Canyon Bancorp Reports Shareholder Equity up 25% and Second Quarter Net Income of $1,077,000.

PALM SPRINGS, Calif. -- Canyon Bancorp (OTCBB:CYBA) today announced an increase of 25 percent in shareholders equity to $26.9 million at June 30, 2007 from $21.6 at June 30, 2006. Other financial highlights for the second quarter 2007, compared to the same period in 2006, include a 22 percent increase in book value per share to $11.49 and a 21 percent increase in net loans to $220.0 million.

Canyon Bancorp earned $1,077,000 or $0.45 per diluted share for the second quarter ended June 30, 2007 compared to income of $1,063,000 or $0.44 per diluted share for the second quarter of 2006. For the six months ended June 30, 2007, Canyon Bancorp earned $2,149,000, or $0.89 per diluted share compared to $2,009,000 or $0.83 per diluted share for the same period of 2006.

President and CEO Stephen G. Hoffmann said, "We are very proud of the continued financial success, as evidenced by the growth in loans, capital and profits during the second quarter and first half of 2007."

Canyon Bancorp is a bank holding company with one banking subsidiary, Canyon National Bank, a full-service commercial bank and member of the FDIC. Palm Springs branch locations are at 1711 East Palm Canyon Drive at the Smoke Tree Village Shopping Center and 901 East Tahquitz Canyon Way. Palm Desert branch locations are at 74-150 Country Club Drive and 77-933 Las Montanas Road across from Sun City. Shares of the Company's common stock are traded on the Over the Counter Bulletin Board - stock symbol CYBA.

This release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results could differ materially from those projected in the forward-looking statements.

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