COEUR d'ALENE, Idaho, Sept. 6, 2011 (GLOBE NEWSWIRE) -- Jack W. Gustavel, Chairman and Chief Executive Officer of Idaho Independent Bank ("IIB" or the "Bank") (OTCBB:IIBK), reported that the Bank is commencing its previously announced rights offering for the sale of up to approximately $7.0 million of its common stock. In connection with the offering, IIB is distributing non-transferable subscription rights to holders of its common stock as of the close of business on August 29, 2011 (the "Record Date"), to purchase up to 2,058,824 shares at a subscription price of $3.40 per share.
Based upon the number of outstanding shares as of the Record Date, each eligible holder of the Bank's common stock is receiving 0.324 subscription rights per whole share that they owned as of the Record Date. The Bank will not issue fractional rights and will round all of the subscription rights down to the nearest whole number. Shareholders who exercise all of their basic subscription rights will also be entitled to subscribe for any shares not subscribed for by other shareholders.
Mr. Gustavel commented, "IIB has solid capital and reserves, substantial liquidity, good markets, and great people, and this will build on that strong foundation and help implement our current growth plans. We are operating in some of the best markets in Idaho, and we believe that many of these markets have turned the corner. IIB has a great franchise, and we feel now is the time to leverage that by seizing the opportunity to get in front of the competition and start growing again."
Concurrently with the rights offering, the Bank is offering to sell to existing shareholders and to the public any shares offered, but not sold, in the rights offering. Unless IIB extends the deadline, the subscription rights will be exercisable until 5:00 p.m., EDT, on September 30, 2011. The Bank will continue to offer shares not sold in the rights offering until 5:00 p.m., EDT, on November 7, 2011, unless, at the Bank's discretion, the offering is extended or is earlier completed or terminated. McAdams Wright Ragen Incorporated is acting as financial adviser in connection with the offering to the public.
This press release does not constitute an offer to sell, or a solicitation of an offer to buy, any securities nor shall there be sales of these securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful. Any offer shall be made only by an offering circular. These securities are neither insured nor approved by the Federal Deposit Insurance Corporation. Upon commencement of the offering, copies of the offering circular may be obtained from Jane Bodle-Hill, Executive Assistant to the Chief Executive Officer, at Idaho Independent Bank, 1260 W. Riverstone Drive, Coeur d'Alene, Idaho 83814, (208) 292-1902, from IIB's information agent, Georgeson Inc., at (888) 660-8331, for banks and brokers at (212) 440-9800, and/or by email at investorrelations@iibk.net or iibk@georgeson.com.
About IIB
IIB was established in 1993 as an Idaho state-chartered, commercial bank and currently operates three branches in Boise, as well as branches in Meridian, Coeur d'Alene, Nampa, Mountain Home, Hayden, Caldwell, Star, Eagle, and Sun Valley/Ketchum, Idaho. IIB has approximately 200 employees throughout the State of Idaho. To learn more about IIB, visit us online at http://www.theidahobank.com/">www.theidahobank.com.
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Statements contained herein concerning future performance, developments or events, expectations for earnings, growth and market forecasts, and any other statements that are not historical facts are forward-looking statements that are intended to be covered by the safe harbor for "forward-looking statements" provided by the Private Securities Litigation 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, continued declines or worsening in regional and 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. These risks and other factors are described in greater detail in the Bank's filings with the Federal Deposit Insurance Corporation, including, without limitation, the Item 1A Risk Factors section of the Bank's Annual Report on Form 10-K for the year ended December 31, 2010. 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.