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<SEC-DOCUMENT>0001104659-04-022642.txt : 20040805
<SEC-HEADER>0001104659-04-022642.hdr.sgml : 20040805
<ACCEPTANCE-DATETIME>20040805150954
ACCESSION NUMBER:		0001104659-04-022642
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20040805
ITEM INFORMATION:		Results of Operations and Financial Condition
FILED AS OF DATE:		20040805

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			INTERNATIONAL BANCSHARES CORP
		CENTRAL INDEX KEY:			0000315709
		STANDARD INDUSTRIAL CLASSIFICATION:	STATE COMMERCIAL BANKS [6022]
		IRS NUMBER:				742157138
		STATE OF INCORPORATION:			TX
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-09439
		FILM NUMBER:		04954566

	BUSINESS ADDRESS:	
		STREET 1:		12OO SAN BERNARDO AVE
		STREET 2:		PO BOX 1359
		CITY:			LAREDO
		STATE:			TX
		ZIP:			78040-1359
		BUSINESS PHONE:		9567227611

	MAIL ADDRESS:	
		STREET 1:		P O BOX 1359
		STREET 2:		1200 SAN BERNARDO
		CITY:			LAREDO
		STATE:			TX
		ZIP:			78040
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a04-8995_28k.htm
<DESCRIPTION>8-K
<TEXT>
<html>

<head>



</head>

<body link="blue" vlink="purple">

<div style="font-family:'Times New Roman';">

<div style="border:none;border-top:double windowtext 9.0pt;padding:0in 0in 0in 0in;">

<p style="border:none;font-weight:bold;margin:0in 0in .0001pt;padding:0in;text-align:center;text-autospace:none;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">&nbsp;</font></b></font></p>

<p style="border:none;font-weight:bold;margin:0in 0in .0001pt;padding:0in;text-align:center;text-autospace:none;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;">UNITED STATES<br>
SECURITIES AND EXCHANGE COMMISSION</font></b></font></p>

</div>

<p style="font-weight:bold;margin:0in 0in .0001pt;text-align:center;text-autospace:none;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Washington, D.C.&#160; 20549</font></b></font></p>

<p style="font-weight:bold;margin:0in 0in .0001pt;text-align:center;text-autospace:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:normal;">&nbsp;</font></b></p>


<div align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">

<hr size="1" width="25%" noshade color="black" align="center">

</font></div>


<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">FORM 8-K</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">CURRENT REPORT</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


<div align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">

<hr size="1" width="25%" noshade color="black" align="center">

</font></b></font></div>


<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">Pursuant to Section&nbsp;13 or 15 (d) of<br>
The Securities Exchange Act of 1934</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Date of Report
(Date of earliest event reported): August&nbsp;5, 2004</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">INTERNATIONAL BANCSHARES
CORPORATION</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Exact Name of Registrant as Specified in its
Charter)</font></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Commission
File Number 0-9439</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<div align="center">

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Texas</font></b></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">74-2157138</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(State or other Jurisdiction<br>
  of incorporation or organization)</font></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(I.R.S. Employer<br>
  Identification No.)</font></font></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">1200 San
  Bernardo, Laredo, Texas</font></b></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">78040-1359</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Address of principal
  executive offices)</font></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ZIP Code)</font></font></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Registrant&#146;s telephone
  number, including area code)<b><font style="font-weight:bold;">&#160; (956) 722-7611</font></b></font></font></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.92%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.18%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">None</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Former name or former
  address, if changed since last report)</font></font></p>
  </td>
 </tr>
</table>

</div>

<div style="border:none;border-bottom:double windowtext 9.0pt;padding:0in 0in 0in 0in;">

<p align="center" style="border:none;margin:0in 0in .0001pt;padding:0in;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

</div>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


<div style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></b></font></div>

<font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;"><b><font style="font-weight:bold;">
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<br clear="all" style="page-break-before:always;">
</font></b></font></font>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt 76.5pt;text-indent:-76.5pt;"><b><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 12.</font></u></b><b><font size="2" style="font-size:10.0pt;font-weight:bold;">  <u>Results
of Operations and Financial Condition</u></font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">On August&nbsp;5, 2004, International Bancshares
Corporation issued a news release announcing second quarter 2004 earnings.&#160; The news release, attached hereto and filed
herewith as Exhibit&nbsp;99, is incorporated herein by reference.</font></font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">All of the information
furnished in Item&nbsp;12 of this report and the accompanying exhibits are also
intended to be included under &#147;Item 9 &#150; Regulation Fair Disclosure&#148; and shall
not be deemed to be &#147;filed&#148; for the purposes of Section&nbsp;18 of the Securities
and Exchange Act of 1934, as amended, is not subject to the liabilities of that
section&nbsp;and shall not be incorporated by reference in any filing under the
Securities Act of 1933, as amended.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2</font></p>


<div style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">

<hr size="2" width="100%" noshade color="gray" align="left">

</font></b></font></div>

<font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;"><b><font style="font-weight:bold;">
<!-- SEQ.=1,FOLIO='2',FILE='C:\jms\rganesa\04-8995-2\task160776\8995-2-ba.htm',USER='dsubramaniam',CD='Aug  5 20:44 2004' -->
<br clear="all" style="page-break-before:always;">
</font></b></font></font>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SIGNATURES</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Pursuant to
the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.</font></b></font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;text-indent:.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="55%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:55.4%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INTERNATIONAL BANCSHARES CORPORATION</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="55%" colspan="3" valign="top" style="padding:0in 0in 0in 0in;width:55.4%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&#160;
  (Registrant)</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">By:</font></b></font></p>
  </td>
  <td width="20%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:20.22%;">
  <p style="margin:0in 0in .0001pt 20.0pt;text-indent:-10.0pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">/s DENNIS E. NIXON</font></b></font></p>
  </td>
  <td width="31%" valign="top" style="padding:0in 0in 0in 0in;width:31.44%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt 20.0pt;text-indent:-10.0pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="margin:0in 0in .0001pt 20.0pt;text-indent:-10.0pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">DENNIS E. NIXON, President,</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="margin:0in 0in .0001pt 20.0pt;text-indent:-10.0pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">and Chief Executive Officer</font></b></font></p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="44%" valign="top" style="padding:0in 0in 0in 0in;width:44.6%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Date: August&nbsp;5, 2004</font></b></font></p>
  </td>
  <td width="3%" valign="top" style="padding:0in 0in 0in 0in;width:3.74%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="51%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:51.66%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
</table>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3</font></p>


<div style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">

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<font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;"><b><font style="font-weight:bold;">
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<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXHIBIT INDEX</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="7%" valign="top" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:7.14%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;font-weight:bold;">Exhibit<br>
  Number</font></b></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.36%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="65%" valign="bottom" style="border:none;border-bottom:solid windowtext .5pt;padding:0in 0in 0in 0in;width:65.2%;">
  <p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;font-weight:bold;">Description</font></b></font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0in 0in 0in 0in;width:3.3%;">
  <p align="center" style="font-size:1.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
  <td width="22%" valign="bottom" style="padding:0in 0in 0in 0in;width:22.0%;">
  <p align="center" style="font-size:1.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="7%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:7.14%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.36%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="65%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:65.2%;">
  <p align="center" style="font-size:10.0pt;margin:0in 0in .0001pt;text-align:center;">&nbsp;</p>
  </td>
  <td width="3%" valign="bottom" style="padding:0in 0in 0in 0in;width:3.3%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="22%" valign="top" style="padding:0in 0in 0in 0in;width:22.0%;">
  <p style="font-size:10.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
 <tr>
  <td width="7%" valign="top" style="padding:0in 0in 0in 0in;width:7.14%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">99</font></b></font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.36%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="65%" valign="top" style="padding:0in 0in 0in 0in;width:65.2%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">News Release of International Bancshares
  Corporation dated August&nbsp;5, 2004</font></b></font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0in 0in 0in 0in;width:3.3%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="22%" valign="top" style="padding:0in 0in 0in 0in;width:22.0%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
 </tr>
</table>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></font></p>


<div style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">

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</font></b></font></div>

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<TYPE>EX-99
<SEQUENCE>2
<FILENAME>a04-8995_2ex99.htm
<DESCRIPTION>EX-99
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<p align="right" style="margin:0in 0in .0001pt;text-align:right;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXHIBIT 99</font></b></font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="8%" valign="top" style="padding:0in 0in 0in 0in;width:8.72%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Contact:<b><font style="font-weight:bold;">:&#160; </font></b></font></font></p>
  </td>
  <td width="42%" valign="bottom" style="padding:0in 0in 0in 0in;width:42.38%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Rosanne Palacios</font></font></p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Judy Wawroski</font></font></p>
  </td>
 </tr>
 <tr>
  <td width="8%" valign="top" style="padding:0in 0in 0in 0in;width:8.72%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="42%" valign="bottom" style="padding:0in 0in 0in 0in;width:42.38%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">International Bancshares Corporation</font></font></p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">International Bancshares Corporation</font></font></p>
  </td>
 </tr>
 <tr>
  <td width="8%" valign="top" style="padding:0in 0in 0in 0in;width:8.72%;">
  <p style="font-size:1.0pt;margin:0in 0in .0001pt;">&nbsp;</p>
  </td>
  <td width="42%" valign="bottom" style="padding:0in 0in 0in 0in;width:42.38%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(956) 726-6636 (Laredo)</font></font></p>
  </td>
  <td width="48%" valign="top" style="padding:0in 0in 0in 0in;width:48.9%;">
  <p style="margin:0in 0in .0001pt;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(956) 722-7611 (Laredo)</font></font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<h2 style="font-weight:normal;margin:0in 0in .0001pt;text-autospace:none;"><font style="letter-spacing:0pt;text-decoration:none;text-shadow:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">FOR IMMEDIATE RELEASE</font></b></font></h2>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<h1 align="center" style="font-weight:normal;margin:0in 0in .0001pt;text-align:center;text-autospace:none;"><b><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">IBC
Announces Earnings</font></u></b></h1>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">LAREDO, Texas&#151;(BUSINESS WIRE)&#151;August&nbsp;5,
2004&#151;International Bancshares Corporation (&#147;IBC&#148;) (Nasdaq:IBOC - News) today
reported net income for the second quarter of 2004 of <b><font style="font-weight:bold;">$26.2</font></b> million or <b><font style="font-weight:bold;">$.54</font></b> per share - basic (<b><font style="font-weight:bold;">$.54
</font></b>per share - diluted) compared to <b><font style="font-weight:bold;">$28.5</font></b>
million or <b><font style="font-weight:bold;">$.59</font></b> per share - basic
(<b><font style="font-weight:bold;">$.58 </font></b>per share - diluted), which
represents a <b><font style="font-weight:bold;">6.9%</font></b> decrease in diluted earnings per share and an <b><font style="font-weight:bold;">8.1%</font></b> decrease in net income
over the corresponding period in 2003.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Net income for the first six
months of 2004 was <b><font style="font-weight:bold;">$52.7</font></b> million,
or <b><font style="font-weight:bold;">$1.08</font></b> per share &#150; basic (<b><font style="font-weight:bold;">$1.07</font></b> per share diluted) compared to <b><font style="font-weight:bold;">$59.8</font></b> million, or <b><font style="font-weight:bold;">$1.23</font></b> per share &#150; basic (<b><font style="font-weight:bold;">$1.21</font></b> per share diluted), which represents
a <b><font style="font-weight:bold;">11.6%</font></b> decrease in diluted
earnings per share and an <b><font style="font-weight:bold;">11.9%</font></b>
decrease in net income from the corresponding period in 2003.&#160; All per share data has been adjusted to
reflect stock dividends.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Net income for the second
quarter was negatively impacted by the Company&#146;s strategic management of
earning assets in anticipation of the acquisition of Local Financial
Corporation (&#147;LFIN&#148;), which was completed on June&nbsp;18, 2004, and the
current low interest rate environment.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;I&#146;m very pleased with the
Company&#146;s second quarter earnings in view of the repositioning of the Company
that has occurred to accommodate the LFIN acquisition,&#148; said Dennis E. Nixon,
Chairman and CEO of International Bancshares Corporation. &#147;The Company has
continued to show strong earnings for the first six months of 2004 clearly
reflecting the Company&#146;s commitment to solid earnings.&#160; I am also pleased with the completion of the
acquisition of LFIN and believe it will immediately benefit the operations of
the combined companies in the second six months of 2004, resulting in improved
shareholder value.&#148;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Total assets at
June&nbsp;30, 2004 were <b><font style="font-weight:bold;">$9.3</font></b>
billion compared to <b><font style="font-weight:bold;">$6.6</font></b> billion
at December&nbsp;31, 2003. Total net loans were <b><font style="font-weight:bold;">$5.0</font></b> billion at June&nbsp;30, 2004 and <b><font style="font-weight:bold;">$2.7</font></b> billion at
December&nbsp;31, 2003. Deposits at June&nbsp;30, 2004, were <b><font style="font-weight:bold;">$6.5</font></b> billion compared to <b><font style="font-weight:bold;">$4.4</font></b> billion at December&nbsp;31, 2003.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">IBC is a $9.3 billion
multi-bank financial holding company headquartered in Laredo, Texas, with over
160 facilities and over 250 ATMs serving more than 70 communities in Texas and
Oklahoma.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Safe Harbor&#148; statement
under the Private Securities Litigation Reform Act of 1995: The statements
contained in this release which are not historical facts contain
forward-looking information with respect to plans, projections or future
performance of IBC and its subsidiaries, the occurrence of which involve
certain risks and uncertainties detailed in IBC&#146;s filings with the Securities
and Exchange Commission.</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Copies of IBC&#146;s SEC filings and Annual Report (as an exhibit to the
10-K) may be downloaded from the SEC filings site located at
http://www.sec.gov/edgar.shtml.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>


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