Exhibit 99.1

NEWS RELEASE
For more information:
Investors: Joe Selner, Chief Financial Officer, 920-491-7120
Media: Janet L. Ford, VP of Public Relations, 414-207-5070

Associated earns 30 cents per share in third quarter of 2008

• Net income of $37.8 million, or $0.30 per share

• Provision for loan losses of $55 million and net charge offs of $38 million, consistent with second quarter levels

• Allowance for loan losses to loans ratio increased to 1.51% from 1.42% at June 30

• Other-than-temporary valuation charges of $13.6 million ($0.07 per share after tax)

• Tangible capital ratio remains at 6.50%

GREEN BAY, Wis. – Oct. 16, 2008 – Associated Banc-Corp (NASDAQ: ASBC) reported net income of $37.8 million, or $0.30 per share, for the third quarter of 2008. Comparatively, net income was $47.4 million ($0.37 per share) for second quarter 2008 and $71.7 million ($0.56 per share) for the third quarter of 2007. Book value per share rose to $18.52 at Sept. 30, 2008, up 3 percent over a year ago. The tangible capital ratio of 6.50 percent for Sept. 30 was unchanged from June 30.

Net income was $151.6 million, or $1.19 per share, for the nine months ending Sept. 30, 2008, compared to net income of $221.0 million, or $1.72 per share, for the comparable period of 2007.

Quarterly earnings were impacted by other-than-temporary valuation losses of $13.6 million, or $0.07 per share after tax, related predominantly to preferred stock holdings of Freddie Mac and Fannie Mae.

Provision for loan losses was $55 million and net charge offs were $38 million, compared to $59 million and $37 million, respectively, for second quarter 2008. Nonperforming loans increased $16 million during the quarter to $305 million. On a year-to-date basis, the 2008 provision was $137 million, and net charge offs were $91 million (representing 76 basis points of average loans). Comparatively, for the first nine months of 2007, the provision for loan losses was $19 million, and net charge offs were $25 million (or 22 basis points of average loans). The allowance for loan losses to total loans ratio increased to 1.51 percent at Sept. 30, 2008, compared to 1.42 percent at June 30, and 1.29 percent at year-end 2007.

Net interest income was $167 million for the third quarter, $6 million lower than the second quarter. The net interest margin was 3.48 percent for third quarter, down from 3.65 percent in second quarter. Associated anticipates that the fourth quarter margin will benefit from the current environment.

On average, loans were $16.2 billion for the third quarter of 2008, up $0.1 billion or 2 percent annualized over the second quarter of 2008, led by home equity loan growth (up $0.2 billion). On a period end basis, loans were $16.3 billion, up $0.1 billion (3 percent annualized) since June 30.

Deposits, on average, were $13.7 billion for the third quarter of 2008, up $0.2 billion compared to second quarter, primarily attributable to higher network transaction deposits and non-brokered time deposits. At Sept. 30, deposits were $14.2 billion, up $0.9 billion over June 30.

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ASBC 3Q ’08 page 2 of 2

Core fee-based revenues were $71 million, up $3 million or 4 percent over the second quarter 2008, and up $6 million or 9 percent over the third quarter a year ago, led predominantly by increased service charges on deposit accounts for both comparable periods.

Total noninterest expense was $137 million for third quarter 2008, up $0.8 million (less than 1 percent) over second quarter, and up $2.6 million (2 percent) over third quarter 2007. The efficiency ratio was 52.18 percent and 51.89 percent, respectively, for the three and nine months ended Sept. 30, 2008.

The tangible capital ratio remained stable at 6.50 percent at Sept. 30. In its opening offering week in mid-September, Associated successfully sold $25.8 million of subordinated debt to retail investors through co-agents and a national broker dealer network.

Associated will host a conference call for investors and analysts at 3 p.m. Central Time (CT) today, October 16, 2008. The toll-free dial-in number for the live call is 800-762-8779. The number for international callers is 480-248-5081. Participants should ask the operator for the Associated Banc-Corp third quarter 2008 earnings call, or for call ID number 3927618. A replay of the call will be available starting at 6 p.m. CT Oct. 16, 2008, through Nov. 6, 2008, by calling 800-406-7325 (toll-free) domestically or 303-590-3030 internationally. The call ID number, 3927618, is required to access the replay.

Associated Banc-Corp, headquartered in Green Bay, Wis., is a diversified bank holding company with total assets of $22 billion. Associated has approximately 300 banking offices serving 180 communities in Wisconsin, Illinois, and Minnesota. The company offers a full range of traditional banking services and a variety of other financial products and services. More information about Associated Banc-Corp is available at www.associatedbank.com.

Statements made in this document that are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management’s plans, objectives, or goals for future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Forward-looking statements are based on current management expectations and, by their nature, are subject to risks and uncertainties. These statements may be identified by the use of words such as “believe,” “expect,” “anticipate,” “plan,” “estimate,” “should,” “will,” “intend,” or similar expressions. Outcomes related to such statements are subject to numerous risk factors and uncertainties including those listed in the company’s Annual Report filed on Form 10-K.

Six pages of tables follow.

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Consolidated Balance Sheets (Unaudited)
Associated Banc-Corp

	September 30,			December 31,			Sep08 vs Dec07			September 30,			Sep08 vs Sep07
(in thousands)	2008			2007			% Change			2007			% Change
Assets
Cash and due from banks	$	623,132		$	553,031			12.7	%	$	358,662			73.7	%
Interest-bearing deposits in other financial institutions		12,288			11,671			5.3	%		10,809			13.7	%
Federal funds sold and securities purchased under agreements to resell		60,655			22,447			170.2	%		11,441			430.2	%
Investment securities available for sale, at fair value		3,616,817			3,543,019			2.1	%		3,521,307			2.7	%
Loans held for sale		40,912			94,441			(56.7	%)		62,632			(34.7	%)
Loans		16,272,487			15,516,252			4.9	%		15,174,758			7.2	%
Allowance for loan losses		(246,189	)		(200,570	)		22.7	%		(200,560	)		22.8	%
Loans, net		16,026,298			15,315,682			4.6	%		14,974,198			7.0	%
Premises and equipment, net		188,817			197,446			(4.4	%)		197,114			(4.2	%)
Goodwill		929,168			929,168			0.0	%		929,168			0.0	%
Other intangible assets, net		90,138			92,220			(2.3	%)		96,427			(6.5	%)
Other assets		899,169			832,958			7.9	%		778,249			15.5	%
Total assets	$	22,487,394		$	21,592,083			4.1	%	$	20,940,007			7.4	%
Liabilities and Stockholders’ Equity
Noninterest-bearing deposits	$	2,545,779		$	2,661,078			(4.3	%)	$	2,407,026			5.8	%
Interest-bearing deposits, excluding Brokered CDs		11,120,281			10,903,198			2.0	%		10,950,921			1.5	%
Brokered CDs		579,607			409,637			41.5	%		800,422			(27.6	%)
Total deposits		14,245,667			13,973,913			1.9	%		14,158,369			0.6	%
Short-term borrowings		4,106,015			3,226,787			27.2	%		2,349,525			74.8	%
Long-term funding		1,561,722			1,864,771			(16.3	%)		1,933,871			(19.2	%)
Accrued expenses and other liabilities		209,743			196,907			6.5	%		207,060			1.3	%
Total liabilities		20,123,147			19,262,378			4.5	%		18,648,825			7.9	%
Stockholders’ Equity
Preferred stock		—			—						—
Common stock		1,280			1,278			0.2	%		1,278			0.2	%
Surplus		1,051,976			1,040,694			1.1	%		1,039,027			1.2	%
Retained earnings		1,321,323			1,305,136			1.2	%		1,281,352			3.1	%
Accumulated other comprehensive loss		(10,332	)		(2,498	)		313.6	%		(11,979	)		(13.7	%)
Treasury stock, at cost		—			(14,905	)		(100.0	%)		(18,496	)		(100.0	%)
Total stockholders’ equity		2,364,247			2,329,705			1.5	%		2,291,182			3.2	%
Total liabilities and stockholders’ equity	$	22,487,394		$	21,592,083			4.1	%	$	20,940,007			7.4	%

Consolidated Statements of Income (Unaudited)
Associated Banc-Corp

	For The Three Months Ended								For The Nine Months Ended
	September 30,					Quarter			September 30,					Year-to-Date
(in thousands, except per share amounts)	2008			2007		% Change			2008			2007		% Change
Interest Income
Interest and fees on loans	$	229,001		$	283,330		(19.2	%)	$	721,781		$	834,272		(13.5	%)
Interest and dividends on investment securities and deposits in other financial institutions
Taxable		32,209			31,140		3.4	%		95,439			92,249		3.5	%
Tax-exempt		9,887			9,924		(0.4	%)		29,922			29,503		1.4	%
Interest on federal funds sold and securities purchased under agreements to resell		279			214		30.4	%		698			721		(3.2	%)
Total interest income		271,376			324,608		(16.4	%)		847,840			956,745		(11.4	%)
Interest Expense
Interest on deposits		61,743			104,596		(41.0	%)		206,904			304,675		(32.1	%)
Interest on short-term borrowings		23,958			31,548		(24.1	%)		76,494			102,154		(25.1	%)
Interest on long-term funding		19,158			25,391		(24.5	%)		60,076			70,322		(14.6	%)
Total interest expense		104,859			161,535		(35.1	%)		343,474			477,151		(28.0	%)
Net Interest Income		166,517			163,073		2.1	%		504,366			479,594		5.2	%
Provision for loan losses		55,011			8,733		529.9	%		137,014			19,008		620.8	%
Net interest income after provision for loan losses		111,506			154,340		(27.8	%)		367,352			460,586		(20.2	%)
Noninterest Income
Trust service fees		10,020			10,886		(8.0	%)		30,172			31,906		(5.4	%)
Service charges on deposit accounts		33,609			26,609		26.3	%		87,422			75,176		16.3	%
Card-based and other nondeposit fees		12,517			12,436		0.7	%		36,243			35,470		2.2	%
Retail commissions		14,928			15,476		(3.5	%)		47,047			46,728		0.7	%
Mortgage banking, net		3,571			3,006		18.8	%		15,911			22,252		(28.5	%)
Bank owned life insurance income		5,235			4,650		12.6	%		15,093			13,179		14.5	%
Asset sale gains (losses), net		573			2,220		(74.2	%)		(614	)		4,545		(113.5	%)
Investment securities gains (losses), net		(13,585	)		1,879		(823.0	%)		(17,243	)		8,989		(291.8	%)
Other		8,455			7,758		9.0	%		30,545			20,863		46.4	%
Total noninterest income		75,323			84,920		(11.3	%)		244,576			259,108		(5.6	%)
Noninterest Expense
Personnel expense		78,395			76,617		2.3	%		232,104			226,941		2.3	%
Occupancy		12,037			11,967		0.6	%		37,327			34,875		7.0	%
Equipment		5,088			4,440		14.6	%		14,338			13,088		9.6	%
Data processing		7,634			7,991		(4.5	%)		23,005			23,501		(2.1	%)
Business development and advertising		5,175			4,830		7.1	%		15,353			14,303		7.3	%
Other intangible amortization		1,568			1,979		(20.8	%)		4,705			5,358		(12.2	%)
Other		26,680			26,185		1.9	%		81,878			76,723		6.7	%
Total noninterest expense		136,577			134,009		1.9	%		408,710			394,789		3.5	%
Income before income taxes		50,252			105,251		(52.3	%)		203,218			324,905		(37.5	%)
Income tax expense		12,483			33,510		(62.7	%)		51,625			103,944		(50.3	%)
Net Income	$	37,769		$	71,741		(47.4	%)	$	151,593		$	220,961		(31.4	%)
Earnings Per Share:
Basic	$	0.30		$	0.57		(47.4	%)	$	1.19		$	1.73		(31.2	%)
Diluted	$	0.30		$	0.56		(46.4	%)	$	1.19		$	1.72		(30.8	%)
Average Shares Outstanding:
Basic		127,553			126,958		0.5	%		127,428			127,513		(0.1	%)
Diluted		127,711			127,847		(0.1	%)		127,843			128,638		(0.6	%)

Consolidated Statements of Income (Unaudited) — Quarterly Trend
Associated Banc-Corp

(in thousands, except per share amounts)	3Q08			2Q08			1Q08			4Q07			3Q07
Interest Income
Interest and fees on loans	$	229,001		$	237,727		$	255,053		$	277,647		$	283,330
Interest and dividends on investment securities and deposits in other financial institutions
Taxable		32,209			31,878			31,352			30,712			31,140
Tax-exempt		9,887			9,776			10,259			10,394			9,924
Interest on federal funds sold and securities purchased under agreements to resell		279			213			206			214			214
Total interest income		271,376			279,594			296,870			318,967			324,608
Interest Expense
Interest on deposits		61,743			63,655			81,506			98,678			104,596
Interest on short-term borrowings		23,958			24,363			28,173			32,470			31,548
Interest on long-term funding		19,158			18,844			22,074			23,600			25,391
Total interest expense		104,859			106,862			131,753			154,748			161,535
Net Interest Income		166,517			172,732			165,117			164,219			163,073
Provision for loan losses		55,011			59,001			23,002			15,501			8,733
Net interest income after provision for loan losses		111,506			113,731			142,115			148,718			154,340
Noninterest Income
Trust service fees		10,020			10,078			10,074			10,723			10,886
Service charges on deposit accounts		33,609			30,129			23,684			25,866			26,609
Card-based and other nondeposit fees		12,517			12,301			11,425			12,088			12,436
Retail commissions		14,928			16,004			16,115			14,917			15,476
Total core fee-based revenue		71,074			68,512			61,298			63,594			65,407
Mortgage banking, net		3,571			5,395			6,945			498			3,006
Bank owned life insurance income		5,235			4,997			4,861			4,240			4,650
Asset sale gains (losses), net		573			(731	)		(456	)		11,062			2,220
Investment securities gains (losses), net		(13,585	)		(718	)		(2,940	)		(815	)		1,879
Other		8,455			9,170			12,920			7,094			7,758
Total noninterest income		75,323			86,625			82,628			85,673			84,920
Noninterest Expense
Personnel expense		78,395			78,066			75,643			76,487			76,617
Occupancy		12,037			12,026			13,264			11,784			11,967
Equipment		5,088			4,653			4,597			4,820			4,440
Data processing		7,634			8,250			7,121			8,189			7,991
Business development and advertising		5,175			5,137			5,041			5,482			4,830
Other intangible amortization		1,568			1,568			1,569			1,758			1,979
Other		26,680			26,121			29,077			31,582			26,185
Total noninterest expense		136,577			135,821			136,312			140,102			134,009
Income before income taxes		50,252			64,535			88,431			94,289			105,251
Income tax expense		12,483			17,176			21,966			29,498			33,510
Net Income	$	37,769		$	47,359		$	66,465		$	64,791		$	71,741
Earnings Per Share:
Basic	$	0.30		$	0.37		$	0.52		$	0.51		$	0.57
Diluted	$	0.30		$	0.37		$	0.52		$	0.51		$	0.56
Average Shares Outstanding:
Basic		127,553			127,433			127,298			127,095			126,958
Diluted		127,711			127,964			127,825			127,835			127,847

Selected Quarterly Information
Associated Banc-Corp

(in thousands, except per share and full time equivalent employee data)	YTD 2008			YTD 2007			3rd Qtr 2008			2nd Qtr 2008			1st Qtr 2008			4th Qtr 2007			3rd Qtr 2007
Summary of Operations
Net interest income	$	504,366		$	479,594		$	166,517		$	172,732		$	165,117		$	164,219		$	163,073
Provision for loan losses		137,014			19,008			55,011			59,001			23,002			15,501			8,733
Asset sale gains (losses), net		(614	)		4,545			573			(731	)		(456	)		11,062			2,220
Investment securities gains (losses), net		(17,243	)		8,989			(13,585	)		(718	)		(2,940	)		(815	)		1,879
Noninterest income (excluding securities & asset gains)		262,433			245,574			88,335			88,074			86,024			75,426			80,821
Noninterest expense		408,710			394,789			136,577			135,821			136,312			140,102			134,009
Income before income taxes		203,218			324,905			50,252			64,535			88,431			94,289			105,251
Income taxes		51,625			103,944			12,483			17,176			21,966			29,498			33,510
Net income		151,593			220,961			37,769			47,359			66,465			64,791			71,741
Taxable equivalent adjustment		20,809			20,140			6,899			6,814			7,096			7,119			6,856
Per Common Share Data (1)
Net income:
Basic	$	1.19		$	1.73		$	0.30		$	0.37		$	0.52		$	0.51		$	0.57
Diluted		1.19			1.72			0.30			0.37			0.52			0.51			0.56
Dividends		0.95			0.91			0.32			0.32			0.31			0.31			0.31
Market Value:
High	$	29.23		$	35.43		$	25.92		$	29.23		$	28.86		$	30.49		$	33.05
Low		14.85			26.86			14.85			19.29			22.60			25.23			26.86
Close		19.95			29.63			19.95			19.29			26.63			27.09			29.63
Book value		18.52			18.04			18.52			18.46			18.71			18.32			18.04
Performance Ratios (annualized)
Earning assets yield		5.90	%		7.03	%		5.58	%		5.82	%		6.33	%		6.88	%		7.05	%
Interest-bearing liabilities rate		2.71			4.03			2.44			2.53			3.19			3.82			4.02
Net interest margin		3.57			3.59			3.48			3.65			3.58			3.62			3.62
Return on average assets		0.93			1.44			0.68			0.87			1.25			1.23			1.38
Return on average equity		8.57			13.18			6.38			8.01			11.34			11.23			12.69
Return on tangible average equity (2)		14.52			22.73			10.83			13.51			19.26			19.50			22.42
Efficiency ratio (3)		51.89			52.97			52.18			50.75			52.79			56.78			53.44
Effective tax rate		25.40			31.99			24.84			26.61			24.84			31.28			31.84
Dividend payout ratio (4)		79.83			52.60			106.67			86.49			59.62			60.78			54.39
Average Balances
Assets	$	21,833,664		$	20,537,911		$	22,072,948		$	21,975,451		$	21,449,963		$	20,935,023		$	20,678,498
Earning assets		19,639,329			18,575,919			19,884,434			19,754,651			19,276,208			18,849,079			18,685,978
Interest-bearing liabilities		16,904,447			15,818,037			17,107,551			16,992,508			16,611,047			16,090,488			15,941,683
Loans		16,011,627			15,075,639			16,203,717			16,120,732			15,708,321			15,301,761			15,183,444
Deposits		13,616,134			13,735,336			13,710,297			13,493,511			13,643,559			13,760,991			13,940,970
Wholesale funding		5,707,467			4,443,557			5,876,051			5,950,699			5,293,797			4,750,471			4,386,354
Stockholders’ equity		2,363,033			2,241,866			2,353,606			2,377,841			2,357,757			2,289,522			2,242,665
Stockholders’ equity / assets		10.82	%		10.92	%		10.66	%		10.82	%		10.99	%		10.94	%		10.85	%
At Period End
Assets							$	22,487,394		$	22,302,704		$	21,903,753		$	21,592,083		$	20,940,007
Loans								16,272,487			16,149,327			15,785,283			15,516,252			15,174,758
Allowance for loan losses								246,189			229,605			207,602			200,570			200,560
Goodwill								929,168			929,168			929,168			929,168			929,168
Mortgage servicing rights, net								53,977			54,725			51,013			51,187			53,636
Other intangible assets								36,161			37,896			39,464			41,033			42,791
Deposits								14,245,667			13,378,734			13,882,174			13,973,913			14,158,369
Wholesale funding								5,667,737			6,359,811			5,388,923			5,091,558			4,283,396
Stockholders’ equity								2,364,247			2,353,882			2,382,418			2,329,705			2,291,182
Stockholders’ equity / assets								10.51	%		10.55	%		10.88	%		10.79	%		10.94	%
Tangible equity / tangible assets (5)								6.50	%		6.50	%		6.75	%		6.59	%		6.61	%
Shares outstanding, end of period								127,646			127,537			127,365			127,160			127,035
Shares repurchased during period, including settlements (6)								—			—			—			—			11
Average per share cost of shares repurchased during period (6)							$	—		$	—		$	—		$	—		$	—
YTD shares repurchased during period, including settlements (6)								—			—			—			3,920			3,920
YTD average per share cost of shares repurchased during period (6)							$	—		$	—		$	—		$	34.15		$	34.15
Selected trend information
Average full time equivalent employees								5,141			5,179			5,093			5,095			5,200
Trust assets under management, at market value							$	5,600,000		$	5,900,000		$	6,000,000		$	6,100,000		$	6,200,000
Mortgage loans originated for sale during period								217,993			431,757			516,780			333,331			353,233
Mortgage portfolio serviced for others								6,596,000			6,584,000			6,472,000			6,403,000			6,297,000
Mortgage servicing rights, net / Portfolio serviced for others								0.82	%		0.83	%		0.79	%		0.80	%		0.85	%

(1)	Per share data adjusted retroactively for stock splits and stock dividends.
(2)	Return on tangible average equity = Net income divided by average equity excluding average goodwill and other intangible assets. This is a non-GAAP financial measure.
(3)	Efficiency ratio = Noninterest expense divided by sum of taxable equivalent net interest income plus noninterest income, excluding investment securities gain, net, and asset sales gains, net.
(4)	Ratio is based upon basic earnings per share.
(5)	Tangible equity to tangible assets = Stockholders’ equity excluding goodwill and other intangible assets divided by assets excluding goodwill and other intangible assets. This is a non-GAAP financial measure.
(6)	Does not include shares repurchased for minimum tax withholding on equity compensation.

Financial Summary and Comparison
Associated Banc-Corp

	Three months ended									Nine months ended
	September 30,									September 30,
(in thousands)	2008			2007			% Change			2008			2007			% Change
Allowance for Loan Losses
Beginning balance	$	229,605		$	206,493			11.2	%	$	200,570		$	203,481			(1.4	%)
Balance related to acquisition		—			—			N/M			—			2,991			N/M
Provision for loan losses		55,011			8,733			529.9	%		137,014			19,008			620.8	%
Charge offs		(40,344	)		(15,966	)		152.7	%		(98,076	)		(30,093	)		225.9	%
Recoveries		1,917			1,300			47.5	%		6,681			5,173			29.2	%
Net charge offs		(38,427	)		(14,666	)		162.0	%		(91,395	)		(24,920	)		266.8	%
Ending balance	$	246,189		$	200,560			22.8	%	$	246,189		$	200,560			22.8	%

Credit Quality							Sep08 vs Jun08												Sep08 vs Sep07
	Sept 30, 2008			Jun 30, 2008			% Change			Mar 31, 2008			Dec 31, 2007			Sept 30, 2007			% Change
Nonaccrual loans	$	290,039		$	277,100			4.7	%	$	197,498		$	152,528		$	142,509			103.5	%
Loans 90 or more days past due and still accruing		14,631			11,762			24.4	%		9,959			10,118			8,163			79.2	%
Total nonperforming loans		304,670			288,862			5.5	%		207,457			162,646			150,672			102.2	%
Other real estate owned (OREO)		46,473			46,579			(0.2	%)		26,798			26,489			20,866			122.7	%
Total nonperforming assets	$	351,143		$	335,441			4.7	%	$	234,255		$	189,135		$	171,538			104.7	%
Provision for loan losses		55,011			59,001			(6.8	%)		23,002			15,501			8,733			529.9	%
Net charge offs		38,427			36,998			3.9	%		15,970			15,491			14,666			162.0	%
Allowance for loan losses / loans		1.51	%		1.42	%					1.32	%		1.29	%		1.32	%
Allowance for loan losses / nonperforming loans		80.81			79.49						100.07			123.32			133.11
Nonperforming loans / total loans		1.87			1.79						1.31			1.05			0.99
Nonperforming assets / total loans plus OREO		2.15			2.07						1.48			1.22			1.13
Nonperforming assets / total assets		1.56			1.50						1.07			0.88			0.82
Net charge offs / average loans (annualized)		0.94			0.92						0.41			0.40			0.38
Year-to-date net charge offs / average loans		0.76			0.67						0.41			0.27			0.22
Nonperforming loans by type:
Commercial, financial & agricultural	$	85,995		$	78,731			9.2	%	$	54,919		$	32,610		$	35,695			140.9	%
Commercial real estate		52,875			42,280			25.1	%		37,367			35,049			42,447			24.6	%
Real estate — construction		98,205			110,717			(11.3	%)		56,456			39,837			26,602			269.2	%
Lease financing		83			522			(84.1	%)		1,316			1,323			79			5.1	%
Total commercial		237,158			232,250			2.1	%		150,058			108,819			104,823			126.2	%
Home equity		25,372			23,555			7.7	%		18,488			16,209			13,529			87.5	%
Installment		6,035			5,184			16.4	%		4,184			3,881			3,290			83.4	%
Total retail		31,407			28,739			9.3	%		22,672			20,090			16,819			86.7	%
Residential mortgage		36,105			27,873			29.5	%		34,727			33,737			29,030			24.4	%
Total nonperforming loans	$	304,670		$	288,862			5.5	%	$	207,457		$	162,646		$	150,672			102.2	%

Period End Loan Composition					Sep08 vs Jun08									Sep08 vs Sep07
	Sept 30, 2008		Jun 30, 2008		% Change			Mar 31, 2008		Dec 31, 2007		Sept 30, 2007		% Change
Commercial, financial & agricultural	$	4,343,208	$	4,423,192		(1.8	%)	$	4,458,639	$	4,281,091	$	3,935,976		10.3	%
Commercial real estate		3,534,791		3,583,877		(1.4	%)		3,585,779		3,635,365		3,656,937		(3.3	%)
Real estate — construction		2,363,116		2,351,401		0.5	%		2,273,125		2,260,766		2,215,264		6.7	%
Lease financing		125,907		124,661		1.0	%		118,613		108,794		95,644		31.6	%
Total commercial		10,367,022		10,483,131		(1.1	%)		10,436,156		10,286,016		9,903,821		4.7	%
Home equity		2,892,952		2,757,684		4.9	%		2,387,223		2,269,122		2,230,640		29.7	%
Installment		842,741		826,895		1.9	%		842,564		841,136		866,185		(2.7	%)
Total retail		3,735,693		3,584,579		4.2	%		3,229,787		3,110,258		3,096,825		20.6	%
Residential mortgage		2,169,772		2,081,617		4.2	%		2,119,340		2,119,978		2,174,112		(0.2	%)
Total loans	$	16,272,487	$	16,149,327		0.8	%	$	15,785,283	$	15,516,252	$	15,174,758		7.2	%

Period End Deposit Composition					Sep08 vs Jun08									Sep08 vs Sep07
	Sept 30, 2008		Jun 30, 2008		% Change			Mar 31, 2008		Dec 31, 2007		Sept 30, 2007		% Change
Demand	$	2,545,779	$	2,602,026		(2.2	%)	$	2,516,265	$	2,661,078	$	2,407,026		5.8	%
Savings		888,731		921,000		(3.5	%)		891,806		853,618		919,891		(3.4	%)
Interest-bearing demand		1,667,640		1,697,910		(1.8	%)		1,788,404		1,947,551		1,881,235		(11.4	%)
Money market		4,608,686		3,917,505		17.6	%		3,972,080		3,923,063		3,770,487		22.2	%
Brokered CDs		579,607		398,423		45.5	%		731,398		409,637		800,422		(27.6	%)
Other time deposits		3,955,224		3,841,870		3.0	%		3,982,221		4,178,966		4,379,308		(9.7	%)
Total deposits	$	14,245,667	$	13,378,734		6.5	%	$	13,882,174	$	13,973,913	$	14,158,369		0.6	%
Network transaction deposits included above in interest-bearing demand and money market	$	1,356,616	$	620,440		118.7	%	$	610,351	$	664,982	$	483,100		180.8	%
Customer repo sweeps (a)	$	657,032	$	667,720		(1.6	%)	$	789,218	$	844,414	$	874,737		(24.9	%)

(a) Included within short-term borrowings.

N/M — Not meaningful.

Net Interest Income Analysis — Taxable Equivalent Basis
Associated Banc-Corp

	Nine months ended September 30, 2008							Nine months ended September 30, 2007
	Average		Interest		Average			Average		Interest		Average
(in thousands)	Balance		Income / Expense		Yield / Rate			Balance		Income / Expense		Yield / Rate
Earning assets:
Loans: (1) (2) (3)
Commercial	$	10,405,893	$	455,899		5.85	%	$	9,748,956	$	547,923		7.51	%
Residential mortgage		2,193,992		97,776		5.95			2,321,792		106,845		6.14
Retail		3,411,742		170,962		6.69			3,004,891		181,942		8.08
Total loans		16,011,627		724,637		6.04			15,075,639		836,710		7.42
Investments and other		3,627,702		144,012		5.29			3,500,280		140,175		5.34
Total earning assets		19,639,329		868,649		5.90			18,575,919		976,885		7.03
Other assets, net		2,194,335							1,961,992
Total assets	$	21,833,664						$	20,537,911
Interest-bearing liabilities:
Savings deposits	$	894,389		3,118		0.47	%	$	917,983	$	3,236		0.47	%
Interest-bearing demand deposits		1,791,808		13,131		0.98			1,853,573		27,232		1.96
Money market deposits		4,010,968		61,577		2.05			3,745,304		106,177		3.79
Time deposits, excluding Brokered CDs		3,959,126		115,830		3.91			4,348,130		147,756		4.54
Total interest-bearing deposits, excluding Brokered CDs		10,656,291		193,656		2.43			10,864,990		284,401		3.50
Brokered CDs		540,689		13,248		3.27			509,490		20,274		5.32
Total interest-bearing deposits		11,196,980		206,904		2.47			11,374,480		304,675		3.58
Wholesale funding		5,707,467		136,570		3.20			4,443,557		172,476		5.19
Total interest-bearing liabilities		16,904,447		343,474		2.71			15,818,037		477,151		4.03
Noninterest-bearing demand deposits		2,419,154							2,360,856
Other liabilities		147,030							117,152
Stockholders’ equity		2,363,033							2,241,866
Total liabilities and stockholders’ equity	$	21,833,664						$	20,537,911
Net interest income and rate spread (1)			$	525,175		3.19	%			$	499,734		3.00	%
Net interest margin (1)						3.57	%						3.59	%
Taxable equivalent adjustment			$	20,809						$	20,140

	Three months ended September 30, 2008							Three months ended September 30, 2007
	Average		Interest		Average			Average		Interest		Average
	Balance		Income / Expense		Yield / Rate			Balance		Income / Expense		Yield / Rate
Earning assets:
Loans: (1) (2) (3)
Commercial	$	10,393,313	$	141,040		5.40	%	$	9,850,510	$	186,947		7.53	%
Residential mortgage		2,151,163		31,452		5.84			2,276,094		35,514		6.22
Retail		3,659,241		57,477		6.26			3,056,840		61,770		8.05
Total loans		16,203,717		229,969		5.65			15,183,444		284,231		7.44
Investments and other		3,680,717		48,306		5.25			3,502,534		47,233		5.39
Total earning assets		19,884,434		278,275		5.58			18,685,978		331,464		7.05
Other assets, net		2,188,514							1,992,520
Total assets	$	22,072,948						$	20,678,498
Interest-bearing liabilities:
Savings deposits	$	911,216		1,027		0.45	%	$	942,305	$	1,324		0.56	%
Interest-bearing demand deposits		1,771,091		3,366		0.76			1,926,181		9,547		1.97
Money market deposits		4,191,771		19,577		1.86			3,694,646		34,914		3.75
Time deposits, excluding Brokered CDs		3,941,384		34,860		3.52			4,393,590		50,755		4.58
Total interest-bearing deposits, excluding Brokered CDs		10,815,462		58,830		2.16			10,956,722		96,540		3.50
Brokered CDs		416,038		2,913		2.79			598,607		8,056		5.34
Total interest-bearing deposits		11,231,500		61,743		2.19			11,555,329		104,596		3.59
Wholesale funding		5,876,051		43,116		2.92			4,386,354		56,939		5.16
Total interest-bearing liabilities		17,107,551		104,859		2.44			15,941,683		161,535		4.02
Noninterest-bearing demand deposits		2,478,797							2,385,641
Other liabilities		132,994							108,509
Stockholders’ equity		2,353,606							2,242,665
Total liabilities and stockholders’ equity	$	22,072,948						$	20,678,498
Net interest income and rate spread (1)			$	173,416		3.14	%			$	169,929		3.03	%
Net interest margin (1)						3.48	%						3.62	%
Taxable equivalent adjustment			$	6,899						$	6,856

(1)	The yield on tax exempt loans and securities is computed on a taxable equivalent basis using a tax rate of 35% for all periods presented and is net of the effects of certain disallowed interest deductions.
(2)	Nonaccrual loans and loans held for sale have been included in the average balances.
(3)	Interest income includes net loan fees.