Austin, TX - 2006

Sheshunoff & Co. Investment Banking, a leader in merger and acquisition advisory services to financial institutions, announced the merger of Scottsburg, Indiana-based The Bancshares, Inc. and its bank subsidiary, The Scott County State Bank with Community Bank Shares of Indiana, Inc. Headquartered in New Albany, Indiana, Community Bank Shares of Indiana, Inc.'s bank subsidiary is Your Community Bank. Sheshunoff & Co. initiated the transaction and served as the exclusive financial advisor to Scott County 's Board of Directors.

In the stock and cash transaction valued at $31 million, Scott County will retain its charter and operate as a wholly-owned subsidiary of Community Bank Shares. Scott County 's officers and employees will continue without any employee job cuts. Pending regulatory approval, the transaction should be completed in the third quarter of 2006.

"We believed that we owed it to our shareholders to explore a sale given the high prices banks were bringing," said Steve Hauer, President & CEO of Scott County . "Sheshunoff's team helped us get the best price- exceeding our expectations. From the initial signing through the due diligence, the process was quicker and smoother than anticipated with Sheshunoff's assistance. Gary Kennedy, Sheshunoff's Merger & Acquisition Director was always there for us."

The Scott County State Bank, chartered in 1890, operates three locations in southern Indiana , north of Louisville , Kentucky .

"The bank consistently experienced excellent asset quality, solid earnings, dedicated management and no problem loans. The bank was the dominant bank in Scottsburg. All of these factors resulted in several banks from Kentucky and Indiana showing a great deal of interest in the bank, leading to multiple attractive offers. The Bancshares, Inc. acquisition was the highest priced deal, as a percent of deposits, in Indiana in the last three years. More importantly to the customers and employees of The Scott County State Bank, with the partner they have teamed up with, Your Community Bank, we have teamed one community-minded banking organization with another of similar philosophy" said Gary Kennedy, Director of Sheshunoff & Co.

About Sheshunoff & Co. Investment Banking

Sheshunoff & Co. Investment Banking has acted as financial advisor in more than 200 transactions in the past 15 years and has advised financial institutions nationwide for 30 years with merger and acquisition advisory services, valuations, restructuring, and strategic options assessment all to capture shareholder value. Its professionals are dedicated in providing their clients with service, quality and expertise that covers all the bases.