American Business Bank Announces 27th Consecutive Quarter of Increased Earnings.

LOS ANGELES -- American Business Bank (OTCBB:AMBZ) today reported net earnings for the third quarter of $1,485,000, or $0.69 per share, a 64 percent increase from earnings of $901,000, or $0.45 per share, for the same period a year ago and the company's 27th consecutive quarter of increasing earnings.

The company also reported that its total assets grew to $504 million at the close of the third quarter, a 14 percent increase from assets of $440 million at the end of the third quarter in 2004.

"As we celebrate our seventh anniversary in operation as a bank, we are delighted to have closed the quarter above the $500 million mark in assets and are pleased to once again provide our shareholders with a strong return on their investment in spite of the low risk profile of our asset and liability structure," said Wes Schaefer, vice chairman and chief financial officer of Los Angeles-based American Business Bank.

According to Schaefer, American Business Bank's year-to-date earnings have now exceeded $3.9 million, an 82 percent increase over the first nine months of 2004.

For the third quarter, American Business Bank's total deposits grew to $457 million, a 15 percent increase from the third quarter of the prior year. The bank also reported a 15 percent increase in total loans, net of reserves, to $168 million at the end of the quarter.

Founded in 1998, American Business Bank offers a wide range of financial services to businesses in the middle market. Clients include wholesalers, manufacturers, service businesses, professionals and non-profit organizations. The bank is headquartered in downtown Los Angeles and can be found on the Internet at www.americanbusinessbank.com.