CMUV CMUV Bancorp (QB)

Robert “Bob” Hahn, President and CEO of Community Valley Bank (OTCBB: CMUV), announced that the bank grew its total assets to $66.2 million at the year end -- a 52 percent growth from December 31, 2009. Community Valley Bank (CVB) has grown in asset size every quarter since the Bank was chartered on October 1, 2007.

From year end 2009, deposits have increased by $17.6 million to $53.2 million and gross loans have increased by $15.6 million to $51.4 million. The bank’s loss decreased to $880,000 year to date 2010 from $1,827,000 year to date 2009.

CVB retains a tier one leverage capital ratio of 16.32 percent, which exceeds the Federal Deposit Insurance Corporation’s (FDIC) regulatory requirements. To be considered well-capitalized, a bank must have more than 10 percent. CVB’s loan loss reserve to total loans is 1.51 percent.

“We are excited about 2011 and proud of our achievements in 2010. CVB ranked as the 10th largest Small Business Administration lender in the San Diego and Imperial County*. Plus we will be opening the doors to our newly constructed and first permanent branch in Brawley, California by March,” said Bob Hahn.

The book value of CVB stock is $4.73 per share and stock traded at $4.00 per share as of December 31, 2010. The bank has 1,621,568 shares outstanding.

* For SBA loans made from October 1, 2009 through September 30, 2010. (September SBA San Diego Newsletter, http://www.sba.gov/localresources/district/ca/sandiego/index.html)

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.

  December 31, 2009   December 31, 2010 Consolidated Financial Condition Data Assets Loans receivable - net $ 35,212,000 $ 46,050,000 Cash and cash equivalents 6,002,000 12,615,000 Investment Securities 495,000 494,000 Federal Home Loan Bank Stock 162,000 181,000 Other Assets 1,609,000 6,828,000 Total Assets $ 43,480,000     66,168,000   Liabilities Deposits 35,625,000 53,277,000 Other Liabilities 144,000 5,220,000 Total Liabilities   35,769,000     58,497,000   Common Stock 13,432,000 14,267,000 Surplus 465,000 482,000 Total Undivided Profits   (6,186,000 )   (7,078,000 ) Stockholder's Equity - net 7,711,000 7,671,000 Total Liabilities and Shareholder Equity $ 43,480,000   $ 66,168,000     December 31, 2009 December 31, 2010 Selected Consolidated Earnings Data Total interest income $ 2,298,000 $ 2,980,000 Total interest expense   (362,000 )   (489,000 ) Net interest income 1,936,000 2,491,000 Provision of losses on loans   (714,000 )   (342,000 ) Net interest income after provision for losses on loans 1,222,000 2,149,000 Total other income (Non-interest income) 157,000 463,000 General administrative and other expenses (3,206,000 ) (3,492,000 ) Income tax expense (benefit)   0     0   Net loss $ (1,827,000 ) $ (880,000 )  

Please Note: Information is subject to change without notice.