EXTRACO TO BREAK GROUND FOR MAJOR EXPANSION OF MIDWAY FINANCIAL CENTER

Friday, September 26, 2003 - WACO, Texas: D. Allan Morris, Extraco Banks regional president, announced today the planned expansion of Extraco's Midway Financial Center and set a groundbreaking ceremony for 11:00 a.m. on Friday, October 3, 2003 at 200 North Hewitt Drive (across from HEB.)

The Midway building project will more than double the size of the existing building. The expanded facility will house retail and commercial banking expertise plus on-site product specialists in the areas of investment, trust, mortgage, insurance, and technology.

Extraco offers a unique approach to banking centered on its mission to "touch lives" and deliver a superior experience to customers. This is achieved not only through more personal attention in meeting customer needs, but also in the breadth of product offerings. This state-of-the-art facilities investment at the growing Midway location is just another example of Extraco offering itself to customers and community as the premier financial solution in Central Texas.

The groundbreaking ceremony will be attended by representatives of Extraco Banks and its family of financial services plus dignitaries from the Cities of Hewitt and Woodway and both the Hewitt and Waco Chambers of Commerce. Media and local citizenry are also invited to attend. Refreshments will be served following the ceremony.

Extraco Corporation celebrated 100 years and three generations of family management on July 12th, 2002. Founded as a cotton warehousing company, Extraco has evolved to become the largest and most complete independent financial institution in Central Texas with a $10 million loan limit, over 75,000 customers, 275 volunteer community leadership roles and 550 employees. Extraco offers trust, insurance, brokerage, mortgage and technology solutions to complement its traditional bank product line.