Exhibit 99.1

     S.Y. Bancorp to Redeem Its 9.00% Cumulative Trust Preferred Securities


     LOUISVILLE, Ky.--(BUSINESS WIRE)--May 31, 2006--S.Y. Bancorp, Inc. (NASDAQ:
SYBT), parent company of Stock Yards Bank & Trust Company in Louisville,
southern Indiana and Indianapolis, today announced that it will redeem all of
its trust preferred securities on July 1, 2006, in accordance with the
provisions of the governing trust agreement. In June 2001, S.Y. Bancorp Capital
Trust I, a wholly owned finance subsidiary of S.Y. Bancorp, issued $20 million
of 9.00% cumulative trust preferred securities, which were set to mature in June
2031.
     The Company's Trust Preferred securities are listed on the Amex under the
symbol SYI.PR. The redemption value is $10.00 per preferred security,
representing a redemption price equal to 100% of the liquidation amount plus
accrued and unpaid distributions up to, but not including, the redemption date.
The total amount of the redemption, including accrued and unpaid distributions,
will be $20,623,724.64.
     In connection with the redemption, the Company will write off $879,000 of
unamortized issuance costs, representing an after-tax charge to third quarter
earnings of approximately $0.04 per diluted share. Given the current interest
rate environment, expected annual interest expense savings arising from the
redemption should offset the write-off.
     Louisville, Kentucky-based S.Y. Bancorp, Inc., with $1.3 billion in assets,
was incorporated in 1988 as a bank holding company. It is the parent company of
Stock Yards Bank & Trust Company, which was established in 1904.
     This report contains forward-looking statements under the Private
Securities Litigation Reform Act that involve risks and uncertainties. Although
the Company's management believes the assumptions underlying the forward-looking
statements contained herein are reasonable, any of these assumptions could be
inaccurate. Therefore, there can be no assurance the forward-looking statements
included herein will prove to be accurate. Factors that could cause actual
results to differ from those discussed in forward-looking statements include,
but are not limited to: economic conditions both generally and more specifically
in the markets in which the Company and its subsidiaries operate; competition
for the Company's customers from other providers of financial services;
government legislation and regulation, which change from time to time and over
which the Company has no control; changes in interest rates; material unforeseen
changes in liquidity, results of operations, or financial condition of the
Company's customers; and other risks detailed in the Company's filings with the
Securities and Exchange Commission, all of which are difficult to predict and
many of which are beyond the control of the Company.


    CONTACT: S.Y. Bancorp, Inc., Louisville
             Nancy B. Davis, 502-625-9176