Press Release

The Private Bank of the Peninsula Releases Fourth Quarter Results

Company Release - 2/23/2010 10:23 AM ET

PALO ALTO, Calif.--(BUSINESS WIRE)-- The Private Bank of the Peninsula, a subsidiary of Peninsula Bank Holding Co., today announced its audited results for the fourth quarter of 2009.

"We are pleased to announce another record for earnings during the fourth quarter of 2009. The efforts we have undertaken to improve operationally are generating the results we had planned. We are committed to work hard in 2010 to continue improving performance and profitability," stated Chairman, Mark D. Mordell. "Our plan is to carefully grow loans and deposits, control expenses and maintain a conservative level of loan loss reserves."

Financial Results

In thousands (audited)

                       12/31/09  12/31/08  Increase

Total Assets           $308,004  $271,507  13%

Loans                  $203,604  $201,886  1%

Deposits               $278,318  $247,998  12%

Shareholders' Equity*  $28,086   $22,634   24%

* The Shareholders' Equity balance includes the $6 million of TARP funds that were received on January 30, 2009.

                     Quarter Ending  Quarter Ending  Year-to-Date  Year-to-Date

                     12/31/09        12/31/08        12/31/09      12/31/08

Net Income (Loss)    $716            ($1,220 )       ($491  )      ($1,802 )

Earnings (Loss) Per  $0.24           ($0.47  )       ($0.30 )      ($0.81  )

"We achieved record levels of deposits, loans and total assets in 2009. All of us at the Bank must continue to be focused and diligent in the face of continuing economic challenges in 2010. Our high level of loyal core deposits gives us ample capacity to expand our lending. We are actively lending in all areas of our portfolio," said Kenneth D. Brenner, the Bank's Chief Executive Officer.

About the Bank

The Private Bank of the Peninsula, a subsidiary of Peninsula Bank Holding Co. (OTCBB:PBKH), is headquartered in Palo Alto, California. The Private Bank focuses on the banking needs of businesses, entrepreneurs and business leaders, not-for-profit organizations and individuals in the greater San Francisco Bay Area. A true community bank with a team of veteran bankers, The Private Bank offers access to senior level decision-makers who are dedicated to helping clients with all their banking and financing needs. Personalized, responsive, exceptional service is The Private Bank of the Peninsula's standard.

    Source: The Private Bank of the Peninsula
Contact: The Private Bank of the Peninsula Steve Leen, 650-843-2204 Chief Financial Officer General Office: 650-843-2265