EX-99.1

Exhibit 99.1

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

RURBAN FINANCIAL CORP. REPORTS FISCAL YEAR 2006 EPS OF $0.55 and
FOURTH QUARTER EPS OF $0.14

DEFIANCE, Ohio, January 24, 2007 — Rurban Financial Corp. (NASDAQ: RBNF), a leading provider of full-service community banking, investment management, trust services and bank data processing, today reported fiscal year and fourth quarter 2006 earnings.

Highlights of the year and fourth quarter 2006 include:

	•		Net income of $2.8 million, up $2.1 million or 310%, compared with net income of $673,000 reported for the fiscal year 2005. Diluted earnings per share were $0.55 for the current year, up 267% from $0.15 reported for the prior fiscal year; average diluted shares outstanding increased 9.7% year-over-year due to the acquisition of The Exchange Bank on December 31, 2005.

	•		Earnings for the fourth quarter of 2006 were $710,000, or $0.14 per share, compared with a loss of $344,000, or $0.08 per share, for the fourth quarter of 2005.

	•		During the fourth quarter of 2006, Rurban increased its quarterly dividend by 20%, to $0.06 per share.

	•		Fourth quarter 2006 results include actions that resulted in after-tax charges/income of $474,000 for balance sheet restructuring, merger-related expenses of $187,000, recovery of WorldCom bond losses totaling $587,000, and a gain associated with the sale of the credit card portfolio of $488,000.

	•		The fourth quarter sale of State Bank’s credit card portfolio includes the release of $140,000 in reserves associated with that portfolio. Since the sale is with partial recourse to Rurban, the company is applying that reserve to a separate liability account to cover future losses, if any. The fourth quarter loan loss provision reflects the adjustment.

	•		Consolidated non-performing assets at 2006 year-end were $3.9 million, or .70% of total assets, compared with $8.9 million or 1.67% of total assets for year-end 2005. Fourth quarter 2006 results include a sale of $1.4 million of non-performing assets.

	•		Rurban received regulatory approval to open a full-service banking center in Fort Wayne, Indiana, where it previously had a loan production office. This full service branch opened on January 2, 2007.

	•		Rurban announced the planned merger of Reliance Financial Services, N.A., Rurban’s trust and investment subsidiary, and The Exchange Bank, its recently acquired community bank, into its lead bank, The State Bank and Trust Company, subject to regulatory approval. An after-tax charge of $187,000 for this merger was recorded during the fourth quarter as stated earlier.

	•		Rurban’s Banking Group, consisting of The State Bank and Trust Company and The Exchange Bank, reported loan growth of $43.1 million or 13.2% in 2006, all of which was organic. Deposit growth increased $29.7 million or 7.7% in 2006.

	•		The efficiency ratio of the Banking Group continues to improve from 101.8% a year-ago to 88.2% for the FY 2006.

	•		RDSI, the data processing subsidiary, reported a strong year with revenue of $15.0 million, up 18% from last year. Net income for the year was $2.1 million, which compares to $1.7 million for 2005, a 21% increase. These results reflect strong organic growth, as well as the September 3, 2006 acquisition of the Lansing, Michigan-based Diverse Computer Marketers (DCM), which now operates as a subsidiary of RDSI.

Kenneth A. Joyce, President and Chief Executive Officer of Rurban Financial Corp. commented, “2006 was a successful year for Rurban on numerous fronts, as we continued on our path of improving profitability. We are pleased to report that Rurban achieved its fourth consecutive quarter of core earnings and revenue growth, consisting of net interest income plus non-interest income. Non-performing assets reached a five-year low of 70 basis points as a percent of total assets marking Rurban’s return to banking normalcy. It also represents a new beginning for Rurban, where we can focus our energies on growth, efficiency and profitability. In the fourth quarter, we announced additional steps to complete our restructuring. We will move forward in 2007 to bring these initiatives to closure, streamlining Rurban into a holding company with a single-chartered community bank and a dynamic data processing company.”

CONSOLIDATED RESULTS

Earnings:


	Year Ended
	December 31
(Dollars in thousands except per share data)	2006		2005
Net interest income	$	15,034	$	12,054
Non-interest income		23,755		18,338
Total revenue		38,789		30,392
Provision for loan losses		178		583
Non-interest expense		34,904		29,054
Net income		2,760		673
Diluted EPS	$	0.55	$	0.15

Total revenue, consisting of net interest income plus non-interest income, was $38.8 million for the fiscal year 2006, up $8.4 million, or 27.6%, compared with $30.4 million for the fiscal year 2005.

Net interest income was $15.0 million for 2006, an increase of 24.7% above the prior year, which resulted from a 26.2% growth in average earning assets combined with a one basis point decline in the annual net interest margin, to 3.13%.

Non-interest income was $23.8 million for FY 2006, accounting for 61.2% of total 2006 revenue compared with 60.3% for the year earlier period. Excluding the one-time impact of a $495,000 charge taken to restructure the bond portfolio, an $889,000 recovery of WorldCom bond losses and a gain associated with the sale of the credit card portfolio of $740,000, 2006 non-interest income was $22.6 million, up $4.2 million or 23.3% above the $18.3 million reported for the prior year. Over 63% of 2006 fee income was derived from RDSI, the data processing subsidiary, with smaller growth contributions from the Banking Group and Reliance.

Non-interest expense increased $5.8 million, or 20.0%, primarily from the additional expenses of $4.9 million and $1.2 million, respectively, contributed by Exchange Bank and DCM, both of which merged with Rurban in 2006. Excluding one-time 2006 charges including $215,000 associated with the prepayment of approximately $9.0 million of higher-cost FHLB advances and merger-related charges of approximately $283,000, including a fourth quarter charge to merge the two community banks, 2006 recurring non-interest expense was $34.4 million, up 18.4% from the $29.1 million reported for 2005.

Salaries and benefits accounted for $3.1 million, or 52.4%, of the $5.8 million year-over-year increase in non-interest expenses with the addition of 36 FTE employees, bringing the total to 317. Improvements in State Bank’s operating expenses since the acquisition of the Lima branches in the second quarter of 2005 partially offset higher spending levels in other categories.

Earnings:


	Fourth Quarter Ended
	December 31
(Dollars in thousands except per share data)	2006			2005
Net interest income	$	3,584		$	3,147
Non-interest income		7,576			4,477
Revenue		11,160			7,624
Provision (credit) for loan losses		(159	)		613
Non-interest expense		10,359			7,632
Net income (loss)		710			(344	)
Diluted EPS	$	0.14		$	(.08	)

Total revenue for the fourth quarter of 2006 was $11.2 million compared with $7.6 million for the fourth quarter of 2005, an increase of $3.5 million or 46.4%.

Net interest income grew 13.9% from a combination of 22.7% growth of earning assets and was offset by a 26 basis point decline in the net interest margin.

Non-interest income was $7.6 million, accounting for 67.9% of fourth quarter 2006 revenue compared with 58.7% for the year earlier period. Excluding the one-time loss of $495,000 on securities sales, a recovery of WorldCom bond losses of $889,000 and the gain associated with the credit card sale of $740,000, recurring non-interest income was $6.4 million, up 43.9% from the $4.5 million reported in the fourth quarter 2005. Approximately 62% of this quarter’s fee income was derived from RDSI, the data processing subsidiary, with smaller growth contributions from the Banking Group and Reliance.

Non-interest expense for year-over-year, fourth quarter increased $2.7 million, or 35.7%. These increases were primarily from the additional expenses of Exchange Bank and DCM, as well as one-time merger-related charges of $283,000 and $215,000 for the prepayment penalties of high-cost FHLB advances. These expenses were partially offset by growing efficiencies at State Bank and a decrease of $334,000 in professional fees, primarily due to reductions in legal costs associated with loan workouts. The company also expensed $180,000 in additional health care costs in the fourth quarter compared to the previous quarter. Excluding one-time items, recurring non-interest expense increased 29.6% primarily due to the aforementioned acquisitions.

BANKING GROUP RESULTS
Mr. Joyce commented, “We recognize the need for efficiencies within our banking group. We are targeting approximately $1.0 to $1.5 million in annual pretax savings as we eliminate charters in the first quarter of 2007, consolidating The Exchange Bank and Reliance Financial Services into The State Bank and Trust Company, under the leadership of Mark A. Klein, its current President and CEO. As a result of this consolidation, our customers will have the ability to do their banking easily in Northwest Ohio, Fort Wayne, Indiana and the Greater Toledo metropolitan area.”

The Banking Group reported net income of $1.9 million in FY 2006 compared with $132,621 reported for the prior fiscal year. State Bank performed profitably for the year, generating an ROA of 52 basis points. Both Exchange Bank and RFCBC, the workout company, recorded losses. During 2006, the net interest margin benefited from a $5.0 million decline in non-performing assets in addition to lower-cost deposits acquired in the Exchange Bank acquisition, and approximately $60.4 million in deposits from the two branches purchased in the Lima market in June of 2005. However, competitive pressures on loans and deposits, in addition to the flat/inverted yield curve, offset these positive factors.

Increases in net interest income from 2006 compared to 2005 was derived from a $102.0 million, or 26.2%, increase in average earning assets and offset by a one basis point decline in the net interest margin to 3.13%. Approximately $73.8 million of the earning asset increase was derived from the Exchange Bank acquisition, which closed on December 31, 2005. The remaining $28.2 million is the result of organic loan growth at State Bank.

Balance sheet growth over the past twelve months has been achieved exclusively through organic growth, since the assets of The Exchange Bank were consolidated as of December 31, 2005. Despite a fourth quarter reduction in assets of $12.5 million due to the restructuring of the bank’s investment portfolio, total assets increased $25.5 million, or 4.8%, to $556.0 million.

Total deposits increased $29.7 million, or 7.7%, during 2006 as the Banking Group introduced new products and increased sales efforts to generate core deposits. Mr. Joyce commented, “Just like virtually every other community bank in the country these days, we continue to look at ways to increase our core funding. We named a chief deposit officer for our bank with the goal to generate lower cost deposits. In this current banking environment, our success depends on our ability to grow core deposits.”

During the fourth quarter, Rurban restructured its balance sheet to improve its net interest margin going forward by selling $17.5 million of investment securities, or approximately 13% of its investment portfolio, with an average yield of 3.89%. Approximately $12 million of the proceeds were used to repay higher-cost, non-core funding, namely, long-term advances from the Federal Home Loan Bank and other borrowings that had a cost in excess of 5.25%. The remaining proceeds of approximately $5.5 million will be used to fund the bank’s growing commercial loan portfolio.

Mr. Joyce noted, “These restructuring actions should create a stronger, more efficient balance sheet that will generate higher future returns for our shareholders. Although the immediate result reduced assets by $12 million, we plan to reinvest a portion of these proceeds in commercial loans to benefit customers in our markets.”

Asset Quality: “With the fourth quarter sale of $1.4 million of non-performing assets,” Mr. Joyce added, “non-performing assets are now well below our 1% goal, and returning to levels more in keeping with State Bank’s historic level of performance. Our efforts over the past several years to reduce non-performing assets had consumed our business focus, but it also taught us an important lesson in the value of disciplined underwriting and sound controls. Our loan production quality since 2002 has been excellent.”


(Dollars in thousands)	2006			2005
Net Charge-Offs	$	1,160		$	1,692
Net Charge-Offs / Avg. loans		0.33	%		0.63	%
Allowance for Loan Loss	$	3,717		$	4,700
Allowance for Loan Loss / Loans		1.00	%		1.44	%
Non-Performing Assets (Loans + OREO)	$	3,910		$	8,878
Non-Performing Assets / Total Assets		0.70	%		1.67	%
4Q Net Charge-Offs	$	645		$	1,638
4Q Net Charge-Offs / Avg. loans (Annualized)		0.70	%		2.40	%

Non-performing assets, namely, non-performing loans, OREO and OAO, were $3.9 million or 0.70% of total assets at December 31, 2006, a decline of $5.0 million from twelve months ago, despite an additional $1.5 million of non-performing assets acquired with The Exchange Bank. Of the $3.9 million of remaining non-performing assets, $621,000 resides in the loan workout company, RFCBC. This workout company has resolved approximately $42 million of problem loans over the last three years. Net charge-offs for 2006 were $1.2 million, or 0.33% of average loans, compared to $1.7 million in 2005, or 0.63% of average loans. The loan loss reserve now stands at 1.00% of period-end loans.

A Provision for Loan Losses of $178,000 was taken in FY2006 compared to $583,000 taken for FY2005; the $405,000 decrease reflects the lower level of risk in the loan portfolio, in addition to the release of the $140,000 reserve associated with the credit card portfolio, which has been sold with partial recourse to the bank. The fourth quarter loan loss provision of $(159,000) represents a $772,000 decrease from the prior-year fourth quarter, and reflects the same factors as above.

RELIANCE FINANCIAL SERVICES (RFS)
Trust fees contributed 14.1% of recurring non-interest income in 2006. Fees from trust services were $3.4 million in FY 2006, up 3.6% above 2005. Income for the year was aided by $104,000 of one-time fee income associated with a third party customer. In order to grow income faster, Reliance expanded its products and services into the new State Bank and Exchange Bank footprints, requiring additional business development officers. Despite these increased spending levels, Reliance increased its net income by 12.2%, generating $715,000 in profits for the year compared to $637,000 for 2005.

RURBANC DATA SERVICES, INC (RDSI)
Data processing fees contributed 69.9% of Rurban’s recurring non-interest income for 2006. Fees were $16.6 million, up $3.4 million, or 25.5%, above the $13.2 million reported for FY 2005. The majority of the increase was due to RDSI core growth, as well as additional fee income from DCM, which was acquired September 3, 2006. RDSI now services over 100 community banks, accounting for 62.2% of Rurban’s fee growth in 2006.

Earnings for the 2006 fiscal year were $2.1 million compared to $1.7 million for 2005, up $366,000 or 21.3%. “We added an additional item processing client bank to our newly acquired DCM Company during the 4^th quarter,” commented Mr. Joyce. “We continue to see a solid pipeline of potential customers for both our data processing and item processing business lines entering 2007.”

CAPITAL
Rurban continues to be well-capitalized. Stockholders’ equity at December 31, 2006 was $57.0 million, equivalent to 10.2% of total assets. On a tangible basis, the ratio was 6.9%. The total risk-based capital ratio was 15.8%, well in excess of the “well-capitalized” regulatory threshold of 10%.

Mr. Joyce concluded, “We have made considerable progress over the past several years transforming Rurban into a profitable financial institution. We are optimistic about our prospects for 2007 and beyond, as we continue the growth initiatives we started last year to enhance the efficiency of our banking organization, and improve the yields on our earning assets.”

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), DCM and RFCBC, Inc. The two community banks, State Bank and Exchange Bank, offer a full range of financial services through 18 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 and DCM provide data and item processing services to community banks in Arkansas, Florida, Illinois, Indiana, Michigan, Missouri, Ohio and Wisconsin. 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
December 31, 2006 and December 31, 2005


	December			December
	2006			2005
	(Unaudited)
ASSETS

Cash and due from banks	$	13,381,791		$	12,650,839
Federal funds sold		9,100,000			—

Cash and cash equivalents		22,481,791			12,650,839
Interest-earning deposits in other financial institutions		150,000			150,000
Available-for-sale securities		102,462,075			139,353,329
Loans held for sale		390,100			224,000
Loans, net of unearned income		370,101,809			327,048,229
Allowance for loan losses		(3,717,377	)		(4,699,827	)
Premises and equipment, net		15,449,774			13,346,632
Purchased software		4,618,691			3,916,913
Federal Reserve and Federal Home Loan Bank Stock		3,993,450			3,607,500
Foreclosed assets held for sale, net		82,397			2,309,900
Accrued interest receivable		3,129,774			3,010,355
Goodwill		13,674,058			8,917,373
Core deposits and other intangibles		5,858,982			3,742,333
Cash value of life insurance		10,771,843			10,443,487
Other assets		6,559,886			6,521,213


Total assets	$	556,007,253		$	530,542,276


LIABILITIES AND SHAREHOLDERS’ EQUITY
Liabilities
Deposits
Demand	$	46,565,554		$	52,073,751
Savings, interest checking and money market		128,830,553			124,206,115
Time		239,159,338			208,558,046

Total deposits		414,555,445			384,837,912
Notes payable		2,589,207			938,572
Advances from Federal Home Loan Bank		21,000,000			45,500,000
Fed Funds Purchased		—			4,600,000
Repurchase Agreements		32,270,900			6,080,420
Trust preferred securities		20,620,000			20,620,000
Accrued interest payable		2,224,413			1,373,044
Other liabilities		5,792,135			12,141,680


Total liabilities		499,052,100			476,091,628

Shareholders’ Equity
Common stock		12,568,583			12,568,583
Additional paid-in capital		14,859,165			14,835,110
Retained earnings		30,407,298			28,702,817
Accumulated other comprehensive loss		(879,893	)		(1,655,862	)


Total shareholders’ equity		56,955,153			54,450,648


Total liabilities and shareholders’ equity	$	556,007,253		$	530,542,276

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Twelve Months Ended December 31, 2006 and 2005


							Increase/
	Twelve Months			Twelve Months			(Decrease)
	2006			2005			$
Interest income
Loans
Taxable	$	24,958,988		$	16,593,703		$	8,365,285
Tax-exempt		63,356			64,609			(1,253	)
Securities
Taxable		5,211,672			4,337,477			874,195
Tax-exempt		559,518			265,959			293,559
Other		176,884			160,240			16,644

Total interest income		30,970,418			21,421,988			9,548,430

Interest expense
Deposits		11,022,161			5,651,372			5,370,789
Other borrowings		172,130			304,047			(131,917	)
Retail Repurchase Agreements		848,277			97,966			750,311
Federal Home Loan Bank advances		2,106,385			2,039,851			66,534
Trust preferred securities		1,787,023			1,275,168			511,855

Total interest expense		15,935,976			9,368,404			6,567,572


Net interest income		15,034,442			12,053,584			2,980,858

Provision for loan losses		177,838			583,402			(405,564	)


Net interest income after provision for loan losses		14,856,604			11,470,182			3,386,422

Non-interest income
Data service fees		15,011,143			12,708,407			2,302,736
Trust fees		3,192,025			3,133,550			58,475
Customer service fees		2,161,153			1,859,547			301,606
Net gain on sales of loans		1,249,148			(436,971	)		1,686,119
Net realized gains (losses) on sales of available-for-sale securities		(494,885	)		25,300			(520,185	)
Investment securities recoveries		889,454			—			889,454
Loan servicing fees		419,709			306,929			112,780
Gain (loss) on sale of assets		94,198			—			94,198
Other income		1,233,376			741,340			492,036

Total non-interest income		23,755,321			18,338,102			5,417,219

Non-interest expense
Salaries and employee benefits		16,584,146			13,518,749			3,065,397
Net occupancy expense		1,840,864			1,214,169			626,695
Equipment expense		5,850,281			5,148,458			701,823
Data processing fees		562,265			411,465			150,800
Professional fees		2,395,863			2,730,337			(334,474	)
Marketing expense		669,764			445,656			224,108
Printing and office supplies		619,100			524,473			94,627
Telephone and communication		1,705,261			1,549,449			155,812
Postage and delivery expense		735,210			313,379			421,831
State, local and other taxes		674,280			572,456			101,824
Employee expense		978,832			994,735			(15,903	)
FHLB prepayment penalties		214,886			—			214,886
Other expenses		2,072,815			1,630,514			442,301

Total non-interest expense		34,903,567			29,053,840			5,849,727


Income before income tax expense		3,708,358			754,444			2,953,914
Income tax expense		948,116			81,353			866,763


Net income	$	2,760,242		$	673,091		$	2,087,151


Earnings per common share:
Basic	$	0.55		$	0.15		$	0.40

Diluted	$	0.55		$	0.15		$	0.40


Average diluted shares outstanding		5,030,317			4,584,406

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Fourth Quarter Ended December 31, 2006 and 2005


							Increase/
	Fourth Quarter			Fourth Quarter			(Decrease)
	2006			2005			$
Interest income
Loans
Taxable	$	6,720,398		$	4,494,995		$	2,225,403
Tax-exempt		17,638			16,382			1,256
Securities
Taxable		1,258,234			1,202,335			55,899
Tax-exempt		149,172			99,971			49,201
Other		77,726			1,634			76,092

Total interest income		8,223,168			5,815,317			2,407,851

Interest expense
Deposits		3,326,774			1,639,319			1,687,455
Other borrowings		51,910			99,683			(47,773	)
Repurchase Agreements		382,717			37,638			345,079
Federal Home Loan Bank advances		421,970			458,799			(36,829	)
Trust preferred securities		455,408			432,998			22,410

Total interest expense		4,638,779			2,668,437			1,970,342


Net interest income		3,584,389			3,146,880			437,509

Provision for loan losses		(159,483	)		613,402			(772,885	)


Net interest income after provision for loan losses		3,743,872			2,533,478			1,210,394

Non-interest income
Data service fees		4,698,386			3,399,178			1,299,208
Trust fees		830,898			782,040			48,858
Customer service fees		525,881			450,348			75,533
Net gain on sales of loans		833,315			(483,214	)		1,316,529
Net realized gains on sales of available-for-sale securities		(494,885	)		—			(494,885	)
Investment securities recoveries		889,454			—			889,454
Loan servicing fees		118,476			81,603			36,873
Gain (loss) on sale of assets		8,852			(65,188	)		74,040
Other income		165,637			311,750			(146,113	)

Total non-interest income		7,576,014			4,476,517			3,099,497

Non-interest expense
Salaries and employee benefits		4,677,237			3,139,135			1,538,102
Net occupancy expense		506,142			317,110			189,032
Equipment expense		1,681,747			1,316,981			364,766
Data processing fees		159,604			107,684			51,920
Professional fees		870,464			1,033,317			(162,853	)
Marketing expense		132,787			136,731			(3,944	)
Printing and office supplies		165,990			127,320			38,670
Telephone and communication		427,554			408,846			18,708
Postage and delivery expense		337,993			77,373			260,620
State, local and other taxes		161,523			192,420			(30,897	)
Employee expense		233,491			268,173			(34,682	)
FHLB prepayment penalties		214,886			—			214,886
Other expenses		789,587			507,067			282,520

Total non-interest expense		10,359,005			7,632,157			2,726,848


Income before income tax expense		960,881			(622,162	)		1,583,043
Income tax expense		250,448			(278,308	)		528,756


Net income	$	710,433		$	(343,854	)	$	1,054,287


Earnings per common share:
Basic	$	0.14		$	(0.08	)	$	0.22

Diluted	$	0.14		$	(0.08	)	$	0.22


Average diluted shares outstanding		5,027,440			4,571,317

RURBAN FINANCIAL CORP. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME — UNAUDITED
For The Fourth Quarter Ended December 31, 2006 and Third Quarter 2006


						Increase/
	Fourth Quarter			Third Quarter		(Decrease)
	2006			2006		$
Interest income
Loans
Taxable	$	6,720,398		$	6,641,379	$	79,019
Tax-exempt		17,638			18,326		(688	)
Securities
Taxable		1,258,234			1,306,979		(48,745	)
Tax-exempt		149,172			141,943		7,229
Other		77,726			48,846		28,880

Total interest income		8,223,168			8,157,473		65,695

Interest expense
Deposits		3,326,774			3,017,993		308,781
Other borrowings		51,910			67,773		(15,863	)
Repurchase Agreements		382,717			182,007		200,710
Federal Home Loan Bank advances		421,970			667,749		(245,779	)
Trust preferred securities		455,408			466,417		(11,009	)

Total interest expense		4,638,779			4,401,939		236,840


Net interest income		3,584,389			3,755,534		(171,145	)

Provision for loan losses		(159,483	)		35,000		(194,483	)


Net interest income after provision for loan losses		3,743,872			3,720,534		23,338

Non-interest income
Data service fees		4,698,386			3,785,037		913,349
Trust fees		830,898			753,449		77,449
Customer service fees		525,881			542,518		(16,637	)
Net gain on sales of loans		833,315			283,123		550,192
Net realized gains (losses) on sales of available-for-sale securities		(494,885	)		—		(494,885	)
Investment securities recoveries		889,454			—		889,454
Loan servicing fees		118,476			96,754		21,722
Gain (loss) on sale of assets		8,852			25,914		(17,062	)
Other income		165,637			415,961		(250,324	)

Total non-interest income		7,576,014			5,902,756		1,673,258

Non-interest expense
Salaries and employee benefits		4,677,237			4,253,924		423,313
Net occupancy expense		506,142			468,855		37,287
Equipment expense		1,681,747			1,445,073		236,674
Data processing fees		159,604			146,703		12,901
Professional fees		870,464			481,132		389,332
Marketing expense		132,787			168,031		(35,244	)
Printing and office supplies		165,990			126,765		39,225
Telephone and communication		427,554			467,692		(40,138	)
Postage and delivery expense		337,993			142,957		195,036
State, local and other taxes		161,523			188,464		(26,941	)
Employee expense		233,491			235,429		(1,938	)
FHLB prepayment penalties		214,886			—		214,886
Other expenses		789,587			389,631		399,956

Total non-interest expense		10,359,005			8,514,656		1,844,349


Income before income tax expense		960,881			1,108,634		(147,753	)
Income tax expense		250,448			294,893		(44,445	)


Net income	$	710,433		$	813,741	$	(103,308	)


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

Diluted	$	0.14		$	0.16	$	(0.02	)


Average diluted shares outstanding		5,027,440			5,027,704

Rurban Financial Corp.
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Unaudited)


	YTD			4th Qtr			YTD			4th Qtr
(dollars in thousands except per share data)	2006			2006			2005			2005
EARNINGS
Net interest income	$	15,034		$	3,584		$	12,054		$	3,147
Provision for loan loss	$	178		$	(159	)	$	583		$	613
Non-interest income	$	23,755		$	7,576		$	18,338		$	4,477
Revenue (net interest income plus non-interest income)	$	38,789		$	11,160		$	30,392		$	7,624
Non-interest expense	$	34,904		$	10,359		$	29,054		$	7,632
Net income (loss)	$	2,760		$	710		$	673		$	(344)

PER SHARE DATA
Basic earnings per share	$	0.55		$	0.14		$	0.15		$	(0.08	)
Diluted earnings per share	$	0.55		$	0.14		$	0.15		$	(0.08	)
Book value per share	$	11.33		$	11.33		$	10.83		$	10.83
Tangible book value per share	$	7.58		$	7.58		$	8.31		$	8.31
Cash dividend per share	$	0.21		$	0.06		$	0.20		$	0.05

PERFORMANCE RATIOS
Return on average assets		0.50	%		0.50	%		0.16	%		(0.31	%)
Return on average equity		5.06	%		5.08	%		1.32	%		(2.63	%)
Net interest margin (tax equivalent)		3.13	%		2.92	%		3.14	%		3.18	%
Non-interest expense / Average assets		6.30	%		7.27	%		26.82	%		6.91	%
Efficiency Ratio — bank (non-GAAP)		88.20	%		94.85	%		101.81	%		107.58	%
Non-interest income/Total operating revenue (net interest income plus non-interest income)		61.24	%		67.89	%		60.34	%		58.72	%

MARKET DATA PER SHARE
Market value per share — Period end	$	10.77		$	10.77		$	11.78		$	11.78
Market as a % of book		0.95			0.95			1.09			1.09
Cash dividend yield		1.95	%		2.23	%		1.70	%		1.70	%
Period-end common shares outstanding (000)		5,027			5,027			5,027			5,027
Common stock market capitalization ($000)	$	54,145		$	54,145		$	59,223		$	59,223


CAPITAL & LIQUIDITY
Equity to assets		10.2	%		10.2	%		10.3	%		10.3	%
Period-end tangible equity to assets		6.9	%		6.9	%		7.9	%		7.9	%
Tier 1 risk-based capital ratio		14.7	%		14.7	%		17.7	%		17.7	%
Total risk-based capital ratio		15.8	%		15.8	%		19.3	%		19.3	%
Average loans to average deposits		85.7	%		89.2	%		87.6	%		86.3	%

ASSET QUALITY
Net charge-offs / (Recoveries)	$	1,160		$	645		$	1,692		$	1,638
Net loan charge-offs (Ann.) / Average loans		0.33	%		0.70	%		0.63	%		2.40	%
Non-performing loans	$	3,828		$	3,828		$	6,270		$	6,270
OREO / OAOs	$	82		$	82		$	2,608		$	2,608
Non-performing assets	$	3,910		$	3,910		$	8,878		$	8,878
Non-performing assets / Total assets		0.70	%		0.70	%		1.67	%		1.67	%
Allowance for loan losses / Total loans		1.00	%		1.00	%		1.44	%		1.44	%
Allowance for loan losses / Non-performing assets		95.1	%		95.1	%		52.9	%		52.9	%

END OF PERIOD BALANCES
Total loans, net of unearned income	$	370,102		$	370,102		$	327,048		$	327,048
Allowance for loan loss	$	3,717		$	3,717		$	4,700		$	4,700
Total assets	$	556,007		$	556,007		$	530,542		$	530,542
Deposits	$	414,555		$	414,555		$	384,838		$	384,838
Stockholders’ equity	$	56,955		$	56,955		$	54,451		$	54,451
Full-time equivalent employees		317			317			281			281

AVERAGE BALANCES
Loans	$	354,400		$	370,687		$	268,158		$	273,288
Total earning assets	$	490,550		$	502,530		$	388,593		$	409,566
Total assets	$	554,095		$	569,807		$	433,366		$	442,024
Deposits	$	413,338		$	415,576		$	306,268		$	316,570
Stockholders’ equity	$	54,501		$	55,963		$	51,083		$	52,366

Rurban Financial Corp.
Segment Reporting
Three Months Ended December 31, 2006


							RFCBC			Banking
							(Loan			Intersegment			Banking
	State Bank			Exchange			Workout			Elimination			Related
	and Trust			Bank			Company)			Entries			Entities
*Income Statement Measures*
Interest Income	$	6,913		$	1,362		$	—		$	(7	)	$	8,268
Interest Expense		3,657			497			—			(7	)		4,147
Net Interest Income		3,256			865			—			—			4,121
Provision For Loan Loss		(109	)		(30	)		(20	)		—			(159	)
Non-interest Income		1,168			303			124			—			1,595
Non-interest Expense		3,892			1,252			278			—			5,422
Net Income Before Taxes		641			(54	)		(134	)		—			453
Income Taxes		145			(18	)		(45	)		—			82
Net Income QTR	$	496		$	(36	)	$	(89	)	$	—		$	371

*Performance Measures*
Average Assets — Quarter	$	463,788		$	86,634		$	2,178		$	(951	)	$	551,649
ROAA		0.43	%		(0.17	%)		0.00	%		0.00	%		0.27	%
Average Equity — Quarter	$	41,581		$	12,154		$	1,714		$	—		$	55,449
ROAE		4.78	%		(1.18	%)		0.00	%		0.00	%		2.68	%
Efficiency Ratio — %		87.97	%		107.19	%		0.00	%		0.00	%		94.85	%
Average Loans — Quarter	$	307,757		$	64,406		$	1,059		$	—		$	373,222
Average Deposits — Quarter	$	357,623		$	67,436		$	—		$	(781	)	$	424,278


	RFS (Trust
	and						Parent			Intersegment			Rurban
	Investment						Company			Elimination			Financial
	Co.)			RDSI			and Other			Entries			Corp.
*Income Statement Measures*
Interest Income	$	16		$	—		$	1		$	(62	)	$	8,223
Interest Expense		—			99			455			(62	)		4,639
Net Interest Income		16			(99	)		(454	)		—			3,584
Provision For Loan Loss		—			—			—			—			(159	)
Non-interest Income		764			5,043			1,576			(1,402	)		7,576
Non-interest Expense		616			4,026			1,697			(1,402	)		10,359
Net Income Before Taxes		164			918			(575	)		—			960
Income Taxes		55			312			(199	)		—			250
Net Income QTR	$	109		$	606		$	(376	)	$	—		$	710

*Performance Measures*
Average Assets — Quarter	$	2,145		$	19,695		$	78,234		$	(81,916	)	$	569,807
ROAA		20.33	%		12.31	%		0.00	%		0.00	%		0.50	%
Average Equity — Quarter	$	2,161		$	12,721		$	56,477		$	(70,845	)	$	55,963
ROAE		20.18	%		19.06	%		0.00	%		0.00	%		5.08	%
Efficiency Ratio — %		78.97	%		81.43	%		0.00	%		0.00	%		92.82	%
Average Loans — Quarter	$	—		$	—		$	—		$	(2,908	)	$	370,314
Average Deposits — Quarter	$	—		$	—		$	—		$	(909	)	$	423,369

Rurban Financial Corp.
Segment Reporting
Twelve Months Ended December 31, 2006


							RFCBC			Banking
							(Loan			Intersegment			Banking
	State Bank			Exchange			Workout			Elimination			Related
	and Trust			Bank			Company)			Entries			Entities
*Income Statement Measures*
Interest Income	$	25,949		$	5,291		$	36		$	(123	)	$	31,153
Interest Expense		12,538			1,716			—			(123	)		14,131
Net Interest Income		13,411			3,575			36			—			17,022
Provision For Loan Loss		284			3			(109	)		—			178
Non-interest Income		3,452			1,154			269			(3	)		4,872
Non-interest Expense		13,493			4,900			920			(3	)		19,310
Net Income Before Taxes		3,086			(174	)		(506	)		—			2,406
Income Taxes		751			(60	)		(172	)		—			519
Net Income YTD		2,335			(114	)		(334	)		—			1,887

*Performance Measures*
Average Assets — YTD	$	452,777		$	84,904		$	2,022		$	(951	)	$	538,752
ROAA		0.52	%		(0.13	%)		0.00	%		0.00	%		0.35	%
Average Equity — YTD	$	40,028		$	12,097		$	4,073		$	—		$	56,198
ROAE		5.83	%		(0.94	%)		0.00	%		0.00	%		3.36	%
Efficiency Ratio — %		80.02	%		103.62	%		0.00	%		0.00	%		88.20	%
Average Loans — YTD	$	293,382		$	62,042		$	1,884		$	—		$	357,308
Average Deposits — YTD	$	344,956		$	70,072		$	—		$	(781	)	$	414,247


	RFS (Trust
	and						Parent			Intersegment			Rurban
	Investment						Company			Elimination			Financial
	Co.)			RDSI			and Other			Entries			Corp.
*Income Statement Measures*
Interest Income	$	61		$	12		$	3		$	(258	)	$	30,970
Interest Expense		—			276			1,787			(258	)		15,936
Net Interest Income		61			(264	)		(1,784	)		—			15,034
Provision For Loan Loss		—			—			—			—			178
Non-interest Income		3,359			16,563			4,823			(5,862	)		23,755
Non-interest Expense		2,337			13,143			5,976			(5,862	)		34,904
Net Income Before Taxes		1,083			3,156			(2,937	)		—			3,708
Income Taxes		368			1,073			(1,012	)		—			948
Net Income YTD		715			2,083			(1,925	)		—			2,760

*Performance Measures*
Average Assets — YTD	$	2,382		$	16,513		$	77,381		$	(80,933	)	$	554,095
ROAA		30.02	%		12.61	%		0.00	%		0.00	%		0.50	%
Average Equity — YTD	$	1,905		$	9,311		$	54,937		$	(67,850	)	$	54,501
ROAE		37.53	%		22.37	%		0.00	%		0.00	%		5.06	%
Efficiency Ratio — %		68.33	%		80.64	%		0.00	%		0.00	%		89.98	%
Average Loans — YTD	$	—		$	—		$	—		$	(2,908	)	$	354,400
Average Deposits — YTD	$	—		$	—		$	—		$	(909	)	$	413,338

Rurban Financial Corp.
Proforma Performance Measurement
Quarterly Comparison — Fourth Quarter 2006


							RFCBC			Banking
							(Loan			Intersegment			Banking
	State Bank			Exchange			Workout			Elimination			Related
	and Trust			Bank			Company)			Entries			Entities
*Average Assets*
4Q06	$	463,788		$	86,634		$	2,178		$	(951	)	$	551,649
3Q06	$	463,601		$	88,141		$	2,451		$	(1,572	)	$	552,621
2Q06	$	446,579		$	85,449		$	5,477		$	(4,001	)	$	533,504
1Q06	$	436,239		$	83,209		$	6,675		$	(1,071	)	$	525,052
4Q05	$	424,432			N/A		$	13,896		$	(847	)	$	437,481
4th Quarter Comparison	$	39,356			N/A		$	(11,718	)	$	—		$	114,168

*Revenue*
4Q06	$	4,424		$	1,168		$	124		$	—		$	5,716
3Q06	$	4,136		$	1,309		$	3		$	—		$	5,448
2Q06	$	4,173		$	1,214		$	85		$	(2	)	$	5,469
1Q06	$	4,131		$	1,036		$	93		$	(2	)	$	5,258
4Q05	$	4,389			N/A		$	(256	)	$	(2	)	$	4,131
4th Quarter Comparison	$	35		$	1,168		$	380		$	—		$	1,585

*Non-interest Expenses*
4Q06	$	3,892		$	1,252		$	278		$	—		$	5,422
3Q06	$	3,236		$	1,180		$	161		$	—		$	4,577
2Q06	$	3,131		$	1,195		$	307		$	(2	)	$	4,631
1Q06	$	3,234		$	1,273		$	174		$	(2	)	$	4,679
4Q05	$	3,564			N/A		$	882		$	(2	)	$	4,444
4th Quarter Comparison	$	328		$	1,252		$	(604	)	$	—		$	978

*Net Income*
4Q06	$	496		$	(36	)	$	(89	)	$	—		$	371
3Q06	$	651		$	62		$	(82	)	$	—		$	631
2Q06	$	687		$	15		$	(109	)	$	—		$	593
1Q06	$	502		$	(156	)	$	(54	)	$	—		$	292
4Q05	$	479			N/A		$	(1,058	)	$	—		$	(579	)
4th Quarter Comparison	$	17		$	(36	)	$	969		$	—		$	950

*Efficiency Ratio*
4Q06		87.97	%		107.19	%		—			—			94.86	%
3Q06		78.24	%		90.15	%		—			—			84.01	%
2Q06		75.03	%		98.41	%		—			—			84.67	%
1Q06		78.28	%		122.84	%		—			—			88.99	%
4Q05		81.20	%		N/A			—			—			107.58	%
4th Quarter Comparison		6.77	%		N/A			—			—			(12.72	%)


*NPA/Total Assets*
4Q06		0.67	%		0.31	%		—			—		0.70	%
3Q06		0.92	%		0.77	%		—			—		1.07	%
2Q06		0.70	%		1.66	%		—			—		1.07	%
1Q06		0.70	%		1.77	%		—			—		1.64	%
4Q05		0.64	%		2.03	%		—			—		1.67	%
4th Quarter Comparison		0.03	%		(1.72	%)		—			—		(0.97	%)

*ROAA*
4Q06		0.43	%		(0.17	%)		—			—		0.27	%
3Q06		0.56	%		0.28	%		—			—		0.46	%
2Q06		0.62	%		0.07	%		—			—		0.44	%
1Q06		0.46	%		(0.75	%)		—			—		0.22	%
4Q05		0.45	%		N/A			—			—		(0.40	%)
4th Quarter Comparison		(0.02	%)		N/A			—			—		0.67	%

*ROAE*
4Q06		4.78	%		(1.18	%)		—			—		2.68	%
3Q06		6.52	%		2.05	%		—			—		4.65	%
2Q06		7.03	%		0.50	%		—			—		5.52	%
1Q06		5.08	%		(5.09	%)		—			—		3.16	%
4Q05		4.94	%		N/A			—			—		(2.88	%)
4th Quarter Comparison		(0.16	%)		N/A			—			—		5.56	%

Average Equity
4Q06	$	41,581		$	12,154		$	1,714		$	—	$	55,449
3Q06	$	39,911		$	12,119		$	2,261		$	—	$	54,291
2Q06	$	39,078		$	12,015		$	5,393		$	—	$	56,486
1Q06	$	39,522		$	12,228		$	7,001		$	—	$	58,751
4Q05	$	38,784		$	8,109		$	13,731		$	—	$	60,624
4th Quarter Comparison	$	2,797		$	4,045		$	(12,017	)	$	—	$	(5,175	)


	RFS (Trust
	and						Parent			Intersegment			Rurban
	Investment						Company			Elimination			Financial
	Co.)			RDSI			and Other			Entries			Corp.
*Average Assets*
4Q06	$	2,145		$	19,695		$	78,234		$	(81,916	)	$	569,807
3Q06	$	2,390		$	14,442		$	75,666		$	(91,653	)	$	553,465
2Q06	$	2,583		$	13,368		$	74,679		$	(79,060	)	$	545,074
1Q06	$	2,138		$	11,579		$	78,706		$	(83,104	)	$	534,371
4Q05	$	2,469		$	9,783		$	71,938		$	(79,647	)	$	442,024
4th Quarter Comparison	$	(324	)	$	9,912		$	6,296		$	—		$	127,783

*Revenue*
4Q06	$	780		$	4,944		$	1,122		$	(1,402	)	$	11,160
3Q06	$	950		$	4,084		$	594		$	(1,418	)	$	9,658
2Q06	$	834		$	3,632		$	537		$	(1,374	)	$	9,098
1Q06	$	856		$	3,637		$	789		$	(1,668	)	$	8,872
4Q05	$	823		$	3,686		$	(163	)	$	(854	)	$	7,624
4th Quarter Comparison	$	(43	)	$	1,258		$	1,285		$	—		$	3,536

*Non-interest Expenses*
4Q06	$	616		$	4,026		$	1,697		$	(1,402	)	$	10,359
3Q06	$	568		$	3,360		$	1,427		$	(1,418	)	$	8,514
2Q06	$	553		$	2,949		$	1,321		$	(1,374	)	$	8,080
1Q06	$	601		$	2,807		$	1,531		$	(1,668	)	$	7,950
4Q05	$	606		$	2,812		$	575		$	(805	)	$	7,632
4th Quarter Comparison	$	10		$	1,214		$	1,122		$	—		$	2,727

*Net Income*
4Q06	$	109		$	606		$	(376	)	$	—		$	710
3Q06	$	251		$	478		$	(546	)	$	—		$	814
2Q06	$	186		$	451		$	(516	)	$	—		$	714
1Q06	$	168		$	548		$	(485	)	$	—		$	523
4Q05	$	143		$	577		$	(484	)	$	—		$	(344	)
4th Quarter Comparison	$	(34	)	$	29		$	108		$	—		$	1,055

*Efficiency Ratio*
4Q06		78.97	%		81.43	%		—			—			92.82	%
3Q06		59.79	%		82.27	%		—			—			88.15	%
2Q06		66.21	%		81.18	%		—			—			88.05	%
1Q06		70.23	%		77.17	%		—			—			88.87	%
4Q05		73.63	%		76.29	%		—			—			99.32	%
4th Quarter Comparison		5.34	%		5.14	%		—			—			(6.50	%)


*NPA/Total Assets*
4Q06		—			—			—		—			0.70	%
3Q06		—			—			—		—			1.07	%
2Q06		—			—			—		—			1.07	%
1Q06		—			—			—		—			1.64	%
4Q05		—			—			—		—			1.67	%
4th Quarter Comparison		—			—			—		—			(0.97	%)

*ROAA*
4Q06		20.33	%		12.31	%		—		—			0.50	%
3Q06		42.01	%		13.24	%		—		—			0.59	%
2Q06		28.81	%		13.50	%		—		—			0.52	%
1Q06		31.45	%		18.93	%		—		—			0.39	%
4Q05		25.84	%		23.59	%		—		—			(0.31	%)
4th Quarter Comparison		(5.51	%)		(11.28	%)		—		—			0.81	%

*ROAE*
4Q06		20.18	%		19.06	%		—		—			5.08	%
3Q06		52.70	%		21.26	%		—		—			5.95	%
2Q06		31.88	%		21.39	%		—		—			5.28	%
1Q06		32.42	%		31.59	%		—		—			3.86	%
4Q05		33.18	%		40.75	%		—		—			(2.63	%)
4th Quarter Comparison		(13.00	%)		(21.70	%)		—		—			7.71	%

Average Equity
4Q06	$	2,161		$	12,721		$	56,477	$	(70,845	)	$	55,963
3Q06	$	1,905		$	8,995		$	53,593	$	(64,082	)	$	54,702
2Q06	$	2,334		$	8,437		$	53,593	$	(66,811	)	$	54,039
1Q06	$	2,074		$	6,938		$	54,251	$	(67,763	)	$	54,251
4Q05	$	1,724		$	5,664		$	52,366	$	(68,012	)	$	52,366
4th Quarter Comparison	$	437		$	7,057		$	4,111	$	(2,833	)	$	3,597