Home Federal Bancorp, Inc. of Louisiana Declares Quarterly Cash Dividend and Announces Extension of Share Repurchase Program.

SHREVEPORT, La. -- Home Federal Bancorp, Inc. of Louisiana (the "Company") (OTCBB:HFBL) announced today that its Board of Directors at their meeting on January 10, 2007, declared a quarterly cash dividend of $.06 per share on the common stock of the Company payable on February 9, 2007 to the shareholders of record at the close of business on January 24, 2007.

The Company also announced that its Board of Directors approved an extension of the Company's first stock repurchase program to purchase the remaining 121,658 shares authorized under the program. The shares may be purchased in the open market or in privately negotiated transactions from time to time depending upon market conditions and other factors over a one-year period.

Home Federal Bancorp, Inc. of Louisiana is the "mid-tier" holding company for Home Federal Savings and Loan Association, a federally-chartered, FDIC-insured savings association headquartered in Shreveport, Louisiana. Home Federal Savings and Loan Association operates from its main office and two branch offices in Shreveport, Louisiana. At September 30, 2006, the Company had $120.1 million of total assets, $89.6 million of total liabilities and $30.6 million of stockholders' equity. The Company's website is www.homefederalbancorp.com.

Statements contained in this news release which are not historical facts may be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from those currently anticipated due to a number of factors. Factors which could result in material variations include, but are not limited to, changes in interest rates which could affect net interest margins and net interest income, competitive factors which could affect net interest income and noninterest income, changes in demand for loans, deposits and other financial services in the Company's market area; changes in asset quality, general economic conditions as well as other factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time. The Company undertakes no obligation to update these forward-looking statements to reflect events or circumstances that occur after the date on which such statements were made.