Iowa First Bancshares Corp. Announces Stock Repurchase Plan

Business Wire, Feb 22, 2006

MUSCATINE, Iowa -- The Iowa First Bancshares Corp. (OTCBB:IOFB) board of directors has authorized a new stock repurchase plan for up to two percent of the Company's outstanding common stock. As of February 21, 2006, the Company has 1,308,473 shares of common stock outstanding. Based on recently quoted prices on the OTCBB, the total cost of this stock repurchase plan would be between $900,000 and $1,000,000. The company expects the shares to be purchased at prevailing market prices in open market or private transactions. Depending on market conditions and other factors, repurchases may be commenced or suspended from time to time without prior notice. The stock repurchase plan has no stated expiration date. "This repurchase program represents our continued confidence in the value of our company," said Chairman Scott Ingstad. "Given the strength of our balance sheet, a stock repurchase plan at this time makes sense as a means to add liquidity for shareholders who desire it, while simultaneously providing an opportunity for the company to increase its return on equity," added Executive Vice President Kim Bartling.

Iowa First Bancshares Corp. is a bank holding company headquartered in Muscatine, Iowa. The Company provides a wide array of banking and other financial services to individuals, businesses and governmental organizations through its two wholly-owned national banks located in Muscatine and Fairfield, Iowa. Iowa First Bancshares Corp. common stock is traded on the Over-The-Counter Bulletin Board market under the symbol IOFB.

This press release contains forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainties, and several factors could cause actual results to differ materially from those in the forward-looking statements. Forward-looking statements may relate to anticipated revenues, gross margins, earnings, and growth of the market for our services and products. The following factors, among others, could cause actual results to differ from those indicated in the forward-looking statements: uncertainties associated with market acceptance of and demand for the Company's services and products, impact of competitive products and pricing, dependence on third party suppliers, uncertainties associated with the development and deployment of technology, regulatory or other developments in the industry, and the emergence of future opportunities or threats.