Independent Bank Corp. Announces Net Income Growth of 21% for the Second Quarter of 2005

Business Wire, July 21, 2005

Total assets increased by $46.5 million, or 1.6%, from December 31, 2004 to $3.0 billion at June 30, 2005.

--Securities decreased by $65.9 million, or (8.1%), during the six months ended June 30, 2005. This resulted from the sale of $53.3 million in longer duration securities for the three months ended June 30, 2005 and $62.9 million for the six months ended June 30, 2005. The ratio of securities to total assets as of June 30, 2005 is 25.2%.

--Total loans increased by $93.8 million, or 4.9%, during the six months ended June 30, 2005. Commercial loans increased by $50.5 million, or 5.6%. Consumer loans in total increased $36.4 million, or 6.9%, primarily due to promotional growth in variable rate Home Equity lines of credit. The Consumer - Auto loan portfolio decreased by $2.4 million, or (0.9%), during the first six months as production in this segment of the loan portfolio was de-emphasized due to narrowing spreads. Business banking loans totaled $48.7 million, representing growth of 11.6% during the first six months of 2005. Residential loans increased $1.9 million, or 0.4%, during the first six months of 2005.

Total deposits of $2.1 billion at June 30, 2005 increased $89.2 million, or 4.3%, compared to December 31, 2004. The Company experienced growth in core deposits of $41.5 million, or 2.6%, partially attributable to seasonal inflows. Time deposits increased by $47.7 million, or 10.6%, due to promotional certificate offerings. Borrowings decreased by $52.8 million, or (8.1%), during the six months ended June 30, 2005.

Stockholders' equity as of June 30, 2005 totaled $220.5 million, as compared to $210.7 million at December 31, 2004. The Tier 1 leverage capital ratio at June 30, 2005 was 7.28%, maintaining the Company's well-capitalized position.

Nonperforming assets totaled $2.1 million at June 30, 2005 (0.07% of total assets), as compared to $2.7 million (0.09% of total assets) reported at December 31, 2004. The allowance for loan losses increased slightly to $26.1 million at June 30, 2005 compared to $25.2 million at December 31, 2004. The Company's allowance for loan losses covered nonperforming loans 12.4 times at June 30, 2005 compared to 9.3 times coverage at December 31, 2004. The Company maintained a reserve to loan ratio of 1.30% at June 30, 2005.

Chris Oddleifson, Chief Executive Officer and President of Independent Bank Corp. and Rockland Trust Company, stated that; "I am pleased with the earnings growth experienced in the second quarter. I remain confident that our commitment to customers, the expansion of our product offerings, our focus on continuous process improvement, and our prudent underwriting practices will continue to deliver strong financial performance."

Christopher Oddleifson, Chief Executive Officer and President, and Denis K. Sheahan, Chief Financial Officer, of Independent Bank Corp., will host a conference call to discuss second quarter earnings at 10:00 a.m. Eastern Time on Friday, July 22, 2005. Internet access to the call is available on the Company's website at http://www.RocklandTrust.com or by telephonic access by dial-in at 1-877-407-8031 reference: INDB. A replay of the call will be available until 11:59 p.m. on July 27, 2005 by calling 1-877-660-6853 Account Number: 286, Conference ID: 159129. The webcast replay will be available until October 22, 2005.