EX-99.1

Exhibit 99.1

Investor Contact: Valda Colbart, 419-784-2759, rfcinv@rurban.net

RURBAN FINANCIAL CORP. REPORTS SECOND QUARTER 2006 EARNINGS

DEFIANCE, Ohio, July 19 — Rurban Financial Corp. (Nasdaq: RBNF), a leading provider of full-service community banking, investment management, trust services and bank data processing, today reported second quarter 2006 earnings. Highlights of the quarter include:

•		Net income of $714,000 or $0.14 per diluted share, compared with a loss of $114,000 or $0.02 per diluted share for the second quarter of 2005.

•		The inclusion of operating results from Exchange Bank as of January 1, 2006.

•		Continuing improvement in asset quality. At quarter end, consolidated non-performing assets, including those of RFCBC (our loan workout subsidiary) and Exchange Bank, were $5.9 million or 1.07 percent of total assets, compared with $16.1 million or 3.57 percent of total assets for the prior-year second quarter.

•		Since January 1, 2006, Rurban’s Banking Group (State Bank, Exchange Bank, RFCBC and Reliance) reported organic loan growth of $32.8 million, or 10.03 percent (20.06 percent annualized), of which $22.1 million was booked in the second quarter. Core deposit growth since year-end 2005 was $16.1 million or 4.19 percent (8.38 percent annualized).

•		The Banking Group’s improving asset quality, loan growth, acquisitions and portfolio mix had a positive impact on net interest margin, which was 3.25 percent for the second quarter, up fifteen basis points from the prior-year second quarter.

•		The Banking Group’s efficiency ratio improved to 82.21 percent compared to 86.36 percent for the linked quarter. Exchange Bank is becoming more integrated and creating greater economies of scale. Revenue for the Banking Group increased 3.10 percent quarter-over-quarter (12.40 percent annualized). The efficiency ratio for State Bank and Trust improved 325 basis points, from 78.28 percent for the first quarter to 75.03 percent this second quarter. This reflects continuous improvement from its high point of 89.91 percent in the second quarter of 2005, when the two Lima branches were acquired.

•		RDSI, our data processing subsidiary, reported a strong quarter with revenues from data service fees of $3.7 million, up 8.61 percent from the second quarter last year. Expansion initiatives begun last year continue to impact expense levels. RDSI’s net income for the quarter was $451,000, up 26.33 percent from the second quarter last year. RDSI’s revenue is relatively flat when compared to the linked quarter as End of Year processing and a $100,000 adjustment was recorded during the first quarter.

Kenneth A. Joyce, President and Chief Executive Officer, commented, “We continue to make progress as a result of the initiatives we began in 2005. Rurban had solid core earnings and the expense of the expansion initiatives should moderate through 2006, improving earnings. We believe we are now positioned to achieve greater growth and profitability as we take Rurban into new markets and products.”


Earnings: (Three months ended)	June 2006		Dec. 2005			June 2005
	(Dollars in thousands except per share data)
Diluted EPS	$	0.14	$	(0.08	)	$	(0.02	)
Net interest income		3,830		3,147			2,927
Provision (credit) for loan losses		56		613			352
Non-interest income		5,268		4,477			4,640
Non-interest expense		8,080		7,632			7,466
Net income (loss)		714		(344	)		(114	)

CONSOLIDATED RESULTS

Total revenue, consisting of net interest income plus non-interest income, was $9.1 million for the second quarter of 2006, compared with $7.6 million for the prior-year quarter, an increase of $1.5 million or 20.23 percent. Of this total, $1.2 million was derived from Exchange Bank. Net interest income was $3.8 million this quarter, up $903,000 or 30.85 percent from the 2005 second quarter. Average earning assets increased $108.0 million or 28.46 percent over the 12-month period, while the net interest margin improved fifteen basis points over the same period. The major factor contributing to earning assets growth was the December 31, 2005 acquisition of Exchange Bank, with total assets of $85.0 million. The margin improvement is partially attributable to the $10.2 million decline in non-performing assets and a lower cost of funds from deposits acquired in the Exchange Bank acquisition, as well as approximately $60.4 million in deposits from the two branches purchased in the Lima market.

Non-interest income was $5.3 million for the second quarter of 2006 compared with $4.6 million for the prior-year quarter, an increase of $628,000 or 13.53 percent. RDSI, accounted for approximately 30.65 percent of the growth, and the remainder was derived from customer service fees (up $96,000 or 21.60 percent) and mortgage banking activities (up $62,000). Mr. Joyce noted, “The 2005 contracting of ten new client banks for data processing services and eleven new client banks for its item processing business line, has made an important contribution to RDSI’s progress. Data services fees for the second quarter increased $193,000 or 6.22 percent from one year-ago levels and currently only about two-thirds of the client banks signed in 2005 are converted to RDSI’s systems.”

Non-interest expense was $8.1 million compared with $7.5 million for the 2005 second quarter, up 8.22 percent. This $614,000 increase was primarily due to the addition of Exchange Bank’s $1.2 million of operating expenses, partially offset by a $550,000 reduction in State Bank’s operating expenses since the acquisition of the Lima branches in the second quarter of 2005. Professional fees associated with loan workouts also decreased $186,000 or 26.13 percent from the year-ago quarter.

Mr. Joyce continued, “Since year-end 2005, when we sold an $8.4 million portfolio of problem loans and took additional reserves against the remaining problem loans to minimize any future impact on profitability, our loan portfolio has been remarkably trouble-free. Non-performing loans declined further by $552,000 this past quarter, to $5.5 million. We also disposed of $2.4 million of foreclosed real estate property. As of June 30, 2006, Rurban had a total of $5.9 million or 1.07 percent of total assets, of non-performing assets, and we are working hard to further reduce this level. With every quarter, Rurban is coming closer to the median level of problem assets for a bank its size – approximately 50 basis points for Ohio banks.”


Asset Quality	June 2006			Dec. 2005			June 2005
	(Dollars in thousands)
Net charge-offs / (Recoveries)	$	(33	)	$	1,638		$	(58	)
Net charge offs (Ann.) / Avg. loans		(0.04	%)		2.40	%		(0.09	%)
Allowance for loan loss		4,438			4,700			5,210
Allowance for loan loss / Loans		1.23	%		1.44	%		1.92	%
Non-performing assets		5,909			8,878			16,092
NPA / Total assets		1.07	%		1.67	%		3.57	%

Non-performing assets (non-performing loans, OREO & OAO) were $5.9 million or 1.07% percent of total assets at June 30, 2006, a decline of $10.2 million from twelve months ago, including $1.5 million of non-performing assets acquired with Exchange Bank, which were not in the previous year second quarter numbers. A low level of net recoveries occurred in both the 2005 and 2006 second quarters. The loan loss reserve now stands at 1.23 percent of period-end loans.

Balance sheet growth over the past twelve months has been achieved through a combination of acquisitions and organic growth. Year over year, assets increased $100.8 million or 22.40 percent. Since December 31, 2005, asset growth has been exclusively organic; assets increased $21.3 million or 8.04 percent annualized. Loans increased by $22.1 million during the second quarter, equivalent to 26.20 percent annualized. Mr. Joyce continued, “This growth was primarily derived from our State Bank and Trust Company markets, which includes our new branch locations in the Lima market. Loan growth was modest in the Toledo market. Deposits grew $2.4 million or 2.44 percent annualized during the second quarter.”

Rurban continues to be very well capitalized. Stockholders’ equity at June 30, 2006 was $54.0 million, equivalent to 9.8 percent of total assets; on a tangible basis, the ratio was 7.5 percent. The total risk-based capital ratio was 17.8 percent, well in excess of the “well-capitalized” regulatory threshold of 10 percent. At quarter-end, Rurban had 5,027,433 of its 10,000,000 authorized shares outstanding. Mr. Joyce concluded, “We look forward to building a company that will be a leader in each of its businesses and communities. We are increasingly confident that we are well-positioned for growth and greater profitability.”

BANKING GROUP RESULTS

Mr. Joyce commented, “All of our bank-related businesses are growing and becoming more profitable. We are particularly pleased with the progress being made at The State Bank and Trust Company under the leadership of Mark Klein.” On a consolidated basis, second quarter net income for the Banking Group was $779,000 compared with $23,000 for the year-ago quarter. Revenue for the Banking Group increased 24.47 percent to $6.3 million, and operating expenses increased 9.83 percent to $5.2 million. “Exchange Bank, led by Rurban veteran Hank Thiemann turned slightly profitable in the second quarter, we are pleased with the progress being made by Exchange in these markets. We also crossed over to profitability with our branch acquisitions in the Lima market during the quarter. Our experienced banking team led by David Anderson continues to make good progress in this market,” commented Mr. Joyce.

RELIANCE FINANCIAL SERVICES, N.A. (RFS) RESULTS

Rurban’s trust company is slowly building profitability with its new CEO, Craig Kuhlman, in place and transition expenses completed. Revenue increased 1.96 percent in the second quarter compared to the prior-year quarter, while expenses declined nearly 9.93 percent. Net income for

the quarter was $186,000, up $51,000 or 37.78 percent. RFS is included in the Banking Group results.

RDSI RESULTS

On May 22, 2006 RDSI reached an agreement to acquire Diverse Computer Marketers (DCM), based in Lansing, MI, with the transaction scheduled to close sometime later this year. DCM, similarly to RDSI, provides check-processing services to 48 financial institutions in several Midwest states, primarily Michigan and Indiana, and has annual revenues of approximately $4 million. RDSI’s annual revenues total approximately $15 million annually.

RDSI’s net income for the quarter was $451,000, up 26.33 percent from the year-ago quarter. We expect the new bank contracts we signed in 2005 to have a positive impact on revenue growth in the third and fourth quarters of this year.

About Rurban Financial Corp.

Rurban Financial Corp. is a publicly-held financial services holding company based in Defiance, Ohio. Rurban’s wholly-owned subsidiaries are The State Bank and Trust Company, The Exchange Bank, Reliance Financial Services, N.A., Rurbanc Data Services, Inc. (RDSI) and RFCBC, Inc. The two community banks, State Bank and Exchange Bank, offer a full range of financial services through 19 offices in Allen, Defiance, Fulton, Lucas, Paulding and Wood Counties, Ohio and Allen County, Indiana. Reliance Financial Services offers a diversified array of trust and financial services to customers throughout the Midwest. RDSI provides data processing services to community banks in Arkansas, Illinois, Indiana, Ohio, Michigan and Missouri. Rurban’s common stock is quoted on the Nasdaq Global Market under the symbol RBNF. The Company currently has 10,000,000 shares of stock authorized and 5,027,433 shares outstanding. The Company’s website is http://www.rurbanfinancial.net.

Forward-Looking Statements

Certain statements within this document, which are not statements of historical fact, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve risks and uncertainties and actual results may differ materially from those predicted by the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties inherent in the national and regional banking, insurance and mortgage industries, competitive factors specific to markets in which Rurban and its subsidiaries operate, future interest rate levels, legislative and regulatory actions, capital market conditions, general economic conditions, geopolitical events, the loss of key personnel and other factors.

Forward-looking statements speak only as of the date on which they are made, and Rurban undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made. All subsequent written and oral forward-looking statements attributable to Rurban or any person acting on our behalf are qualified by these cautionary statements.

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS — UNAUDITED
June 30, 2006 and December 31, 2005


	June			December
	2006			2005
ASSETS
Cash and due from banks	$	11,366,725		$	12,650,839
Federal funds sold		0			—

Cash and cash equivalents		11,366,725			12,650,839
Interest-earning deposits in other financial institutions		150,000			150,000
Available-for-sale securities		129,963,320			139,353,329
Loans held for sale		0			224,000
Loans, net of unearned income		359,853,906			327,048,229
Allowance for loan losses		(4,438,139	)		(4,699,827	)
Premises and equipment, net		13,532,028			13,346,632
Purchased software		4,685,608			3,916,913
Federal Reserve and Federal Home Loan Bank Stock		3,692,400			3,607,500
Foreclosed assets held for sale, net		25,000			2,309,900
Accrued interest receivable		3,068,283			3,010,355
Goodwill		8,805,347			8,917,373
Core deposits and other intangibles		3,508,813			3,742,333
Cash value of life insurance		10,615,978			10,443,487
Other assets		7,015,886			6,521,213


Total assets	$	551,845,155		$	530,542,276


LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits
Demand	$	48,533,636		$	52,073,751
Savings, interest checking and money market		121,840,243			124,206,115
Time		230,582,090			208,558,046

Total deposits		400,955,969			384,837,912
Notes payable		0			938,572
Advances from Federal Home Loan Bank		53,500,000			45,500,000
Fed Funds Purchased		0			4,600,000
Repurchase Agreements		17,441,076			6,080,420
Trust preferred securities		20,620,000			20,620,000
Accrued interest payable		1,704,731			1,373,044
Deferred income taxes		245,644			1,140,001
Other liabilities		3,351,609			11,001,679


Total liabilities		497,819,029			476,091,628

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Second Quarter Ended June 30, 2006 and 2005


	Second		Second		Increase/
	Quarter		Quarter		(Decrease)
	2006		2005		$
Interest income
Loans
Taxable	$	6,043,057	$	3,997,200	$	2,045,857
Tax-exempt		15,157		14,823		334
Securities
Taxable		1,333,858		984,949		348,909
Tax-exempt		136,570		52,173		84,397
Other		14,046		83,959		(69,913	)

Total interest income		7,542,688		5,133,104		2,409,584

Interest expense
Deposits		2,556,180		1,293,323		1,262,857
Other borrowings		26,148		66,929		(40,781	)
Repurchase Agreements		159,276		18,806		140,470
Federal Home Loan Bank advances		533,845		554,324		(20,479	)
Trust preferred securities		436,776		272,402		164,374

Total interest expense		3,712,225		2,205,784		1,506,441


Net interest income		3,830,463		2,927,320		903,143

Provision for loan losses		56,321		352,000		(295,679	)


	Second		Second			Increase/
	Quarter		Quarter			(Decrease)
	2006		2005			$
Net interest income after provision for loan losses		3,774,142		2,575,320			1,198,822

Non-interest income
Data service fees		3,286,586		3,094,022			192,564
Trust fees		792,227		779,047			13,180
Customer service fees		542,687		446,286			96,401
Net gain (loss) on sales of loans		71,664		9,278			62,386
Net realized gains (losses) on sales of available-for-sale securities		0		0			0
Loan servicing fees		117,785		79,297			38,488
Gain (loss) on sale of assets		78,558		56,034			22,524
Other income		378,745		175,981			202,764

Total non-interest income		5,268,252		4,639,945			628,307

Non-interest expense
Salaries and employee benefits		3,795,252		3,501,021			294,231
Net occupancy expense		425,918		294,243			131,675
Equipment expense		1,347,634		1,283,692			63,942
Data processing fees		119,368		113,499			5,869
Professional fees		524,902		710,539			(185,637	)
Marketing expense		242,498		83,254			159,244
Printing and office supplies		173,361		130,591			42,770
Telephone and communication		407,648		385,393			22,255
Postage and delivery expense		122,267		83,975			38,292
State, local and other taxes		190,436		88,825			101,611
Employee expense		260,523		265,459			(4,936	)
Other expenses		470,068		525,708			(55,640	)

Total non-interest expense		8,079,875		7,466,199			613,676


Income before income tax expense		962,519		(250,934	)		1,213,453
Income tax expense		248,996		(137,232	)		386,228


Net income	$	713,523	$	(113,702	)	$	827,225


Earnings per common share:
Basic	$	0.14	$	(0.02	)	$	0.16

Diluted	$	0.14	$	(0.02	)	$	0.16


Average diluted shares outstanding		5,028,397		4,569,316

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Second Quarter Ended June 30, 2006 and First Quarter 2006


	Second					Increase/
	Quarter		First Quarter			(Decrease)
	2006		2006			$
Interest income
Loans
Taxable	$	6,043,057	$	5,554,154		$	488,903
Tax-exempt		15,157		12,235			2,922
Securities
Taxable		1,333,858		1,312,600			21,258
Tax-exempt		136,570		131,833			4,737
Other		14,046		36,267			(22,221	)

Total interest income		7,542,688		7,047,089			495,599

Interest expense
Deposits		2,556,180		2,121,214			434,966
Other borrowings		26,148		26,299			(151	)
Repurchase Agreements		159,276		124,277			34,999
Federal Home Loan Bank advances		533,845		482,821			51,024
Trust preferred securities		436,776		428,422			8,354

Total interest expense		3,712,225		3,183,033			529,192


Net interest income		3,830,463		3,864,056			(33,593	)

Provision for loan losses		56,321		246,000			(189,679	)


Net interest income after provision for loan losses		3,774,142		3,618,056			156,086

Non-interest income
Data service fees		3,286,586		3,241,134			45,452
Trust fees		792,227		815,451			(23,224	)
Customer service fees		542,687		550,067			(7,380	)
Net gain (loss) on sales of loans		71,664		61,046			10,618
Net realized gains (losses) on sales of available-for-sale securities		0		0			0
Loan servicing fees		117,785		86,694			31,091
Gain (loss) on sale of assets		78,558		(19,126	)		97,684
Other income		378,745		273,034			105,711

Total non-interest income		5,268,252		5,008,300			259,952

Non-interest expense
Salaries and employee benefits		3,795,252		3,857,734			(62,482	)
Net occupancy expense		425,918		439,948			(14,030	)
Equipment expense		1,347,634		1,375,828			(28,194	)


	Second				Increase/
	Quarter		First Quarter		(Decrease)
	2006		2006		$
Data processing fees		119,368		136,590		(17,222	)
Professional fees		524,902		519,365		5,537
Marketing expense		242,498		126,448		116,050
Printing and office supplies		173,361		152,984		20,377
Telephone and communication		407,648		402,367		5,281
Postage and delivery expense		122,267		131,994		(9,727	)
State, local and other taxes		190,436		133,858		56,578
Employee expense		260,523		249,388		11,135
Other expenses		470,068		423,527		46,541

Total non-interest expense		8,079,875		7,950,031		129,844


Income before income tax expense		962,519		676,325		286,194
Income tax expense		248,996		153,780		95,216


Net income	$	713,523	$	522,545	$	190,978


Earnings per common share:
Basic	$	0.14	$	0.10	$	0.04

Diluted	$	0.14	$	0.10	$	0.04


Average diluted shares outstanding		5,028,397		5,028,183

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Six Months Ended June 30, 2006 and 2005


						Increase/
	Six Months		Six Months			(Decrease)
	2006		2005			$
Interest income
Loans
Taxable	$	11,597,211	$	7,911,166		$	3,686,045
Tax-exempt		27,392		30,329			(2,937	)
Securities
Taxable		2,646,459		2,039,407			607,052
Tax-exempt		268,403		94,198			174,205
Other		50,312		102,217			(51,905	)

Total interest income		14,589,777		10,177,317			4,412,460

Interest expense
Deposits		4,677,394		2,396,744			2,280,650
Other borrowings		52,447		137,204			(84,757	)
Retail Repurchase Agreements		283,553		36,453			247,100
Federal Home Loan Bank advances		1,016,666		1,140,876			(124,210	)
Trust preferred securities		865,198		541,810			323,388

Total interest expense		6,895,258		4,253,087			2,642,171


Net interest income		7,694,519		5,924,230			1,770,289

Provision for loan losses		302,321		352,000			(49,679	)


Net interest income after provision for loan losses		7,392,198		5,572,230			1,819,968

Non-interest income
Data service fees		6,527,720		6,269,965			257,755
Trust fees		1,607,678		1,583,540			24,138
Customer service fees		1,092,754		883,002			209,752
Net gain (loss) on sales of loans		132,710		17,348			115,362
Net realized gains (losses) on sales of available-for-sale securities		0		(8,750	)		8,750
Loan servicing fees		204,479		146,140			58,339
Gain (loss) on sale of assets		59,432		17,076			42,356
Other income		651,778		362,386			289,392

Total non-interest income		10,276,551		9,270,707			1,005,844

Non-interest expense
Salaries and employee benefits		7,652,985		6,732,345			920,640
Net occupancy expense		865,867		584,398			281,469


					Increase/
	Six Months		Six Months		(Decrease)
	2006		2005		$
Equipment expense		2,723,461		2,536,791		186,670
Data processing fees		255,958		204,697		51,261
Professional fees		1,044,267		1,229,070		(184,803	)
Marketing expense		368,946		163,971		204,975
Printing and office supplies		326,345		281,833		44,512
Telephone and communication		810,015		755,434		54,581
Postage and delivery expense		254,260		158,027		96,233
State, local and other taxes		324,293		233,353		90,940
Employee expense		509,912		501,530		8,382
Other expenses		893,597		824,888		68,709

Total non-interest expense		16,029,906		14,206,337		1,823,569


Income before income tax expense		1,638,843		636,600		1,002,243
Income tax expense		402,775		111,838		290,937


Net income	$	1,236,068	$	524,762	$	711,306


Earnings per common share:
Basic	$	0.25	$	0.11	$	0.14

Diluted	$	0.25	$	0.11	$	0.14


Average diluted shares outstanding		5,029,338		4,578,981

Rurban Financial Corp.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Unaudited)


	2nd Qtr			1st Qtr			4th Qtr			3rd Qtr			2nd Qtr
(dollars in thousands except per share data)	2006			2006			2005			2005			2005
EARNINGS
Net interest income	$	3,830		$	3,864			3,147			2,982			2,927
Provision for loan loss	$	56		$	246			613			(382	)		352
Non-interest income	$	5,268		$	5,008			4,477			4,600			4,640
Revenue (net interest income plus non-interest income)	$	9,098		$	8,872			7,624			7,582			7,567
Non-interest expense	$	8,080		$	7,950			7,632			7,224			7,466
Net income (loss)	$	714		$	523			(344	)		492			(114	)

PER SHARE DATA
Basic earnings per share	$	0.14		$	0.10			(0.08	)		0.11			(0.02	)
Diluted earnings per share	$	0.14		$	0.10			(0.08	)		0.11			(0.02	)
Book value per share	$	10.75		$	10.75			10.83			10.99			11.07
Tangible book value per share	$	8.28		$	8.28			8.31			9.39			9.41
Cash dividend per share	$	0.05		$	0.05			0.05			0.05			0.05

PERFORMANCE RATIOS
Return on average assets		0.52	%		0.39	%		-0.31	%		0.44	%		-0.11	%
Return on average equity		5.28	%		3.86	%		-2.63	%		3.90	%		-0.90	%
Net interest margin (tax equivalent)		3.25	%		3.37	%		3.18	%		3.10	%		3.10	%
Non-interest expense / Average assets		5.93	%		5.95	%		6.91	%		6.50	%		7.12	%
Efficiency Ratio Tax Equivalent - consolidated		88.06	%		88.87	%		99.32	%		94.54	%		98.22	%
Efficiency Ratio — bank (non-GAAP)		82.21	%		86.36	%		101.94	%		89.35	%		93.21	%
Non-interest income/Total operating revenue (net interest income plus non-interest income)		57.90	%		56.45	%		58.72	%		60.67	%		61.32	%

MARKET DATA PER SHARE
Market value per share — Period end	$	11.00		$	12.42			11.78			12.75			12.90
Market as a % of book		1.02			1.16			1.09			1.16			1.17
Cash dividend yield		1.82	%		1.61	%		1.70	%		1.57	%		1.55	%


	2nd Qtr			1st Qtr			4th Qtr			3rd Qtr			2nd Qtr
(dollars in thousands except per share data)	2006			2006			2005			2005			2005
Period-end common shares outstanding (000)		5,027			5,027			5,027			4,576			4,571
Common stock market capitalization ($000)	$	55,302		$	62,441			59,223			58,340			58,966

CAPITAL & LIQUIDITY
Equity to assets		9.8	%		10.0	%		10.3	%		11.5	%		11.2	%
Period-end tangible equity to assets		7.5	%		7.7	%		7.9	%		9.8	%		9.5	%
Tier 1 risk-based capital ratio		16.4	%		17.2	%		17.7	%		20.8	%		18.1	%
Total risk-based capital ratio		17.8	%		18.7	%		19.3	%		23.0	%		19.4	%
Average loans to average deposits		86.4	%		84.6	%		86.3	%		84.1	%		89.5	%

ASSET QUALITY
Net charge-offs / (Recoveries)	$	(33	)	$	597			1,638			14			(58	)
Net loan charge-offs (Ann.) / Average loans		(0.04	%)		0.72	%		2.40	%		0.02	%		(0.09	%)
Non-performing loans	$	5,479		$	6,031			6,270			12,507			13,453
OREO/ OAOs	$	430		$	2,802			2,608			2,518			2,639
Non-performing assets	$	5,909		$	8,833			8,878			15,025			16,092
Non-performing assets / Total assets		1.07	%		1.64	%		1.67	%		3.43	%		3.57	%
Allowance for loan losses/ Total loans		1.23	%		1.29	%		1.44	%		1.77	%		1.92	%
Allowance for loan losses/Non-performing Assets		75.1	%		49.2	%		52.9	%		32.0	%		32.4	%

END OF PERIOD BALANCES
Total loans, net of unearned income	$	359,854		$	337,729			327,048			271,409			271,827
Allowance for loan loss	$	4,438		$	4,349			4,700			4,814			5,210
Total assets	$	551,845		$	538,201			530,542			438,582			451,048
Deposits	$	400,956		$	398,526			384,838			318,492			340,405
Stockholders’ equity	$	54,026		$	54,052			54,451			50,281			50,600
Full-time equivalent employees		279			275			281			238			230

AVERAGE BALANCES
Loans	$	345,941		$	331,711			273,288			270,985			265,488
Total earning assets	$	487,637		$	474,087			409,566			396,616			379,601
Total assets	$	545,074		$	534,371			442,024			444,815			419,522
Deposits	$	400,581		$	392,323			316,570			322,225			296,714
Stockholders’ equity	$	54,039		$	54,251			52,366			50,441			50,476

Rurban Financial Corp.

Proforma Segment Reporting

Current Quarter — Second Quarter 2006


							RFCBC			RFS (Trust			Banking
	State						(Loan			and			Intersegment			Banking
	Bank and			Exchange			Workout			Investment			Elimination			Related
	Trust			Bank			Company)			Co.)			Entries			Entities
*Income Statement Measures*
Interest Income	$	6,368		$	1,254		$	7		$	16		$	(51	)	$	7,594

Interest Expense		2,941			382			0			0			(51	)		3,272

Net Interest Income		3,427			871			7			16			0			4,322

Provision For Loan Loss		114			(2	)		(55	)		0			0			56

Non-interest Income		746			343			78			818			(2	)		1,984

Non-interest Expense		3,131			1,195			307			553			(2	)		5,184

Net Income Before Taxes		928			22			(166	)		282			0			1,066

Income Taxes		241			7			(57	)		96			0			287

Net Income QTR	$	687		$	15		$	(109	)	$	186		$	0		$	779

*Performance Measures*
Average Assets — Quarter	$	446,579		$	85,449		$	5,477		$	2,583		$	(2,583	)	$	537,504

ROAA		0.62	%		0.07	%					28.82	%					0.58	%

Average Equity — Quarter	$	39,078		$	12,015		$	5,393		$	2,334		$	(2,334	)	$	56,486

ROAE		7.03	%		0.49	%					31.90	%					5.52	%

Efficiency Ratio — %		75.03	%		98.41	%					66.21	%					82.21	%

Average Loans — Quarter	$	286,314		$	60,964		$	1,677								$	348,955

Average Deposits — Quarter	$	339,520		$	71,586								$	(2,726	)	$	408,380

Rurban Financial Corp.

Proforma Segment Reporting

Current Quarter — Second Quarter 2006


				Parent			Intersegment			Rurban
				Company			Elimination			Financial
	RDSI			and Other			Entries			Corp.
*Income Statement Measures*
Interest Income	$	2		$	0		$	(54	)	$	7,543

Interest Expense		54			441			(54	)		3,712

Net Interest Income		(52	)		(441	)		0			3,830

Provision For Loan Loss		0			0			0			56

Non-interest Income		3,684			974			(1,374	)		5,268

Non-interest Expense		2,949			1,321			(1,374	)		8,080

Net Income Before Taxes		684			(788	)		0			963

Income Taxes		233			(272	)		0			249

Net Income QTR	$	451		$	(516	)	$	0		$	714

*Performance Measures*
Average Assets — Quarter	$	13,368		$	74,679		$	(80,477	)	$	545,074

ROAA		13.50	%								0.52	%

Average Equity — Quarter	$	8,437		$	53,593		$	(64,477	)	$	54,039

ROAE		21.39	%								5.28	%

Efficiency Ratio — %		81.18	%								88.05	%

Average Loans — Quarter							$	(3,014	)	$	345,941

Average Deposits — Quarter							$	(7,799	)	$	400,581

Rurban Financial Corp.

Proforma Segment Reporting

Year-To-Date — June 30, 2006


							RFCBC			RFS (Trust			Banking
							(Loan			and			Intersegment			Banking
	State Bank			Exchange			Workout			Investment			Elimination			Related
	and Trust			Bank			Company)			Co.)			Entries			Entities
*Income Statement Measures*
Interest Income	$	12,252		$	2,481		$	35		$	30		$	(121	)	$	14,677

Interest Expense		5,390			744			0			0			(121	)		6,013

Net Interest Income		6,863			1,736			35			30			0			8,664

Provision For Loan Loss		360			(2	)		(55	)		0			0			302

Non-interest Income		1,442			514			143			1,660			(3	)		3,756

Non-interest Expense		6,365			2,467			481			1,153			(3	)		10,464

Net Income Before Taxes		1,579			(215	)		(248	)		537			0			1,653

Income Taxes		390			(74	)		(84	)		182			0			414

Net Income YTD	$	1,189		$	(141	)	$	(163	)	$	354		$	0		$	1,239

*Performance Measures*
Average Assets — YTD	$	441,437		$	84,868		$	6,073		$	2,449		$	(4,768	)	$	530,059

ROAA		0.54	%		-0.33	%					28.93	%					0.47	%

Average Equity — YTD	$	39,299		$	12,068		$	6,192		$	2,251		$	(2,251	)	$	57,559

ROAE		6.05	%		-2.34	%					31.47	%					4.30	%

Efficiency Ratio — %		76.65	%		109.66	%					68.24	%					84.25	%

Average Loans — YTD	$	279,707		$	59,650		$	2,683								$	342,040

Average Deposits — YTD	$	337,447		$	69,651								$	(2,460	)	$	404,638

Rurban Financial Corp.

Proforma Segment Reporting

Year-To-Date — June 30, 2006


				Parent			Intersegment			Rurban
				Company			Elimination			Financial
	RDSI			and Other			Entries			Corp.
*Income Statement Measures*
Interest Income	$	12		$	1		$	(100	)	$	14,590

Interest Expense		109			873			(100	)		6,895

Net Interest Income		(98	)		(872	)		0			7,695

Provision For Loan Loss		0			0						302

Non-interest Income		7,368			2,195			(3,042	)		10,277

Non-interest Expense		5,756			2,852			(3,042	)		16,030

Net Income Before Taxes		1,514			(1,529	)		0			1,639

Income Taxes		515			(526	)		0			403

Net Income YTD	$	999		$	(1,002	)	$	0		$	1,236

*Performance Measures*
Average Assets — YTD	$	12,731		$	77,017		$	(77,052	)	$	542,755

ROAA		15.70	%								0.46	%

Average Equity — YTD	$	7,163		$	53,782		$	(64,257	)	$	54,247

ROAE		27.90	%								4.56	%

Efficiency Ratio — %		79.17	%								88.45	%

Average Loans — YTD							$	(3,014	)	$	339,026

Average Deposits — YTD							$	(7,861	)	$	396,777

Rurban Financial Corp.

Proforma Performance Measurement

Quarterly Comparison — Second Quarter 2006


							RFCBC			RFS			Banking
							(Loan			(Trust and			Intersegment			Banking
	State Bank			Exchange			Workout			Investment			Elimination			Related
	and Trust			Bank			Company)			Co.)			Entries			Entities
*Average Assets*
2Q06	$	446,579		$	85,449		$	5,477		$	2,583		$	(2,583	)	$	537,504
1Q06	$	436,239		$	83,209		$	6,675		$	2,138		$	(4,160	)	$	524,101
4Q05	$	424,432			N/A		$	13,896		$	2,469		$	(3,897	)	$	436,900
3Q05	$	421,009			N/A		$	15,375		$	2,504		$	(4,578	)	$	434,310
2Q05	$	397,940			N/A		$	16,010		$	2,494		$	(4,728	)	$	411,716
Linked Quarter Change	$	10,340		$	2,240		$	(1,198	)	$	445					$	13,403
*Revenue*
2Q06	$	4,173		$	1,214		$	85		$	834		$	(2	)	$	6,303
1Q06	$	4,131		$	1,036		$	93		$	856		$	(2	)	$	6,114
4Q05	$	4,389			N/A		$	(256	)	$	823		$	(2	)	$	4,954
3Q05	$	4,291			N/A		$	40		$	807		$	(2	)	$	5,136
2Q05	$	4,094			N/A		$	154		$	818		$	(2	)	$	5,064
Linked Quarter Change	$	42		$	178		$	(8	)	$	(22	)				$	190
*Non-interest Expenses*
2Q06	$	3,131		$	1,195		$	307		$	553		$	(2	)	$	5,184
1Q06	$	3,234		$	1,273		$	174		$	601		$	(2	)	$	5,280
4Q05	$	3,564			N/A		$	882		$	606		$	(2	)	$	5,050
3Q05	$	3,674			N/A		$	377		$	540		$	(2	)	$	4,589
2Q05	$	3,681			N/A		$	427		$	614		$	(2	)	$	4,720
Linked Quarter Change	$	(103	)	$	(78	)	$	133		$	(49	)				$	(97	)
*Net Income*
2Q06	$	687		$	15		$	(109	)	$	186					$	779
1Q06	$	502		$	(156	)	$	(54	)	$	168					$	460
4Q05	$	479			N/A		$	(1,058	)	$	143					$	(436	)
3Q05	$	357			N/A		$	97		$	176					$	630
2Q05	$	(9	)		N/A		$	(103	)	$	135					$	23
Linked Quarter Change	$	185		$	171		$	(55	)	$	18					$	319
*Efficiency Ratio*
2Q06		75.03	%		98.41	%					66.21	%					82.21	%
1Q06		78.28	%		122.84	%					70.23	%					86.36	%
4Q05		81.20	%		N/A						73.63	%					101.94	%
3Q05		85.62	%		N/A						66.91	%					89.35	%
2Q05		89.91	%		N/A						75.06	%					93.21	%
Linked Quarter Change		-3.26	%		N/A						3.41	%					15.57	%


							RFCBC			RFS			Banking
							(Loan			(Trust and			Intersegment			Banking
	State Bank			Exchange			Workout			Investment			Elimination			Related
	and Trust			Bank			Company)			Co.)			Entries			Entities
*NPA/Total Assets*
2Q06		0.70	%		1.66	%											1.07	%
1Q06		0.70	%		1.77	%											1.64	%
4Q05		0.64	%		2.03	%											1.67	%
3Q05		0.65	%		N/A												3.43	%
2Q05		0.75	%		N/A												3.57	%
Linked Quarter Change		0.01	%		-0.11	%											-0.57	%
*ROAA*
2Q06		0.62	%		0.07	%					28.81	%					0.58	%
1Q06		0.46	%		-0.75	%					31.45	%					0.35	%
4Q05		0.45	%		N/A						25.84	%					-0.40	%
3Q05		0.34	%		N/A						26.81	%					0.58	%
2Q05		-0.01	%		N/A						26.22	%					0.02	%
Linked Quarter Change		0.16	%		0.82	%					-2.64	%					0.23	%
*ROAE*
2Q06		7.03	%		0.50	%					31.88	%					5.52	%
1Q06		5.08	%		-5.09	%					32.42	%					3.16	%
4Q05		4.94	%		N/A						33.18	%					-2.88	%
3Q05		3.68	%		N/A						37.59	%					4.76	%
2Q05		-0.09	%		N/A						25.28	%					0.18	%
Linked Quarter Change		1.95	%		5.59	%					-0.54	%					2.36	%
Average Equity
2Q06	$	39,078		$	12,015		$	5,393		$	2,334		$	(2,334	)	$	56,486
1Q06	$	39,522		$	12,228		$	7,001		$	2,074		$	(2,074	)	$	58,751
4Q05	$	38,784		$	8,109		$	13,731		$	1,724		$	(1,724	)	$	60,625
3Q05	$	38,768			N/A		$	14,161		$	1,873		$	(1,873	)	$	52,929
2Q05	$	38,671			N/A		$	14,372		$	2,136		$	(2,136	)	$	53,042
Linked Quarter Change	$	(444	)	$	(213	)	$	(1,608	)	$	260					$	(2,265	)

Rurban Financial Corp.

Proforma Performance Measurement

Quarterly Comparison — Second Quarter 2006


				Parent			Intersegment			Rurban
				Company			Elimination			Financial
	RDSI			and Other			Entries			Corp.

*Average Assets*
2Q06	$	13,368		$	74,679		$	(80,477	)	$	545,074
1Q06	$	11,579		$	78,706		$	(80,015	)	$	534,371
4Q05	$	9,783		$	71,938		$	(76,597	)	$	442,024
3Q05	$	10,128		$	64,332		$	(63,955	)	$	444,815
2Q05	$	10,592		$	61,723		$	(64,509	)	$	419,522
Linked Quarter Change	$	1,789		$	(4,027	)				$	10,703
*Revenue*
2Q06	$	3,632		$	537		$	(1,374	)	$	9,098
1Q06	$	3,637		$	789		$	(1,668	)	$	8,872
4Q05	$	3,686		$	(163	)	$	(854	)	$	7,624
3Q05	$	3,356		$	(43	)	$	(868	)	$	7,582
2Q05	$	3,344		$	3		$	(844	)	$	7,567
Linked Quarter Change	$	(5	)	$	(252	)				$	227
*Non-interest Expenses*
2Q06	$	2,949		$	1,321		$	(1,374	)	$	8,080
1Q06	$	2,807		$	1,531		$	(1,668	)	$	7,950
4Q05	$	2,812		$	575		$	(805	)	$	7,632
3Q05	$	2,850		$	609		$	(824	)	$	7,224
2Q05	$	2,796		$	753		$	(803	)	$	7,466
Linked Quarter Change	$	142		$	(210	)				$	130
*Net Income*
2Q06	$	451		$	(516	)				$	714
1Q06	$	548		$	(485	)				$	523
4Q05	$	577		$	(484	)				$	(344	)
3Q05	$	291		$	(428	)				$	492
2Q05	$	357		$	(494	)				$	(114	)
Linked Quarter Change	$	(97	)	$	(31	)				$	191
*Efficiency Ratio*
2Q06		81.18	%								88.05	%
1Q06		77.17	%								88.87	%
4Q05		76.29	%								99.32	%
3Q05		84.92	%								94.54	%
2Q05		83.61	%								98.22	%
Linked Quarter Change		-0.88	%								10.45	%


				Parent			Intersegment			Rurban
				Company			Elimination			Financial
	RDSI			and Other			Entries			Corp.
*NPA/Total Assets*
2Q06											1.07	%
1Q06											1.64	%
4Q05											1.67	%
3Q05											3.43	%
2Q05											3.57	%
Linked Quarter Change											-0.57	%
*ROAA*
2Q06		13.50	%								0.52	%
1Q06		18.93	%								0.39	%
4Q05		23.59	%								-0.31	%
3Q05		11.49	%								0.44	%
2Q05		13.48	%								-0.11	%
Linked Quarter Change		-5.43	%								0.13	%
*ROAE*
2Q06		21.39	%								5.28	%
1Q06		31.59	%								3.86	%
4Q05		40.75	%								-2.63	%
3Q05		21.61	%								3.90	%
2Q05		25.69	%								-0.90	%
Linked Quarter Change		-10.20	%								1.43	%
Average Equity
2Q06	$	8,437		$	53,593		$	(64,477	)	$	54,039
1Q06	$	6,938		$	54,251		$	(65,689	)	$	54,251
4Q05	$	5,664		$	52,366		$	(66,288	)	$	52,366
3Q05	$	5,386		$	50,441		$	(58,315	)	$	50,441
2Q05	$	5,558		$	50,476		$	(58,600	)	$	50,476
Linked Quarter Change	$	1,499		$	(658	)				$	(212	)


	June			December
	2006			2005
Shareholders’ Equity
Common stock: stated value $2.50 per share; shares authorized: 10,000,000; shares issued: 5,027,433; shares outstanding: 2006 - 5,027,433, December 31, 2005 - 5,027,433		12,568,583			12,568,583
Additional paid-in capital		14,846,990			14,835,110
Retained earnings		29,436,142			28,702,817
Accumulated other comprehensive income (loss), net of tax of ($1,455,606) in 2006 and ($962,507) in 2005		(2,825,589	)		(1,655,862	)


Total shareholders’ equity		54,026,126			54,450,648


Total liabilities and shareholders’ equity	$	551,845,155		$	530,542,276