Kurt A. Troyer Joins Midwest Banc Holdings, Inc. as Vice President & Information Services Security Officer.

Business Editors

MELROSE PARK, Ill.--(BUSINESS WIRE)--Jan. 13, 2004

Midwest Banc Holdings, Inc. (NASDAQ: MBHI), a community-based bank holding company, announced today that Kurt A. Troyer has been appointed Vice President and Information Services Security Officer effective January 2, 2004.

In his new role, Mr. Troyer will be responsible for the information services security at Midwest Banc Holdings, Inc. and its operating subsidiaries. Key elements of his duties will include maintaining information security for all data processing, e-mail and related internal information systems. In addition, Mr. Troyer will be responsible for setting policies, establishing standards for information security and auditing of operating practices within the corporation and its subsidiaries. He will be located at the Melrose Park Banking Center and will report to Brad A. Luecke, President and Chief Executive Officer.

Mr. Troyer brings to the company 8 years of experience in information security and technology. Most recently, he served as Vice President - Information Technology for CoVest Banc, N.A. in Des Plaines. Previously, he served as Assistant Vice President / Network Manager at CoVest.

Mr. Troyer received his bachelor's degree in 1993 from DePaul University in Chicago. In 2003, he earned the designation of Certified Information Systems Security Professional (CISSP).

Midwest Banc Holdings, Inc. provides a wide range of retail and commercial lending services, personal and corporate trust services, residential mortgage origination, and securities and insurance brokerage activities throughout the greater Chicago metropolitan area and Western Illinois. The Company's principal operating subsidiaries are: Midwest Bank and Trust Company, Midwest Bank of Western Illinois, Midwest Financial and Investment Services, Inc. and Midwest Bank Insurance Services, L.L.C.