Press Release

FFW Corporation Completed U.S. Treasury Investment Under Capital Purchase Program

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Posted 19 December 2008 @ 01:24 pm ET

WABASH, IN -- (Marketwire) -- 12/19/08 -- FFW Corporation (OTCBB: FFWC) (12/18/2008 Close:$14.00), parent corporation of Crossroads Bank, announced today that theU.S. Department of the Treasury ("Treasury") has completed its investmentin FFW Corporation under the voluntary Capital Purchase Program (CPP). OnOctober 29, 2008, FFW Corporation announced that preliminary approval hadbeen received from the Treasury for participation in the CPP. The Companyreceived approximately $7.3 million in capital and, in return, issued theTreasury shares of FFW Corporation preferred stock and warrants to purchaseFFW Corporation preferred stock. Upon completion of the transaction, theTreasury immediately exercised the warrant to purchase additional preferredshares. As a result of this transaction, FFW Corporation has issued 7,289shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A, with aliquidation preference of $1,000 per share paying dividends at an annualrate of 5% and 364 shares of Fixed Rate Cumulative Perpetual PreferredStock, Series B, with a liquidation preference of $1,000 per share payingdividends at an annual rate of 9%.

Crossroads Bank is a wholly owned subsidiary of FFW Corporation providingan extensive array of banking services and a wide range of investments andsecurities products through its main office in Wabash and four bankingcenters located in Columbia City, North Manchester, South Whitley, andSyracuse, IN. The Bank provides leasing services at its banking centersand its Carmel, IN leasing and commercial loan office. Insurance productsare offered through an affiliated company, Insurance 1 Services, Inc. Thecorporation's stock is traded on the OTC Bulletin Board under the symbol"FFWC.OB." Our website address is www.crossroadsbanking.com.

FOR MORE INFORMATIONContact:Emily BoardmanTreasurer260-563-3185


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