OVERLAND PARK, KS -- (Marketwire) -- 08/18/08 -- Brooke Corporation (NASDAQ: BXXX) today reported its second quarter financial results for the quarter ended June 30, 2008.

"Brooke Corporation's operations focus on banking. We recently revived the Generations Bank trade name and are actively pursuing growth in our bank agent network through our wholly owned thrift institution," said Leland Orr, Brooke Corporation's president and chief executive officer. Orr noted that Generations Bank has significantly more deposits than loans which results in more liquidity but limits bank profitability. Generations Bank reported total assets of approximately $130 million as of June 30, 2008.

Leland Orr continued, "Brooke Corporation also owns investments in Aleritas Capital Corp. (OTCBB: ARTA) (OTCBB: ARTAW) (OTCBB: ARTAU), a finance company, and Brooke Capital Corporation (AMEX: BCP), an insurance agency franchisor. We expect Brooke Corporation's 62% ownership interest in Aleritas Capital and Brooke Corporation's 66% ownership interest in Brooke Capital to each be reduced to less than 50% in 2008, which will eliminate the accounting requirement to consolidate the revenues, expenses, assets and liabilities of Aleritas Capital and Brooke Capital with Brooke Corporation."

The consolidated total equity of Brooke Corporation, including minority shareholder interests, was approximately $65 million on June 30, 2008.

Financial Results

Brooke Corporation incurred a net loss of $10.1 million in the second quarter of 2008 from recording its 66% share of losses incurred by Brooke Capital as a result of establishing reserves for shrinking the number of Brooke locations. This compares with a second quarter 2007 consolidated profit of $2.7 million. The company reported second quarter 2008 consolidated revenues of approximately $31.8 million as compared to second quarter 2007 consolidated revenues of $55.2 million.

Banking Operations

Brooke Corporation's operations are focused on the sale of banking services through Generations Bank and its parent company, Brooke Bancshares, Inc. Net losses of Generations Bank were $117,000 in the second quarter 2008, as compared to net income of $10,000 in the second quarter 2007. Although Brooke Corporation believes the future development of Generations Bank's banker agent network will increasingly contribute to its profits, these activities are not expected to significantly impact overall financial results for Brooke Corporation in the near future.

Investment in Aleritas Capital

Brooke Corporation's share of Aleritas Capital's second quarter 2008 net profit was approximately $717,000 as compared to the $3.5 million share of Aleritas Capital's profits for second quarter 2007.