BANR Banner Corporation

Banner Corporation (Nasdaq:BANR), the parent company of Banner Bank and Islanders Bank, today announced its Board of Directors declared a regular quarterly cash dividend of $0.01 per share, the same as paid in the previous quarter.  The dividend is payable April 16, 2010, to common shareholders of record on April 9, 2010.  

About Banner Corporation

Banner Corporation is a $4.7 billion bank holding company operating two commercial banks in Washington, Oregon and Idaho. Banner serves the Pacific Northwest region with a full range of deposit services and business, commercial real estate, construction, residential, agricultural and consumer loans. Visit Banner Bank on the Web at www.bannerbank.com.

CONTACT: Banner Corporation

D. Michael Jones, President and CEO

Lloyd W. Baker, CFO

(509) 527-3636