Exhibit 99.1

Susquehanna Bancshares, Inc. Announces Second Quarter 2014 Results and Stock Repurchase Plan

Second Quarter Highlights

• GAAP EPS of $0.23
• Linked Quarter Commercial and Construction Loan Growth
• Solid Deposit Growth
• Asset Quality Improved
• Capital Ratios Continue to Build

LITITZ, Pa.--(BUSINESS WIRE)--July 23, 2014--Susquehanna Bancshares, Inc. (Susquehanna) (NASDAQ: SUSQ) today announced that it earned net income for the second quarter ended June 30, 2014 of $43.5 million, or $0.23 per diluted share, compared to $37.2 million, or $0.20 per diluted share, for the first quarter of 2014 and $45.6 million, or $0.24 per diluted share, for the second quarter of 2013.

In addition, Susquehanna announced that its Board of Directors has authorized the repurchase of up to 3.5% of total outstanding common shares through December 31, 2014. As of June 30, 2014, Susquehanna had approximately 187.7 million shares of common stock outstanding. As permitted by securities laws and subject to market conditions and other factors, purchases may be made from time to time in the open market or through negotiated transactions. The repurchase program may be discontinued at any time.

“We continued to execute on our strategic plan by growing deposits, commercial loans and branch-based HELOCs while deemphasizing other loan categories, such as residential loans we portfolio,” said William J. Reuter, Susquehanna’s Chairman and Chief Executive Officer. “Also, during the last few years we have been accumulating capital. After careful consideration, we have concluded that our capital position is in excess of our need, and therefore, determined that we should begin returning this excess capital to our shareholders.”

Linked Quarter Results (Second Quarter 2014 vs. First Quarter 2014)

• Loans and leases increased $91.9 million or 0.7% from March 31, 2014 to $13.7 billion at June 30, 2014. Changes for the quarter in each major loan category were as follows:
  • Commercial loans increased 0.5%.
  • Real estate – construction loans increased 4.7%.
  • Real estate secured – residential loans were essentially flat.
  • Real estate secured – commercial loans increased 0.3%.
  • Consumer loans increased 0.7%.
  • Leases increased 2.2%.

• Total deposits increased $235.5 million or 1.8% from March 31, 2014 to $13.3 billion at June 30, 2014. Changes for the quarter in each major deposit category were as follows:
  • Non-interest bearing checking increased 2.9%.
  • Interest-bearing checking decreased 0.9%.
  • Money market deposits decreased 5.0%.
  • Savings deposits increased 0.3%.
  • Time deposits increased 9.1%.

• As a result of growth in the deposit portfolio, the loan to deposit ratio decreased to 102.6% for the second quarter of 2014 compared to 103.8% for the first quarter of 2014.
• Net interest margin increased 2 basis points to 3.63% for the second quarter of 2014 compared to 3.61% for the first quarter of 2014. The second quarter of 2014 included a 9 basis point gain from the redemption of a trust preferred security. Net interest margin (excluding purchase accounting) ⁽¹⁾ declined 2 basis points to 3.38% for the second quarter of 2014 compared to 3.40% for the first quarter of 2014.
  
  In the third quarter of 2014, management expects the net interest margin (excluding purchase accounting) ⁽¹⁾ to decline slightly, within a range of 3.32% to 3.36%.

• Non-interest income increased to $45.3 million for the second quarter of 2014 compared to $42.1 million for the first quarter of 2014. The second quarter of 2014 included a net realized gain on sale of securities of $3.3 million.
  
  Excluding the net realized gain on sale of securities in the second quarter of 2014, management expects noninterest income to increase in the third quarter of 2014 due to an anticipated increase in mortgage banking activity and SBA loan sales.

• Non-interest expense increased to $125.2 million for the second quarter of 2014 compared to $123.0 million in the first quarter of 2014.
  
  Management expects non-interest expenses to increase slightly in the third quarter of 2014.
• The efficiency ratio ⁽¹⁾ decreased to 65.63% for the second quarter of 2014 compared to 66.18% in the first quarter of 2014.

• Non-performing assets as a percentage of loans, leases and foreclosed real estate owned decreased to 0.85% at June 30, 2014 compared to 0.89% at March 31, 2014.
• The provision for loan and lease losses in the second quarter decreased to $3.0 million compared to $6.0 million in the first quarter of 2014. Net charge-offs for the second quarter increased to $11.4 million, or 0.34% of average loans and leases, compared to $9.5 million, or 0.28% of average loans and leases, for the first quarter of 2014. As a result, the allowance for loan and lease losses was $144.5 million at June 30, 2014, representing 1.06% of total loans and leases and 137% of nonaccrual loans and leases compared to $154.2 million at March 31, 2014, representing 1.14% of total loans and leases and 142% of nonaccrual loans and leases.

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

• Loans and leases increased $509.4 million or 3.9% from June 30, 2013 to $13.7 billion at June 30, 2014. Changes for the twelve month period in each major loan category were as follows:
  • Commercial loans increased 5.8%.
  • Real estate - construction loans decreased 2.8%.
  • Real estate secured - residential loans increased 1.9%.
  • Real estate secured - commercial loans increased 0.6%.
  • Consumer loans increased 6.0%.
  • Leases increased 22.4%.
• Total deposits increased $550.8 million or 4.3% from June 30, 2013 to $13.3 billion as of June 30, 2014. Changes for the twelve month period in each major deposit category were as follows:
  • Non-interest-bearing checking increased 0.2%.
  • Interest-bearing checking increased 4.2%.
  • Money market deposits decreased 2.5%.
  • Savings deposits increased 4.6%.
  • Time deposits increased 11.8%.
• Loan to deposit ratio decreased to 102.6% for the second quarter of 2014 compared to 103.1% for the second quarter of 2013.
• Net interest margin decreased 25 basis points to 3.63% compared to 3.88% for the second quarter of 2013. Net interest margin (excluding purchase accounting) ⁽¹⁾ declined 16 basis points to 3.38% compared to 3.54% for the second quarter of 2013.
• Non-interest income decreased to $45.3 million compared to $49.1 million in the second quarter of 2013.
• Non-interest expense increased to $125.2 million compared to $119.7 million in the second quarter of 2013.
• The efficiency ratio ⁽¹⁾ increased to 65.63% compared to 59.57% in the second quarter of 2013.
• Non-performing assets as a percentage of loans, leases and foreclosed real estate decreased to 0.85% compared to 0.94% at June 30, 2013.
• The provision for loan and lease losses decreased to $3.0 million compared to $12.0 million for the second quarter of 2013. Net charge-offs as a percentage of average loans and leases increased to 0.34% compared to 0.30% for the second quarter of 2013. The allowance for loan and lease losses was $144.5 million, representing 1.06% of total loans and leases and 137% of nonaccrual loans and leases, compared to $178.6 million at June 30, 2013, representing 1.36% of total loans and leases and 170% of nonaccrual loans and leases.
• Return on average assets and average tangible equity ⁽¹⁾ decreased to 0.95% and 12.34%, respectively compared to 1.01% and 14.30%, respectively for the second 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 10.99%, Tier 1 capital ratio of 12.02%, Total risk-based capital ratio of 13.22% and a Leverage ratio of 9.90%, each as of June 30, 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 June 30, 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

• At June 30, 2014, Susquehanna reclassified approximately $265 million of indirect auto loans from held for investment to held for sale. The loans were transferred to held for sale at their amortized cost basis on the date of transfer and will be measured at the lower of their amortized cost or fair value until the loans are sold or securitized. Amortized cost was lower than fair value as of June 30, 2014. Susquehanna expects to complete a securitization or other off balance sheet transaction involving substantially all of these loans during 2014.
• On July 7, 2014, Standard & Poor’s Ratings Services raised its ratings on Susquehanna, including its long-term issuer credit rating to ‘BBB’ from ‘BBB-’.
• On July 16, 2014, Susquehanna’s Board of Directors declared a second quarter dividend of $0.09 per common share, payable on August 20, 2014 to shareholders of record on August 1, 2014.

Susquehanna will broadcast its second quarter 2014 conference call over the Internet on July 24, 2014, at 11:00 a.m. Eastern time. The conference call will include management’s discussion of second quarter 2014 financial results and may also include forward-looking information and financial goals. 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 second 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 $18.5 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 $8.0 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 words or expressions. 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; market or other events adversely affecting our ability to conduct off-balance transactions; 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.