Redwood Financial, Inc. Announces Special Cash Dividend

REDWOOD FALLS, Minn., Nov. 15, 2012 /PRNewswire/ -- Dean K. Toft, President of Redwood Financial, Inc. (OTC BB: REDW) (the Company), the holding company of HomeTown Bank (the Bank), announced today that on November 14, 2012, the Board of Directors of the Company declared a special cash dividend of $ 0.25 per share, payable on December 5, 2012 to stockholders of record on November 21, 2012. Toft said that the continued profitability and capital strength of the Bank allowed the Board of Directors to declare this special dividend. Toft further said that it is not the intention of the Board of Directors to declare regular quarterly dividends but that the Board of Directors will continue to assess the earnings and capital position of the Company and Bank at various times to determine if future special dividends will be declared.

The Bank is a federally chartered thrift organization headquartered in Redwood Falls, Minnesota and has branch offices in Redwood Falls, Olivia, St. Peter, Cleveland, Le Sueur, Henderson and Jordan, all in Minnesota. The Bank was founded in 1924 and deposits are federally insured up to the legal limit.

Forward-looking Statements
Statements in this press release that are not strictly historical may be "forward-looking" statements, which involve risks and uncertainties. The foregoing material may contain forward-looking statements concerning the financial condition, results of operations and business of the Company. We caution that such statements are subject to a number of uncertainties and actual results could differ materially and, therefore, readers should not place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims, any obligation to publicly release the results of any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances arising after the date hereof.

SOURCE Redwood Financial, Inc.