Third quarter earnings represented 20 cents per average outstanding share(diluted) compared to 10 cents for the quarter ended March 31, 2007. Forthe first three quarters of the fiscal 2008, diluted earnings per sharetotaled 44 cents on 1.80 million average shares compared to 34 cents on1.72 million average shares during the same period the preceding year. Thegreater number of diluted shares in fiscal 2008 was attributed primarily tothe 293,946 shares issued in conjunction with the October 1, 2006,acquisition of Home Building Bancorp, Inc.

Certain information in this press release may constitute forward-lookinginformation that involves risks and uncertainties that could cause actualresults to differ materially from those estimated. Persons are cautionedthat such forward-looking statements are not guarantees of futureperformance and are subject to various factors that could cause actualresults to differ materially from those estimated. Undue reliance shouldnot be placed on such forward-looking statements.

First Bancorp of Indiana, Inc. and First Federal Savings Bank, anFDIC-insured federal stock savings bank, operate from headquarters inEvansville, Indiana.

                First Bancorp of Indiana, Inc.              Consolidated Financial Highlights                      (in thousands)                         3/31/2008    6/30/2007                        ===========  ===========Selected Balance Sheet  (unaudited) Data:Total assets                370,668      362,992Investment securities        41,582       44,602Mortgage-backed securities                  54,784       35,496Loans receivable, net       231,259      233,237Deposit accounts            228,135      251,234Borrowings                  101,499       72,496Equity capital               34,176       34,218                           Three months ended        Nine months ended                                March 31,                March 31,                            2008         2007         2008        2007                        ===========  ===========  ===========  ===========Operating Results:      (unaudited)  (unaudited)  (unaudited)  (unaudited)Interest income               5,276        5,085       15,779       14,194Interest expense              3,227        3,215        9,951        8,709                        -----------  -----------  -----------  -----------Net interest income           2,049        1,870        5,828        5,485Provision for loan losses                         135          105          330          300                        -----------  -----------  -----------  -----------Net interest income after provision              1,914        1,765        5,498        5,185Noninterest income              527          492        1,623        1,451Noninterest expense           1,973        2,018        6,113        5,876                        -----------  -----------  -----------  -----------Income before income taxes and cumulative effect of a change in accounting principle        468          239        1,008          760Income taxes                    113           49          217          169Cumulative effect of change in accounting principle                        0            0            0            0                        -----------  -----------  -----------  -----------Net income                      355          190          791          591                             At or for the              At or for the                          three months ended          nine months ended                                March 31,                March 31,                            2008         2007         2008        2007                        ===========  ===========  ===========  ===========Performance Ratios:     (unaudited)  (unaudited)  (unaudited)  (unaudited)Return on average assets                        0.38%        0.21%        0.29%        0.23%Return on average equity                        4.12%        2.22%        3.09%        2.45%Basic earnings per share                         0.20         0.11         0.44         0.35Diluted earnings per share                         0.20         0.10         0.44         0.34Interest rate spread           2.22%        2.05%        2.12%        2.11%Net interest margin            2.42%        2.26%        2.34%        2.38%Other expenses as a % of average total assets                        2.12%        2.20%        2.22%        2.31%Asset Quality Ratios:Nonperforming loans as a % of total loans            0.10%        0.22%        0.10%        0.22%Nonperforming assets as a % of total assets           0.10%        0.20%        0.10%        0.20%Allowance for loan losses as a % of total loans                         0.45%        0.50%        0.45%        0.50%Allowance for loan losses as a % of nonperforming loans         427.16%      226.97%      427.16%      226.97%