IBC Reports Strong EPS of $.45

International Bancshares Corporation IBOC today reported net income of $33.5 million for the three months ended September 30, 2010, a decrease of 9.5 percent as compared to $37.0 million for the same period in 2009, prior to amounts related to participation in the TARP program, including preferred stock dividends and amounts related to the Warrants. After these amounts, net income for the third quarter of 2010 applicable to common shareholders was $30.3 million, or $.45 diluted earnings per common share and $.45 basic earnings per common share, as compared to $33.7 million or $.49 diluted earnings per common share and $.49 basic earnings per common share for the same period in 2009, representing a decrease of 8.2 percent in diluted earnings per common share and a decrease of 10.1 percent in net income. After the TARP program amounts, net income for the nine months ended September 30, 2010 applicable to common shareholders was $89.8 million, or $1.32 diluted earnings per common share and $1.32 basic earnings per common share, as compared to $95.9 million or $1.40 diluted earnings per common share and $1.40 basic earnings per common share for the same period of 2009, representing a decrease of 5.7 percent in diluted earnings per common share and a decrease of 6.4 percent in net income available to common shareholders.