Sandpoint Financial and Technical Center

Sandpoint, Idaho, March 15, 2006 – Intermountain Community Bancorp (OTCBB IMCB-OB), the largest locally owned state bank in Idaho, announced today the appointment of Jim Burnett to Vice President, Senior Project Manager for all bank-wide building and construction activities. Additionally, Mr. Burnett is responsible for the implementation of various Information Technology initiatives including Check 21, Bankcard Services and document imaging.

IMCB recently announced its intention to move forward with the construction of a new corporate headquarters and expanded downtown Sandpoint location for banking subsidiary, Panhandle State Bank (PSB). The three-story, 90,000 square foot Sandpoint Financial and Technical Center will showcase the North Idaho architectural style of brick, natural stone, wood and log accents and has been designed to visually reflect the brick, natural stone, wood and log accents and has been designed to visually reflect the natural beauty of North Idaho and bring the scenic outdoors in. It will feature a 5,000 square foot atrium with skylights and live pine trees, a cascading water feature, period street lights patterned after those that currently exist in downtown Sandpoint, and artwork from area artisans. Intermountain Community Bancorp and Panhandle State Bank will occupy 55,000 square feet of the Center for its corporate headquarters, downtown banking location, and a community-learning center. The remaining 35,000 square feet will be available for customized lease space for complementary businesses. Mr. Burnett will lead the Bank’s overall construction of the Center and ongoing lease activities.

Additionally, IMCB has plans to move forward with new branch construction projects in Spokane, Washington and Twin Falls, Idaho. Additional branch expansion projects call for the Bank to lease commercial space in a number of yet undisclosed locations.

“Jim Burnett is ideally suited to lead the build-out of the Bank’s expansion activities,” said Curt Hecker, President and CEO of Intermountain Community Bancorp. “Jim has a long track record of successfully managing large complex projects. His technical and project management expertise will enable the Bank to efficiently continue its expansion plans and appropriately utilize new technologies to enhance our customers banking experience,” added Hecker.

About Jim Burnett
Mr. Burnett is an electrical engineer with over 25 years of experience. He attended the Massachusetts Institute of Technology and Purdue University. He obtained additional professional training thru the Harvard University Extension Program in conjunction with the MIT Sloan School of Management. He has successfully managed complex multi-disciplinary projects for many companies including the Bechtel Group, Intel Corporation, Petro de Venezuela S.A., Digital Equipment Corporation, Motorola Corporation, Potlatch Corporation and the Ultimate Software Group. His international assignments have included projects in Israel, Venezuela, France and Japan. Click for more on Jim.

About Intermountain Community Bancorp
Intermountain is headquartered in Sandpoint, Idaho, and operates as four separate divisions with fifteen banking locations in three states. Its banking subsidiary, Panhandle State Bank, offers financial services through offices in Sandpoint, Ponderay, Bonners Ferry, Priest River, Coeur d’Alene, Post Falls and Rathdrum in northern Idaho. Intermountain Community Bank, a division of Panhandle State Bank, operates branches in southwest Idaho in Weiser, Payette, Nampa and Caldwell as well as in Ontario, Oregon. Intermountain Community Bank Washington, a division of Panhandle State Bank, opened its first branch in Spokane, Washington. Magic Valley Bank, a division of Panhandle State Bank, operates branches in Twin Falls and Gooding, Idaho.