EXHIBIT 99

                    PRESS RELEASE OF ALPENA BANCSHARES, INC.

                             Alpena Bancshares, Inc.
                               100 S. Second Ave.
                                Alpena, MI 49707
                                 (989) 356-9041



December 15, 2004

FOR IMMEDIATE RELEASE

Contact: Martin A. Thomson, President and Chief Executive Officer
Alpena Bancshares, Inc.
Telephone: (989) 356-9041


                      ALPENA BANCSHARES QUARTERLY DIVIDEND


     ALPENA,  Michigan  -  December  15,  2004 - Alpena  Bancshares,  Inc.  (the
"Company")  announced a cash  dividend on its common stock of $.10 per share for
the  quarter  ended   December  31,  2004.  The  dividend  will  be  payable  to
stockholders  of record as of December  31, 2004 and will be paid on January 21,
2005.

     Alpena  Bancshares  MHC,  majority  stockholder of the Company and owner of
920,000 shares of the 1,659,480 total shares outstanding,  announced that it has
waived  the right to  receive  the  dividend  on its  shares.  Accordingly,  the
dividend will be paid on the 739,480  shares owned by minority  stockholders  of
the Company.

     The  Company  is the  unitary  savings  and loan  holding  company of First
Federal of Northern Michigan, a federal savings bank based in Alpena,  Michigan.
The Company's common stock trades under the symbol "ALPN."



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