Net Income Available to Common Shareholders was $4.8

million or $0.19 per diluted share for the fourth quarter of

2011, up 9% from $4.4 million, or $0.17 per diluted share

for the same period last year. Net Income Available to

Common Shareholders for the year ended 2011 was $17.7

million or $0.69 per diluted share, a 16% increase from the

$15.2 million, or $0.60 per diluted share for 2010.

We are very pleased to report that in February we repaid the final remaining $19 million of the
original $59 million investment that we received under the Capital Purchase Program. We believe
that Lakeland’s continued strong financial performance and the pace of the economic recovery
supports our decision to repay Treasury’s investment and exit the Capital Purchase Program
at this time.

The Board of Directors declared a quarterly cash dividend of $0.06 per common share, payable
on February 15, 2012, to holders of record as of the close of business on February 3, 2012.

Financial highlights in the fourth quarter and full year 2011 include:

■ Strong growth in both loans and core deposits in the fourth quarter of 2011. Loans totaling
$2.04 billion at year-end 2011 increased by $49.5 million from September 30, 2011. Commercial
loans represented the area of greatest growth. Core deposits increased in the fourth quarter
by $54.3 million, including a $24.8 million, or 6%, increase in noninterest bearing demand deposits.
 For the full year ending December 31, 2011, non-interest bearing demand deposits increased by
$65.7 million, or 17%, to $449.6 million.

■ Improvement in asset quality in the fourth quarter of 2011, as non-performing assets, which
totaled $50.2 million at December 31, 2011, were $7.5 million, or 13%, lower than the total
reported at September 30, 2011, due to the favorable resolution of several non-performing loans.

■ Strengthening of our capital position in 2011. Tangible book value per common share increased
13% to $6.03 at December 31, 2011 from $5.35 at December 31, 2010.

In January 2012, one of our directors, Paul G. Viall, Jr., retired from our Board of Directors. Paul
joined our Board in 2004 as a result of the merger with Newton Financial Corp., and has proven to
be a valued member of our Board. We wish him the very best in his future endeavors.

Thanks, as always, to our team of employees, officers, directors, shareholders and customers
for their continued support.