Bay View Capital Corp. Issues July Financial Highlights Report.

SAN MATEO, Calif.--(BUSINESS WIRE)--Aug. 25, 1998--

                        Bay View Capital Corp.
                     Monthly Financial Highlights
                              (Unaudited)


                                         As of or for the Month Ended
                                         July 31,   June 30,   May 31,
                                           1998       1998      1998
Loan and Lease Activity                      (Dollars in thousands)
Loans Originated:
  Real Estate                            $11,098    $19,271    $14,270
  Motor Vehicle                           35,424     37,141     32,552
  Commercial                               3,710      9,940      7,289
  Other                                    6,698      9,392      4,492
Loans and Leases Purchased:
  Real Estate                                122    253,727    125,666
  HLTV Home Equity                        27,871     97,831     31,355
  Motor Vehicle                           31,223     24,723     23,886
                                        --------   --------   --------
                                        $116,146   $452,025   $239,510

Assets
Cash and Cash Equivalents (a)           $125,082   $108,016    $66,085
Investment Securities and FHLB Stock      90,633     90,786     79,970
Mortgage-backed Securities               730,215    770,977    823,820
Loans Receivable, net                  4,344,472  4,387,974  4,058,648
Investment in Leased Property, net        69,529     46,642     32,427
Other                                    309,980    315,714    317,882
   Total Assets                       $5,669,911 $5,720,109 $5,378,832

Customer Deposits
Transaction Accounts:
   Checking                             $324,352   $311,030   $307,301
   Savings                               154,673    156,855    159,235
   Money Market                          966,453    927,151    913,367
                                       ---------  ---------  ---------
                                       1,445,478  1,395,036  1,379,903

Term Accounts:
   Time Deposits                       1,852,571  1,918,729  1,969,848
    Total Customer Deposits           $3,298,049 $3,313,765 $3,349,751

Borrowings and Other Liabilities
Federal Home Loan Bank Advances       $1,656,200 $1,691,060 $1,275,310
Securities Sold Under
 Agreements to Repurchase                139,757    140,457    163,118
Debentures and Notes                     149,410    149,404    149,399
Other Borrowings                           5,377      5,435      5,488
Other Liabilities                         25,594     26,086     43,559
   Total Borrowings and
    Other Liabilities                 $1,976,338 $2,012,442 $1,636,874


                        Bay View Capital Corp.
                Monthly Financial Highlights (cont'd.)
                              (Unaudited)

                                         As of or for the Month Ended
                                         July 31,   June 30,   May 31,
                                           1998       1998      1998
Weighted Average Yields and Rates
Loans and Leases                           8.27%      8.40%      8.37%
Mortgage-backed Securities                 6.39%      6.42%      6.48%
Investments                                6.26%      6.40%      6.57%
Interest-earning Assets                    7.94%      8.03%      8.01%
Customer Deposits                          4.43%      4.43%      4.47%
Borrowings                                 6.17%      6.23%      6.32%
Interest-bearing Liabilities               5.08%      5.04%      5.04%
Net Interest Spread (b)                    2.86%      2.99%      2.97%
Net Interest Margin (b)                    2.98%      3.09%      3.09%

Key Ratios
Nonperforming Assets/Total Assets (c)      0.35%      0.36%      0.37%
Troubled Debt Restructurings/
 Total Assets (d)                          0.02%      0.02%      0.01%
Tangible Capital (e)                        N/A       6.02%       N/A
Core (Leverage) Capital (e)                 N/A       6.04%       N/A
Risk-based Capital (e)                      N/A      10.43%       N/A


(a)  Cash and cash equivalents include federal funds sold.

(b)  Net interest margin represents net interest spread after
     including a factor for the excess of interest-earning assets over
     interest-bearing liabilities. Net interest margin includes the
     income from the Company s leasing activities (rental income less
     depreciation expense). Had the corresponding income and average
     leased asset balance been excluded from net interest margin in
     accordance with Generally Accepted Accounting Principles, net
     interest margin would have been 2.94%, 3.07% and 3.07% for July,
     June and May, respectively. The decrease in July s net interest
     margin is attributable to lower yields on real estate loans, due
     in part to the significant level of real estate loans purchased
     during the second quarter of 1998 primarily to assist Bay View
     Bank in meetings its Community Reinvestment Act regulatory
     requirements, coupled with an increase in borrowing costs due to
     a lower level of deposits and a corresponding higher level of
     FHLB Advances.

(c)  Loans ninety days or more delinquent (excluding loans accruing
     interest which are delinquent ninety days or more), loans
     designated as nonperforming, nonperforming securities, and
     foreclosed real estate.

(d)  Real estate loans which have been modified (due to borrower
     financial difficulties) with a stated interest rate and/or a
     monthly payment rate lower than the prevailing market rate.

(e)  Capital ratios are presented on a quarterly basis.

CONTACT: Bay View Capital Corp.

David A. Heaberlin, 650/312-7272

Jeffrey Butcher, 650/312-7490

(NASDAQ:BVCC)

Web Site: http://www.bayviewcapital.com