Bay Commercial Bank Reports Second Quarter 2009 Results.

WALNUT CREEK, Calif. -- Bay Commercial Bank (OTCBB:BCML) today announces its 2nd quarter and first half 2009 operating results.

The Bank reported total assets as of June 30, 2009 of $150.2 million including loans outstanding of $122.1 million compared to June 30, 2008 total assets of $98.7 million and total loans outstanding of $88.1 million. At June 30, 2009, total deposits were $130.0 million compared to total deposits at June 30, 2008 of $77.8 million. The Bank's operating income for the second quarter 2009 was $1,000 or $0.00 per share compared to net income for the same period in 2008 of $57,000, or $0.04 per share. The Bank's operating income for the first half 2009 was $39,000 or $0.03 per share compared to net income for the same period in 2008 of $167,000, or $0.11 per share.

The decline in operating income for the 2nd quarter 2009 compared to the same period in 2008 of $56,000 was comprised primarily of higher FDIC premiums by $89,000, branch acquisition related costs totaling $45,000 and a higher loan loss provision by $44,000 related to loan growth partially offset by an increase in net interest margin related to the increase in loans outstanding. Non-interest revenues and expenses in 2008 included revenues and expenses related to equipment leases the Bank held in 2008. The Bank sold the equipment in 2008.

George J. Guarini, Chief Executive Officer of Bay Commercial Bank, stated, "Apart from the FDIC special assessments (a one time assessment levied on all FDIC insured institutions for the purpose of replenishing the FDIC insurance fund) and the cost of merging the Castro Valley Office (acquired from Community Banks of Northern California on May 15, 2009), the 2nd quarter operating results are quite favorable. We expect the Bank's operating results to improve as the full effect of the Castro Valley office translates to the bottom line. We remain focused on evaluating capital and acquisition strategies which will allow the Bank to continue to take advantage of today's economic environment."

The Bank offers a full range of loan and deposit products and services to businesses and their affiliates throughout the San Francisco Bay Area. Its offices are located at 1280 Civic Drive, Suite 100, Walnut Creek, at 155 Grand Avenue, Suite 100, Oakland, and 3895 E Castro Valley Blvd, Castro Valley. Bay Commercial Bank is a member of FDIC and is an Equal housing lender. Bay Commercial Bank is traded on the bulletin board under the symbol BCML.OB and the Bank can be found at www.baycommercialbank.com. The Bankers Exchange Services Division can be found at www.BES1031.com.

The Bank has made forward-looking statements in this Press Release that are subject to risks and uncertainties. Forward-looking statements include information concerning the Bank's possible or assumed future results of operations. Also, when the Bank uses such words as "believe," "expect," "anticipate," "plan," "could," "intend," or similar expressions, it is making forward-looking statements. Readers should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof. The Bank's actual results could differ materially from those anticipated in any forward-looking statements as a result of certain factors, including those set forth in "Risk Factors" and elsewhere in its Offering Circular and are incorporated herein by reference. The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.

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