Federal Home Loan Bank of Indianapolis Announces 2009 Second Quarter Results

INDIANAPOLIS, July 30, 2009 (GLOBE NEWSWIRE) -- On July 30, 2009, the Federal
Home Loan Bank of Indianapolis (FHLBI) released unaudited financial results for
the quarter ended June 30, 2009.

Net Income increased to $53.0 million for the second quarter of 2009, compared
to $47.5 million for the second quarter of 2008. This increase was primarily due
to wider spreads on our invested assets, partially offset by lower
interest-earning assets and the $2.0 million credit loss portion of the
other-than-temporary impairment (OTTI) write-down of our private-label
mortgage-backed securities (MBS) that was recognized during the second quarter
of 2009. Additionally, we recognized an impairment charge related to non-credit
factors in Accumulated Other Comprehensive Income of $33.6 million which does
not affect Net Income. This resulted in a total write-down of $35.6 million of
our private-label MBS.

Net Income decreased to $74.9 million for the first six months of 2009, compared
to $90.8 million for the first six months of 2008. This decrease was primarily
due to OTTI write-downs of our private-label MBS of $20.6 million that were
recognized in Other Income (Loss). Additionally, we recognized an impairment
charge related to non-credit factors in Accumulated Other Comprehensive Income
of $162.3 million which does not affect Net Income. This resulted in a total
write-down of $182.9 million of our private-label MBS.

Total Assets were $51.3 billion at June 30, 2009, a decrease of $5.6 billion or
9.8%, compared to $56.9 billion at December 31, 2008. Advances outstanding
decreased by $5.3 billion or 16.8% during the first six months of 2009, for a
balance of $26.0 billion at June 30, 2009. Retained earnings increased by $45.7
million or 16.2% to $328.5 million at June 30, 2009, compared to $282.7 million
at December 31, 2008.

We anticipate filing our quarterly report on Form 10-Q for the second quarter of
2009 in mid-August. Please refer to our Form 10-Q for more detailed information
about our financial results.

Safe Harbor Statement

This document contains forward-looking statements concerning plans, objectives,
goals, strategies, future events or performance, which are not statements of
historical fact. The forward-looking statements contained in this release
reflect our current beliefs and expectations. Actual results or performance may
differ materially from what is expressed in the forward-looking statements.
Readers are referred to the documents filed by us with the SEC, specifically
reports on Form 10-K and Form 10-Q which include factors that could cause actual
results to differ from forward-looking statements. These reports are available
at www.sec.gov.

Building Partnerships. Serving Communities.

The Federal Home Loan Bank of Indianapolis (FHLBI) is one of 12 regional banks
that make up the Federal Home Loan Bank System. FHLBanks are
government-sponsored enterprises created by Congress to ensure access to
low-cost funding for their member financial institutions. FHLBanks are privately
capitalized and funded, and receive no Congressional appropriations. The FHLBI
is owned by its financial institution members, which include commercial banks,
credit unions, insurance companies, and savings banks headquartered in Indiana
and Michigan. For more information about the FHLBI and its Affordable Housing
Program, visit www.fhlbi.com.

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CONTACT: Federal Home Loan Bank of Indianapolis
Communications/Media Relations
Barbara K. Hembree, Vice President
317.465.0445
bhembree@fhlbi.com