First Midwest Reports Solid Second Quarter Results Amid Continued Mixed Loan Growth

ITASCA, IL--(Marketwire - July 25, 2007) - First Midwest Bancorp, Inc. (NASDAQ: FMBI)

2nd QUARTER HIGHLIGHTS:

--  EPS:  $0.59, up 3.5% vs. 2Q06
--  Strong Profitability:  ROA of 1.44%
--  Improved Net Interest Margin:  3.61% vs. 3.53% in 1Q07
--  Lower Net Charge-offs:  0.14% vs. 0.24% in 1Q07
--  Broad Based Fee Growth:  Up 15.4% vs. 1Q07

First Midwest Bancorp, Inc. ("First Midwest") (NASDAQ: FMBI) today reported net income for the second quarter ended June 30, 2007 of $29.3 million, or $0.59 per diluted share, as compared to 2006's second quarter earnings of $28.7 million, or $0.57 per diluted share. Second quarter 2007 performance resulted in an annualized return on average assets of 1.44% as compared to 1.33% for second quarter 2006 and an annualized return on average equity of 15.5% as compared to 16.5% for second quarter 2006.

"I am proud that First Midwest continues to deliver positive results measured by a wide range of critical operating factors," said First Midwest Chairman and Chief Executive Officer, John M. O'Meara. "We believe that the drivers of second quarter performance also place us in a strong competitive position for the balance of the year and into 2008. Specifically, our performance benefited from expanded fee based revenue, controlled noninterest expense, tightly managed credit costs, and improved net interest margins. These trends offset counter balancing dynamics in our loan portfolios."

Earnings Guidance

"The second half of the year holds a mix of economic uncertainties and competitive opportunities. It is First Midwest's judgment that the strength of our Chicagoland marketplace and the vitality of the national economy should continue to present sound opportunities to reestablish more robust growth in profitable asset formation. We believe the competitive environment within the local marketplace will be advantageous to First Midwest as major competitors either exit the marketplace or become preoccupied with acquisition and integration issues. We are prepared to capitalize on these opportunities," he added.

O'Meara concluded, "Importantly, our calling and business referral programs continue to produce a strong pipeline of potential client relationships. These ongoing sales efforts are presently being augmented through the recruitment of experienced in-market commercial bankers. Not withstanding those activities, competition for loans that meet the Company's credit and margin contribution criteria has been somewhat stronger than anticipated. As such, we are revising our current earnings guidance for full year 2007 to be $2.38 to $2.43, with our performance in this range largely influenced by the pace of loan bookings, asset quality, and funding availability."

Loans and Funding

Outstanding loans totaled $4.9 billion at June 30, 2007 and $5.0 billion at December 31, 2006. Over the same period, corporate loans remained unchanged at $4.1 billion, as increases in commercial and industrial and real estate construction loan categories were offset by lower commercial real estate balances. The decline in commercial real estate loans reflects the combined impact of participation loan payoffs and rapid prepayment of multifamily loan portfolios originally purchased as part of the 2004 CoVest acquisition. On a linked-quarter basis, total loans declined $83.8 million from March 31, 2007. This approximate annualized 8% decline was attributable to the commercial customer base in the amount of $50 million with the remainder in the consumer lending business.

Average deposits totaled $5.9 billion for the quarter ended June 30, 2007 and $6.2 billion for the quarter ended June 30, 2006, a decline of $295.0 million. The majority of the decline was due to a planned reduction in higher-costing wholesale deposits. In comparison to the second quarter of 2006, quarter to date average demand deposits remained constant at $1.1 billion, while money market and NOW account balances reflected a shift to higher-costing savings and time deposit categories. On a linked-quarter basis, average core transactional deposits increased $78.1 million from first quarter 2007, largely due to the seasonal inflow of public deposit monies.

Credit Quality

First Midwest's overall credit quality continues to reflect the Company's conservative lending discipline. The Company has no direct exposure to subprime mortgage lending products. At June 30, 2007, nonperforming assets represented 0.38% of loans plus foreclosed real estate, compared to 0.42% at March 31, 2007. As of June 30, 2007, nonperforming assets totaled $18.6 million compared to $20.8 million as of March 31, 2007. Ninety day past due loans increased by $4.0 million from March 31, 2007. The $4.0 million increase is comprised of four secured credits that are in the process of collection. Net charge-offs for second quarter 2007 improved to 0.14% of average loans, down from 0.24% for the first quarter 2007. As of June 30, 2007, the reserve for loan losses stood at 1.27% of total loans compared to 1.25% at March 31, 2007. Nonperforming loans were covered by the reserve 4.18 times.

Net Interest Margin

On a linked-quarter basis, net interest margin of 3.61% improved 8 basis points from the first quarter and reflects the benefit of a decline in the Company's funding costs, coupled with continued improvement in asset yields. Asset yields reflect the benefits of the Company's strategy to reduce the size of its securities portfolio and the benefit of higher short term rates on our floating rate loan portfolios. For the balance of the year, we expect margins to be maintained at approximate current levels.

Noninterest Income and Expense

For the second quarter of 2007, noninterest income was up 6.7% as compared to first quarter 2007, primarily due to a 15.4% increase in fee-based revenues. The increase in fee-based revenues from the first quarter of 2007 was broad based, reflecting solid growth in deposit service charges, asset management, mortgage, and payment processing fee categories. In addition, second quarter 2007 results reflected an increase of $509,000, related to changes in the value of nonqualified retirement plan assets, for which an offsetting increase is reflected in salaries and benefit expense.

For the second quarter 2007, noninterest expense was up 5.4% from first quarter 2007. The increase reflected higher merchant and card processing, advertising and product promotion, and the above-mentioned employee related expenses. The Company's efficiency ratio for the second quarter of 2007 was 52.13%, improved slightly from first quarter 2007.

Security Transactions

At June 30, 2007, the securities portfolio totaled $2.29 billion, down $422.9 million from June 30, 2006. The Company continued to execute on its strategy, initiated in 2006, of using securities sales proceeds and cash flows to reduce higher-cost borrowings rather than reinvesting in like securities. In second quarter 2007, the Company took advantage of market conditions to sell $46.5 million of municipal securities, resulting in a realized gain of $961,000.

Capital Management

First Midwest's capital position continues to exceed all of the regulatory minimum levels to be considered a "well capitalized institution" by the Federal Reserve System. As of June 30, 2007, First Midwest's Total Risk Based Capital ratio was 12.5%, compared to 12.4% as of March 31, 2007. Its Tier 1 Risk Based Capital ratio was 9.9%, compared to 9.8% as of March 31, 2007. First Midwest's tangible capital ratio, which represents the ratio of stockholders' equity to total assets excluding intangible assets, stood at 5.8%, unchanged from March 31, 2007. Excluding other comprehensive losses, the tangible capital ratio stood at 6.3%, up from 6.0% as of March 31, 2007.

During the second quarter of 2007, First Midwest paid dividends of $0.295 per share. In addition, during the second quarter of 2007, First Midwest repurchased 338,190 shares of its common stock at an average price of $36.78 per share. As of June 30, 2007, approximately 1.377 million shares remained under First Midwest's existing repurchase authorization. This program will continue to operate throughout the second half of the year.

About the Company

First Midwest is the premier relationship-based banking franchise in the growing Chicagoland banking market. As one of the Chicago metropolitan area's largest independent bank holding companies, First Midwest provides the full range of both business and retail banking and trust and investment management services through 103 offices located in 63 communities, primarily in metropolitan Chicago. First Midwest was recently recognized by the Alfred P. Sloan Awards for Business Excellence in Workforce Flexibility in the greater Chicago area.

Safe Harbor Statement

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are not historical facts but instead represent only the Company's beliefs regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company's control. It is possible that actual results and the Company's financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. For a discussion of some of the risks and important factors that could affect the Company's future results, see "Risk Factors" in the Company's Annual Report on Form 10-K for the fiscal year ended December 30, 2006 and other reports filed with the Securities and Exchange Commission. Forward-looking statements represent management's best judgment as of the date hereof based on currently available information. Except as required by law, the Company undertakes no duty to update the contents of this press release after the date hereof.

Conference Call

A conference call to discuss the Company's results, outlook and related matters will be held on Wednesday, July 25th at 10:00 am (ET). Members of the public who would like to listen to the conference call should dial 1-866-362-5158 (U.S. domestic) or 1-617-597-5397 (international) passcode number 91678672. The number should be dialed at least 10 minutes prior to the start of the conference call. The conference call will also be accessible as an audio webcast through the Investor Relations section of the Company's web site, www.firstmidwest.com/aboutinvestor_overview.asp/. There is no charge to access the call. For those unable to listen to the live broadcast, a replay will be available on the Company's web site or by dialing 1-888-286-8010 (U.S. domestic) or 1-617-801-6888 (international) passcode number 26576503, beginning approximately one hour after the event through 11:59 pm (ET) on August 1, 2007. Please direct any questions regarding obtaining access to the conference call to First Midwest Bancorp, Inc. Investor Relations, via e-mail, at investor.relations@firstmidwest.com.

Accompanying Financial Statements and Tables

Accompanying this press release is the following unaudited financial information:

--  Operating Highlights, Balance Sheet Highlights and Stock Performance
    Data (1 page)
--  Condensed Consolidated Statements of Condition (1 page)
--  Condensed Consolidated Statements of Income (1 page)
--  Selected Quarterly Data and Asset Quality (1 page)

Press Release and Additional Information Available on Website

This press release, the accompanying financial statements and tables, and certain additional unaudited Selected Financial Information (totaling 3 pages) are available through the "Investor Relations" section of First Midwest's website at www.firstmidwest.com.

First Midwest Bancorp, Inc.               Press Release Dated July 25, 2007

Operating Highlights
Unaudited                        Quarters Ended          Six Months Ended
                          ----------------------------  ------------------
(Amounts in thousands     Jun. 30,  Mar. 31,  Jun. 30,  Jun. 30,  Jun. 30,
 except per share data)     2007      2007      2006      2007      2006
                          --------  --------  --------  --------  --------
Net income                $ 29,311  $ 29,029  $ 28,735  $ 58,340  $ 54,503
Diluted earnings per
 share                    $   0.59  $   0.58  $   0.57  $   1.16  $   1.12
Return on average equity     15.47%    15.48%    16.50%    15.48%    17.02%
Return on average assets      1.44%     1.42%     1.33%     1.43%     1.35%
Net interest margin           3.61%     3.53%     3.70%     3.57%     3.73%
Efficiency ratio             52.13%    52.19%    52.12%    52.16%    51.84%



Balance Sheet Highlights
Unaudited                               Period Ending Balances As Of
                                  -----------------------------------------
(Amounts in thousands except per
 share data)                      Jun. 30, 2007 Mar. 31, 2007 Jun. 30, 2006
                                  ------------- ------------- -------------
Total assets                      $   8,055,358 $   8,235,110 $   8,692,828
Total loans                           4,909,858     4,993,620     5,041,345
Total deposits                        5,814,744     5,907,442     6,258,185
Stockholders' equity                    741,060       753,988       694,938
Book value per share              $       14.97 $       15.16 $       13.92
Period end shares outstanding            49,494        49,747        49,925



Stock Performance Data
Unaudited                                  Quarters Ended
                            ---------------------------------------------
                            Jun. 30, 2007   Mar. 31, 2007   Jun. 30, 2006
                            -------------   -------------   -------------
Market Price:
  Quarter End               $       35.51   $       36.75   $       37.08
  High                      $       38.17   $       39.31   $       37.52
  Low                       $       34.82   $       36.00   $       34.64
Quarter end price to book
 value                                2.4 x           2.4 x           2.7 x
Quarter end price to
 consensus estimated 2007
 earnings                            14.9 x           N/A             N/A
Dividends declared per
 share                      $       0.295   $       0.295   $       0.275





First Midwest Bancorp, Inc.               Press Release Dated July 25, 2007

Condensed Consolidated Statements of Condition
Unaudited (1)                                             June 30,
(Amounts in thousands)                            ------------------------
                                                     2007         2006
                                                  -----------  -----------
Assets
Cash and due from banks                           $   156,305  $   236,848
Funds sold and other short-term investments             8,996        7,399
Trading account securities                             17,403       14,051
Securities available for sale                       2,183,450    2,593,715
Securities held to maturity, at amortized cost        104,152      116,707
Loans                                               4,909,858    5,041,345
Reserve for loan losses                               (62,391)     (62,359)
                                                  -----------  -----------

  Net loans                                         4,847,467    4,978,986
                                                  -----------  -----------

Premises, furniture, and equipment                    128,448      121,796
Investment in corporate owned life insurance          199,396      193,048
Goodwill and other intangible assets                  290,447      298,803
Accrued interest receivable and other assets          119,294      131,475
                                                  -----------  -----------

  Total assets                                    $ 8,055,358  $ 8,692,828
                                                  -----------  -----------

Liabilities and Stockholders' Equity
Deposits                                          $ 5,814,744  $ 6,258,185
Borrowed funds                                      1,172,190    1,412,553
Subordinated debt                                     226,118      226,128
Accrued interest payable and other liabilities        101,246      101,024
                                                  -----------  -----------

  Total liabilities                                 7,314,298    7,997,890
                                                  -----------  -----------

Common stock                                              613          613
Additional paid-in capital                            205,836      204,519
Retained earnings                                     852,598      789,593
Accumulated other comprehensive (loss)                (35,148)     (33,175)
Treasury stock, at cost                              (282,839)    (266,612)
                                                  -----------  -----------

  Total stockholders' equity                          741,060      694,938
                                                  -----------  -----------

  Total liabilities and stockholders' equity      $ 8,055,358  $ 8,692,828
                                                  -----------  -----------


(1) While unaudited, the Condensed Consolidated Statements of Condition
    have been prepared in accordance with U.S. generally accepted
    accounting principles and, as of June 30, 2006, are derived from
    quarterly financial statements on which Ernst & Young LLP, First
    Midwest's independent registered public accounting firm, has rendered a
    Quarterly Review Report; Ernst & Young is currently in the process of
    completing their Quarterly Review Report for the quarter ended
    June 30, 2007.





First Midwest Bancorp, Inc.               Press Release Dated July 25, 2007

Condensed Consolidated Statements
 of Income                            Quarters Ended     Six Months Ended
Unaudited (1)                            June 30,            June 30,
                                    ------------------- -------------------
(Amounts in thousands except per
 share data)                          2007      2006      2007      2006
                                    --------- --------- --------- ---------

Interest Income
Loans                               $  92,273 $  90,512 $ 184,352 $ 164,827
Securities                             28,169    32,408    57,469    59,459
Other                                     229       130       439       289
                                    --------- --------- --------- ---------
   Total interest income              120,671   123,050   242,260   224,575
                                    --------- --------- --------- ---------
Interest Expense
Deposits                               41,593    36,546    83,720    65,014
Borrowed funds                         14,363    16,842    29,712    30,070
Subordinated debt                       3,751     3,704     7,494     6,068
                                    --------- --------- --------- ---------
   Total interest expense              59,707    57,092   120,926   101,152
                                    --------- --------- --------- ---------
   Net interest income                 60,964    65,958   121,334   123,423
Provision for loan losses               1,761     2,059     4,721     3,649
                                    --------- --------- --------- ---------
   Net interest income after
    provision for loan losses          59,203    63,899   116,613   119,774
                                    --------- --------- --------- ---------
Noninterest Income
Service charges on deposit
 accounts                              11,483    10,847    21,070    18,471
Trust and investment management
 fees                                   3,916     3,695     7,706     6,867
Other service charges,
 commissions, and fees                  6,099     4,837    11,258     9,302
Card-based fees                         4,181     3,762     7,892     6,331
                                    --------- --------- --------- ---------
   Subtotal, fee-based revenues        25,679    23,141    47,926    40,971
                                    --------- --------- --------- ---------
Corporate owned life insurance
 income                                 1,982     1,940     3,893     3,444
Security gains, net                       961        20     4,405       389
Other                                   2,001       166     3,099     1,835
                                    --------- --------- --------- ---------
   Total noninterest income            30,623    25,267    59,323    46,639
                                    --------- --------- --------- ---------
Noninterest Expense
Salaries and employee benefits         29,008    27,039    56,558    52,671
Net occupancy expense                   5,386     5,206    10,888     9,664
Equipment expense                       2,590     2,705     5,216     4,836
Technology and related costs            1,849     1,838     3,557     3,282
Other                                  11,904    15,202    22,673    25,249
                                    --------- --------- --------- ---------
   Total noninterest expense           50,737    51,990    98,892    95,702
                                    --------- --------- --------- ---------
Income before taxes                    39,089    37,176    77,044    70,711
Income tax expense                      9,778     8,441    18,704    16,208
                                    --------- --------- --------- ---------
   Net Income                       $  29,311 $  28,735 $  58,340 $  54,503
                                    --------- --------- --------- ---------
   Diluted Earnings Per Share       $    0.59 $    0.57 $    1.16 $    1.12
                                    --------- --------- --------- ---------
   Dividends Declared Per Share     $   0.295 $   0.275 $   0.590 $   0.550
                                    --------- --------- --------- ---------
   Weighted Average Diluted Shares
    Outstanding                        49,984    50,244    50,152    48,571
                                    --------- --------- --------- ---------


(1) While unaudited, the Condensed Consolidated Statements of Income have
    been prepared in accordance with U.S. generally accepted accounting
    principles and, for the quarter ended June 30, 2006, are derived from
    quarterly financial statements on which Ernst & Young LLP, First
    Midwest's independent registered public accounting firm, has rendered a
    Quarterly Review Report; Ernst & Young is currently in the process of
    completing their Quarterly Review Report for the quarter ended June 30,
    2007.





First Midwest Bancorp, Inc.               Press Release Dated July 25, 2007

Selected Quarterly Data
Unaudited                Year to Date
                     --------------------
(Amounts in
 thousands except
 per share data)      6/30/07    6/30/06
                     ---------  ---------

Net interest income  $ 121,334  $ 123,423
Provision for loan
 losses                  4,721      3,649
Noninterest income      59,323     46,639
Noninterest expense     98,892     95,702
Net income              58,340     54,503
Diluted earnings per
 share               $    1.16  $    1.12
Return on average
 equity                  15.48%     17.02%
Return on average
 assets                   1.43%      1.38%
Net interest margin       3.57%      3.73%
Efficiency ratio         52.16%     51.84%
                     ---------  ---------

Period end shares
 outstanding            49,494     49,925
Book value per share $   14.97  $   13.92
Dividends declared
 per share           $   0.590  $   0.550
                     ---------  ---------



Selected Quarterly Data
Unaudited                              Quarters Ended
                     -----------------------------------------------------
(Amounts in
 thousands except
 per share data)      6/30/07    3/31/07   12/31/06    9/30/06    6/30/06
                     ---------  ---------  ---------  ---------  ---------
Net interest income  $  60,964  $  60,370  $  62,763  $  65,673  $  65,958
Provision for loan
 losses                  1,761      2,960      3,865      2,715      2,059
Noninterest income      30,623     28,700     29,653     26,991     25,267
Noninterest expense     50,737     48,155     47,795     49,118     51,990
Net income              29,311     29,029     31,528     31,215     28,735
Diluted earnings per
 share               $    0.59  $    0.58  $    0.63  $    0.62  $    0.57
Return on average
 equity                  15.47%     15.48%     16.40%     17.09%     16.50%
Return on average
 assets                   1.44%      1.42%      1.47%      1.44%      1.33%
Net interest margin       3.61%      3.53%      3.57%      3.69%      3.70%
Efficiency ratio         52.13%     52.19%     49.56%     49.06%     52.12%
                     ---------  ---------  ---------  ---------  ---------
Period end shares
 outstanding            49,494     49,747     50,025     50,001     49,925
Book value per share $   14.97  $   15.16  $   15.01  $   14.92  $   13.92
Dividends declared
 per share           $   0.295  $   0.295  $   0.295  $   0.275  $   0.275
                     ---------  ---------  ---------  ---------  ---------



Asset Quality
Unaudited                Year to Date
                     --------------------
(Amounts in
 thousands)           6/30/07    6/30/06
                     ---------  ---------
Nonaccrual loans     $  14,927  $  15,447
Foreclosed real
 estate                  3,683      4,195
Loans past due 90
 days and still
 accruing               19,633     14,185
                     ---------  ---------
Nonperforming loans
 to loans                 0.30%      0.31%
Nonperforming
 assets to loans
 plus foreclosed
 real estate              0.38%      0.39%
Nonperforming assets
 plus loans past due
 90 days to loans
 plus foreclosed
 real estate              0.78%      0.67%
Reserve for loan
 losses to loans          1.27%      1.24%
Reserve for loan
 losses to
 nonperforming loans       418%       404%
                     ---------  ---------
Provision for loan
 losses              $   4,721  $   3,649
Net loan charge-offs     4,700      3,618
                     ---------  ---------
Net loan charge-offs
 to average loans         0.19%      0.16%
                     ---------  ---------



Asset Quality
Unaudited                                Quarters Ended
                     -----------------------------------------------------
(Amounts in
 thousands)           6/30/07    3/31/07   12/31/06    9/30/06    6/30/06
                     ---------  ---------  ---------  ---------  ---------
Nonaccrual loans     $  14,927  $  17,582  $  16,209  $  17,459  $  15,447
Foreclosed real
 estate                  3,683      3,195      2,727      4,088      4,195
Loans past due 90
 days and still
 accruing               19,633     15,603     12,810     11,296     14,185
                     ---------  ---------  ---------  ---------  ---------
Nonperforming loans
 to loans                 0.30%      0.35%      0.32%      0.34%      0.31%
Nonperforming
 assets to loans
 plus foreclosed
 real estate              0.38%      0.42%      0.38%      0.42%      0.39%
Nonperforming assets
 plus loans past due
 90 days to loans
 plus foreclosed
 real estate              0.78%      0.73%      0.63%      0.65%      0.67%
Reserve for loan
 losses to loans          1.27%      1.25%      1.25%      1.23%      1.24%
Reserve for loan
 losses to
 nonperforming loans       418%       355%       385%       357%       404%
                     ---------  ---------  ---------  ---------  ---------
Provision for loan
 losses              $   1,761  $   2,960  $   3,865  $   2,715  $   2,059
Net loan charge-offs     1,770      2,930      3,865      2,704      2,053
                     ---------  ---------  ---------  ---------  ---------
Net loan charge-offs
 to average loans         0.14%      0.24%      0.30%      0.21%      0.16%
                     ---------  ---------  ---------  ---------  ---------

Contact Information: CONTACT: Paul F. Clemens EVP, Chief Financial Officer (630) 875-7347 www.firstmidwest.com First Midwest Bancorp, Inc. One Pierce Place, Suite 1500 Itasca, Illinois 60143 (630) 875-7450