COEUR D'ALENE, Idaho, Oct. 20, 2008 (GLOBE NEWSWIRE) -- Jack W. Gustavel, Chairman and Chief Executive Officer of Idaho Independent Bank (``IIB'') (OTC BB:IIBK.OB - News), announced today that on October 17, 2008, IIB's Board of Directors declared a 5 percent share dividend payable to shareholders of its common stock of record on November 10, 2008. The share dividend will be paid on December 12, 2008, and certificates will be mailed to shareholders on that date. Mr. Gustavel stated that the share dividend is being paid in recognition of IIB's overall performance during this year's very difficult banking environment.

About IIB

IIB was established in 1993 as an Idaho state-chartered, commercial bank and currently operates branches in Boise (3), Meridian, Coeur d'Alene, Nampa, Mountain Home, Hayden Lake, Caldwell, Star, Eagle, and Sun Valley/Ketchum, Idaho. IIB has approximately 220 employees throughout the state of Idaho. To learn more about IIB, visit us online at http://www.theidahobank.com.

The Idaho Independent Bank company logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1275

Statements contained herein concerning future performance, developments or events, expectations for earnings, growth and market forecasts, and any other guidance for future periods constitute forward-looking statements within the meaning of the Private Securities Reform Act of 1995, and as such, are subject to a number of risks and uncertainties that might cause actual results to differ materially from expectations or our stated objectives. Factors that could cause actual results to differ materially include but are not limited to: changes in regional or general economic conditions; changes in interest rates, deposit flows, demand for loans, real estate values, competition, or loan delinquency rates; changes in accounting principles, practices, policies, or guidelines; changes in legislation or regulations; changes in the regulatory environment; changes in monetary policy of the Federal Reserve Bank; changes in fiscal policy of the Federal government and the state of Idaho; changes in other economic, competitive, governmental, regulatory and technological factors affecting operations, pricing, products, and services; material unforeseen changes in the liquidity, results of operations, or financial condition of the Bank's customers; and other risks detailed from time to time in the Bank's filings with the Federal Deposit Insurance Corporation. Accordingly, these factors should be considered in evaluating forward-looking statements, and undue reliance should not be placed on such statements. The Bank undertakes no responsibility to update or revise any forward-looking statements.

          Idaho Independent Bank
          Jack W. Gustavel
          (208) 292-1902
          1260 W. Riverstone Drive
          Coeur d'Alene, Idaho 83814