Contact:

Hillard C. Gardner

Senior Vice President

and Chief Financial Officer

615/849-3313

CAVALRY BANCORP, INC. REPORTS RECORD GROWTH

Assets grow to $632 million and net income up 45 percent from last year

Murfreesboro, Tennessee—October 18, 2005—Cavalry Bancorp, Inc. (the “Company”) (Nasdaq NMS: CAVB) announced today third quarter and year-to-date consolidated earnings for its wholly-owned subsidiary Cavalry Banking (“Bank”) and the Company.

THIRD QUARTER 2005 HIGHLIGHTS:

·	Net income of $2.15 million, up 45.3 percent from the prior year’s $1.48 million and up 15.6 percent from second quarter 2005 net income of $1.86 million.

o	Return on average assets of 1.39 percent for the third quarter compared to 1.10 percent for the same quarter last year

o	Net interest margin of 4.32 percent for the third quarter compared to 4.18 percent for the same quarter last year

·	Strong balance sheet growth:

o	Total assets at September 30, 2005 of $632.0 million representing growth of $27.4 million during the third quarter of 2005.

o	Loans at September 30, 2005 of $476.4 million representing growth of $26.5 million during the third quarter of 2005.

o	Deposits at September 30, 2005 of $564.1 million representing growth of $24.9 million during the third quarter of 2005.

·	Superior credit quality:

o	Net charge-offs to average loans of 0.01 percent for the third quarter of 2005.

o	Nonperforming loans of 0.22 percent of total loans and other real estate.

Ed Loughry, Cavalry’s Chairman and Chief Executive Officer said, “In 2004, we made several strategic decisions to enhance the long-term profitability of this Company. One was an intense focus by our sales teams on attracting and maintaining transaction-based deposit accounts and another was the acceleration of the repayment of our leveraged Employee Stock Ownership Plan (“ESOP”). As a result of those and other decisions, we have transformed the profitability performance of this firm for 2005 and beyond.”

Net income increased from $1.48 million or $0.22 per share diluted for the quarter ended September 30, 2004 to $2.15 million or $0.29 per share diluted for the quarter ended September 30, 2005. Annualized return on average assets increased from 1.10 percent for the quarter ended September 30, 2004 to 1.39 percent for the quarter ended September 30, 2005. Annualized return on average shareholders’ equity increased from 10.51 percent for the quarter ended September 30, 2004 to 14.65 percent for the quarter ended September 30, 2005.

“One of the strengths of this Company has been our ability to expand our net interest margin at the same time we are experiencing significant growth in our assets,” said Bill Jones, Executive Vice President and Chief Administrative Officer.

Net income increased from $3.7 million or $0.55 per share diluted for the nine months ended September 30, 2004 to $6.2 million or $0.85 per share diluted for the nine months ended September 30, 2005. Annualized return on average assets increased from 0.95 percent for the nine months ended September 30, 2004 to 1.42 percent for the nine months ended September 30, 2005. Annualized return on average shareholders’ equity increased from 8.82 percent for the nine months ended September 30, 2004 to 14.77 percent for the nine months ended September 30, 2005.

Earnings for the nine months ended September 30, 2005 include a tax benefit of $427,000. This tax benefit resulted from the distribution of cash dividends to the participants of the ESOP.

Total assets of the Company increased from $578.7 million at December 31, 2004 to $632.0 million at September 30, 2005. Net loans receivable increased from $430.5 million at December 31, 2004 to $476.4 million at September 30, 2005. Deposits increased from $506.5 million at December 31, 2004 to $564.1 million at September 30, 2005.

Total assets of the Company increased 14.51 percent from $551.9 million at September 30, 2004 to $632.0 million at September 30, 2005. Net loans receivable increased 15.13 percent from $413.8 million at September 30, 2004 to $476.4 million at September 30, 2005. Deposits increased 16.00 percent from $486.3 million at September 30, 2004 to $564.1 million at September 30, 2005.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: Certain of these statements contained in this release which are not historical facts are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements, including the uncertainties inherent in the process of auditing and making end-of-year adjustments to a corporation’s financial statements. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

Additional Information and Where to Find It

This communication is not a solicitation of a proxy from any security holder of Pinnacle Financial Partners, Inc. (“Pinnacle”) or Cavalry Bancorp, Inc. (“Cavalry”). Pinnacle has filed a registration statement on Form S-4 with the Securities and Exchange Commission (“SEC”) in connection with the proposed merger of Pinnacle and Cavalry. The Form S-4 contains a joint proxy statement/prospectus and other documents for the shareholders’ meeting of Pinnacle and Cavalry at which time the proposed merger will be considered. The Form S-4 and joint proxy statement/prospectus contain important information about Pinnacle, Cavalry, the merger and related matters.

INVESTORS AND SECURITY HOLDERS ARE ENCOURAGED TO READ THE REGISTRATION STATEMENT AND THE PRELIMINARY COPY OF THE JOINT PROXY STATEMENT/PROSPECTUS INCLUDED THEREIN WHEN IT BECOMES AVAILABLE AND ANY OTHER RELEVANT DOCUMENTS TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED TRANSACTION BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT PINNACLE, CAVALRY AND THE PROPOSED TRANSACTION.

This communication shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Participants in the Solicitation

The directors and executive officers of Pinnacle and Cavalry may be deemed to be participants in the solicitation of proxies with respect to the proposed merger. Information about Pinnacle’s directors and executive officers is contained in the proxy statement filed by Pinnacle with the SEC on March 14, 2005, which is available on Pinnacle’s web site (www.pnfp.com) and at the address provided above. Information about Cavalry’s directors and executive officers is contained in the proxy statement filed by Cavalry with the SEC on March 18, 2005, which is available at Cavalry’s website (www.cavb.com) and at the address provided above. Other information regarding the participants in the proxy solicitation and a description of their direct and indirect interests by security holding or otherwise, will be contained in the joint proxy statement/prospectus and other relevant material to be filed with the SEC when they become available.

Investors and security holders may obtain free copies of these documents once they are available through the website maintained by the SEC at http://www.sec.gov. Free copies of the joint proxy statement/prospectus also may be obtained by directing a request by telephone or mail to Pinnacle Financial Partners Inc., 211 Commerce Street, Suite 300, Nashville, TN 37201, Attention: Investor Relations (615) 744-3710 or Cavalry Bancorp, 114 West College Street, P.O. Box 188, Murfreesboro, TN 37133, Attention: Investor Relations (615) 849-3313. This communication shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

[Selected financial data follows]

Cavalry Bancorp, Inc.
Consolidated Balance Sheets
(Unaudited)
(In thousands, except per share data)

	September 30,			December 31,
Assets	2005			2004

Cash and cash equivalents	$	67,458		$	63,135
Time deposits with Federal Home Loan Bank		4,000			-
Investment securities available-for-sale, at fair value		42,934			42,183
Loans held for sale, at estimated fair value		1,067			2,501
Loans receivable, net of allowances for loan losses of $4,955 at September 30, 2005 and $4,863 at December 31, 2004		476,354			430,526
Accrued interest receivable		2,448			1,985
Office properties and equipment, net		17,202			17,607
Required investments in stock of the Federal Home Loan Bank and Federal Reserve Bank, at cost		3,317			3,125
Foreclosed assets		119			16
Bank owned life insurance		11,933			11,604
Goodwill		1,772			1,772
Other assets		3,402			4,216
Total assets		632,006			578,670

Liabilities

Deposits:
Non-interest-bearing	$	112,360		$	81,719
Interest-bearing		451,695			424,815
		564,055			506,534
Advances from Federal Home Loan Bank of Cincinnati		2,794			2,835
Dividends payable		577			11,332
Accrued expenses and other liabilities		6,416			4,136
Total liabilities		573,842			524,837

Shareholders' Equity

Preferred Stock, no par value Authorized - 250,000 shares; none issued or outstanding at September 30, 2005 and December 31, 2004		-			-
Common Stock, no par value Authorized - 49,750,000 shares; issued and outstanding 7,217,565 at September 30, 2005, and December 31, 2004		19,354			19,354
Retained earnings		39,259			34,598
Accumulated other comprehensive loss, net of tax		(449	)		(119	)

Total shareholders' equity		58,164			53,833

Total Liabilities and Shareholders' Equity		632,006			578,670

Cavalry Bancorp, Inc.
Consolidated Statements of Operations
(Unaudited)
(In thousands, except per share data)


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2005		2004		2005		2004

Interest income:

Loans	$	7,711	$	5,994	$	21,081	$	16,839
Investment securities:
Taxable		308		332		916		979
Non-taxable		33		36		83		74
Other		552		120		1,335		261

Total interest income		8,604		6,482		23,415		18,153

Interest expense - deposits		2,463		1,367		6,386		3,880
Interest expense - borrowings		24		24		71		73

Total interest expense		2,487		1,391		6,457		3,953

Net interest income		6,117		5,091		16,958		14,200

Provision for loan losses		101		176		211		352

Net interest income after provision for loan losses		6,016		4,915		16,747		13,848

Non-interest income:

Servicing income		61		47		165		140
Gain on sale of loans, net		320		879		984		2,281
Deposit servicing fees and charges		1,499		1,457		4,285		3,992
Trust service fees		258		266		819		832
Commissions and other non-banking fees		739		649		2,105		1,899
Other operating income		242		221		800		754

Total non-interest income		3,119		3,519		9,158		9,898

Non-interest expenses:

Salaries and employee benefits		3,267		3,603		9,666		10,834
Occupancy expense		322		329		919		984
Supplies, communications, and other office expenses		221		223		695		706
Advertising expense		70		87		289		404
Professional fees		197		257		531		656
Equipment and service bureau expense		930		890		2,767		2,557
Loss on sale of investment securities, net		-		81		-		3
Other operating expense		522		491		1,503		1,464

Total non-interest expense		5,529		5,961		16,370		17,608
Income before income tax expense		3,606		2,473		9,535		6,138

Income tax expense		1,461		994		3,286		2,475

Net income	$	2,145	$	1,479	$	6,249	$	3,663

Basic Earnings Per Share	$	0.30	$	0.23	$	0.87	$	0.57

Diluted Earnings Per Share	$	0.29	$	0.22	$	0.85	$	0.55

Weighted average shares outstanding - Basic		7,217,565		6,441,148		7,217,565		6,463,810

Weighted average shares outstanding - Diluted		7,328,799		6,675,920		7,327,831		6,700,546

Cavalry Bancorp, Inc.
Consolidated Financial Highlights
(unaudited)
(dollars in thousands)


	September 30,		December 31,
	2005		2004		% Change

FINANCIAL CONDITION DATA:

Total assets	$	632,006		578,670		9.22	%
Loans receivable, net		476,354		430,526		10.64	%
Loans held-for-sale		1,067		2,501		-57.34	%
Investment securities available-for-sale		42,934		42,183		1.78	%
Cash and cash equivalents		67,458		63,135		6.85	%
Deposits		564,055		506,534		11.36	%
Advances from Federal Home Loan Bank		2,794		2,835		-1.45	%
Shareholders' Equity		58,164		53,833		8.05	%

	For the quarters ending							For the nine months ending
	September 30,							September 30,
	2005		2004		% Change			2005		2004		% Change

OPERATING DATA:

Interest income	$	8,604		6,482		32.74	%	$	23,415		18,153		28.99	%
Interest expense		2,487		1,391		78.79	%		6,457		3,953		63.34	%

Net interest income		6,117		5,091		20.15	%		16,958		14,200		19.42	%
Provision for loan losses		101		176		-42.61	%		211		352		-40.06	%

Net interest income after provision for loan losses		6,016		4,915		22.40	%		16,747		13,848		20.93	%

Gains from sale of loans		320		879		-63.59	%		984		2,281		-56.86	%
Other income		2,799		2,640		6.02	%		8,174		7,617		7.31	%
Other expenses		5,529		5,961		-7.25	%		16,370		17,608		-7.03	%


Income before income taxes		3,606		2,473		45.81	%		9,535		6,138		55.34	%
Income tax expense		1,461		994		46.98	%		3,286		2,475		32.77	%

Net income	$	2,145		1,479		45.03	%	$	6,249		3,663		70.60	%

		For the quarters ending						For the nine months ending
		September 30,						September 30,
		2005			2004			2005			2004


KEY FINANCIAL RATIOS

Performance Ratios:
Return on average assets			1.39	%		1.10	%		1.42	%		0.95	%
Return on average shareholders' equity			14.65	%		10.51	%		14.77	%		8.82	%
Interest rate spread (tax equivalent basis)			3.87	%		3.89	%		3.83	%		3.84	%
Net interest margin (tax equivalent basis)			4.32	%		4.18	%		4.22	%		4.09	%
Average interest-earning assets to average interest-bearing liabilities			126.07	%		125.35	%		124.07	%		121.43	%
Non-interest expense as a percent of average total assets			3.58	%		4.39	%		3.71	%		4.55	%
Efficiency ratio			59.86	%		68.94	%		62.68	%		73.06	%

Asset Quality Ratios:
Nonaccrual and 90 days or more past due loans as a
percent of total loans, net			0.22	%		0.29	%
Nonperforming assets as a percent of total assets			0.19	%		0.22	%
Allowance for loan losses as a percent of total loans receivable			1.04	%		1.14	%
Net charge-offs to average outstanding loans			0.01	%		0.01	%		0.03	%		0.04	%


	For the nine months ending					Diluted EPS
		September 30, 2005				Impact
Reconcilation of Net Income to Net Income as Adjusted:

Net income		$	6,249		$	0.85

Adjustment:

Tax benefit of ESOP dividend paid to participants			(427	)		(0.06	)

Total adjustment			(427	)		(0.06	)

Net income as adjusted		$	5,822		$	0.79

CAVALRY BANCORP INC 8-K