----

**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      D.C. 20549**

**Form      10-Q**

| x | QUARTERLY                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934 |
|---|--------------------------------------------------------------------------------------------------------------------------------------|

|   | For                the quarterly period ended March 31,                2007 |
|--------|-----------------------------------------------------------------------------|

| o | TRANSITION                REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE                ACT OF                1934 |
|---|---------------------------------------------------------------------------------------------------------------------------------------|

|   | For                the transition period from _____ to                _____ |
|--------|-----------------------------------------------------------------------------|

**FLORIDA      COMMUNITY BANKS, INC.**

**(Exact      name of registrant as specified in its charter)**

| **Florida**                                                                   |   | **35-2164765**                                                     |
|-------------------------------------------------------------------------------|--------|--------------------------------------------------------------------|
| (State                or other jurisdiction of Incorporation or organization) |   | (I.R.S.                Employer                Identification No.) |
|                                                                          |   |                                                               |
| **1400                North 15****th****Street, Immokalee, Florida**          |   | **34142-2202**                                                     |
| (Address                of principal executive offices)                       |   | (Including                zip code)                                |

|   | **(239)                657-3171**                               |   |
|--------|-----------------------------------------------------------------|--------|
|   | (Issuer's                Telephone Number, Including Area Code) |   |

| No                Change                                                                                         |
|------------------------------------------------------------------------------------------------------------------|
| (Former                name, former address and former fiscal year, if changed since last                report) |

| Yes                  x  | No  o  |
|----------------------------------------|-----------------------|

| Large                accelerated filer o  | Accelerated                filer                 x  | Non-accelerated                filer o  |
|-----------------------------------------------------|---------------------------------------------------------------|---------------------------------------------------|

| Yes                 o  | No  x  |
|----------------------------------|-----------------------|

| Common                Stock, $0.01 par |   | Outstanding                at May 4, 2007: 6,591,387 |
|----------------------------------------|--------|------------------------------------------------------|

----

**Form      10-Q**

**FLORIDA      COMMUNITY BANKS, INC.**

**March      31, 2007**

**TABLE      OF CONTENTS**

|                                                                                                                                                  | **Page                No.** |
|-------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------|
| **Part                I - Financial Information**                                                                                                     |                        |
|                                                                                                                                                  |                        |
| Item                1 - Consolidated                Financial Statements (Unaudited)                                                             |                        |
|                                                                                                                                                  |                        |
| Consolidated                Statements of Financial Condition as of March 31, 2007 and                December 31, 2006                               |  3                     |
|                                                                                                                                                  |                        |
| Consolidated                Statements of Income for the Three Months Ended March                31, 2007 and 2006                                    |  4                     |
|                                                                                                                                                  |                        |
| Consolidated                Statement of Shareholders' Equity for the Three Months Ended                March 31, 2007                                |  5                     |
|                                                                                                                                                  |                        |
| Consolidated                Statements of Cash Flows for the Three Months Ended                March 31, 2007 and 2006                                |  6                     |
|                                                                                                                                                  |                        |
| Notes                to Consolidated Financial Statements                                                                                        | 7                           |
|                                                                                                                                                  |                        |
| Item                2 - Management's                Discussion and Analysis ofFinancial                Condition and Results of Operations  |  13                    |
|                                                                                                                                                  |                        |
| Item                3 - Quantitative and Qualitative Disclosures about Market Risk                                                               | 16                          |
|                                                                                                                                                  |                        |
| Item                4 - Controls and Procedures                                                                                                  | 17                          |
|                                                                                                                                                  |                        |
| **Part                II - Other Information**                                                                                                        |                        |
|                                                                                                                                                  |                        |
| Item                1 - Legal Proceedings                                                                                                        | 17                          |
|                                                                                                                                                  |                        |
| Item                1A - Risk Factors                                                                                                            | 17                          |
| Item                5 - Other Information                                                                                                        | 17                          |
| Item                6 - Exhibits                                                                                                                 | 17                     |
|                                                                                                                                                  |                        |
| Signatures                                                                                                                                            |                        |

----

**PART      I - FINANCIAL INFORMATION**

**Item      1 - Financial Statements**

**FLORIDA      COMMUNITY BANKS, INC.**

**CONSOLIDATED      STATEMENTS OF FINANCIAL CONDITION**

**March      31, 2007 (Unaudited) and December 31, 2006**

|                                                                                                                                                                                                                              |   | **March                31,****2007****(Unaudited)** |              |  December  31,2006 |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------|-------------------|-----------------------------------|--------|
| **Assets**                                                                                                                                                                                                                        |   |                                                |              |                              |   |   |   |
| Cash                and due from banks                                                                                                                                                                                       |   | **$**                                               | **12,197,827**    |                              | $      | 19,013,130 |   |
| Interest-bearing                demand deposits with banks                                                                                                                                                                   |   |                                                | **1,606,413**     |                              |   | 1,499,212 |   |
| Federal                funds sold                                                                                                                                                                                            |   |                                                | **18,539,000**    |                              |   | 100,000 |   |
| **Cash                and Cash Equivalents**                                                                                                                                                                                 |   |                                                | **32,343,240**    |                              |   | 20,612,342 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| Securities                held-to-maturity, fair value of $ 106,233,257in                2007 and $99,976,028 in 2006                                                                                                        |   |                                                | **107,059,120**   |                              |   | 101,109,108 |   |
| Other                investments-securities                                                                                                                                                                                  |   |                                                | **5,599,965**     |                              |   | 5,595,465 |   |
| Other                investments-partnerships                                                                                                                                                                                |   |                                                | **1,263,875**     |                              |   | 1,263,875 |   |
| Loans                held-for-sale                                                                                                                                                                                           |   |                                                | **—**       |                              |   | 145,600 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| Loans,                net of unearned income                                                                                                                                                                                 |   |                                                | **839,800,945**   |                              |   | 869,462,473 |   |
| Allowance                for loan losses                                                                                                                                                                                     |   |                                                | (13,733,422       | )                                 |   | (13,590,000 | ) |
| **Net                Loans**                                                                                                                                                                                                 |   |                                                | **826,067,523**   |                              |   | 855,872,473 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| Premises                and equipment, net                                                                                                                                                                                   |   |                                                | **15,160,827**    |                              |   | 14,455,093 |   |
| Accrued                interest                                                                                                                                                                                              |   |                                                | **5,578,656**     |                              |   | 6,640,337 |   |
| Foreclosed                real estate                                                                                                                                                                                        |   |                                                | **2,790,690**     |                              |   | 2,403,435 |   |
| Deferred                taxes, net                                                                                                                                                                                           |   |                                                | **6,284,958**     |                              |   | 6,425,467 |   |
| Other                assets                                                                                                                                                                                                  |   |                                                | **1,546,272**     |                              |   | 2,154,231 |   |
|  **Total                Assets**                                                                                                                                                                                        |   | **$**                                               | **1,003,695,126** |                              | $      | 1,016,677,426 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| **Liabilities                and Shareholders’ Equity**                                                                                                                                                                     |   |                                                |              |                              |   |   |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| **Liabilities**                                                                                                                                                                                                                   |   |                                                |              |                              |   |   |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| **Deposits**                                                                                                                                                                                                                      |   |                                                |              |                              |   |   |   |
| Noninterest-bearing                                                                                                                                                                                                          |   | **$**                                               | **99,573,008**    |                              | $      | 109,481,282 |   |
| Interest-bearing                                                                                                                                                                                                             |   |                                                | **716,102,148**   |                              |   | 725,980,218 |   |
| **Total                Deposits**                                                                                                                                                                                            |   |                                                | **815,675,156**   |                              |   | 835,461,500 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| Short-term                borrowings                                                                                                                                                                                         |   |                                                | **—**       |                              |   | 694,000 |   |
| Accrued                interest                                                                                                                                                                                              |   |                                                | **2,829,248**     |                              |   | 2,767,839 |   |
| Deferred                compensation                                                                                                                                                                                         |   |                                                | **237,066**       |                              |   | 246,635 |   |
| FHLB                advances                                                                                                                                                                                                 |   |                                                | **55,000,000**    |                              |   | 55,000,000 |   |
| Subordinated                debentures                                                                                                                                                                                       |   |                                                | **30,929,000**    |                              |   | 30,929,000 |   |
| Income                taxes payable                                                                                                                                                                                          |   |                                                | **2,276,359**     |                              |   | 943,764 |   |
| Other                liabilities                                                                                                                                                                                             |   |                                                | **1,504,156**     |                              |   | 67,374 |   |
| **Total                Liabilities**                                                                                                                                                                                         |   |                                                | **908,450,985**   |                              |   | 926,110,112 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| **S****hareholders’                Equity**                                                                                                                                                                                 |   |                                                |              |                              |   |   |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| Common                stock - par value $0.01 per share, 10,000,000 shares authorized,                6,591,387                shares issued and outstanding at March 31, 2007 and at December 31,                2006  |   |                                                | **65,914**        |                              |   | 65,914 |   |
| Paid-in                capital                                                                                                                                                                                               |   |                                                | **18,455,664**    |                              |   | 18,445,864 |   |
| Retained                earnings                                                                                                                                                                                             |   |                                                | **76,722,563**    |                              |   | 72,055,536 |   |
| **Total                Shareholders’ Equity**                                                                                                                                                                          |   |                                                | **95,244,141**    |                              |   | 90,567,314 |   |
|                                                                                                                                                                                                                              |   |                                                |              |                              |   |   |   |
| **Total                Liabilities and Shareholders’ Equity**                                                                                                                                                          |   | **$**                                               | **1,003,695,126** |                              | $      | 1,016,677,426 |   |

----

**FLORIDA      COMMUNITY BANKS, INC.**

**CONSOLIDATED      STATEMENTS OF INCOME**

**Three      months Ended March 31, 2007 and 2006**

**(Unaudited)**

|                                                                          |        | Three                Months    |           |
|-------------------------------------------------------------------------------|--------|--------------------------------|----------------|
|                                                                          |   | Ended                March 31, |           |
|                                                                          |   | **2007**                       |           | 2006 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Interest                Income**                                            |   |                           |           |   |   |   |   |
| Interest                and fees on loans                                |   | **$**                          | **19,187,806** |   | $ | 18,075,990 |   |
| Interest                and dividends on taxable securities              |   |                           | **1,079,615**  |   |   | 684,413 |   |
| Interest                on tax-exempt securities                         |   |                           | **191,059**    |   |   | — |   |
| Interest                on federal funds sold and other interest income  |   |                           | **236,236**    |   |   | 138,314 |   |
| **Total                Interest Income**                                 |   |                           | **20,694,716** |   |   | 18,898,717 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Interest                Expense**                                           |   |                           |           |   |   |   |   |
| Interest                on deposits                                      |   |                           | **8,429,464**  |   |   | 6,045,790 |   |
| Interest                on borrowed funds                                |   |                           | **1,213,136**  |   |   | 927,386 |   |
| **Total                Interest Expense**                                |   |                           | **9,642,600**  |   |   | 6,973,176 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Net                Interest Income**                                   |   |                           | **11,052,116** |   |   | 11,925,541 |   |
|                                                                          |   |                           |           |   |   |   |   |
| Provision                for loan losses                                 |   |                           | **299,100**    |   |   | 980,000 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Net                Interest Income After Provision for Loan Losses**   |   |                           | **10,753,016** |   |   | 10,945,541 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Noninterest                Income**                                         |   |                           |           |   |   |   |   |
| Customer                service fees                                     |   |                           | **341,856**    |   |   | 424,921 |   |
| Secondary                market loan fees                                |   |                           | **113,221**    |   |   | 140,661 |   |
| Other                operating income                                    |   |                           | **171,486**    |   |   | 393,583 |   |
| **Total                Noninterest Income**                              |   |                           | **626,563**    |   |   | 959,165 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Noninterest                Expenses**                                       |   |                           |           |   |   |   |   |
| Salaries                and employee benefits                            |   |                           | **2,591,086**  |   |   | 2,237,344 |   |
| Occupancy                and equipment expense                           |   |                           | **596,930**    |   |   | 515,346 |   |
| Other                operating expenses                                  |   |                           | **698,411**    |   |   | 709,116 |   |
| **Total                Noninterest Expenses**                            |   |                           | **3,886,427**  |   |   | 3,461,806 |   |
|                                                                          |   |                           |           |   |   |   |   |
| Income                before income taxes                                |   |                           | **7,493,152**  |   |   | 8,442,900 |   |
| Income                tax expense                                        |   |                           | **2,826,125**  |   |   | 3,248,996 |   |
|                                                                          |   |                           |           |   |   |   |   |
| **Net                Income**                                            |   | **$**                          | **4,667,027**  |   | $ | 5,193,904 |   |
|                                                                          |   |                           |           |   |   |   |   |
| Basic                earnings per common share                           |   | **$**                          | **0.71**       |   | $ | 0.79 |   |
| Diluted                earnings per common share                         |   |                           | **0.70**       |   |   | 0.78 |   |
|                                                                          |   |                           |           |   |   |   |   |
| Cash                dividends declared per common share                  |   |                           | **0.00**       |   |   | 0.00 |   |
|                                                                          |   |                           |           |   |   |   |   |
| Weighted                average common shares outstanding - basic        |   |                           | **6,591,387**  |   |   | 6,586,648 |   |
| Weighted                average common shares outstanding - diluted      |   |                           | **6,700,336**  |   |   | 6,671,137 |   |

----

**FLORIDA      COMMUNITY BANKS, INC.**

**CONSOLIDATED      STATEMENT OF SHAREHOLDERS' EQUITY**

**Three      months Ended March 31, 2007**

**(Unaudited)**

|                                                                               |   | CommonStock |       | Paid-inCapital |   | RetainedEarnings |   | Total  |           |
|------------------------------------------------------------------------------------|--------|-------------|------------|----------------|--------|------------------|--------|--------|----------------|
|                                                                               |   |        |       |           |   |             |   |   |           |
| Balance                at December 31, 2006                                   |   | $           | 65,914     |           | $      | 18,445,864       |   | $      | 72,055,536     |   | $ 90,567,314 |
|                                                                               |   |        |       |           |   |             |   |   |           |   |   |
| Net                income - three months ended March                31, 2007  |   |        | —    |           |   | —          |   |   | 4,667,027      |   |  4,667,027 |
|                                                                               |   |        |       |           |   |             |   |   |           |   |   |
| Stock-based                compensation expense                               |   |        | —    |           |   | 9,800            |   |   | —        |   | 9,800 |
|                                                                               |   |        |       |           |   |             |   |   |           |   |   |
| **Balance                at March 31, 2007**                                  |   | **$**       | **65,914** |           | **$**  | **18,455,664**   |   | **$**  | **76,722,563** |   | $ **95,244,141** |

----

**FLORIDA      COMMUNITY BANKS, INC.**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

**Three      months Ended March 31, 2007 and 2006**

**(Unaudited)**

|                                                                                                                 |   | Three                Months    |            |
|----------------------------------------------------------------------------------------------------------------------|--------|--------------------------------|-----------------|
|                                                                                                                 |   | Ended                March 31, |            |
|                                                                                                                 |   | **2007**                       |            | 2006 |   |
|                                                                                                                 |   |                           |            |   |   |   |   |
| **Operating                Activities**                                                                              |   |                           |            |   |   |   |   |
| Net                Income                                                                                       |   | **$**                          | **4,667,027**   |   | $ | 5,193,904 |   |
| Adjustments                to reconcile net income to net cash provided                by operating activities: |   |                           |            |   |   |   |   |
| Provision                for loan losses                                                                        |   |                           | **299,100**     |   |   | 980,000 |   |
| Compensation                associated with the issuance of                options, net of tax                  |   |                           | **9,800**       |   |   | 5,150 |   |
| Depreciation,                amortization, and accretion, net                                                   |   |                           | **265,074**     |   |   | 271,562 |   |
| Decrease                in accrued interest receivable                                                          |   |                           | **1,061,681**   |   |   | 291,200 |   |
| Increase                in accrued interest payable                                                             |   |                           | **61,409**      |   |   | 128,805 |   |
| (Increase)                decrease in deferred tax asset, net                                                   |   |                           | **140,509**     |   |   | (422,061 | ) |
| Other,                net                                                                                       |   |                           | **2,822,282**   |   |   | 3,260,521 |   |
| **Net                Cash Provided By Operating Activities**                                                         |   |                           | **9,326,882**   |   |   | 9,703,931 |   |
|                                                                                                                 |   |                           |            |   |   |   |   |
| **Investing                Activities**                                                                              |   |                           |            |   |   |   |   |
| Purchase                of investment securities held-to-maturity                                               |   |                           | **(7,288,931**  | **)** |   | (492,200 | ) |
| Purchase                of other investment -securities                                                         |   |                           | **(4,500**      | **)** |   | — |   |
| Proceeds                from pay-downs of investmentsecurities                held-to-maturity                  |   |                           | **1,313,614**   |   |   | 1,236,711 |   |
| Net                (increase) decrease in loans to customers                                                    |   |                           | **29,807,128**  |   |   | (76,581,493 | ) |
| Purchase                of premises and equipment                                                               |   |                           | **(942,951**    | **)** |   | (510,424 | ) |
| **Net                Cash Provided By (Used In) Investing Activities**                                               |   |                           | **22,884,360**  |   |   | (76,347,406 | ) |
|                                                                                                                 |   |                           |            |   |   |   |   |
| **Financing                Activities**                                                                              |   |                           |            |   |   |   |   |
| Net                increase (decrease) in demand deposits, NOW accounts and                savings accounts     |   |                           | **(7,266,550**  | **)** |   | 28,011,583 |   |
| Net                increase (decrease) in certificates of deposits                                              |   |                           | **(12,519,794** | **)** |   | 74,538,311 |   |
| Repayments                of short-term borrowings                                                              |   |                           | **(694,000**    | **)** |   | (24,988,000 | ) |
| Net                increase in other debt                                                                       |   |                           | **—**     |   |   | 10,515 |   |
| **Net                Cash Provided By (Used In) Financing Activities**                                               |   |                           | **(20,480,344** | **)** |   | 77,577,559 |   |
|                                                                                                                 |   |                           |            |   |   |   |   |
| **Net                Increase in Cash and Cash Equivalents**                                                    |   |                           | **11,730,898**  |   |   | 10,934,084 |   |
|                                                                                                                 |   |                           |            |   |   |   |   |
| Cash                and Cash Equivalents at Beginning of Period                                                 |   |                           | **20,612,342**  |   |   | 32,368,349 |   |
|                                                                                                                 |   |                           |            |   |   |   |   |
| **Cash                and Cash Equivalents at End of Period**                                                        |   | **$**                          | **32,343,240**  |   | $ | 43,302,433 |   |

----

**FLORIDA      COMMUNITY BANKS, INC.**

**March      31, 2007**

**Note      A - Basis of Presentation**

**Note      B - Critical Accounting Policies**

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Note      C - Income Taxes**

*Accounting      for Uncertainties in Income Taxes, an Interpretation of FASB Statement No.      109*

**Note      D - Securities**

*Accounting      for Certain Investments in Debt and Equity Securities *

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Note      D - Securities - Continued**

|                                                                   |   | GrossAmortizedCost |            | GrossUnrealizedGains |   | EstimatedUnrealizedLosses |   | FairValue |          |
|------------------------------------------------------------------------|--------|--------------------|-----------------|----------------------|--------|---------------------------|--------|-----------|---------------|
| Securities                Held-to-Maturity                             |   |               |            |                 |   |                      |   |      |          |
|                                                                   |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
| **March                31, 2007:**                                     |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
| **FHLB                and FHLMC** **agency                notes** |   | **$**              | **12,528,938**  |                 | **$**  | **50,987**                |   | **$**     | **35,025**    |   | **$** | **12,544,900** |   |
| **Municipal                securities**                                |   |               | **20,601,786**  |                 |   | **167,390**               |   |      | **17,312**    |   |   | **20,751,864** |   |
| **Mortgage-backed                securities**                          |   |               | **73,928,396**  |                 |   | **63,608**                |   |      | **1,055,511** |   |   | **72,936,493** |   |
|                                                                   |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
|                                                                   |   | **$**              | **107,059,120** |                 | **$**  | **281,985**               |   | **$**     | **1,107,848** |   | **$** | **106,233,257** |   |
|                                                                   |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
| December                31, 2006:                                      |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
| FHLB                and FHLMC agency notes                             |   | $                  | 12,530,776      |                 | $      | 28,181                    |   | $         | 43,207        |   | $ | 12,515,750 |   |
| Municipal                securities                                    |   |               | 16,765,363      |                 |   | 136,498                   |   |      | 19,021        |   |   | 16,882,840 |   |
| Mortgage-backed                securities                              |   |               | 71,812,969      |                 |   | 53,473                    |   |      | 1,289,004     |   |   | 70,577,438 |   |
|                                                                   |   |               |            |                 |   |                      |   |      |          |   |   |   |   |
|                                                                   |   | $                  | 101,109,108     |                 | $      | 218,152                   |   | $         | 1,351,232     |   | $ | 99,976,028 |   |

|                                                     |   | Less                Than 12 Months  |      | 12                Months or More  |   | Total  |   |
|----------------------------------------------------------|--------|------------------------------------------|-----------|----------------------------------------|--------|-------------|--------|
| Description                of Securities                 |   | FairValue                                |      | UnrealizedLosses                       |   | FairValue   |   | UnrealizedLosses |   | FairValue |   | UnrealizedLosses |   |
|                                                     |   |                                     |      |                                   |   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| FHLB                and FHLMCagency                notes |   | $                                        | —   |                                   | $      | —     |   | $ | 1,963,600 |   | $ | 35,025 |   | $ | 1,963,600 |   | $ | 35,025 |   |
| Municipal                securities                      |   |                                     | 3,423,203 |                                   |   | 17,312      |   |   | — |   |   | — |   |   | 3,423,203 |   |   | 17,312 |   |
| Mortgage-backed                securities                |   |                                     | 3,575,183 |                                   |   | 23,445      |   |   | 50,004,089 |   |   | 1,032,066 |   |   | 53,579,272 |   |   | 1,055,511 |   |
|                                                     |   |                                     |      |                                   |   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                                                    |   | $                                        | 6,998,386 |                                   | $      | 40,757      |   | $ | 51,967,689 |   | $ | 1,067,091 |   | $ | 58,966,075 |   | $ | 1,107,848 |   |
|                                                     |   |                                     |      |                                   |   |        |   |   |   |   |   |   |   |   |   |   |   |   |   |

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Note      D - Securities - Continued**

**Note      E - Subordinated Debentures**

**Note      F - Shareholders' Equity**

**Note      G - Segment Information**

**Note      H - Stock-Based Compensation **

*Share-Based      Payment*

----

**FLORIDA        COMMUNITY BANKS, INC.**

**March        31, 2007**

**Note      I - Commitments and Contingencies**

|                                            |   | **March                31,****2007** |            | December                31,  2006  |   |
|-------------------------------------------------|--------|--------------------------------------|-----------------|----------------------------------------------|--------|
|                                            |   |                                 |            |                                         |   |   |   |
| Loan                commitments            |   | **$**                                | **181,703,000** |                                         | $      | 203,088,000 |   |
| Standby                letters of credit   |   |                                 | **1,591,000**   |                                         |   | 2,427,000 |   |
|                                            |   |                                 |            |                                         |   |   |   |
| Total                unfunded commitments  |   | **$**                                | **183,294,000** |                                         | $      | 205,515,000 |   |

**Note      J - Recent Accounting Pronouncements**

*"Accounting      for Certain Hybrid Financial Instruments, an amendment of FASB Statements No.      133 and 140." *
*"Accounting      for Derivative Instruments and Hedging Activities." *
*"Embedded      Derivatives: Application of Paragraph 13(b) to Securitized Interests in      Prepayable Financial Assets." *

*Accounting      for Servicing of Financial Assets-an amendment of *
*FASB      Statement No. 140. *

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Note      J - Recent Accounting Pronouncements - Continued**

*Accounting      for Uncertainly in Income Taxes - an interpretation of FASB Statement No.      109*

*Employers''      Accounting for Defined Benefit Pension and Other Postretirement Plans - an      amendment of FASB Statements No. 87, 88, 106 and 132*
*,      *

*Fair      Value Measurements. *

*Accounting      for Deferred Compensation and Postretirement Benefit Aspects of Endorsement      Split-Dollar Life Insurance Arrangements. *

*The      Fair Value Option for Financial Assets and Financial Liabilities.*

**Note      J - Recent Accounting Pronouncements - Continued**

**Note      K - Subsequent Events**

----

**FLORIDA        COMMUNITY BANKS, INC.**

**March        31, 2007**

**Item      2 - Management's Discussion and Analysis of Financial Condition and Results      of      Operations**

**Forward-Looking      Information **

**FINANCIAL      CONDITION **

**March      31, 2007 compared to December 31, 2006**

**Loans**

**Investment      Securities and Other Earning Assets**

**Asset      Quality**

**Deposits**

**Shareholders'      Equity **

** **

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Liquidity      Management**

**Capital      Resources**

**RESULTS      OF OPERATIONS**

**Three      months ended March 31, 200**
**7      and 2006**

**Summary**

**Net      Interest Income**

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Net      interest Income - Continued**

** **

**Provision      for Loan Losses**

** **
*Accounting      for Contingencies*
*Accounting      for Impairment of a Loan*

**Noninterest      Income**

** **
** **

**Noninterest      Expenses**

** **

**Income      Taxes**

**Other      Accounting Issues**

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Item      3. Quantitative and Qualitative Disclosures About Market      Risk**

|                                                   |   | Estimated                Fair Value of Financial Instruments |    |
|--------------------------------------------------------|--------|--------------------------------------------------------------|---------|
|                                                   |   | Down1                Percent                                 |    | Up1                Percent |   | Down2                Percent |   | Up2                Percent |   |
|                                                   |   | Dollars                in Thousands                          |    |
| **Interest-earning                Assets**             |   |                                                         |    |   |   |   |   |   |   |   |   |   |   |
| Loans                                                  |   | $                                                            | 832,905 |   | $ | 831,337 |   | $ | 835,302 |   | $ | 829,528 |   |
| Federal                funds sold and cash equivalents |   |                                                         | 32,241  |   |   | 32,241 |   |   | 32,241 |   |   | 32,241 |   |
| Securities                                             |   |                                                         | 115,671 |   |   | 105,225 |   |   | 120,597 |   |   | 99,872 |   |
| **Total                Interest-earning Assets**       |   |                                                         | 980,817 |   |   | 968,803 |   |   | 988,140 |   |   | 961,642 |   |
|                                                   |   |                                                         |    |   |   |   |   |   |   |   |   |   |   |
| **Interest-bearing                Liabilities**        |   |                                                         |    |   |   |   |   |   |   |   |   |   |   |
| Deposits                - Savings and demand           |   |                                                         | 224,911 |   |   | 219,935 |   |   | 227,967 |   |   | 217,564 |   |
| Deposits                - Time                         |   |                                                         | 481,260 |   |   | 477,143 |   |   | 483,584 |   |   | 473,660 |   |
| Other                borrowings                        |   |                                                         | 55,529  |   |   | 54,387 |   |   | 56,482 |   |   | 53,956 |   |
| **Total                Interest-bearing Liabilities**  |   |                                                         | 761,700 |   |   | 751,465 |   |   | 768,033 |   |   | 745,180 |   |
|                                                   |   |                                                         |    |   |   |   |   |   |   |   |   |   |   |
| **Net                Difference in Fair Value**        |   | $                                                            | 219,117 |   | $ | 217,338 |   | $ | 220,107 |   | $ | 216,462 |   |
|                                                   |   |                                                         |    |   |   |   |   |   |   |   |   |   |   |
| **Change                in Net Interest Income**       |   | $                                                            | (3,502  | ) | $ | 3,790 |   | $ | (7,143 | ) | $ | 7,020 |   |

----

**FLORIDA          COMMUNITY BANKS, INC.**

**March          31, 2007**

**Item      4. Controls and Procedures**

**Evaluation      of Disclosure Controls and Procedures**

**Changes      in Internal Controls**

**PART      II - Other Information**

**Item      1 - Legal Proceedings **

**Item      1A - Risk Factors **

**Item      5 - Other Information**

**Item      6 - Exhibits **

| **Exhibit                No****.** |   | **Exhibit**                                                                                                                                                                                                                                                                                                                                            |   | **Page** |
|------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |
| 3.1                                |   | Articles                of Incorporation of FCBI (included as Exhibit 3.1 to FCBI's Registration                Statement on Form 8-A filed with the SEC on April 15, 2002, and                incorporated herein by reference).                                                                                                                      |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |
| 3.2                                |   | By-laws                of FCBI (included as Exhibit 3.2 to FCBI's Registration Statement                on Form                8-A filed with the SEC on April 15, 2002, and incorporated herein                by                reference).                                                                                                          |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |
| 4.1                                |   | Subordinated                Promissory Note dated December 24, 2001, between Florida Community                Bank                and Independent Bankers Bank of Florida (included as Exhibit 4.1                to the                Bank's Form 10-KSB for the year ended December 31, 2001, and incorporated                herein by reference). |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |
| 4.2                                |   | Specimen                Common Stock Certificate of FCBI (included as Exhibit 4.1 to FCBI's                Registration Statement on Form 8-A filed with the SEC on April 15,                2002,                and incorporated herein by reference).                                                                                               |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |
| 10.1                               |   | 2002                Key Employee Stock Compensation Program of FCBI (included as Appendix                D to                the Bank's Definitive Schedule 14-A filed with the FDIC on March                22, 2002,                and incorporated herein by reference).                                                                           |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                   |   |     |

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**FLORIDA        COMMUNITY BANKS, INC.**

**March        31, 2007**

| **Exhibit                No****.** |   | **Exhibit**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |   | **Page** |
|------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.2                               |   | Amended                and Restated Trust Agreement among Florida Community Banks, Inc.                as                depositor, Wilmington Trust Company as property trustee, Wilmington                Trust                Company, as Delaware trustee, and Stephen L. Price, and Thomas V.                Ogletree                as administrators, dated as of June 21, 2002 (included as Exhibit                10.3 to                the Company's Form 10-Q for the quarter ended June 30, 2002, and                incorporated herein by reference). |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.3                               |   | Guarantee                Agreement between Florida Community Banks, Inc. as guarantor, and                Wilmington Trust Company as guarantee trustee, dated as of June 21,                2002                (included as Exhibit 10.4 to the Company's Form 10-Q for the quarter                ended                June 30, 2002, and incorporated herein by reference).                                                                                                                                                                                      |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.4                               |   | Junior                Subordinated Indenture between Florida Community Banks, Inc. (as                Company)                and Wilmington Trust Company (as trustee), dated as of June 21, 2002                (included                as Exhibit 10.5 to the Company's Form 10-Q for the quarter ended                June 30,                2002, and incorporated herein by reference).                                                                                                                                                                      |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.5                               |   | Employee                Stock Ownership Plan (included as Exhibit 10.5 to the Company's Form                S-8                filed May 6, 2004, and incorporated herein by reference).                                                                                                                                                                                                                                                                                                                                                                             |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.6                               |   | Amended                and Restated Declaration of Trust, dated as of May 12, 2006, by and                among                the Company, as Depositor, Wells Fargo Bank, National Association,                as                Institutional Trustee and Delaware Trustee, and the Administrators                named                therein (included as Exhibit 10.3 to the Company's Form 8-K filed                with the                SEC on May 12, 2006, and incorporated herein by                reference).                                        |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.7                               |   | Guarantee                Agreement, dated as of May 12, 2006, by and between the Company,                as                Guarantor, and Wells Fargo Bank, National Association, as Guarantee                Trustee (included as Exhibit 10.2 to the Company's Form 8-K filed                with the                SEC on May 12, 2006, and incorporated herein by                reference).                                                                                                                                                                    |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 10.8                               |   | Indenture,                dated as of May 12, 2006, by and between the Company and Wells Fargo                Bank,                National Association, as Trustee (included as Exhibit 10.1 to the                Company's Form 8-K filed with the SEC on May 12, 2006, and incorporated                herein by reference).                                                                                                                                                                                                                                     |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 11                                 |   | Statement                re: computation of earnings per common share                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |   | 25       |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 14                                 |   | Code                of Ethics (included as Exhibit 99.1 to the Company's Form 8-K filed                on                March 3, 2003, and incorporated herein by reference.)                                                                                                                                                                                                                                                                                                                                                                                       |   |     |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 31.1                               |   | Chief                Executive Officer - Certification of principal executive officer                pursuant                to the Exchange Act Rule 13(a)-14(a) or 15(d)-14(a).                                                                                                                                                                                                                                                                                                                                                                                    |   |  26 |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 31.2                               |   | Chief                Financial Officer - Certification of principal financial officer                pursuant                to the Exchange Act Rule 13(a)-14(a) or 15(d)-14(a).                                                                                                                                                                                                                                                                                                                                                                                    |   |  27 |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 32.1                               |   | Chief                Executive Officer - Certification pursuant to 18 U.S.C. Section 1350,                as                adopted pursuant to Section 906 of the Sarbanes-Oxley Act of                2002.                                                                                                                                                                                                                                                                                                                                                        |   |  28 |
|                               |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |   |     |
| 32.2                               |   | Chief                Financial Officer - Certification pursuant to 18 U.S.C. Section 1350,                as                adopted pursuant to Section 906 of the Sarbanes-Oxley Act of                2002.                                                                                                                                                                                                                                                                                                                                                        |   |  29 |

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**FLORIDA            COMMUNITY BANKS, INC.**

**March            31, 2007**

**SIGNATURES**

|                                                         |   |                        |
|--------------------------------------------------------------|--------|-----------------------------|
| By:                /s/                Stephen L. Price  |   | May                10, 2007 |
| Stephen                L. Price                              |   | Date                        |
| President,                Chief Executive Officer            |   |                        |
| And                Chairman of the Board of Directors        |   |                        |
|                                                         |   |                        |
| /s/                Guy W. Harris                        |   | May                10, 2007 |
| Guy                W. Harris                                 |   | Date                        |
| Chief                Financial Officer                       |   |                        |
|                                                         |   |                        |