Fitch Downgrades AMCORE Financial's IDR to 'RD'

NEW YORK--(Business Wire)--
Fitch Ratings has downgraded the long-term Issuer Default Ratings (IDR) on
AMCORE Financial, Inc. to 'RD' from 'CCC' (AMFI) and AMCORE Bank, N.A. to 'RD'
from 'B-'. A complete list of all ratings follows at the end of this release.

AMFI announced that it has agreed to a Consent Order with the Office of the
Comptroller of the Currency and a Written Agreement with the Federal Reserve
System. As a result of these regulatory actions, AMFI is in default on its $20
million revolving line of credit with JPMorgan Chase due April 15, 2010. Today's
announcement regarding the two new regulatory actions adds to Fitch's concerns
previously noted in the last Rating Action Commentary dated Jan. 28, 2009.

The Consent Order requires increasing the bank's Tier I leverage ratio above 8%,
Tier I capital ratio above 9%, and Total Risk Based Capital ratio above 12% by
Sept. 30, 2009. Bank level capital ratios at March 31, 2009 were 4.62%, 6.22%,
and 8.84%, respectively. Fitch expects that AMFI's ability to raise capital in
an amount to meet the Consent Order is extremely limited. The Consent Order also
requires the development of a capital plan within 30 days and a liquidity risk
management program within 60 days.

The parent level Written Agreement restricts the payment of dividends from the
bank to the holding company without prior regulatory approval, the payment of
common dividends, and the payment of interest on its $50 million of trust
preferred securities without prior regulatory approval. AMFI is also required to
develop a capital plan and a cash flow projection.

Previous rating actions have centered on AMFI's weak asset quality, pressured
capital and parent company liquidity positions, and increased reliance on
wholesale funding. The ratings at the bank and holding company highlight Fitch's
view that AMFI is under significant financial pressure.

Fitch has downgraded the following ratings:

AMFI

--Long-term IDR to 'RD' from 'CCC';

--Short-term IDR to 'RD' from 'C'.

AMCORE Bank, N.A.

--Long-term IDR to 'CC' from 'B-';

--Long-term deposits to 'CCC/RR3' from 'B';

--Short-term deposits to 'C' from 'B'.

In addition, Fitch has affirmed the following:

AMFI

--Individual at 'E';

--Support at '5';

--Support Floor at 'NF'.

AMCORE Bank, N.A.

--Short-term IDR at 'C';

--Individual at 'E';

--Support at '5';

--Support Floor at 'NF'.

Fitch's rating definitions and the terms of use of such ratings are available on
the agency's public site, www.fitchratings.com. Published ratings, criteria and
methodologies are available from this site, at all times. Fitch's code of
conduct, confidentiality, conflicts of interest, affiliate firewall, compliance
and other relevant policies and procedures are also available from the 'Code of
Conduct' section of this site. The issuer did not participate in the rating
process other than through the medium of its public disclosure.

Fitch Ratings, Chicago
Julie Solar, 312-368-5472
Doris Hoffmann, 312-368-2057
Brian Bertsch, 212-908-0549
(Media Relations, New York)
brian.bertsch@fitchratings.com

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