EXHIBIT 99.1

Eagle Bancorp Montana Earns $667,000, or $0.17 Per Diluted Share in First Fiscal Quarter; Declares Regular Quarterly Cash Dividend of $0.0725 Per Share

HELENA, Mont., Oct. 29, 2013 (GLOBE NEWSWIRE) -- Eagle Bancorp Montana, Inc. (Nasdaq:EBMT), (the "Company," "Eagle"), the holding company of American Federal Savings Bank, today reported that strong balance sheet growth and an improved net interest margin contributed to higher first quarter profits. Net income increased 58% to $667,000, or $0.17 per diluted share, in the first fiscal quarter ended September 30, 2013, compared to $422,000, or $0.11 per diluted share, in the first quarter a year ago. In the fourth fiscal quarter ended June 30, 2013 Eagle reported net income of $684,000, or $0.17 per diluted share.

The Company also announced its board of directors has declared its regular quarterly cash dividend of $0.0725 per share payable December 6, 2013 to shareholders of record November 15, 2013.

"Our first quarter profits are a direct result of the sustained growth in our balance sheet and improved net interest margin. Our substantial loan and deposit growth, both through acquisition and organic growth, has strengthened our revenue generating capacity and contributed to this quarter's margin expansion. It also highlights that our strategy of utilizing investment roll-off to fund new loan growth is working," said Peter J. Johnson, President and CEO. "Much of this growth can be attributed to our successful acquisition of seven branch locations from Sterling Savings Bank. In November we closed on our acquisition of seven branch locations from Sterling Savings Bank, adding approximately $41.2 million in loans and $181.6 million in deposits and more than doubling our franchise to 13 branches, while extending our branch network throughout Southern Montana. The acquisition also provided two new mortgage loan origination locations in Bozeman and Missoula, and a wealth management division which has already provided a solid contribution to noninterest income."

First Quarter Fiscal 2014 Highlights

• Net income of $667,000, or $0.17 per diluted share.
• Eagle's revenues (net interest income before the provision for loan losses, plus non-interest income) increased 59% to $6.72 million in the first quarter, compared to $4.23 million in the first quarter a year ago.
• First quarter net interest margin was 3.15%, a 22 basis point improvement compared to 2.93% three months earlier.
• Total loans increased 8.6% to $235.3 million at September 30, 2013, compared to $216.7 million three months earlier and increased 39.3% compared to $168.9 million a year earlier.
• Total deposits increased 2.5% to $428.3 million at the end of September compared to $417.8 million three months earlier and increased 93.9% compared to $220.9 million a year earlier.
• Nonperforming assets continue to be maintained at a low level and totaled only $1.5 million, or 0.28% of total assets at September 30, 2013, compared to $1.3 million, or 0.26% of total assets three months earlier and $4.2 million, or 1.32% of total assets a year ago.
• Other Real Estate Owned (OREO) declined during the quarter to $496,000.
• Nonperforming loans were $959,000, or 0.41% of total loans at September 30, 2013, compared to $773,000, or 0.36% of total loans, three months earlier. Nonperforming loans were $2.3 million, or 1.36% of total loans a year ago.
• Capital ratios remain strong with a Tier 1 leverage ratio of 10.10%.
• Declared a regular quarterly cash dividend of $0.0725 per share.

Balance Sheet Results

"Loan growth increased 8.6% quarter-over-quarter, with commercial loans up 23.6% over the same time period," said Johnson. "Additionally, in residential mortgages, purchase activity still remains a good portion of our lending activity, and this is not as rate sensitive as refinance activity."

Total loans increased 8.6% to $235.3 million at September 30, 2013, compared to $216.7 million three months earlier and increased 39.3% compared to $168.9 million a year earlier. Commercial real estate loans increased 21.9% to $79.4 million at September 30, 2013, compared to $65.1 million a year earlier and residential mortgage loans increased 34.3% to $76.0 million compared to $56.6 million a year earlier. Commercial loans increased 86.8% to $26.9 million and home equity loans increased 54.9% to $36.1 million compared to a year ago.

Total deposits increased 2.5% to $428.3 million at the end of September compared to $417.8 million three months earlier and increased 93.9% when compared to $220.9 million a year earlier. "While a majority of the year-over-year deposit growth came from the acquisition, our quarterly deposit increase came from a combination of both new noninterest checking accounts and higher checking account balances," said Clint Morrison, SVP and CFO. Checking and money market accounts represent 50.2%, savings accounts represent 13.3%, and CDs comprise 36.5% of the total deposit portfolio at September 30, 2013. Eagle had no brokered deposits at the end of September.

Mainly as a result of the acquisition, total assets increased 60.6% to $513.9 million at September 30, 2013, compared to $320.0 million a year earlier. Shareholders' equity was $48.2 million at September 30, 2013, compared to $54.0 million a year ago. Mainly due to the addition of goodwill related to the branch acquisitions, the tangible book value was $10.37 per share at September 30, 2013, compared to $13.92 per share a year ago.

Credit Quality

Eagle's first quarter provision for loan losses was $159,000, compared to $140,000 in the preceding quarter and $235,000 in the first quarter a year ago. The increased provision compared to the preceding quarter was due to the quarterly loan growth. The allowance for loan loss ratio now stands at 208.6% of nonperforming loans compared to 258.7% three months earlier and 78.5% a year earlier.

Nonperforming loans (NPLs) increased slightly to $959,000 at September 30, 2013, compared to $773,000 three months earlier, but decreased 58.2% when compared to $2.3 million a year ago. The increase compared to the prior quarter end was principally due to two new loans placed on nonaccrual during the quarter.

"We had another quarter of moderate activity selling foreclosed properties in the OREO portfolio while interest in these foreclosed properties remains strong," said Morrison. "As of the end of the quarter, the OREO portfolio contained only four properties." Other real estate owned (OREO) and other repossessed assets declined 9.8% to $496,000 at September 30, 2013 compared to $550,000 three months earlier and decreased 74.3% compared to $1.9 million a year earlier.

Nonperforming assets (NPAs), consisting of nonperforming loans, OREO and other repossessed assets, loans delinquent 90 days or more, and restructured loans, increased slightly to $1.46 million at September 30, 2013, compared to $1.32 million three months earlier, and decreased 65.6% when compared to $4.22 million a year ago.

Net charge offs were $159,000 in the first quarter compared to $40,000 in the preceding quarter and $60,000 in the first quarter a year ago. The allowance for loan losses was $2.00 million, or 0.85% of total loans at September 30, 2013, compared to $2.00 million, or 0.92% of total loans at June 30, 2013, and $1.80 million, or 1.07% of total loans a year ago.

Operating Results

Eagle's revenues (net interest income before the provision for loan losses, plus non-interest income) increased 58.6% to $6.72 million in the first quarter, compared to $4.23 million in the first quarter a year ago. Eagle's revenues were $6.95 million in the preceding quarter.  Net interest income before the provision for loan loss increased 6.2% to $3.62 million in the first quarter of fiscal 2014, compared to $3.41 million in the preceding quarter and increased 36.1% compared to $2.66 million in the first quarter a year ago.  

"Net interest income went up a bit this quarter, contributing to our net interest margin expansion," said Morrison. "The yield on our securities available for sale has been affected by higher amortization of premiums due to faster prepayment speeds, but the bond portfolio's yield did rise slightly from 1.87% to 1.93% quarter over quarter.  Interest expenses were down slightly, particularly in borrowings, which was slightly offset by increases in deposit interest expense due to larger deposit balances."

First quarter net interest margin was 3.15%, compared to 2.93% in the preceding quarter and 3.72% in the first quarter a year ago. Funding costs for the first quarter of fiscal 2014 went down slightly while asset yields increased 21 basis points compared to the previous quarter.  The investment securities portfolio increased to $201.8 million at the end of the first fiscal quarter compared to $98.3 million a year ago, which reduced average yields on earning asset balances. 

Noninterest income increased 96.7% to $3.10 million in the first quarter of fiscal 2014, compared to $1.58 million in the first quarter a year ago. In the fourth quarter of fiscal 2013 noninterest income was $3.55 million.  Eagle's first quarter net gain on the sale of loans was $1.59 million compared to $1.93 million in the preceding quarter and $812,000 in the first quarter a year ago. 

"Our gain on sale of loans climbed 95.5% during the quarter compared to the first quarter a year ago, but was down 17.4% compared to the preceding quarter when mortgage refinance activity was at its peak," said Morrison. "With mortgage rates increasing we expect loan sales activity to return to more normalized levels."

In the first quarter of fiscal 2014 noninterest expense declined 5.4% to $5.85 million, compared to $6.19 million in the preceding quarter but were up compared to $3.44 million in the first quarter a year ago.  The year-over-year increase was reflective of the costs associated with operating the seven new branches, as well as the two new mortgage loan origination locations. 

Eagle's first quarter return on average equity (ROAE) was 5.58% compared to 3.11% in the first quarter a year ago. Return on average assets (ROAA) was 0.52% in the first quarter compared to 0.53% in the first quarter a year ago. 

Capital Management

Eagle Bancorp Montana continues to meet the well capitalized thresholds for regulatory purposes with a Tier 1 leverage ratio of 10.10% at September 30, 2013.

About the Company

Eagle Bancorp Montana, Inc. is a bank holding company headquartered in Helena, Montana and is the holding company of American Federal Savings Bank, a community bank established in 1922 that serves consumers and small businesses in Southern Montana through 13 banking offices. Additional information is available on the bank's website at www.americanfederalsavingsbank.com. The shares of Eagle Bancorp Montana, Inc. are traded on the NASDAQ Global Select Market under the symbol "EBMT."

Forward Looking Statements

This release may contain certain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and may be identified by the use of such words as "believe," "expect," "anticipate," "should," "planned," "estimated," and "potential." These forward-looking statements include, but are not limited to statements of our goals, intentions and expectations; statements regarding our business plans, prospects, growth and operating strategies; statements regarding the asset quality of our loan and investment portfolios; and estimates of our risks and future costs and benefits. These forward-looking statements are based on current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. These factors include, but are not limited to, changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees and capital requirements; general economic conditions, either nationally or in our market areas, that are worse than expected; competition among depository and other financial institutions; loan demand or residential and commercial real estate values in Montana; inflation and changes in the interest rate environment that reduce our margins or reduce the fair value of financial instruments; adverse changes in the securities markets; and other economic, governmental, competitive, regulatory and technological factors that may affect our operations. Because of these and other uncertainties, our actual future results may be materially different from the results indicated by these forward-looking statements.

CONTACT: Peter J. Johnson, President and CEO
         (406) 457-4006

         Clint J. Morrison, SVP and CFO
         (406) 457-4007