities

Other Assets in       98         148        224
Possession

Other Real Estate     5,990      3,994      1,764
Owned

Nonperforming Assets  48,827     41,245     32,646

Nonperforming         1.23    %  1.07    %  1.09   %
Loans/Gross Loans

Allowance for Loan
Losses/Nonperforming  108.22  %  117.07  %  129.45 %
Loans

Gross Loans/Total     98.21   %  100.60  %  100.05 %
Deposits

Allowance for Loan    1.33    %  1.25    %  1.41   %
Losses/Total Loans

Net charge-offs                                       $1,733    $3,419    $3,561
(quarter-to-date)

Net charge-offs to
average loans                                         0.21   %  0.40   %  0.54   %
( quarter
annualized)

Net charge-offs to
average loans                                         0.21   %  0.38   %  0.54   %
(year-to-date
annualized)

Financial Ratios

Book Value per        $19.76     $19.58     $19.60
Common Share

Tangible Equity
Ratio:

Tangible Common
Capital/Tangible      6.24    %  6.20    %  5.33   %
Assets

Tangible Common
Capital/Tangible
Asset (proforma to
include

the tax
deductibility of
goodwill and exclude  6.68    %  6.65    %  5.83   %
impact of CPP) -
Non-GAAP

Tangible Common Book
Value per Share
(proforma to include

the tax
deductibility of
goodwill and exclude  $13.97     $13.76     $12.81
impact of CPP) -
Non-GAAP

Capital Adequacy

Tier one leverage     8.04    %  7.87    %  9.77   %
capital ratio (1)

(1) Estimated number for March 31, 2010



INDEPENDENT BANK
CORP.

SUPPLEMENTAL
FINANCIAL
INFORMATION

CONSOLIDATED
AVERAGE BALANCE
SHEETS AND        Three Months Ended
AVERAGE RATE
DATA

(Unaudited -
Dollars in        March 31, 2010                 December 31, 2009              March 31, 2009
Thousands)

                               Interest                       Interest                       Interest

                  Average      Earned/   Yield/  Average      Earned/   Yield/  Average      Earned/   Yield/

                  Balance      Paid      Rate    Balance      Paid      Rate    Balance      Paid      Rate

Interest-Earning
Assets:

Interest Bearing
Cash, Federal
Funds Sold, and   $ 23,125     $ 24      0.42 %  $ 50,983     $ 18      0.14 %  $ 121,394    $ 198     0.66 %
Short Term
Investments

Securities:

Trading Assets      6,800        60      3.58 %    8,706        61      2.78 %    2,706        25      3.75 %

Taxable
Investment          568,550      6,409   4.57 %    602,679      6,833   4.50 %    565,797      6,937   4.97 %
Securities

Non-taxable
Investment          19,111       342     7.26 %    19,343       311     6.38 %    30,161       469     6.31 %
Securities (1)

Total               594,461      6,811   4.65 %    630,728      7,205   4.53 %    598,664      7,431   5.03 %
Securities:

Loans

Commercial and      377,855      4,417   4.74 %    372,174      4,769   5.08 %    274,480      3,303   4.88 %
Industrial

Commercial Real     1,630,944    23,089  5.74 %    1,572,599    23,300  5.88 %    1,129,022    17,067  6.13 %
Estate

Commercial          171,535      2,076   4.91 %    190,354      2,389   4.98 %    174,507      1,915   4.45 %
Construction

Small Business      82,476       1,217   5.98 %    82,568       1,250   6.01 %    87,181       1,289   6.00 %

Total Commercial    2,262,810    30,799  5.52 %    2,217,695    31,708  5.67 %    1,665,190    23,574  5.74 %

Residential Real    548,533      6,765   5.00 %    570,546      7,045   4.90 %    408,250      5,296   5.26 %
Estate

Residential         9,102        118     5.26 %    12,309       172     5.54 %    10,924       172     6.39 %
Construction

Consumer - Home     478,324      4,522   3.83 %    470,121      4,575   3.86 %    407,860      4,010   3.99 %
Equity

Total Consumer      1,035,959    11,405  4.46 %    1,052,976    11,792  4.44 %    827,034      9,478   4.65 %
Real Estate

Consumer - Auto     73,656       1,278   7.04 %    85,445       1,501   6.97 %    122,247      2,044   6.78 %

Consumer - Other    31,484       734     9.45 %    33,103       758     9.08 %    37,488       801     8.67 %

Total Other         105,140      2,012   7.76 %    118,548      2,259   7.56 %    159,735      2,845   7.22 %
Consumer

Total Loans         3,403,909    44,216  5.27 %    3,389,219    45,759  5.36 %    2,651,959    35,897  5.49 %

Loans Held for      7,125        106     6.03 %    10,961       132     4.78 %    15,114       168     4.51 %
Sale

Total
Interest-Earning  $ 4,028,620  $ 51,157  5.15 %  $ 4,081,891  $ 53,114  5.16 %  $ 3,387,131  $ 43,694  5.23 %
Assets

Cash and Due        66,424                         64,799                         60,079
from Banks

Federal Home        35,854                         36,351                         24,603
Loan Bank Stock

Other Assets        304,200                        281,314                        251,307

Total Assets      $ 4,435,098                    $ 4,464,355                    $ 3,723,120

Interest-bearing
Liabilities:

Deposits:

Savings and
Interest          $ 1,056,156  $ 1,184   0.45 %  $ 977,673    $ 1,185   0.48 %  $ 740,020    $ 996     0.55 %
Checking
Accounts

Money Market        702,390      1,320   0.76 %    692,072      1,539   0.88 %    518,438      1,696   1.33 %

Time Deposits       889,449      3,435   1.57 %    931,510      4,145   1.77 %    831,196      5,715   2.79 %

Total
interest-bearing  $ 2,647,995  $ 5,939   0.91 %  $ 2,601,255  $ 6,869   1.05 %  $ 2,089,654  $ 8,407   1.63 %
deposits:

Borrowings:

Federal Home
Loan Bank         $ 340,301    $ 2,432   2.90 %  $ 383,331    $ 2,971   3.07 %  $ 410,126    $ 2,675   2.65 %
Borrowings

Federal Funds
Purchased and
Assets Sold

Under Repurchase    184,624      830     1.82 %    191,229      871     1.81 %    172,884      856     2.01 %
Agreement

Junior
Subordinated        61,857       902     5.91 %    61,857       921     5.91 %    61,857       947     6.21 %
Debentures

Subordinated        30,000       535     7.23 %    30,000       553     7.31 %    30,000       537     7.26 %
Debentures

Other Borrowings    2,360        -       0.00 %    2,227        -       0.00 %    1,772        -       0.00 %

Total               619,142      4,699   3.08 %    668,644      5,316   3.15 %    676,639      5,015   3.01 %
Borrowings:

Total
Interest-Bearing  $ 3,267,137  $ 10,638  1.32 %  $ 3,269,899  $ 12,185  1.48 %  $ 2,766,293  $ 13,422  1.97 %
Liabilities

Demand Deposits     702,833                        731,053                        530,425

Other               47,020                         50,791                         42,405
Liabilities

Total             $ 4,016,990                    $ 4,051,743                    $ 3,339,123
Liabilities

Stockholders'       418,108                        412,612                        383,997
Equity

Total
Liabilities and   $ 4,435,098                    $ 4,464,355                    $ 3,723,120
Stockholders'
Equity

Net Interest                   $ 40,519                       $ 40,929                       $ 30,272
Income

Interest Rate                            3.83 %                         3.68 %                         3.26 %
Spread (2)

Net Interest                             4.08 %                         3.98 %                         3.62 %
Margin (3)

Supplemental
Information:

Total Deposits,
including Demand  $ 3,350,828  $ 5,939           $ 3,332,308  $ 6,869           $ 2,620,079  $ 8,407
Deposits

Cost of Total                            0.72 %                         0.82 %                         1.30 %
Deposits

Total Funding
Liabilities,      $ 3,969,970  $ 10,638          $ 4,000,952  $ 12,185          $ 3,296,718  $ 13,422
including Demand
Deposits

Cost of Total
Funding                                  1.09 %                         1.21 %                         1.65 %
Liabilities

(1) The total amount of adjustment to present interest income and yield on a fully tax-equivalent basis is
$309, $231, and $283 for the three months ended March 31, 2010, December 31, 2009, and March 31, 2009,
respectively.

(2) Interest rate spread represents the difference between the weighted average yield on interest-earning
assets and the weighted average cost of interest-bearing liabilities.

(3) Net interest margin represents annualized net interest income as a percentage of average interest-earning
assets.

Certain amounts in prior year financial statement have been reclassified to conform to the current year's
presentation.



    Source: Independent Bank Corp.
Contact: Independent Bank Corp. Chris Oddleifson, 781-982-6660 President and Chief Executive Officer or Denis K. Sheahan, 781-982-6341 Chief Financial Officer