Celtic Investment, Inc.'s Wholly Owned Subsidiary, Celtic Bank Corporation, Announced Today That It Had Received Final Approval From the Federal Deposit Insurance Corporation -FDIC-.

Business Editors

SALT LAKE CITY--(BUSINESS WIRE)--March 2, 2001

Celtic Investment, Inc. (OTC-Pink Sheets: CELT) announced today that its wholly owned subsidiary, Celtic Bank Corporation, received approval from the Federal Deposit Insurance Corporation (FDIC) to operate a federally insured financial institution. Celtic Bank had previously been granted approval from the State of Utah, Department of Financial Institutions to operate an Industrial Loan Corporation.

According to Mr. Douglas P. Morris, President of Celtic Investment, Inc., "The approval from the FDIC and the Utah Department of Financial Institutions to operate Celtic Bank as a federally insured institution is a major milestone achievement in Celtic's diversified financial service strategic plan. Celtic, through its subsidiary, Celtic Bank, can now offer an array of financial service products aimed particularly towards small business and real estate oriented customers."

Celtic Bank is headquartered in Salt Lake City, Utah and began operations on March 1, 2001. According to Phil Ware, President of Celtic Bank, "The difficult process of gaining approvals and organizing a federally insured institution has been completed and Celtic Bank is now positioned to take a full range of financial services to the small business community. Indications are it's a great time to be in our market with these services."

Celtic Investment, Inc. is a Salt Lake City, Utah based diversified financial services corporation. The Corporation now has two main operating subsidiaries--Celtic Bank and Celtic Capital Management Corporation (CCMC). Celtic Bank is an Industrial Loan Corporation under the regulation of the State of Utah, Department of Financial Institutions. In addition, Celtic Bank operates as a regulated bank with its deposits insured by the FDIC. CCMC is an investment management company and the General Partner of Vista Income Limited Partnership, a high yield investment partnership.