EXTRACO BANKS ANNOUNCES CONSTRUCTION START ON NEW GEORGETOWN FACILITY

Tuesday, July 18, 2006 - GEORGETOWN, Texas: Randy Ramsey, Extraco Banks regional president, announced today the start of building construction for Extraco's new Georgetown Financial Center at 1504 Williams Drive.

"Site preparation for our new facility at Williams and Rivery is near complete, and we expect to pour the foundation within a week," said Ramsey. "We'll be counting the days until our anticipated opening in April of 2007."

The Georgetown Financial Center will encompass 6,800 square feet housing retail and commercial banking expertise plus on-site product specialists in the areas of investment, trust, mortgage, insurance, and technology.

"We'll continue to serve Georgetown and Williamson County in the interim from our current bank location at 1500 West University Avenue," said Greg Eady, City President. "And, our Extraco Mortgage team, led by Michael Lairmore, has a birds-eye view of the construction progress from their offices at 1612 Williams Drive. But, we're certainly excited about the day when we can truly live the one-stop-shop concept with all financial services providers and product specialists under one roof."

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 in Georgetown is just another example of Extraco offering itself to customers and community as the premier financial solution in Central Texas.

Extraco Corporation celebrated 100 years and three generations of family management on July 12th, 2002. Founded as a cotton warehousing company, Extraco is the largest and most comprehensive independent financial institution headquartered in Central Texas with over $1 billion in assets, $90 million in capital, a loan limit of $13 million, over 75,000 customers, and 470 employees. Extraco's fourteen financial centers are located in Georgetown, Killeen, Harker Heights, Copperas Cove, Waco, Temple, Belton, Troy, Lorena, Gatesville, Hamilton and McGregor, with a new north Waco center slated for opening July 31st.