EXHIBIT 99

                                         Press Release








PRESS RELEASE

                     Contact:       Paul W. Pryor, Chief Executive Officer
                                    Redwood Financial, Inc.
                                    (507) 637-8730

                                    George Tesch
                                    Olivia Bancorporation, Inc.
                                    (320) 523-5120

                                    For Immediate Release
                                    November 4, 1996

        OLIVIA BANCORPORATION, INC. AND SUBSIDIARY SIGN LETTER OF INTENT
                    TO BE ACQUIRED BY REDWOOD FINANCIAL, INC.

        Redwood Falls, Minnesota -- November 4, 1996 -- Redwood Financial,  Inc.
("Redwood"),  Redwood  Falls,  Minnesota,  the holding  company of Redwood Falls
Federal   Savings  and  Loan   Association   (the   "Association")   and  Olivia
Bancorporation,  Inc.  ("Olivia")  which owns 97.6% of the outstanding  stock of
American  State Bank of Olivia  (the  "Bank")  announced  today the signing of a
letter of intent ("Letter") providing for the acquisition of Olivia and the Bank
by Redwood.

        Under the terms of the Letter,  Redwood  will pay an aggregate of $4.375
million in cash. The transaction will be accounted for as a purchase.

        Olivia, the Bank and Redwood approved the Letter which is anticipated to
be replaced by a definitive merger agreement. If the definitive merger agreement
has not been executed  within 45 days of the date of the execution of the Letter
(unless  extended)  the Letter will  terminate.  The  transaction  is subject to
certain  contingencies  including  satisfaction of applicable  federal and state
regulatory  requirements  and  completion  of a  due  diligence  examination  by
Redwood.  Olivia and the Bank have agreed not to enter into any  discussions  or
negotiations with any third parties regarding the sale of Olivia and/or the Bank
or any of their assets.

        The Bank is a  Minnesota  chartered  commercial  bank  headquartered  in
Olivia,  Minnesota.  The Bank has two full service  offices  located in Renville
County,  Minnesota.  The Bank's  deposits are  federally  insured by the Federal
Deposit  Insurance  Corporation  ("FDIC").  At September 30, 1996,  the Bank had
total  assets  and  stockholders'  equity  of $28.9  million  and $2.8  million,
respectively.

        The  Association  is  a  federally  chartered  stock  savings  and  loan
association  headquartered in Redwood Falls, Minnesota.  The Association has two
full service offices located in Redwood





and Renville  Counties,  Minnesota.  The  Association's  deposits are  federally
insured by the FDIC.  The  Association  is a community  oriented,  full  service
retail savings and loan association offering traditional mortgage loan products.
At September 30, 1996,  Redwood,  on a consolidated  basis, had total assets and
stockholders' equity of $51.0 million and $13.2 million, respectively.

        The common stock of Redwood (trading symbol "REDW") is listed on the OTC
Bulletin Board of Nasdaq.