CAMDEN – Camden National Corporation (NASDAQ: CAC; “Camden National” or the “Company”), a $2.9 billion bank holding company headquartered in Camden, reported third quarter 2015 core operating earnings¹ and core diluted earnings per share ("EPS")¹ of $7.0 million and $0.93 per share, respectively, representing increases of 8% over the third quarter of 2014. Our third quarter 2015 net income and diluted EPS of $6.5 million and $0.86 per share, respectively, as presented in accordance with accounting principles generally accepted in the United States ("GAAP"), was flat compared to the third quarter of 2014, as it included one-time costs of $766,000 related to the merger with SBM Financial, Inc. (“SBM”) in the third quarter of 2015 that closed on October 16, 2015.

“The Company continues to deliver strong financial results while overseeing the successful merger of SBM and its subsidiary bank, The Bank of Maine, into Camden National and Camden National Bank," said Gregory A. Dufour, president and chief executive officer of the Company.

Core operating earnings¹ and core diluted EPS¹ for the nine months ended September 30, 2015, were $20.5 million and $2.74 per share, respectively, representing increases of 13% over the same period of 2014. GAAP net income and diluted EPS for the nine months ended September 30, 2015, were $19.3 million and $2.57, respectively, representing increases of 4% over the same period of 2014.

Dufour added, "We completed the merger of SBM into Camden National on October 16, 2015, marking a significant milestone in the 140-year history of Camden National. The merger of these two companies not only creates size and scale but allows Camden to increase its visibility and viability within the southern Maine markets with an immediate and already established presence while expanding our mortgage origination capabilities across New England."

Financial Highlights

•        Third quarter 2015 core operating earnings increased $500,000, or 8%, over the third quarter of 2014, while year-to-date September 30, 2015, core operating earnings increased $2.3 million, or 13%, over the same period of 2014

•        Third quarter 2015 core diluted EPS increased $0.07 per share, or 8%, over the third quarter of 2014, while year-to-date September 30, 2015, core diluted EPS increased $0.32 per share, or 13%

•        Asset quality continues to improve as non-performing assets to total assets of 0.54% at September 30, 2015, decreased five basis points since the prior quarter and 28 basis points since year-end

•        On October 16, 2015, Camden National and SBM completed their merger, creating Maine’s largest community bank and significantly expanding the franchise within Southern Maine

The Merger of Camden National and SBM Financial, Inc.

On October 16, 2015, the Company, and SBM completed the merger of the two companies. Under the terms of the Agreement and Plan of Merger, dated as of March 29, 2015 (“Merger Agreement”), each outstanding share of SBM common stock was converted into, subject to the allocation and proration procedures described in the Merger Agreement, either: (1) $206.00 in cash, without interest, or (2) 5.421 shares of common stock of Camden National.

Based on Camden National's closing stock price on October 16, 2015, of $39.48 per share, total consideration paid for SBM was $134.7 million. As of October 16, 2015, SBM's total assets were approximately $815 million, total net loans were approximately $640 million, and total deposits and borrowings were approximately $710 million. These balances are unaudited and do not include any adjustments for purchase accounting.

Upon completion of the merger on October 16, 2015, the Company had 10,203,807 shares of common stock outstanding, which includes the 2,749,762 shares of common stock issued as consideration for the merger.

About Camden National Corporation

Camden National Corporation is the holding company of Camden National Bank and Acadia Trust, N.A. Camden National Bank is a full-service community bank with a network of 64 branches and 85 ATMs throughout Maine. Acadia Trust, N.A. offers investment management and fiduciary services through its offices in Portland, Bangor, and Ellsworth. Healthcare Professional Funding Corporation, a subsidiary of Camden National Bank, is a leader in financing for providers of dental, veterinary and eye care. Camden Financial Consultants, a division of Camden National Bank, provides full-service brokerage and insurance services. To learn more, visit www.CamdenNational.com.

¹ This is a non-GAAP measure. Please refer to the "Reconciliation of non-GAAP to GAAP Financial Measures" within Exhibit 99.1 furnished with the 8-K filed with the SEC on October 27, 2015, for further details.