News Release (2005)Full Document 

Start of Preview
                                                 CONTACTS:
                                                          RICHARD C. BAYLOR, CEO
                                                          PHONE: 740-435-2040
                                                     OR
                                                          MARK A. SEVERSON, CFO
[ ]                                                       PHONE: 740-435-2055

                                  NEWS RELEASE

RELEASE DATE: JULY 22, 2005

RELEASE TIME: 4:00 P.M.

              CAMCO FINANCIAL ANNOUNCES STRONG SECOND QUARTER 2005
                                 EARNINGS GROWTH

CAMBRIDGE, OHIO (NASDAQ: CAFI) - Camco Financial Corporation (Camco) reported
net earnings for the quarter ended June 30, 2005 of $2.04 million or $.27 per
share as compared with net earnings of $1.53 million or $.21 per share for the
same quarter in 2004, an increase of 29%.

      For the 6 months ended June 30, 2005 Camco reported net earnings of $4.26
million compared to $2.57 million of net earnings reported for the same 6 month
period in 2004. Basic earnings per share for the 6 months ended June 30, 2005
were $.56 compared to $.35 for the same 6 month period in 2004, an increase of
60%.

          NASDAQ: CAFI - EMAIL: camco@camco.cc - www.camcofinancial.com

<PAGE>

      Camco recently announced a quarterly dividend of $.145 which was payable
July 15, 2005. This dividend represents an annualized yield of 4.26% on Camco's
June 30th quarter-end market value.

      President & CEO Richard C. Baylor commented, "We continue to see
significant progress from our efforts to restructure the composition of our
balance sheet to be more commercial bank-like. At the end of the second quarter
commercial and consumer loans represented 44% of our loan portfolio, versus 36%
one year ago. We are encouraged to see our annualized return on average equity
for the six months ended June 30, 2005 at 9.45% which is in excess of the
average of all publicly traded Ohio banks."

      Mr. Baylor continued, "For the six months ended June 30, 2005 our net
interest margin increased to 2.95% from 2.47% compared to the six months ended
June 30, 2004. The average yield on our earning assets continues to increase as
we execute our strategic plan to shift the composition of our loan portfolio.
Overall, the yield on our interest earning assets has increased 30 basis points
from last year's second quarter, and the cost of interest bearing liabilities
has decreased 22 basis points. We continue to focus on including higher margin
producing and interest rate sensitive commercial and consumer loans. And as
opportunities present themselves, we are recruiting seasoned lenders in the
markets we serve to further our portfolio goals."

          NASDAQ: CAFI - EMAIL: camco@camco.cc - www.camcofinancial.com

                                                                               5
<PAGE>

REVIEW OF SIGNIFICANT AREAS:

NET INTEREST MARGIN: During the second quarter of 2005, as short-term interest
rates continued rising, the net interest margin improved to 2.97% in the second
quarter 2005 from 2.93% in the first quarter of 2005. This improvement was made
possible through Camco's emphasis on growing the commercial, commercial real
estate and consumer loan portfolios and the ability to effectively manage
overall cost of funds.

NON-INTEREST INCOME: For the 6 months ended June 30, 2005 total non-interest
income increased 3.1% to $3.34 million from $3.24 million for the same period
last year. Core non-interest income, which is net of gain on sale of assets and
mortgage servicing rights, increased 12.5% to $2.93 million from $2.60 million.
Of this increase, $150,000 was due to "Extended Overdraft" fee income, which did

End of Preview