Boston Private Financial Holdings Grants Inducement Awards

BOSTON–(BUSINESS WIRE)–Boston Private Financial Holdings, Inc. (NASDAQ: BPFH) (the “Company”)
announced today (the “Grant Date”) that the Company granted Anthony
DeChellis, the newly-appointed Chief Executive Officer and President of
the Company, inducement awards pursuant to the Boston Private Financial
Holdings, Inc. 2010 Inducement Stock Plan, as amended. The grants were
made as an inducement material to Mr. DeChellis’ employment as Chief
Executive Officer and President of the Company in accordance with NASDAQ
Listing Rule 5635(c)(4). The grants consist of (i) a number of shares of
Company common stock equal to $1,000 in order that Mr. DeChellis will be
in compliance with applicable legal requirements for directors of a
Massachusetts bank and trust company; (ii) a number of restricted stock
units with an aggregate Grant Date fair value of $750,000 that vest in
four equal installments on the first, second, third, and fourth
anniversaries of the Grant Date; (iii) a number of stock options with an
aggregate Grant Date fair value of $500,000 that vest ratably on the
first, second, third and fourth anniversaries of the Grant Date; and
(iv) a number of stock options with an aggregate Grant Date fair value
of $1,250,000 that will vest if (A) the closing price of Company stock
is at or above $18.00 per share for 20 consecutive trading days prior to
the four-year anniversary of the Grant Date, and (B) at the time that
the foregoing condition is met, the Company’s Tier 1 risk-based capital
ratio is at least 6.0%, or such other level as may be required by any
governmental agency or other governmental entity.

About Boston Private Financial Holdings, Inc.

Boston Private Financial Holdings, Inc. is a national financial services
organization that owns Wealth Management, Trust, and Private Banking
affiliates with offices in Boston, New York, Los Angeles, San Francisco,
San Jose, South Florida, and Wisconsin. The Company has total assets of
greater than $8 billion, and manages over $22 billion of client assets.
The Company’s affiliates serve the high net worth marketplace with high
quality products and services of unique appeal to private clients. The
Company also provides strategic oversight and access to resources, both
financial and intellectual, to support affiliate management, marketing,
compliance and legal activities. (NASDAQ: BPFH)

For more information about BPFH, visit the Company’s website at www.bostonprivate.com.

Contacts

Investor Contact:
Adam Bromley
abromley@bostonprivate.com
(617)
912-4386

Media Contact:
Lucy Muscarella
lmuscarella@bostonprivate.com
(617)
912-4402