Exhibit 99.1

Susquehanna Bancshares, Inc. Announces First Quarter 2014 Results

First Quarter Highlights

• GAAP EPS of $0.20
• Linked Quarter Commercial Loan and Deposit Growth
• Reduced Expenses Lowers Efficiency Ratio
• Capital Ratios Continue to Build

LITITZ, Pa.--(BUSINESS WIRE)--April 23, 2014--Susquehanna Bancshares, Inc. (Susquehanna) (NASDAQ: SUSQ) today announced that it earned net income for the first quarter ended March 31, 2014 of $37.2 million, or $0.20 per diluted share, compared to $41.3 million, or $0.22 per diluted share, for the fourth quarter of 2013 and $42.4 million, or $0.23 per diluted share, for the first quarter of 2013.

“First quarter results were affected by the competitive lending environment and an overall slowdown in business activity due to the harsh winter weather throughout the Mid-Atlantic region,” said William J. Reuter, Susquehanna Bancshares Chairman and Chief Executive Officer. “Nevertheless, we made solid progress on key initiatives, including deposit growth and adding commercial loans and leases to our loan portfolio.”

Linked Quarter Results (First Quarter 2014 vs. Fourth Quarter 2013)

• Loans and leases were essentially flat on a linked-quarter basis, ending the first quarter of 2014 at $13.6 billion. Changes for the quarter in each major loan category were as follows:
  • Commercial loans increased 0.7%.
  • Real estate – construction loans decreased 2.9%.
  • Real estate secured – residential loans decreased 0.6%.
  • Real estate secured – commercial loans decreased 0.7%.
  • Consumer loans increased 0.3%.
  • Leases increased 4.4%.

• Total deposits increased $210.2 million or 1.6% from December 31, 2013 to $13.1 billion at March 31, 2014. Changes for the quarter in each major deposit category were as follows:
  • Non-interest bearing demand deposits decreased 1.7%.
  • Interest-bearing demand deposits were essentially flat.
  • Money market deposits increased 1.3%.
  • Savings deposits increased 5.1%.
  • Time deposits increased 3.9%.

• Net interest margin increased 1 basis point to 3.61% for the first quarter of 2014 compared to 3.60% for the fourth quarter of 2013. Net interest margin (excluding purchase accounting) ⁽¹⁾ declined 5 basis points to 3.40% for the first quarter of 2014 compared to 3.45% for the fourth quarter of 2013.
• Non-interest income decreased to $42.1 million for the first quarter of 2014 compared to $50.7 million for the fourth quarter of 2013. The fourth quarter of 2013 included a gain on sale of branch properties of $5.0 million related to the sale leaseback transaction completed in December 2013.
• Non-interest expense decreased to $123.0 million for the first quarter of 2014 compared to $135.7 million in the fourth quarter of 2013. The fourth quarter of 2013 included branch consolidation costs of $6.6 million and additional incentive compensation expense due to a stronger than anticipated fourth quarter, particularly in commercial loan growth.

• The efficiency ratio ⁽¹⁾ decreased to 66.18% for the first quarter of 2014 compared to 68.84% in the fourth quarter of 2013. The primary drivers of the decrease were lower salary and benefit expenses in the first quarter of 2014, and the fact that the first quarter of 2014 did not include branch consolidation costs or a gain on sale of branch properties, which both impacted the fourth quarter of 2013.
• Non-performing assets as a percentage of loans, leases and foreclosed real estate owned increased slightly to 0.89% at March 31, 2014 compared to 0.86% at December 31, 2013. Loans classified as Troubled Debt Restructurings (“TDR”) declined from $72.1 million at December 31, 2013 to $39.5 million at March 31, 2014, a decline of $32.6 million. Approximately $28.1 million of this decline was due to our annual assessment where TDR loans that have performed in accordance with the new terms for six consecutive months, are in a current status, reflected a market rate of interest at the time of the restructuring, and cross over a year end are considered cured and are no longer classified as TDR loans.
• The provision for loan and lease losses in the first quarter increased to $6.0 million compared to $2.0 million in the fourth quarter of 2013. Net charge-offs for the first quarter decreased to $9.5 million, or 0.28% of average loans, compared to $11.1 million, or 0.33% of average loans, for the fourth quarter of 2013. As a result, the allowance for loan and lease losses was $154.2 million at March 31, 2014, representing 1.14% of total loans and leases and 142% of nonaccrual loans and leases compared to $157.6 million at December 31, 2013, representing 1.16% of total loans and leases and 156% of nonaccrual loans and leases.

First Quarter Results (First Quarter 2014 vs. First Quarter 2013)

• Loans and leases increased $575.6 million or 4.4% from March 31, 2013 to $13.6 billion at March 31, 2014. Changes for the twelve month period in each major loan category were as follows:
  • Commercial loans increased 4.3%.
  • Real estate - construction loans decreased 8.3%.
  • Real estate secured - residential loans increased 2.5%.
  • Real estate secured - commercial loans increased 1.8%.
  • Consumer loans increased 11.2%.
  • Leases increased 27.5%.

• Total deposits increased $388.1 million or 3.1% from March 31, 2013 to $13.1 billion as of March 31, 2014. Changes for the twelve month period in each major deposit category were as follows:
  • Non-interest-bearing demand deposits decreased 2.0%.
  • Interest-bearing demand deposits increased 4.8%.
  • Money market deposits increased 0.8%
  • Savings deposits increased 5.1%.
  • Time deposits increased 5.7%.

• Net interest margin decreased 36 basis points to 3.61% compared to 3.97% for the first quarter of 2013. Net interest margin (excluding purchase accounting) ⁽¹⁾ declined 22 basis points to 3.40% compared to 3.62% for the first quarter of 2013.
• Non-interest income decreased to $42.1 million compared to $42.6 million in the first quarter of 2013.
• Non-interest expense increased to $123.0 million compared to $117.7 million in the first quarter of 2013.
• The efficiency ratio ⁽¹⁾ increased to 66.18% compared to 60.17% in the first quarter of 2013.
• Non-performing assets as a percentage of loans, leases and foreclosed real estate decreased to 0.89% compared to 0.97% at March 31, 2013. The provision for loan and lease losses decreased to $6.0 million compared to $12.0 million for the first quarter of 2013. Net charge-offs as a percentage of average loans and leases decreased to 0.28% compared to 0.62% for the first quarter of 2013. The allowance for loan and lease losses was $154.2 million, representing 1.14% of total loans and leases and 142% of nonaccrual loans and leases, compared to $176.4 million at March 31, 2013, representing 1.36% of total loans and leases and 171% of nonaccrual loans and leases.
• Return on average assets and average tangible equity ⁽¹⁾ decreased to 0.82% and 11.08%, respectively compared to 0.95% and 13.87%, respectively for the first quarter of 2013.
• Susquehanna’s capital ratios continue to exceed internal capital targets and those required to be considered “well-capitalized” under the current regulatory requirements, with a Tier 1 common ratio of 10.84%, Tier 1 risk-weighted capital ratio of 11.95%, Total risk-weighted capital ratio of 13.23% and a Leverage ratio of 9.72%, each as of March 31, 2014. Based on a preliminary analysis of the new capital rules approved in July 2013, management believes that Susquehanna would be fully compliant with the revised capital ratio standards as of March 31, 2014 if they had been effective on that date.

⁽¹⁾ Non-GAAP based financial measure. Please refer to the calculations and management’s reasons for using this measure in the accompanying financial schedules

Additional Events

• On April 16, 2014, Susquehanna’s Board of Directors declared a second quarter dividend of $0.08 per common share, payable May 20, 2014 to shareholders of record as of May 1, 2014.

Susquehanna will broadcast its first quarter 2014 conference call over the Internet on April 24, 2014, at 11:00 a.m. Eastern time. The conference call will include management’s discussion of first quarter 2014 financial results. The discussion may also include forward-looking statements relating to customer relationship strategies; 2014 performance; capital management; loan and deposit volume and growth; fee income activities and revenues; and the impact of purchase accounting benefit on financial results. Investors will have the opportunity to listen to the conference call through a live broadcast on Susquehanna’s website. The event may be accessed by selecting "Investor Relations" near the bottom of the home page and clicking on the first quarter webcast link. To listen to the live call, please go to the website at least 15 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 website shortly after the call concludes.

Susquehanna is a financial services holding company with assets of approximately $18.4 billion. Headquartered in Lititz, Pa., Susquehanna provides banking and financial services at 245 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 $7.7 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 Website 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. Forward-looking statements can be identified by words such as “believes,” “anticipates,” “expects,” “intends,” “targeted,” “continue,” “remain,” “will,” “should,” “may,” “plans,” “estimates,” and similar references to future periods; however, such words are not the exclusive means of identifying such statements. The 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, including industry consolidation and development of competing financial products and services; the costs and effects of legal and regulatory developments including the resolution of legal proceedings or regulatory or other governmental inquiries and the results of regulatory examinations or reviews; interest rate movements; changes in credit quality; deteriorating economic conditions; other risks and uncertainties; our success at managing the risks involved in the foregoing items; and the other factors 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:
Jason H. Weber, Director of Investor Relations
717-626-9801
or
MEDIA RELATIONS CONTACT:
Stephen Trapnell, Director of Corporate Communications
717-625-6548