Exhibit 99.1

Susquehanna Bancshares, Inc. Announces First Quarter 2012 Results

First Quarter Highlights

• GAAP EPS of $0.14 Including Merger-Related Expenses
• Net Interest Margin Increase to 3.94%
• Significant Improvement in Credit Quality Metrics
• Organic Growth in Loans and Core Deposits
• Efficiency Ratio Improves to 61.39%
• Second Quarter Dividend Increase to $0.05 Per Share

LITITZ, Pa.--(BUSINESS WIRE)--April 25, 2012--Susquehanna Bancshares, Inc. (Susquehanna) (NASDAQ: SUSQ) today announced net income applicable to common shareholders for the first quarter ended March 31, 2012 of $23.5 million, or $0.14 per diluted share, compared to net income applicable to common shareholders of $9.8 million for the first quarter of 2011, or $0.08 per diluted share.

“Following the successful completion of the Tower Bancorp, Inc. acquisition in the middle of the first quarter, our energies are focused on executing our relationship-based community banking strategy,” stated William J. Reuter, Chairman and Chief Executive Officer. “We are pleased with the significant progress made during the first quarter toward achieving our strategic objectives for 2012, including continuing our strong progress in improving credit quality; successfully integrating the team and operations from Tower Bancorp; growing loans, deposits and revenues; and increasing profitability and shareholder dividends.”

First Quarter Financial Results:

• Loans and leases, net of unearned income, increased 30.3% from March 31, 2011 to $12.5 billion at March 31, 2012.
  • Growth in loans and leases consisted of:
    • $633.7 million acquired through the acquisition of Abington Bancorp, Inc.;
    • $2.0 billion acquired through the Tower acquisition; and
    • $323.2 million of internally-generated loan growth, resulting in internal growth in loans and leases of 3.4% for the trailing four quarters.
  • Commercial loans increased 16.1% from March 31, 2011.
  • Real estate - construction loans increased 20.5% from March 31, 2011.
  • Real estate secured - residential loans increased 46.7% from March 31, 2011
  • Real estate secured - commercial loans increased 34.8% from March 31, 2011.
  • Consumer loans increased 23.9% from March 31, 2011.
  • Leases increased 1.5% from March 31, 2011.
• Total deposits increased 35.4% from March 31, 2011 to $12.6 billion at March 31, 2012.
  • Growth in total deposits consisted of:
    • $840.0 million of deposits assumed in the Abington acquisition;
    • $2.0 billion of deposits assumed in the Tower acquisition; and
    • $411.2 million in organic deposit growth, resulting in organic deposit growth of 4.4% for the trailing four quarters.
  • Non-interest-bearing demand deposits increased 40.4% from March 31, 2011.
  • Interest-bearing demand deposits increased 49.8% from March 31, 2011.
  • Savings deposits increased 26.2% from March 31, 2011.
  • Time deposits increased 20% from March 31, 2011.

• Net interest margin increased 31 basis points to 3.94% compared to 3.63% for the first quarter of 2011, driven by the balance sheet restructuring in the fourth quarter, purchase accounting in connection with the Tower acquisition, the addition of the Tower deposit and loan portfolios and continued core reduction in funding costs at Susquehanna.
• Non-core items for the first quarter of 2012 were after-tax merger related expenses of $7.9 million.
• The efficiency ratio for the first quarter of 2012 improved to 61.39% from 65.28% in the first quarter of 2011, in each case calculated after excluding pre-tax merger related expenses.

First Quarter Financial Results (Continued):

• Net charge-offs as a percentage of average loans and leases for the quarter ended March 31, 2012 was 0.44% compared to 1.42% for the first quarter of 2011. Non-performing assets as a percentage of loans, leases and foreclosed real estate was 1.35% at March 31, 2012 compared to 2.49% at March 31, 2011. The provision for loan losses for the quarter ended March 31, 2012 was $19.0 million, compared to $35.0 million for the quarter ended March 31, 2011. The allowance for loan and leases losses was $194.7 million at March 31, 2012, representing 1.56% of total loans and leases and 146% of nonaccrual loans and leases, compared to $193.2 million at March 31, 2011, representing 2.01% of total loans and leases and 91% of nonaccrual loans and leases.
• Return on average assets and average tangible equity ⁽¹⁾ for the first quarter ended March 31, 2012 finished at 0.58% and 8.36%, respectively. This compared to results of 0.28% and 4.86% for the same measurements, respectively, for the first quarter of 2011.
• Susquehanna’s regulatory capital ratios are as follows:

⁽¹⁾ A non-GAAP-based financial measure. The most comparable GAAP-based measurement for return on average tangible equity is return on average equity. A reconciliation of the differences between non-GAAP-based and GAAP-based measurements can be found at the end of this release under the heading "Supplemental Reporting of Non-GAAP-Based Financial Measures."

⁽²⁾ Includes deferred tax liability associated with intangibles of $50.0 million

Linked Quarter Results (First Quarter 2012 vs. Fourth Quarter 2011)

• Loans and leases, net of unearned income, increased 19.8% from December 31, 2011 to $12.5 billion at March 31, 2012.
  • Growth in loans and leases consisted of:
    • $2.0 billion acquired through the Tower acquisition; and
    • $117 million of internally generated loan growth, resulting in internal growth in loans and leases of 1.1% for the quarter.
  • Commercial loans increased 11.6% from December 31, 2011, or 4.3% if the acquired Tower loans are excluded.
  • Real estate construction loans increased 19.9% from December 31, 2011, or declined 5.4% if the acquired Tower loans are excluded.
  • Real estate secured – residential loans increased 22.8% from December 31, 2011, or decreased 0.5% if the acquired Tower loans are excluded.
  • Real estate secured – commercial loans increased 28.2% from December 31, 2011, or 1.2% if the acquired Tower loans are excluded.
  • Consumer loans increased 7.4% from December 31, 2011, or 5.5% if the acquired Tower loans are excluded.
  • Leases increased 2.8% from December 31, 2011.

• Total deposits increased 22.1% from December 31, 2011 to $12.6 billion at March 31, 2012.
  • Growth in total deposits consisted of:
    • $2.0 billion of deposits assumed in the Tower acquisition; and
    • $241.6 million of organic deposit growth, resulting in organic deposit growth of 2.3% for the quarter.
  • Non-interest bearing demand deposits increased 24.1% from December 31, 2011, or 0.8% if the Tower deposits are excluded.
  • Interest-bearing demand deposits increased 23.8% from December 31, 2011, or 4.2% if the Tower deposits are excluded.
  • Savings deposits increased 16.0% from December 31, 2011, or 3.8% if the Tower deposits are excluded.
  • Time deposits increased 20.5% from December 31, 2011, or 0.3% excluding the Tower deposits.

• Net interest margin increased 35 basis points to 3.94% compared to 3.59% for the fourth quarter of 2011, driven by the balance sheet restructuring in the fourth quarter, purchase accounting in connection with the Tower acquisition, the addition of the Tower deposit and loan portfolios and continued core reduction in funding costs at Susquehanna.
• The efficiency ratio for the first quarter of 2012 improved to 61.39% from 66.34% for the fourth quarter of 2011, in each case calculated after excluding pre-tax merger related income and expenses.
• Net charge-offs as a percentage of average loans and leases for the quarter ended March 31, 2012 was 0.44% compared to 0.95% for the fourth quarter of 2011. Non-performing assets as a percentage of loans, leases and foreclosed real estate owned decreased 53 basis points from December 31, 2011 to 1.35% at March 31, 2012.

Additional Events:

• On February 17, 2012, Susquehanna completed the acquisition of Tower Bancorp, Inc., creating Pennsylvania’s largest community bank and expanding Susquehanna’s branch network into State College and Fulton and Lebanon counties in Pennsylvania, in addition to enhancing Susquehanna’s existing presence in key markets in central and southeastern Pennsylvania as well as Maryland. In connection with the merger, Andrew Samuel, former Chairman and Chief Executive Officer of Tower, assumed the role of President and Chief Revenue Officer of Susquehanna.
• On April 18, 2012, Susquehanna’s Board of Directors declared a second quarter dividend of $0.05 per common share, payable May 18, 2012 to shareholders of record as of May 1, 2012. This represents a $0.02 increase from the first quarter dividend of $0.03 per share.

Susquehanna will broadcast its first quarter 2012 results conference call over the Internet on April 26, 2012 at 11:00 a.m. Eastern time. The conference call will include management’s discussion of first quarter 2012 results. The discussion may also include forward-looking information and financial goals, including updates of previously disclosed financial goals. Investors will have the opportunity to listen to the conference call through a live broadcast on Susquehanna’s Web site. The event may be accessed by selecting "Investor Relations" near the top right of the home page then “Overview” and clicking on the first quarter webcast link. To listen to the live call, please go to the Web site at least fifteen minutes prior to the scheduled start time to download and install any necessary audio software. For those who are unable to listen to the live broadcast, an archived replay and podcast will be available on the Web site shortly after the call concludes.

Susquehanna is a financial services holding company with assets of greater than $17.5 billion. Headquartered in Lititz, Pa., Susquehanna provides banking and financial services at 261 branch locations in the mid-Atlantic region. Through Susquehanna Wealth Management, the company offers investment, fiduciary, brokerage, insurance, retirement planning, and private banking services, with approximately $7.6 billion in assets under management and administration. Susquehanna also operates an insurance brokerage and employee benefits company, a commercial finance company and a vehicle leasing company. Investor information may be requested through Susquehanna’s Web site at www.susquehanna.net.

This press release contains certain financial information determined by methods other than in accordance with GAAP. Susquehanna’s management uses these non-GAAP measures in its analysis of the company’s performance. These non-GAAP financial measures require management to make judgments about the exclusion of certain items, and if different judgments were made, the amounts reported would be different. These measures typically exclude the effects of intangibles and related amortization and include the tax benefit associated with revenue items that are tax-exempt. Disclosures regarding these non-GAAP financial measures are included in the accompanying financial information.

The presentation of these non-GAAP financial measures is intended to supplement investors’ understanding of Susquehanna’s core business activities. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures which may be presented by other companies.

This release includes forward-looking statements as that term is defined in the U.S. Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various risks, uncertainties and other factors. Such risks, uncertainties and other factors that could cause actual results and experience to differ from those projected include, but are not limited to, the following: ineffectiveness of Susquehanna’s business strategy due to changes in current or future market conditions; the effects of competition, and of changes in laws and regulations, including industry consolidation and development of competing financial products and services; interest rate movements; changes in credit quality; inability to achieve merger-related synergies; difficulties in integrating distinct business operations, including information technology difficulties; and deteriorating economic conditions, and other risks and uncertainties, including those detailed in Susquehanna’s filings with the Securities and Exchange Commission. Susquehanna encourages readers of this release to understand forward-looking statements to be strategic objectives rather than absolute targets of future performance. Forward-looking statements speak only as of the date they are made. Susquehanna does not intend to update publicly any forward-looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made or to reflect the occurrence of unanticipated events except as required by law.

CONTACT:
Susquehanna Bancshares, Inc.
INVESTOR RELATIONS CONTACT:
Carl D. Lundblad, Senior Vice President
717-625-6207
or
MEDIA RELATIONS CONTACT:
Stephen Trapnell, Director of Communications Strategies
717-625-6548