IBERIABANK Corporation Announces New Strategic Goals
PRNewswire-FirstCall
LAFAYETTE, La.

IBERIABANK Corporation , the holding company of the 118-year-old IBERIABANK (http://www.iberiabank.com/ ), announced its strategic direction and focus for the next three to five year period. This goal setting process follows the original strategic direction presented in February 2000 by the leadership team led by Daryl G. Byrd, President and Chief Executive Officer of the Company.

Goals Communicated In 2000

In February 2000, the Company announced a significant change in strategic direction from past practices by focusing on a dramatic improvement in the profitability and rebuilding the infrastructure of the Company. At the time of the announcement, the Company embarked upon the following goals:

   1) Improve return on average equity ("ROE") from a starting point of 9%
      to a range of 13% to 15% by the end of the period.  In the fourth
      quarter of 2004, the Company reported ROE of 13.36%.

   2) Improve tangible efficiency ratio (defined as total noninterest
      expense excluding the effect of amortization of goodwill and
      acquisition related intangibles divided by total revenues on a
      tax-equivalent basis) from a starting point of 65% to less than 50% by
      the end of the period.  In the fourth quarter of 2004, the Company
      reported tangible efficiency ratio of 50%.

   3) Deliver annual "double-digit" growth in fully diluted earnings per
      share ("EPS"), 7% to 10% annual loan growth and 2% to 4% annual
      deposit growth throughout the period.  The Company reported the
      following annual growth factors:



                                                  Average Annual Growth
   Year   Accounting Changes   EPS*   % Change    Loans         Deposits

   2000                        $2.12    +18%**     +15%           (1%)
   2001                        $2.36    +11%        +4%           +7%
   2002   Excluding FAS142     $2.69    +14%        +3%           +1%
          Including FAS142     $3.02    +28%       ---           ---
   2003                        $3.42    +13%       +34%          +22%
   2004                        $3.76    +10%       +17%          +17%

   *   Reported fully-diluted annual earnings per share, including one-time
       merger related charges.
   **  1999 EPS excludes one-time restructuring charges incurred in
       December 1999.  Otherwise, the growth figure would be 31%.



The earnings, dividends, balance sheet growth, and goal attainment during this initial five year period resulted in exceptional benefits to the Company's shareholders. As evidenced in the following table, the total return to the Company's shareholders during this five year period outpaced many comparable investments.

   Index For      12/31/99  12/31/00  12/31/01  12/31/02  12/31/03  12/31/04
    Period Ending

   IBERIABANK
    Corporation     100       165       215       319       477       546
   NASDAQ
    Composite       100        61        48        33        50        55
   SNL $1B-$5B
    Bank Index      100       113       138       159       216       267



The table above compares the cumulative total return on the Company's common stock over a measurement period beginning December 31, 1999 with (a) the cumulative total return on the stocks included in the NASDAQ Composite Index and (b) the cumulative total return on the stocks included in the SNL Financial LC ("SNL") $1 Billion to $5 Billion Bank Index. All of these cumulative returns are computed assuming the quarterly reinvestment of dividends paid during the applicable period. SNL reserves all copyrights in the above table, except viewers are permitted to print this table. The Company is not responsible for any errors or omissions in such information.

Continued Strategic Focus

The leadership team of the Company considers this first phase of the Company's development complete and is currently preparing for the next phase. The Company announced today the strategic and financial goals for the Company for the next three to five year period. Daryl Byrd commented, "We are delighted to declare the completion of the ambitious goals we outlined in February 2000. Through the diligent efforts and contributions over the last five years of our associates, leadership team, Advisory Boards, and corporate Board members, we produced truly outstanding results." Byrd continued, "We strongly believe that continuous improvement, in a high quality manner, is a way of life for high performing institutions. Therefore, we are very excited to commence the next stage of our corporate development and we remain unwavering in our Mission Statement."

                 IBERIABANK Corporation Mission Statement

   * Provide exceptional value-based client service
   * Great place to work
   * Growth that is consistent with high performance
   * Shareholder focused
   * Strong sense of community

The Company's announcement today also emphasized continuity, in many ways, with the current strategic direction -- internal growth supplemented with targeted acquisitions that add strategic and financial value to the franchise. From an internal growth perspective, the Company continues to focus on expansion with current clients and targeted clients, and by attracting solid relationship managers who concur with the Company's philosophical approach. The Company has stated a firm belief that:

   * people drive banking relationships, not facilities and products,
   * clients prefer a relationship with their banker rather than being
     served in a transactional manner,
   * decisions are better made close to the client, and
   * self-motivated and hard working associates produce outstanding results
     when given the proper tools, incentives, and leadership.

From a geographic perspective, the Company maintains a primary focus on the metropolitan markets in Louisiana and other markets in which the Company's business model has a high probability of success or in which the Company possesses a clear competitive advantage. Expansion in New Orleans since 2000 and entrance into the Baton Rouge and Shreveport markets during 2004 provide historical evidence of the Company's success in this methodical approach. The Company believes it has demonstrated an ability to excel in both franchise improvement opportunities and consistent, high quality growth. While the Company has periodically researched and explored markets and opportunities outside of the Louisiana metropolitan markets, few opportunities over the last five years provided the favorable characteristics of the Company's current focus. The Company will continue to explore opportunities in this regard, with a similar conservative and creative approach demonstrated over the preceding five years. The primary focus of the leadership team continues to be improving long-term shareholder value.

Goals Communicated In 2005

The goals for the next three to five year period were determined with the primary objectives of being simple, measurable, challenging, consistent, and focused on improving long-term shareholder value. With these primary objectives, the Company considered many alternative financial and non- financial measures, including measures used in the past. The Company announced the following goals for the next three to five year period ("Period"):

   1) Improve return on average tangible equity ("ROTE"), defined as (i) net
      income, excluding the effect of amortization of goodwill and
      acquisition related intangibles, one-time merger related costs, and
      changes in accounting rules divided by (ii) average shareholders'
      equity, excluding the effect of goodwill and acquisition related
      average balances, to a range of 23.00% to 25.00% by the end of the
      Period.  As points of reference, the Company reported ROTE of 19.52%
      for the full year of 2004 and 19.84% in the fourth quarter of 2004.

      The primary reason for using ROTE is that the Company believes
      traditional ROE measures penalize companies that have historically
      completed acquisitions using only purchase accounting treatment and
      not pooling of interests treatment.  The Company believes ROTE "levels
      the playing field" between purchase and pooling of interests
      accounting treatments.

   2) Maintain a tangible efficiency ratio (as defined earlier, but
      excluding one-time merger related expenses and changes in accounting
      rules) of less than 50.0% throughout the Period.  The Company reported
      a tangible efficiency ratio of 53.2% for the full year of 2004 and
      50.3% in the fourth quarter of 2004.

      The Company understands that Louisiana is the only state in the union
      to exclusively impose a "shares tax" as opposed to a state income tax.
      Shares tax is reported in financial statements as a noninterest
      expense item, as opposed to the income tax line (income taxes are
      generally not included in most efficiency ratios).  Therefore,
      comparing the Company's current tangible efficiency ratio to other
      bank holding companies whose headquarters are outside of Louisiana may
      be potentially misleading.  As a result, the Company is exploring
      various alternatives to alleviate this disparity.

   3) Strive for annual "double-digit" growth in EPS throughout the Period,
      exclusive of one-time merger related costs and changes in accounting
      rules.  Of the 273 publicly traded bank holding companies in the
      United States, only 13 produced double-digit growth in EPS in each of
      the last five years.  The Company is proud to be one of the
      13 consistent double-digit EPS growth performers.

      The Company recorded one-time merger related charges totaling
      approximately $650,000 in association with the American Horizons
      Bancorp, Inc. acquisition that was completed on January 31, 2005.
      These merger related charges, incurred in the first quarter of 2005,
      are associated with lease termination costs, employee severance, and
      other one-time costs.

   4) Deliver top quartile performance in asset quality relative to peers.
      Peers are currently defined as bank holding companies with total
      assets between $1 billion and $5 billion.  The metrics to measure top
      quartile performance include:

      a) Ratio of nonperforming assets to total assets.  Nonperforming
         assets would be defined to include nonaccruing loans, OREO,
         restructured loans, and loans past due 90 days or more.  The
         Company anticipates periodic increases in this ratio due to
         generally less favorable asset quality metrics at many potential
         acquisition candidates and the result of the Company's continuous
         portfolio management process.  The Company expects it will revert
         back to top quartile performance over time.  At September 30, 2004,
         the Company was in the 74th percentile of peers in this metric.

      b) Loan loss reserve coverage of nonperforming assets.  At
         September 30, 2004, the Company was in the 73rd percentile of peers
         in this metric.

These financial goals and strategic directions provide shareholders of our Company a roadmap for continued exceptional performance. The leadership team expects to continue to attract talented strategic hires and acquisition partners that will further enhance the near-term and long-term value of the franchise. Over the last five years, the Company's market capitalization has grown steadily from $86 million at year-end 1999 to approximately $450 million currently. IBERIABANK Corporation is one of the oldest financial institutions with continuous operations in the State of Louisiana and is soon to be the second largest Louisiana-based bank holding company. The Company operates 43 offices located in New Orleans, Baton Rouge, Shreveport, Northeast Louisiana, and the Acadiana region of Louisiana. The Company's common stock trades on NASDAQ under the symbol "IBKC" and the Company's website is http://www.iberiabank.com/ .

The Company will host a live conference call to discuss the financial results for the quarter ending March 31, 2005 and to further discuss the goals and strategic focus of the Company. The telephone conference call will be held on Thursday, April 21, 2005, beginning at 8:00 a.m. Central Time by dialing 1-800-288-8975. The confirmation code for the call is 775850. A replay of the call will be available until midnight Central Time on April 28, 2005 by dialing 1-800-475-6701. The confirmation code for the replay is 775850.

This press release contains financial information determined by methods other than in accordance with GAAP. The Company's management uses these non- GAAP measures in their analysis of the Company's performance. These measures typically adjust GAAP performance measures to exclude the effects of the amortization of intangibles and include the tax benefit associated with revenue items that are tax-exempt. Since the presentation of these GAAP performance measures and their impact differ between companies, management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures, which may be presented by other companies.

Forward-Looking Statements

To the extent that statements in this press release relate to future plans, objectives, financial results or performance of IBERIABANK Corporation, these statements are deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements, which are based on management's current information, estimates and assumptions and the current economic environment, are generally identified by the use of the words "plan", "believe", "expect", "intend", "anticipate", "estimate", "project" or similar expressions. IBERIABANK Corporation's actual strategies and results in future periods may differ materially from those currently expected due to various risks and uncertainties. Factors that may cause actual results to differ materially from these forward-looking statements include, but are not limited to, changes in market and economic conditions; changes in interest rates, deposit flows, loan demand and real estate values; competitive pressures; changes in accounting principles, policies or guidelines; changes in the Company's loan or investment portfolio; legislative or regulatory changes; changes in monetary or fiscal policies; military or terrorist activities; litigation costs and expenses; and other economic, competitive, governmental, regulatory and technological factors affecting the Company's business activities and prospects. Factors affecting IBERIABANK Corporation are discussed in the Company's periodic and other filings with the Securities and Exchange Commission, available at the SEC's website, http://www.sec.gov/ , and the Company's website, http://www.iberiabank.com/ .

SOURCE: IBERIABANK Corporation

CONTACT: Daryl G. Byrd, President and CEO, +1-337-521-4003, or John R.
Davis, Senior Executive Vice President, +1-337-521-4005, both of IBERIABANK
Corporation