Baylake Reports on Property Sale

Baylake Corp. (OTC BB: BYLK.ob), a bank holding company with $1.1 billion in assets, reported that on December 14, 2005, a subsidiary sold property adjacent to a bank branch for a price of $2.5 million. A third party purchased the 11.7 acres to facilitate its land development efforts in the Green Bay market. As a result of this transaction, Baylake expects to recognize a pre-tax gain on the sale of approximately $2.2 million. Baylake does not expect the sale to substantially affect its operations at that location.