Banknorth Group to Pay 13 Cent Per Share Quarterly Dividend

Banknorth Group, Inc. (NASDAQ:BKNG) announced that its Board of Directors has approved a quarterly dividend of 13 cents per share based on earnings for the first quarter ended March 31, 2001 The dividend will be paid on May 14, 2001 to shareholders of record on May 4, 2001.

The dividend is one-half cent per share higher than the dividend paid following the first quarter a year ago.

"This dividend maintains our long-standing practice of paying out 30 percent or more of quarterly earnings in shareholder dividends," said William J. Ryan, Company Chairman, President and Chief Executive Officer. Net operating earnings for the first quarter were 42 cents per share.

Banknorth Group, Inc., headquartered in Portland, Maine, is one of the country's 50 largest commercial banking companies with $18.2 billion in assets. The Company operates banking subsidiaries in Maine, Peoples Heritage Bank, NA, in New Hampshire, Bank of New Hampshire, NA, in Massachusetts, First Massachusetts Bank, NA, in Vermont, The Howard Bank, NA, Franklin Lamoille Bank, NA and First Vermont Bank, NA, and New York, Evergreen Bank, NA. In north central Connecticut, the Company's banking presence is GBT, a division of First Massachusetts Bank, NA.

The Company also operates a variety of insurance agencies in New England as subsidiaries of Morse, Payson & Noyes, Insurance, its lead agency, a money management firm, The Stratevest Group, NA, an investment subsidiary, Heritage Investment Planning Services, and a leasing company, Banknorth Leasing. Other subsidiaries and divisions provide services in mortgage banking, asset based lending, private banking, merchant services and other financial services.

(end)