Exhibit 99.1

SBT Bancorp, Inc. Reports First Quarter 2017 Results

SIMSBURY, Conn.--(BUSINESS WIRE)--April 28, 2017--SBT Bancorp, Inc. (the “Company”), (OTCQX: SBTB), holding company for The Simsbury Bank & Trust Company, Inc. (the “Bank”), today announced net income of $502 thousand or $0.37 basic and $0.37 diluted earnings per share for the quarter ended March 31, 2017, compared to a net income of $206 thousand or $0.15 basic and $0.15 diluted earnings per share for the prior year’s first quarter.

Net interest and dividend income increased $367 thousand or 11.5% as compared to the prior year’s first quarter primarily due to growth in the Bank’s commercial and consumer loan portfolios. Gain on sale of mortgages increased 7.7% to $223 thousand compared to the quarter ended March 31, 2016. Mortgage loan servicing activities income increased $232 thousand due to an increase in the mortgage servicing rights valuation as result of the rise in long-term interest rates and related decrease in implied prepayment rates.

“We are very pleased to report significantly improved earnings for the first quarter of 2017 resulting principally from commercial loan growth, increased noninterest income and very low growth in noninterest expenses,” said Simsbury Bank President & CEO Martin J. Geitz. “Our net income for the quarter ended March 31, 2017 increased $296 thousand (143.7%) over the prior year period ended March 31, 2016. Most of our balance sheet growth came from a 29.7% increase in commercial loans since the end of the prior year first quarter as our focus on serving the needs of privately owned businesses continues to gain momentum.”

Key highlights for quarter ended March 31, 2017 compared to quarter ended March 31, 2016 included:

• Net Income increased 143.7%.
• Total revenue, consisting of net interest and dividend income plus noninterest income, increased $543 thousand or 14.9%.
• Net interest and dividend income increased 11.5% to $3.6 million.
• Provision for loan losses totaled $250 thousand, an increase of $119 thousand compared to the quarter ended March 31, 2016. The allowance for loan losses at March 31, 2017 was 0.95% of total gross loans.
• Net loans grew $59.5 million or 17.3%.
• Commercial loan balances increased $41.0 million or 29.7% to $178.9 million compared to March 31, 2016.
• Consumer loans grew $11.6 million or 17.1% to $79.5 million driven by increases in home equity loans and the purchase of student loans in 2016.
• Total deposits increased $43.8 million or 11.4% to $427 million, driven by increases in demand deposits of $ 7.1 million, savings and NOW deposits of $24.3 million, and time deposits of $12.4 million.

The Company’s allowance for loan losses at March 31, 2017 was 0.95% of total gross loans. The Company had non-accrual loans totaling $3.5 million or 0.87% of total loans on March 31, 2017, compared to non-accrual loans totaling $3.8 million or 1.09% of total loans a year ago. Total non-accrual and delinquent loans on March 31, 2017 was 0.99% of loans outstanding compared to 1.72% on March 31, 2016.

Total deposits on March 31, 2017 were $427 million, an increase of $43.8 million or 11.4% over a year ago. At quarter end, 41% of total deposits were in non-interest bearing demand accounts, 43% were in low-cost savings, money market and NOW accounts and 16% were in time deposits.

For the quarter ended March 31, 2017, total net revenues, consisting of net interest and dividend income plus noninterest income, were $4.2 million compared to $3.6 million for the same period in 2016, an increase of $542 thousand or 14.9% above the prior year’s first quarter. Net interest and dividend income increased $367 thousand or 11.5%, primarily driven by a $583 thousand, or 19%, increase in interest and fees on loans. The increase was partially offset by decreased interest income on securities of $52 thousand. Noninterest income increased by $176 thousand or 38.3%, primarily due to an increase in mortgage servicing activities of $232 thousand.

The Company’s year-to-date 2017 taxable-equivalent net interest margin (taxable-equivalent net interest and dividend income divided by average earning assets) was 2.99% compared to 3.06% for the comparable 2016 period. The Company’s yield on earning assets increased 4 basis points to 3.38% and the cost of funds increased 14 basis points to 0.55%, primarily driven by the subordinated debt interest.

Total noninterest expense for the first quarter 2017 was $3.3 million, equivalent to the first quarter of 2016.

Capital levels for The Simsbury Bank & Trust Company on March 31, 2017 remain above the regulatory “well-capitalized” designation. Capital ratios are calculated under Basel III rules.

Simsbury Bank is an independent, community bank for consumers and businesses based in Connecticut. Simsbury Bank Home Loans is a division of Simsbury Bank serving the home financing needs of consumers throughout Southern New England. Simsbury Bank is wholly-owned by publicly traded SBT Bancorp, Inc. Its stock is traded on the OTCQX marketplace under the ticker symbol of SBTB. For more information, visit www.simsburybank.com.

Certain statements in this press release, including statements regarding the intent, belief or current expectations of SBT Bancorp, Inc., The Simsbury Bank & Trust Company, or their directors or officers, are “forward-looking” statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.

CONTACT:
Simsbury Bank
Richard J. Sudol, 860-651-2057
SVP & CFO
860-408-4679 (fax)
rsudol@simsburybank.com