FORM 10-Q

                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

         (Mark One)
  X      QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
----     EXCHANGE ACT OF 1934

                  For the quarterly period ended June 30, 2000

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

                 For the transition period from _____ to _____

                         Commission File Number 0-24683

                               FLORIDA BANKS, INC.
             (Exact name of registrant as specified in its charter)

         FLORIDA                                              58-2364573
(State or other jurisdiction of                            (I.R.S. Employer
 incorporation or organization)                            Identification No.)

                          5210 BELFORT ROAD, SUITE 310
                             JACKSONVILLE, FL 32256
                    (Address of principal executive offices)

                                 (904) 332-7772
              (Registrant's telephone number, including area code)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days. Yes X No ___

Indicate the number of shares outstanding of each of the registrant's classes of
common stock, as of the latest practicable date.

     Title                                       Outstanding
     COMMON STOCK, $.01 PAR VALUE                OUTSTANDING AT JUNE 30, 2000
     PER SHARE                                   5,644,137


<PAGE>
<TABLE>

ITEM 1. FINANCIAL STATEMENTS
FLORIDA BANKS, INC.

CONDENSED BALANCE SHEETS  (Unaudited)
-----------------------------------------------------------------------------------------------------------------------
                                                                                            June 30,       December 31,
                                                                                              2000              1999
ASSETS
<S>                                                                                       <C>               <C>
CASH AND DUE FROM BANKS                                                                   $11,393,217       $6,088,628
FEDERAL FUNDS SOLD                                                                         26,977,000       19,870,000
                                                                                      ----------------  ---------------
           Total cash and cash equivalents                                                 38,370,217       25,958,628

INVESTMENT SECURITIES:
  Available for sale, at fair value (cost $33,635,889 and $28,681,760
    at June 30, 2000, and December 31, 1999, respectively)                                 32,366,988       27,609,601
  Held to maturity, at cost (fair value $3,074,163)                                         3,107,212
  Other investments                                                                         1,068,650          901,800

LOANS:

  Commercial real estate                                                                  111,366,897       69,260,661
  Commercial                                                                               85,518,791       68,991,516
  Residential mortgage                                                                     16,534,212       10,845,841
  Consumer                                                                                  8,206,666        7,245,919
  Credit card and other loans                                                               1,291,239        1,244,256
                                                                                      ----------------  ---------------
           Total loans                                                                    222,917,805      157,588,193
  Allowance for loan losses                                                                (2,615,818)      (1,858,040)
  Net deferred loan fees                                                                      (71,785)         (71,341)
                                                                                      ----------------  ---------------
           Net loans                                                                      220,230,202      155,658,812

PREMISES AND EQUIPMENT, NET                                                                 2,808,974        2,440,818

ACCRUED INTEREST RECEIVABLE                                                                 1,535,321        1,021,175

DEFERRED INCOME TAXES, NET                                                                  4,838,420        4,365,270

OTHER ASSETS                                                                                  136,484          185,467
                                                                                      ----------------  ---------------
TOTAL ASSETS                                                                             $304,462,468     $218,141,571
                                                                                      ================  ===============
LIABILITIES AND SHAREHOLDERS' EQUITY

DEPOSITS:
  Noninterest-bearing demand                                                              $26,656,245      $22,035,567
  Interest-bearing demand                                                                  12,621,149       11,211,366
  Regular savings                                                                          39,294,351       38,954,093
  Money market accounts                                                                     1,226,680        1,593,930
  Time $100,000 and over                                                                   83,874,897       51,538,664
  Other time                                                                               78,002,749       33,772,060
                                                                                      ----------------  ---------------
          Total deposits                                                                  241,676,071      159,105,680

REPURCHASE AGREEMENTS SOLD                                                                 15,266,531       11,037,111

OTHER BORROWED FUNDS                                                                        7,212,957        7,242,352

ACCRUED INTEREST PAYABLE                                                                    1,510,457          616,549

ACCOUNTS PAYABLE AND ACCRUED EXPENSES                                                         832,315          905,024
                                                                                      ----------------  ---------------
          Total liabilities                                                               266,498,331      178,906,716
                                                                                      ----------------  ---------------
SHAREHOLDERS' EQUITY:
  Common stock, $.01 par value; 30,000,000 shares authorized;
    5,885,237 and 5,853,756 shares issued, respectively                                        58,852           58,538
  Additional paid-in capital                                                               46,380,287       46,219,104
  Warrants                                                                                    164,832          164,832
  Accumulated deficit (deficit of $8,434,037
     eliminated upon quasi-reorganization on December 31, 1995)                            (6,341,585)      (5,680,069)
  Treasury Stock, 241,100 and 135,100 shares at cost                                       (1,506,836)        (858,844)
  Accumulated other comprehensive loss, net of tax                                           (791,413)        (668,706)
                                                                                      ----------------  ---------------
          Total shareholders' equity                                                       37,964,137       39,234,855
                                                                                      ----------------  ---------------
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                                               $304,462,468     $218,141,571
                                                                                      ================  ===============

See notes to condensed financial statements.

</TABLE>

                                        2

<PAGE>

<TABLE>

FLORIDA BANKS, INC.

CONDENSED STATEMENTS OF OPERATIONS (Unaudited)
--------------------------------------------------------------------------------------------------------------------------

                                                              Three-Month Period Ended        Six-Month Period Ended
                                                                      June 30,                       June 30,
                                                            --------------------------------------------------------------
                                                                2000            1999             2000           1999
                                                            --------------------------------------------------------------

<S>                                                           <C>           <C>              <C>           <C>
INTEREST INCOME:
  Loans, including fees                                       $ 4,744,894   $ 2,014,986      $ 8,453,565   $ 3,625,447
  Investment securities                                           723,387       288,968        1,278,894       720,494
  Federal funds sold                                              367,929       369,205          583,762       453,979
                                                                ---------    ----------       ----------    ----------
          Total interest income                                 5,836,210     2,673,159       10,316,221     4,799,920
                                                                ---------    ----------       ----------    ----------


INTEREST EXPENSE:
  Deposits                                                      2,982,692       909,069        5,086,185     1,609,433
  Repurchase agreements                                           212,142       189,749          383,701       302,479
  Borrowed funds                                                   96,983        12,060          196,458        31,169
                                                                ---------    ----------       ----------    ----------

          Total interest expense                                3,291,817     1,110,878        5,666,344     1,943,081
                                                                ---------    ----------       ----------    ----------


NET INTEREST INCOME                                             2,544,393     1,562,281        4,649,877     2,856,839

PROVISION FOR LOAN LOSSES                                         339,328       200,000          709,456       265,000
                                                                ---------    ----------       ----------    ----------
NET INTEREST INCOME AFTER
   PROVISION FOR LOAN LOSSES                                    2,205,065     1,362,281        3,940,421     2,591,839
                                                                ---------    ----------       ----------    ----------

NONINTEREST INCOME:
  Service fees                                                    141,114       102,376          265,228       199,411
  (Loss) gain on sale of available for sale investment             (2,725)       31,729           (8,950)       31,729
    securities
  Other noninterest income                                         63,620        19,893           96,307        38,562
                                                                ---------    ----------       ----------    ----------

                                                                  202,009       153,998          352,585       269,702
                                                                ---------    ----------       ----------    ----------

NONINTEREST EXPENSES:
  Salaries and benefits                                         1,766,043     1,265,425        3,451,384     2,407,107
  Occupancy and equipment                                         377,699       199,758          731,375       346,695
  Data processing                                                 115,998        51,451          191,963        91,448
  Other                                                           531,499       472,746          978,915       851,529
                                                                ---------    ----------       ----------    ----------

                                                                2,791,239     1,989,380        5,353,637     3,696,779
                                                                ---------    ----------       ----------    ----------

LOSS BEFORE BENEFIT
  FOR INCOME TAXES                                               (384,165)     (473,101)      (1,060,631)     (835,238)


BENEFIT FOR INCOME TAX                                           (139,427)     (221,176)        (399,115)     (358,558)
                                                                ----------   ----------       ----------    ----------

NET LOSS                                                       $ (244,738)  $  (251,925)     $  (661,516)  $  (476,680)
                                                                ==========   ==========        ==========   ==========

LOSS PER SHARE:
  Basic                                                        $    (0.04)       $(0.04)          $(0.12)       $(0.08)
                                                                ==========   =============     ==========   ==========
  Diluted                                                      $    (0.04)       $(0.04)          $(0.12)       $(0.08)
                                                                ==========   =============     ==========   ==========

See notes to condensed financial statements.

</TABLE>

                                        3

<PAGE>
<TABLE>

FLORIDA BANKS, INC.
CONDENSED STATEMENTS OF SHAREHOLDERS' EQUITY  (Unaudited)
-----------------------------------------------------------------------------------------------------------------------------------

                                                                                                  Accumulated
                                                                        Warrants                    Other
                                                          Additional   to Acquire                  Comprehensive
                                       Common Stock         Paid-In      Common    Accumulated      (Loss)      Treasury
                                    Shares    Par Value    Capital       Stock      Deficit       Net of Tax     Stock       Total

<S>              <C>                <C>          <C>       <C>            <C>       <C>            <C>                   <C>
BALANCE, JANUARY 1, 1999            5,852,756    58,528    46,209,114     164,832   (3,832,909)    (11,716)              42,587,849
Comprehensive loss:
  Net loss                                                                          (1,847,160)                          (1,847,160)
  Unrealized gain on available
    for sale investment securities,
    net of tax of $396,270                                                                        (656,990)                (656,990)
                                                                                                                         ----------
    Comprehensive loss                                                                                                   (2,504,150)
  Exercise of stock options             1,000        10         9,990                                                        10,000
  Purchase of treasury stock                                                                                   (858,844)   (858,844)
                                    ---------    ------    ----------     -------   ---------     -------    ---------  ----------
BALANCE, DECEMBER 31, 1999          5,853,756    58,538    46,219,104     164,832   (5,680,069)   (668,706)    (858,844) 39,234,855
Comprehensive loss:
  Net loss                                                                            (661,516)                            (661,516)
  Unrealized gain on available
   for sale investment securities,
   net of tax                                                                                     (122,707)                (122,707)
                                                                                                                         ----------
      Comprehensive loss                                                                                                   (784,223)
  Issuance of common stock to
    Employee
    Stock Purchase Plan                31,481       314       161,183                                                       161,497
  Purchase of treasury stock                                                                                   (647,992)   (647,992)
                                    ---------    ------    ----------     -------    ---------     -------    ---------  ----------
BALANCE, JUNE 30, 2000              5,885,237  $ 58,852  $ 46,380,287    $164,832  ($6,341,585)  ($791,413) $(1,506,836$ 37,964,137
                                    =========    ======    ==========     =======    =========     =======    =========  ==========

See notes to condensed financial statements.
</TABLE>




                                       4
<PAGE>
<TABLE>

FLORIDA BANKS, INC.

CONDENSED STATEMENTS OF CASH FLOWS  (Unaudited)
------------------------------------------------------------------------------------------------------------------------


                                                                                            Six-Month Period Ended
                                                                                                   June 30,

                                                                                       ---------------------------------
                                                                                            2000             1999
                                                                                       ---------------- ----------------

OPERATING ACTIVITIES:
<S>                                                                                         <C>              <C>
  Net loss                                                                                  $ (661,516)      $ (476,680)
  Adjustments to reconcile net loss to net cash
    used in operating activities:
      Depreciation and amortization                                                            305,175          125,571
      Deferred income tax benefit                                                             (399,115)        (362,044)
      Loss on sale of securities                                                                 8,950
      Amortization of (discounts) premiums on investments, net                                 (64,716)          38,740
      Provision for loan losses                                                                709,456          265,000
      Increase in accrued interest receivable                                                 (514,146)        (183,760)
      Increase in accrued interest payable                                                     893,908           88,061
      Decrease (increase)  in other assets                                                      48,983          (72,809)
      (Decrease) increase in other liabilities                                                 (72,709)          23,648
                                                                                            ----------       ----------
           Net cash provided by (used in) operating activities                                 254,270         (554,273)
                                                                                            ----------       ----------
INVESTING ACTIVITIES:
  Proceeds from sales, paydowns and maturities of investment securities:

        Available for sale                                                                   6,182,146       16,581,460
        Other                                                                                                    28,600
  Purchases of investment securities:
    Available for sale                                                                     (11,118,249)     (22,119,825)
    Held to maturity                                                                        (3,069,472)
    Other investments                                                                         (166,850)        (446,800)
  Net increase in loans                                                                    (65,280,846)     (29,490,865)
  Purchases of premises and equipment                                                         (673,331)        (784,968)
                                                                                            ----------       ----------
           Net cash used in investing activities                                           (74,126,602)     (36,232,398)
                                                                                            ----------       ----------
FINANCING ACTIVITIES:
  Net increase in demand deposits,
    money market accounts and savings accounts                                               6,003,469       12,567,356
  Net increase in time deposits                                                             76,566,922       15,782,251
  Increase in repurchase agreements                                                          4,229,420        7,175,086
  (Decrease) increase in borrowed funds                                                        (29,395)       2,347,940
  Purchase of treasury stock                                                                  (647,992)
  Exercise of stock options                                                                    161,497           10,000
                                                                                            ----------       ----------
           Net cash provided by financing activities                                        86,283,921       37,882,633
                                                                                            ----------       ----------
NET INCREASE IN CASH AND
  CASH EQUIVALENTS                                                                          12,411,589        1,095,962

CASH AND CASH EQUIVALENTS:

  Beginning of period                                                                       25,958,628       20,945,139
                                                                                            ----------       ----------
  End of period                                                                          $  38,370,217     $ 22,041,101
                                                                                            ==========       ==========
SUPPLEMENTAL DISCLOSURES
  OF CASH FLOW INFORMATION:
    Cash paid for interest                                                               $   4,772,436      $ 1,855,020
                                                                                            ==========       ==========
See notes to condensed financial statements.
</TABLE>

                                       5
<PAGE>

FLORIDA BANKS, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
FOR THE THREE AND SIX MONTH PERIODS ENDED
JUNE 30, 2000 AND 1999 (UNAUDITED)
--------------------------------------------------------------------------------

1.    BASIS OF PRESENTATION

      Florida Banks,  Inc. (the Company") was  incorporated  on October 15, 1997
      for the purpose of becoming a bank  holding  company and  acquiring  First
      National  Bank of Tampa  (the  "Bank").  On August 4,  1998,  the  Company
      completed its initial  public  offering and its merger (the "Merger") with
      the Bank  pursuant to which the Bank was merged with and into Florida Bank
      No. 1, N.A., a wholly owned subsidiary of the Company, and renamed Florida
      Bank, N.A.  Shareholders of the Bank received  1,375,000  shares of common
      stock of the Company  valued at  $13,750,000.  The Merger was considered a
      reverse acquisition for accounting  purposes,  with the Bank identified as
      the accounting acquiror.  The Merger has been accounted for as a purchase,
      but no  goodwill  has  been  recorded  in the  Merger  and  the  financial
      statements of the Bank have become the historical  financial statements of
      the Company.

      The condensed  financial  statements have been prepared in accordance with
      the  rules and  regulations  of the  Securities  and  Exchange  Commission
      related  to  interim  financial  statements.   These  unaudited  condensed
      financial statements do not include all disclosures provided in the annual
      financial statements. The condensed financial statements should be read in
      conjunction with the financial  statements and notes thereto  contained in
      the  Company's  Registration  Statement  on Form  S-1 as  filed  with  the
      Securities and Exchange Commission.  All adjustments of a normal recurring
      nature  which,  in the  opinion of  management,  are  necessary  to fairly
      present  the  results of the interim  periods  have been made.  Results of
      operations  for the three and six month periods  ended June 30, 2000,  are
      not  necessarily  indicative  of the results to be  expected  for the full
      year.

      The consolidated  financial statements include the accounts of the Company
      and the Bank. All significant  intercompany balances and transactions have
      been eliminated in consolidation.

2.    EARNINGS PER SHARE

      The  following  is  a  reconciliation  of  the  denominator  used  in  the
      computation of basic and diluted earnings per common share.

<TABLE>

                                                  Three Month Period Ended     Six Month Period Ended
                                                    June 30,                          June, 30
                                         --------------------------------  --------------------------------
                                              2000             1999             2000             1999
                                         ---------------  ---------------  ---------------  ---------------

<S>                                          <C>             <C>              <C>
Weighted average number of common
  shares outstanding - Basic                 5,644,137       5,853,613        5,681,919       5,853,187

Incremental shares from the assumed
  conversion of stock options                        -               -                -               -
                                             ---------       ----------       ----------      ---------               --

Total - Diluted                              5,644,137       5,853,613        5,681,919       5,853,187
                                             ==========      ==========       ==========      =========
</TABLE>


                                       6

<PAGE>

FLORIDA BANKS, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
FOR THE THREE AND SIX MONTH PERIODS ENDED
JUNE 30, 2000 AND 1999 (UNAUDITED)  (Continued)
--------------------------------------------------------------------------------


      The  exercise  prices of stock  options  outstanding  in the three and six
      month  periods  ended June 30,  2000 and 1999 were  above the fair  market
      value of the  stock  during  those  periods,  therefore  the  options  are
      considered anti-dilutive for purposes of calculating the loss per share.

3.    NEW ACCOUNTING STANDARDS

      The Company  intends to adopt Statement of Financial  Accounting  Standard
      No. 133,  "Accounting for Derivative  Instruments and Hedging  Activities"
      (SFAS No. 133) in the first quarter of the year ending  December 31, 2001.
      SFAS No. 133 will require the Company to recognize all  derivatives on the
      balance  sheet at fair  value.  Derivatives  that are not  hedges  must be
      adjusted  to fair value  through  income.  If the  derivative  is a hedge,
      depending  on the  nature  of the  hedge,  changes  in the  fair  value of
      derivatives  will either be offset against the change in fair value of the
      hedged  assets,  liabilities  or firm  commitments  through  earnings,  or
      recognized  in  other  comprehensive  income  until  the  hedges  item  is
      recognized in earnings. The change in a derivative's fair value related to
      the ineffective portion of a hedge, if any, will be immediately recognized
      in  earnings.  The  effect of  adoption  SFAS No. 133 is  currently  being
      evaluated  but is not expected to have a material  effect on the Company's
      financial position or results of operations.

      In December 1999, the Securities and Exchange Commission issued Accounting
      Bulletin (SAB) No, 101, " Revenue  Recognition  in Financial  Statements."
      The  objective  of this SAB is to  provide  further  guidance  on  revenue
      recognition issues in the absence of authoritative literature addressing a
      specific  arrangement or a specific  industry.  The Company is required to
      adopt the guidance in the SAB no later than the fourth quarter of the year
      ending  December  31, 2000.  Adoption of this  guidance is not expected to
      have a material impact on the Company's  financial  position or results of
      operations.  The SEC has recently  indicated  it intends to issue  further
      guidance with respect to adoption of specific issues  addressed by SAB No.
      101. Until such time as this additional guidance is issued, the Company is
      unable to assess the impact, if any, it may have on its financial position
      or results of operations.

                                        7

<PAGE>

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

The  following  discussion  should  be read in  conjunction  with the  financial
statements and related notes appearing elsewhere in this Form 10-Q.

Financial information  contained in the Management's  Discussion and Analysis of
Financial  Condition  and Results of  Operations  is derived from the  unaudited
Condensed  Balance Sheets and unaudited  Condensed  Statements of Operations for
the indicated periods. Percentage changes are calculated on the actual amount of
the change and dollar amounts are rounded for presentation purposes.

RESULTS OF OPERATIONS

Three Months Ended June 30, 2000 Compared to Three Months Ended June 30, 1999

The  Company's  net loss for the  second  quarter  of 2000  decreased  $7,000 to
$245,000  for the three month period  ending June 30,  2000,  from a net loss of
$252,000 for the three month  period  ended June 30, 1999.  Basic loss per share
for the first  quarter of 2000 was $.04 compared to basic loss per share of $.04
for the  second  quarter  of 1999.  The  decrease  in the loss can be  primarily
attributed to increased  revenues  associated with the Company's growth over the
past twelve months.

The  increase in net interest  income of $982,000 or 62.9%,  to $2.5 million for
the second  quarter of 2000 compared to $1.6 million the second quarter of 1999,
consists of an increase in interest income of $3.2 million, or 118.3%, offset by
an increase in interest  expense of $2.2  million,  or 196.3%.  The  increase in
interest  income in the second quarter of 2000 is primarily  attributable  to an
increase of $2.7 million in interest and fees on loans resulting from the growth
in the loan portfolio.  The increase in interest expense is primarily the result
of an increase in interest  expense on deposits of $2.1 million  attributable to
the growth in time deposits.

The  provision  for loan  losses  charged to  operations  increased  $139,000 to
$339,000 for the second  quarter of 2000 from $200,000 in the second  quarter of
1999. This increase  represents the additional  reserves resulting from new loan
growth.

Non-interest  income increased 31.2% or $48,000 to $202,000 for the three months
ended June 30, 2000 from $154,000 for the three months ended June 30, 1999.  The
increase in non-interest  income primarily  resulted from an increase in service
fees to $141,000 at June 30, 2000 from  $102,000 at June 30, 1999.  The increase
in service fees resulted primarily from an increase in deposits.

Non-interest  expense increased  $802,000 or 40.3% to $2.8 million for the three
month  period  ended June 30, 2000  compared to $2.0 million for the three month
period  ended June 30,  1999.  The  increase in  non-interest  expense  resulted
primarily from increases in salaries and benefits,  occupancy and equipment, and
other  expenses.  Salaries  and  benefits  expenses  increased  $501,000 to $1.8
million for the second  quarter of 2000  compared to $1.3 million for the second
quarter of 1999. This increase is the result of additional staff associated with
the new banking  offices.  The increase in occupancy  and  equipment  expense of
$178,000,   or  89.1%,  resulted  from  the  additional  leased  space  for  the
Jacksonville  banking  office and the  Company,  startup  costs for the Pinellas
County and Broward County banking offices and the Ocala loan production  office,
and from additional  depreciation  and maintenance  expenses  resulting from the
purchase  of  additional  furniture  and  computer  equipment.  Data  processing
expenses increased $65,000 or 125.5% to $116,000 for the three months ended June
30,  2000 as compared  to $51,000  for the same  period in 1999.  This  increase
resulted  primarily  from the  additional  processing  expenses for the Pinellas
County and Broward County banking offices and the Ocala loan production  office.
Other expenses increased $58,000,  or 12.4% to $531,000 for the first quarter of
2000 compared to $473,000 for the same period in 1999. This increase is

                                        8

<PAGE>

primarily attributed to the additional operating expenses of the Pinellas County
and Broward County banking offices and the Ocala loan production office, and the
supporting  operations.  Specific  operational  expenses  which  increased  were
communications,  stationery  and supplies,  postage and courier,  and consulting
expenses.

A benefit for income taxes of $139,000 was recognized for the three-month period
ended June 30, 2000 as compared  to a benefit for income  taxes of $221,000  for
the same period in 1999.  These benefits for income taxes represent an estimated
effective annual tax rate of 38%.

Six Months Ended June 30, 2000 Compared to Six Months Ended June 30, 1999

The Company's net loss for the first half of 2000 increased $185,000 to $662,000
for the six month period  ending June 30, 2000,  from a net loss of $477,000 for
the six month  period  ended June 30,  1999.  Basic loss per share for the first
half of 2000 was $.12  compared  to basic  loss per  share of $.08 for the first
half of 1999. The increase in the loss results  primarily from costs  associated
with the opening of the Pinellas  County and Broward County banking  offices and
the Ocala loan production office.

The increase in net interest  income of $1.8 million,  or 62.8%, to $4.6 million
for the first half of 2000  compared  to $2.9  million  the same period in 1999,
consists of an increase in interest  income of $5.5 million,  or 114.9%,  and an
increase in interest  expense of $3.7  million,  or 191.6%.  The increase in net
interest  income  of $1.8  million  in the  first  half  of  2000  is  primarily
attributable  to an  increase  of $4.8  million  in  interest  and fees on loans
resulting  from the  growth in the loan  portfolio.  The  increase  in  interest
expense is primarily  the result of an increase in interest  expense on deposits
of $3.5 million attributable to the growth in time deposits.

The  provision  for loan  losses  charged to  operations  increased  $444,000 to
$709,000  for the first  half of 2000 from  $265,000  in the first half of 1999.
This increase represents the additional reserves resulting from new loan growth.

Non-interest  income  increased  30.7% or $83,000 to $353,000 for the six months
ended June 30, 2000 from  $270,000 for the same period in 1999.  The increase in
non-interest  income  primarily  resulted  from an increase  in service  fees to
$265,000  at June 30,  2000 from  $199,000  at June 30,  1999.  The  increase in
service fees resulted primarily from an increase in deposits.

Non-interest expense increased $1.7 million or 44.8% to $5.4 million for the six
month period ended June 30, 2000 compared to $3.7 million for the same period in
1999. The increase in non-interest  expense resulted primarily from increases in
salaries and benefits, occupancy and equipment, and other expenses. Salaries and
benefits expenses increased $1.1 million, or 43.4% to $3.5 million for the first
half of 2000 compared to $2.4 million for the first half of 1999.  This increase
is the result of additional staff  associated with the new banking offices.  The
increase in occupancy and  equipment  expense of $385,000,  or 111.0%,  resulted
from the  additional  leased space for the  Jacksonville  banking office and the
Company,  startup  costs for the  Pinellas  County and  Broward  County  banking
offices and the Ocala loan production office,  and from additional  depreciation
and maintenance expenses resulting from the purchase of additional furniture and
computer  equipment.  Data processing  expenses  increased $101,000 or 109.9% to
$192,000  for the six months  ended June 30, 2000 as compared to $91,000 for the
same  period in 1999.  This  increase  resulted  primarily  from the  additional
processing  expenses for the Pinellas  County and Broward County banking offices
and the Ocala loan production  office.  Other expenses  increased  $127,000,  or
15.0% to $979,000 for the first half of 2000  compared to $852,000 for the first
half of 1999. This increase is primarily  attributed to the additional operating
expenses of the Pinellas County and Broward County banking offices and the Ocala

                                        9

<PAGE>

loan  production  office and the  supporting  operations.  Specific  operational
expenses which increased were communications,  travel,  stationery and supplies,
and postage and courier expenses.

A benefit for income taxes of $399,000 was  recognized  for the six month period
ended June 30, 2000 as compared  to a benefit for income  taxes of $359,000  for
the same period in 1999.  These benefits for income taxes represent an estimated
effective annual tax rate of 38%.

FINANCIAL CONDITION

Total assets at June 30, 2000 were $304.5 million,  an increase of $86.4 million
or 39.6%, from $218.1 million at December 31, 1999. The increase in total assets
primarily  resulted from the investment of new deposit growth and other borrowed
funds in loans and  investments.  Federal Funds sold  increased  $7.1 million or
35.8% to $27.0 million at June 30, 2000 as compared to $19.9 million at December
31, 1999.  These assets represent short term reserves for future funding of loan
growth.  Investment  securities increased $8.0 million or 28.2% to $36.5 million
from $28.5 million at December 31, 1999.  The increase in investment  securities
reflects  investment of the proceeds of deposit  growth in excess of loan growth
during the first half of 2000.

Total loans  increased  $65.3 million,  or 41.4%,  to $222.9 million at June 30,
2000,  from $157.6 million at December 31, 1999. The increase in total loans was
funded by  increases  in  depository  accounts.  The  allowance  for loan losses
increased  $758,000 or 40.8% for the first half of 2000.  The increase  resulted
from recoveries of previously charged-off loans of $49,000,  partially offset by
$1,000 in  charge-offs,  and additional  provisions of $709,000,  during the six
month period ended June 30, 2000.  The allowance for loan losses as a percent of
total loans was  approximately  1.2% at  December  31, 1999 and 1.2% at June 30,
2000.  Management  believes that such allowance for loan losses is sufficient to
cover estimated losses in the Bank's loan portfolio.

Deposits  increased $82.6 million,  or 51.9%, to $241.7 million at June 30, 2000
from $159.1  million at  December  31,  1999.  The  increase  in total  deposits
resulted  from an  increase  of $4.6  million or 21.0% in  non-interest  bearing
deposits,  an increase of $1.4 million or 12.6% in  interest-bearing  demand, an
increase  of  $340,000  or 0.9% in savings  deposits,  and an  increase of $76.6
million or 89.7% in time deposits,  offset by a decrease of $367,000 or 23.0% in
money market  deposits.  Time deposits  often  fluctuate in response to interest
rate  changes  and can vary  rather  significantly  on a  quarterly  basis.  The
increase  in time  deposits  resulted  primarily  from an  increase  in brokered
deposits,  together with an increase in time deposits  issued through the Bank's
Internet banking activities.

Shareholders'  equity  decreased  by $1.3  million to $38.0  million at June 30,
2000,  from $39.2  million at December 31, 1999.  This decrease is primarily the
result of operating  losses from the opening of the Broward  County and Pinellas
County banking offices and the Ocala loan production office, and the purchase of
106,000 shares of treasury stock at a cost of $648,000.

Non-accrual loans increased $284,000 to $1,384,000 at June 30, 2000, compared to
$1,100,000 at December 31, 1999. The increase is the result of seven  additional
loans being changed from accrual to non-accrual  status during the first half of
2000.

LIQUIDITY AND SOURCES OF CAPITAL

The Company,  through its  subsidiary,  the Bank, has  traditionally  maintained
levels of liquidity above levels required by regulatory authorities.  The Bank's
operational needs, demand for loan disbursements, and savings withdrawals can be

                                       10

<PAGE>

met by loan principal and interest payments received,  new deposits,  and excess
liquid  assets.   Significant  loan  demand,   deposit   withdrawal,   increased
delinquencies  and increased  real estate  acquired in settlement of loans could
alter this  condition.  Management  does not foresee any liquidity  problems for
2000.

Liquidity is the Company's ability to meet all deposit withdrawals  immediately,
while  also  providing  for the credit  needs of  customers.  The June 30,  2000
financial  statements  evidence a satisfactory  liquidity position as total cash
and cash  equivalents  amounted to $38.4  million,  representing  12.6% of total
assets.  Investment securities amounted to $36.5 million,  representing 12.0% of
total assets.  These  securities  provide a secondary  source of liquidity since
they can be converted  into cash in a timely  manner.  The Company's  ability to
maintain  and expand its  deposit  base and  borrowing  capabilities  are also a
source of  liquidity.  For the  six-month  period  ended  June 30,  2000,  total
deposits  increased from $159.1 million at December 31, 1999 to $241.7  million,
representing  an increase of 51.9%.  There can be no assurance  that the Company
will be able to maintain this level of growth. The Company's  management closely
monitors  and  maintains  appropriate  levels of  interest  earning  assets  and
interest bearing liabilities so that maturities of assets are such that adequate
funds are provided to meet customer  withdrawals  and loan demand.  There are no
trends,  demands,  commitments,  events or uncertainties that will result in, or
are  reasonably  likely to result  in, the  Company's  liquidity  increasing  or
decreasing in any material way.

Management is committed to maintaining  capital at a level sufficient to protect
depositors,  provide for reasonable growth, and fully comply with all regulatory
requirements. Management's strategy to achieve this goal is to retain sufficient
earnings while providing a reasonable return on equity.

The table below  illustrates  the Bank's  regulatory  capital ratios at June 30,
2000:

<TABLE>

                                                                                             To be Well
                                                                                          Capitalized Under
                                                                   For Capital            Prompt Corrective
Bank                                        Actual              Adequacy Purposes         Action Provisions
----                                     -------------     ---------------------------  ---------------------

<S>  <C>                                    <C>                       <C>                       <C>
Tier 1 Capital                              9.95 %                    4.00 %                    6.00 %
                                            ======                    ======                    ======

Total risk-based capital ratio              11.11 %                   8.00 %                    10.00 %
                                            =======                   ======                    =======

Leverage ratio                              7.75 %                    4.00 %                    5.00 %
                                            ======                    ======                    ======

</TABLE>




                                       11

<PAGE>

CAUTIONARY STATEMENT RELATING TO FORWARD LOOKING STATEMENTS

The foregoing  Management's  Discussion and Analysis  contains  various "forward
looking  statements"  within the meaning of Section 27A of the Securities Act of
1933,  as amended,  and Section 21E of the  Securities  Exchange Act of 1934, as
amended, which represent the Company's expectations or beliefs concerning future
events,  including,  but not limited to, statements regarding growth in sales of
the Company's products, profit margins and the sufficiency of the Company's cash
flow for its future liquidity and capital resource needs. These  forward-looking
statements  are further  qualified by important  factors that could cause actual
results to differ materially from those in the forward-looking statements.

Item 3.  Qualitative and Quantitative Disclosures About Market Risk

The  Company's  financial  performance  is  subject to risk from  interest  rate
fluctuations.  This  interest  rate risk arises due to  differences  between the
amount of interest-earning assets and the amount of interest-earning liabilities
subject  to  repricing  over a  specified  period  and the  amount  of change in
individual  interest  rates.  In the  current  interest  rate  environment,  the
liquidity and maturity  structure of the Company's  assets and  liabilities  are
important to the maintenance of acceptable performance levels. A decreasing rate
environment  negatively impacts earnings as the Company's  rate-sensitive assets
generally reprice faster than its rate-sensitive liabilities.  Conversely, in an
increasing   rate   environment,   earnings  are   positively   impacted.   This
asset/liability  mismatch in pricing is referred to as gap ratio and is measured
as rate sensitive  assets divided by rate  sensitive  liabilities  for a defined
time period. A gap ratio of 1.00 means that assets and liabilities are perfectly
matched as to repricing. Management has specified gap ratio guidelines for a one
year time horizon of between .80 and 1.20 years for the Bank.  At June 30, 2000,
the Company had cumulative gap ratios of approximately  1.28 for the three month
time period and .80 for the one year period ending June 30, 2001. Thus, over the
next  three  month  period,  rate-sensitive  assets  will  reprice  faster  than
rate-sensitive  liabilities,  and for the  following  nine  month  period,  rate
sensitive liabilities will reprice faster than rate-sensitive assets.

Varying interest rate environments can create  unexpected  changes in prepayment
levels of  assets  and  liabilities,  which are not  reflected  in the  interest
sensitivity analysis.  Prepayments may have significant effects on the Company's
net interest  margin.  Because of these  factors and in a static test,  interest
sensitivity  gap reports may not provide a complete  assessment of the Company's
exposure to changes in interest rates. Management utilizes computerized interest
rate simulation  analysis to determine the Company's  interest rate sensitivity.
The Company is in a liability  sensitive  gap position  for the first year,  and
then moves into a matched position through the five year period. Overall, due to
the  factors  cited,  current  simulations  results  indicate a  relatively  low
sensitivity to parallel shifts in interest rates. A liability  sensitive company
will generally  benefit from a falling  interest rate environment as the cost of
interest-bearing  liabilities  falls faster than the yields on  interest-bearing
assets,  thus  creating a widening of the net interest  margin.  Conversely,  an
asset sensitive  company will benefit from a rising interest rate environment as
the yields on earning  assets  rise  faster  than the costs of  interest-bearing
liabilities.  Management  also  evaluates  economic  conditions,  the pattern of
market  interest  rates and  competition  to determine the  appropriate  mix and
repricing  characteristics  of assets  and  liabilities  required  to  produce a
targeted net interest margin.

In  addition  to the gap  analysis,  management  uses rate shock  simulation  to
measure the rate  sensitivity of its balance sheet.  Rate shock  simulation is a
modeling  technique  used to  estimate  the  impact of  changes  in rates on the
Company's net interest  margin.  The Company  measures its interest rate risk by
estimating the changes in net interest income resulting from  instantaneous  and
sustained  parallel  shifts in interest  rates of plus or minus 200 basis points
over a period of twelve months.  The Company's most recent rate shock simulation
analysis  which was  performed as of June 30, 2000,  indicates  that a 200 basis
point  increase in rates would cause an increase in net interest  income of $1.5
million or over the next  twelve-month  period.  Conversely,  a 200 basis  point
decrease in rates would cause a decrease in net interest  income of $1.5 million
over a twelve-month period.

                                       12

<PAGE>

This simulation is based on management's assumption as to the effect of interest
rate changes on assets and liabilities and assumes a parallel shift of the yield
curve. It also includes  certain  assumptions  about the future pricing of loans
and deposits in response to changes in interest rates.  Further, it assumes that
delinquency  rates  would not change as a result of changes  in  interest  rates
although  there can be no  assurance  that this  will be the  case.  While  this
simulation is a useful measure of the Company's  sensitivity to changing  rates,
it is not a forecast  of the future  results  and is based on many  assumptions,
that if changed,  could cause a different outcome. In addition, a change in U.S.
Treasury rates in the designated amounts accompanied by a change in the shape of
the  Treasury  yield curve would cause  significantly  different  changes to net
interest income than indicated above.

At June 30, 2000, the Company was not engaged in trading activities.

During the second  quarter of 2000,  the Company  entered into various  interest
rate swaps to help manage the Company's  interest  sensitivity.  Such  contracts
typically have a fixed notional principal amount, and the Company typically pays
a fixed rate on a certificate of deposit while the counterparty pays or receives
a floating rate based on a specified  index.  This index is generally the London
Interbank  Offered  Rate  ("LIBOR").  The  interest  rate  risk  factor in these
contracts is  considered  in the overall  interest  management  strategy and the
Company's  interest risk management  program.  The income or expense  associated
with these  contracts is reflected as an  adjustment  to interest  expense,  and
results in an adjustment of the rate on the liabilities with which the contracts
are  associated.  Changes in the estimated fair value of these contracts are not
reflected in the financial  statements  unless  realized.  At June 30, 2000, the
estimated fair value of the Company's  outstanding interest rate swaps indicated
$28,000 in unrealized gains and $108,000 in unrealized losses. For the three and
six month periods ended June 30, 2000 and 1999,  there were no realized gains or
losses on terminated interest rate swaps.

Part II. Other Information

Item 1.  Legal Proceedings

         No disclosure required.

Item 2.  Changes in Securities

         No disclosure required.

Item 3.  Defaults Upon Senior Securities

         No disclosure required.

Item 4.  Submission of Matters to a Vote of Security Holders

         No disclosure required.

Item 5.  Other Information

         No disclosure required.





                                       13

<PAGE>

Item 6.  Exhibits and Reports on Form 8-K

(a)      Exhibits.  The following exhibit is filed with this Report.

              Exhibit No.             Description

              27.1                    Financial Data Schedule (for SEC use only)

(b)      Reports on Form 8-K.         No report on Form 8-K was filed during the
                                      quarter ended June 30, 2000.

















                                       14

<PAGE>

                                   SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

                                           Florida Banks, Inc.


Date:  August 11, 2000                  By: /s/Charles E. Hughes, Jr.
                                           -------------------------------------
                                           Charles E. Hughes, Jr.
                                           President and Chief Executive Officer


Date:  August 11, 2000                  By: /s/T. Edwin Stinson, Jr.
                                           -------------------------------------
                                           T. Edwin Stinson, Jr.
                                           Chief Financial Officer




                                       15