Idaho First Bank Reports Nine-Month Results

MCCALL, ID--(Marketwired - October 29, 2015) - Today Idaho First Bank (OTC PINK: IDFB) reported financial results for the nine months ended September 30, 2015. The Bank reported net income of $1,438,000 for the first nine months of 2015, a 26% increase from net income of $1,144,000 in the same period of 2014. Mark Miller, Chairman of the Board, commented, "We are gratified with our results but continue to focus on our goal of being a top-tier performing bank. The Board continues to actively monitor our strategic direction and path to achieving this goal. We congratulate the Bank's management and staff on the continued success of the Bank."

The Bank's earnings were positively impacted by loan growth, improvement in net interest income, and tax benefits. Net interest income for the first nine months of 2015 was up 17% from the prior year. The improvement in net interest income was primarily due to an 18% increase in average loans. The provision for loan losses increased to keep up with loan growth and to strengthen the allowance for loan losses. The allowance was 1.63% of loans at September 30, 2015, compared to 1.38% at the same time in 2014. "We are focused on income growth while maintaining strong credit standards. We are well balanced in our income sources that contribute to our success," stated Greg Lovell, President and CEO.

Nonperforming assets were $1.8 million at September 30, 2015, a reduction of $1.0 million from the balance as of June 30^th of this year. It compares to $.5 million at the same date in 2014. The current non-performing assets are related to the migration of long-term problem credit relations to final resolution. The Bank believes the current loan portfolio remains strong and the number of problem assets are winding down.

Shareholders' equity at September 30, 2015, was $15.2 million, an increase of $3.6 million from a year ago. Our strong performance, and the conversion by shareholders of outstanding warrants, has allowed strong growth in our book value per share. Book value reached $6.46 at September 30, 2015. This compares favorably compares to a book value of $6.07 per share one year ago.

Idaho First Bank is a state-chartered commercial bank that opened for business in October 2005. Its headquarters are located in McCall, Idaho, with a branch and a mortgage banking office located in Boise.

This release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). Such forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. These risks and uncertainties include, but are not limited to, economic conditions, the regulatory environment, loan concentrations, vendors, employees, technology, competition, and interest rates. Readers are cautioned not to place undue reliance on the forward-looking statements. Idaho First Bank has no obligation to publicly update the forward-looking statements after the date of this release. This statement is included for the express purpose of invoking PSLRA's safe harbor provisions.