CMUV CMUV Bancorp (QB)

Robert E. Hahn, President and CEO of Community Valley Bank (OTCBB: CMUV), announced for the first quarter of 2010, the Bank’s total assets grew to $47.9 million, an increase of $4.4 million or 10.1 percent from December 31, 2009. Community Valley Bank’s (CVB) growth has continued every quarter since the Bank was chartered on October 1, 2007.

Deposits also grew to $39.4 million from $35.8 million while gross loans dipped to $35.5 million from $35.8 million at year-end. The Bank’s loss decreased to $214,000 through March 31, 2010 compared to $453,000 during the first quarter of 2009.

CVB retains a total risk-based capital ratio of 15.75 percent, which exceeds the Federal Deposit Insurance Corporation’s (FDIC) regulatory requirements. To be considered well-capitalized, a bank must have over 10 percent Total Risk-Based Capital. CVB’s loan to deposit ratio was 89 percent while its loan loss reserve to loans was 1.76 percent.

“Growth in earning assets is critical as we aim to become profitable in 2010. We will continue to focus on building our performing loan portfolio by providing quality loans to the Imperial Valley’s small business community,” said Robert “Bob” Hahn, CEO of Community Valley Bank.

Community Valley Bank continues to be the only known bank in the Imperial Valley participating in the Small Business Administration’s America’s Recovery Capital loan program. To date, CVB has funded 18 Small Business Administration loans totaling $5.0 million.

The book value of CVB stock was $5.57 and the market value of our stock was $4.00 per share as of March 31, 2010.

               

At March 31,2010

At December 31,2009

Consolidated Financial Condition Data Assets $ 47,636,673 $ 43,483,645 Loans receivable-net 34,916,904 35,216,447 Cash and cash equivalents 8,503,473 3,001,622 Investment securities 495,115 495,115 Deposits 39,353,937 35,625,479 Federal Home Loan Bank Stock, at Cost 162,200 162,200 Stockholders' equity-net 7,496,165 7,711,225  

At March 31,2010

At December 31,2009

Selected Consolidated Earnings Data Total interest income $ 627,054 $ 2,296,618 Total interest expense 105,183 361,816 Net interest income 521,871 1,934,802 Provision of losses on loans 54,000 714,098 Net interest income after provision for losses on loans 467,871 1,220,704 Total other income (Noninterest income) 131,317 158,189 General, administrative and other expenses 814,249 3,204,951 Income tax expense (benefit) 800 Net loss $ (215,061 ) $ (1,826,858 )  

About Community Valley Bank: Community Valley Bank (www.yourcvb.com) is the Imperial Valley’s ONLY locally owned and locally headquartered bank. CVB was chartered as a state bank for Imperial Valley businesses on October 1, 2007, and now has two locations, 203 S. Imperial Avenue in El Centro and 310 Main Street in Brawley, California. Community Valley Bank is a publicly traded company under the symbol CMUV. All investor related inquiries should be directed to Community Valley Bank’s Investor Relations Officer, Diana S. Alvarez. She may be contacted at (760) 352-1889.

Please Note: Certain statements in this release, including statements regarding the anticipated development and expansion of the Bank's business, and the intent, belief or current expectations of the Bank, its directors or its officers, are "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied. These risks and uncertainties include, but are not limited to, risks related to raising additional capital, the local and national economy, the Bank's performance and implementation of its business plans, loan performance, interest rates, and regulatory matters.