'Year of Exceptional Growth' For Security Business Bank of San Diego; Two new locations, 45% increase in loans and a 50% increase in deposits in 2005.

SAN DIEGO -- Security Business Bank of San Diego (OTCBB:SBBK) today announced its unaudited 2005 fourth quarter and year-end financial results. In only its third full year of business, the Bank continues its strong financial performance buoyed by significant loan and deposit growth and successful expansion into North County.

The following is a breakdown of the Bank's financial results:

--The Bank's assets grew to $123.9 million, up from $92.0 million just a year ago, an increase of approximately 35%.

--Loans increased more than 45% from $65.3 million to $95.2 million.

--The Bank has more than $105.4 million in deposits, up 50% from $70.2 million over the same period last year.

--Fully 86% of those deposits, or $91.1 million, are core deposits. Non-interest bearing accounts exceeded 47% of the total deposits.

"The Bank's impressive growth reflects our team's implementation of our long term strategic plan to serve San Diego County's small to mid-sized businesses and provide executive level service to the owners and managers of these companies," said Security Business Bank President and CEO Paul Rodeno.

--Net income for 2005 exceeded $2 million, assisted by a net non-recurring tax benefit of $433,000, yielding a net book value of $9.81 per share.

--Year-to-date revenues jumped 85%, from $3.9 million to $7.3 million.

The fourth quarter also reflected strong growth:

--Net income after tax was $318,000, up 65%, or $0.17 per diluted share over the fourth quarter of 2004. This growth in profits reflects strong balance sheet growth with controlled expenditures, despite the upfront costs incurred with the Bank's expansion into Irvine and Carlsbad.

--Quarterly revenue increased from $1.4 million in the fourth quarter of 2004, to $2.0 million in the fourth quarter of 2005, an increase of 46%.

"We began our expansion into north San Diego County in late 2004 with the opening of our Carmel Valley office to serve existing and new clients north of the 5/805 merge," said Rodeno. "That office achieved profitability in only 9 months, and significantly contributed to our financial success in 2005. The Bank has since further expanded with the opening of our Carlsbad and Irvine offices," said Rodeno.

In January of 2006, the Bank opened a new full-service Carlsbad office, located on Palomar Airport Road. Led by North County banking veteran Brian J. Smith, the new office will provide a more convenient banking location for current and future clients in the Carlsbad, Oceanside, Vista and San Marcos business communities. The Carlsbad office can be reached at [phone] and is located at 2701 Loker Avenue West, Suite 150; Carlsbad, CA 92008.

Along with the new North San Diego County branches, the Bank opened an office in Irvine that focuses solely on building a nationwide commercial real estate brokerage business. Led by Senior Vice President of Wholesale Lending, Jonathan Sigal, the new venture fulfills plans to institute a recurring fee income source, augmenting the Bank's strong core earnings growth. The Irvine office can be reached at 949-296-3100 and is located at 18301 Von Karman Avenue, Suite 455, Irvine, CA 92612.

Grand opening events for both offices are planned for early 2006.

Founded by a group of respected San Diego business leaders, Security Business Bank of San Diego is filling the void created by large, out-of-state banks that currently dominate the local landscape. Security Business Bank fills this void by providing local decision-making with experienced, personalized service that growing businesses need on a daily basis. With direct access to professional staff coupled with high-tech banking services like online bill-paying, check imaging and online wire transfers, businesses can efficiently manage their cash and credit needs. For more information on the Bank, please visit our website at www.securitybusinessbank.com.

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 by such forward-looking statements.

Security Business Bank
                   Financial Highlights (Unaudited)
                           December 31, 2005
                        (Amounts in thousands)


                                                  As of December 31,
                                                 ---------------------
                                                      2005       2004
                                                 ---------- ----------
Balance Sheet Results:

Total Assets                                      $123,903    $92,039
Total Loans                                        $95,271    $65,374
Allowance for Loan Loss                             (1,246)      (850)
Total Deposits                                    $105,493    $70,277
Total Shareholders' Equity                         $17,233    $15,288
Loans to Deposits                                     90.3%     93.0 %
Non-interest Bearing Deposits to Total Deposits       47.5%      38.2%
Allowance for Loan Losses to Loans                     1.3%       1.3%
Equity to Assets                                      13.9%      16.6%
Ending Book Value per Share                          $9.81      $8.71

4th Quarter Operating Results

Net Interest Income                                 $1,675     $1,085
Provision for Loan Loss                                 45         95
Non-interest Income                                     78        182
Non-interest Expense                                 1,158        978
                                                 ---------- ----------
Income Before Taxes                                   $550       $193
Income Tax Expense                                     233        -0-
                                                 ---------- ----------
Net Income                                            $318       $193
                                                 ========== ==========
Return on Average Assets                              1.07%      0.89%
Return on Average Equity                               7.4%       5.1%
Net Interest Margin                                    6.2%       5.3%
Efficiency Ratio                                      66.1%      77.2%
Net Income per Share - Diluted                       $0.17      $0.11
Ending Shares Outstanding                        1,756,132  1,755,508

Year-to-Date Operating Results

Net Interest Income                                 $5,939     $3,132
Provision for Loan Loss                                405        410
Non-interest Income                                    348        468
Non-interest Expense                                 4,254      3,149
                                                 ---------- ----------
Income Before Taxes                                 $1,628        $41
Income Tax Expense                                    -433        -0-
                                                 ---------- ----------
Net Income                                          $2,062        $41
                                                 ========== ==========
Return on Average Assets                              1.86%      0.06%
Return on Average Equity                              12.7%       0.4%
Net Interest Margin                                    5.7%       4.9%
Efficiency Ratio                                      67.7%      90.5%
Net Income per Share - Diluted                       $1.11      $0.03
Ending Shares Outstanding                        1,756,132  1,755,508