OLNEY, MARYLAND, October 23, 2008 — Sandy Spring Bancorp, Inc., (Nasdaq-SASR) the parent company of Sandy Spring Bank, today announced net income for the third quarter of 2008 of $5.4 million ($.33 per diluted share) compared to $8.2 million ($.50 per diluted share) for the third quarter of 2007 and $5.7 million ($.34 per diluted share) for the linked second quarter of 2008. The third quarter of 2008 includes an estimated pre-tax impairment charge of $2.3 million to write down the value of goodwill in the Company’s leasing subsidiary, The Equipment Leasing Company, and a pre-tax pension credit of $1.5 million relating to the Company’s defined benefit pension plan which was frozen in 2007.

Net income for the nine-month period ending September 30, 2008 totaled $19.2 million ($1.17 per diluted share) compared to $23.9 million ($1.50 per diluted share) for the prior year period. The results for the current year-to-date include the goodwill impairment charge and pension credit mentioned above.

To read the third quarter results in their entirety, please visit our investor relations site:http://www.snl.com/irweblinkx/file.aspx?IID=100651&FID=6869123