**FOR
                IMMEDIATE RELEASE**
            logo**For
                More Information:**Jim
                Delamater, President & CEO
              Northeast
                Bank, 500 Canal Street, Lewiston,
                ME 04240 www.northeastbank.com
            1-800-284-5989
                ext.
                3569jdelamater@northeastbank.com








**Northeast
      Bancorp Switches to the NASDAQ Stock Market**





**Lewiston,
      MAINE (**August 31, 2007)—Jim Delamater, President and CEO of Northeast
      Bancorp, announced today that the board of directors of the Company has approved
      the decision to switch the listing of its common stock from the American Stock
      Exchange to The NASDAQ Stock Market LLC®. Effective
      September 11, 2007, Northeast Bancorp will trade under the symbol NASDAQ:
      NBN.





“This
      decision was reached after careful consideration of capital markets alternatives
      and analysis of the electronic market model, which provides added visibility
      to
      our investors,” said Delamater.  “We believe that NASDAQ’s electronic
      multiple market maker structure will provide our company with enhanced exposure
      and liquidity, while at the same time providing investors with the best prices,
      the fastest execution, and the lowest cost per trade.  As the world’s
      largest electronic stock market, NASDAQ promotes innovation and attracts leading
      growth companies from a diverse group of sectors.  We are proud to be
      a part of the NASDAQ Stock Market.”





Northeast
      Bancorp (NASDAQ: NBN) is the holding company for Maine-based Northeast Bank,
      which was founded in 1872 and now operates 24 retail and insurance locations
      serving the financial needs of western, central, and mid-coastal Maine,
      including 11 branches, 12 insurance offices and 1 financial
      center.  Headquartered at 500 Canal Street, Lewiston, ME 04240,
      Northeast Bank, together with its wholly owned subsidiary, Northeast Bank
      Insurance Group, Inc. and other affiliates, provides retail and business
      customers with a broad array of financial services, and derives its income
      from
      a combination of traditional banking services and non-traditional financial
      products and services. These non-traditional products and services include
      trust, investment, and insurance services, including life, disability, property
      and casualty insurance. All are offered via a “needs-based” sales philosophy
      that empowers employees to understand customer goals and objectives when seeking
      the most appropriate product or service match.


For
      more
      information visit www.northeastbank.com or call toll free
      800-284-5989.





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      the largest U.S.
      electronic stock market.  With approximately 3,200 companies, it lists
      more companies and, on average, its systems trade more shares per day than
      any
      other U.S. market.  NASDAQ is home to companies that are leaders
      across all areas of business including technology, retail, communications,
      financial services, transportation, media and biotechnology.  NASDAQ
      is the primary market for trading NASDAQ-listed stocks.  For more
      information about NASDAQ, visit the NASDAQ Website at
http://www.nasdaq.com and the NASDAQ NewsroomSM
      at
http://nasdaq.com/newsroom.