Press Release

Circle Bancorp, parent company of Circle Bank, today reported quarterly net income of $263,000 for the second quarter of 2009, the 40th consecutive profitable quarter for the community bank which serves consumer and business clients in Marin and Sonoma counties.

 “We are very pleased that despite the continuing pressure of a recessionary economy that we continued to operate profitably,” said Kim Kaselionis, CEO/president of Circle Bank.  “We have an optimistic outlook, based on the increasing interest from our customers in our SBA loan program and our steadily growing asset base.”

Total assets were $267 million, up 8% over June 30, 2008.  Loans were $233 million, up 2% over June 30, 2008.  Net income in the most recent quarter was $263,000, compared to $426,000 in the comparable period in 2008.

Return on shareholder’s equity was 11.97% at the end of June 2009 compared to 18.72% for 2008 and return on assets was 0.50% at June 30, 2009 compared to 0.73% at June 30, 2008.

During the first half of 2009, Circle Bank announced a series of customer financings in line with its mission to provide funding and banking services to local and regional businesses.  Circle Bank is also one of the few banks in the North Bay that has committed to accepting California State IOUs.

Among the other North Bay companies and projects recently funded by Circle Bank are:

• $3.4 million funding to Equity Based Services (EBS) to finance the acquisition of Anchor Mini-Storage, (now rebranded as American Mini-Storage) in Rohnert Park.
• Funding and cash management services to Osmosis, the only treatment spa in the United States to provide the Cedar Enzyme Bath, located in Freestone in Sonoma County.
• Funding and banking services to Anokha Cuisine, operator of three restaurants in Marin County

Circle Bank also added to its senior management team, with hiring of two veteran community bankers:

• Michael R. Rice as senior vice president of business lending and equipment leasing and
• Erick Kostuchek as senior vice president of branch administration and sales.

About Circle Bank
Circle Bank (www.umpquabank.com) is a full-service bank, providing a broad range of personal and commercial financial services.  It is headquartered in Novato, with branches (in San Rafael, Novato, Petaluma and Santa Rosa) along Highway 101 corridor, in Marin and Sonoma counties.

Circle Bank, which is privately-held, holds a 4-Star rating from Bauer Financial bank rating system.  Ratings from Bauer, an independent firm that has been providing financial services rating data since 1983, are based on variety of capital, regulatory and trend data. Only five banks headquartered in Sonoma and Marin counties are rated in the top two Bauer tiers (4 or 5):  Bank of Marin, Luther Burbank, Summit State Bank, Westamerica Bank and Circle Bank.