First Commercial Bancorp, Inc. Announces Fourth Quarter and Year End 1996 Results.

SACRAMENTO, Calif.--(BUSINESS WIRE)--Feb. 10, 1997--First Commercial Bancorp, Inc. ("FCOB"), a bank holding company headquartered in Sacramento reported net income of $304,000 for the fourth quarter ending Dec. 31. 1996, compared to a net loss of $1.13 million for the same period in 1995.

This represents a net income per share of $0.36 for the three month period ended Dec. 31, 1996, compared to a net loss per share of $2.55 for the same period in 1995. The per share data gives effect to the additional shares issued in connection with the recapitalization of FCB in December 1995 and the rights offering to shareholders completed in June 1996. In addition, the per share data has been adjusted to reflect the 125-to-one reverse stock split completed in December 1996.

Donald W. Williams, Chairman of the Board and President of FCB stated, "The results for the fourth quarter of 1996 support the continued progress toward returning FCB, and its wholly owned subsidiary First Commercial Bank ("BANK"), to financial strength and stability."

After the Company reported a net loss of $1.16 million for the first quarter of 1996, FCB realized three consecutive quarters of improved performance, reporting earnings of $15,000 for the second quarter, $271,000 for the third quarter and $304,000 for the fourth quarter. For the year ended December 31, 1996, FCB reported a net loss of $570,000, or $0.77 per share, in comparison to a net loss of $7.43 million, or $40.77 per share, for 1995.

Williams stated, "The performance of the Bank has also improved dramatically in 1996." After reporting a net loss of $987,000 for the first quarter of 1996, the Bank's earnings improved to $166,000 for the second quarter, $491,000 for the third quarter and $445,000 for the fourth quarter, resulting in net income for the year ended Dec. 31, 1996 or $115,000, compared to a net loss of $6.71 million for the year ended Dec. 31, 1995. Williams added, "This was the first full year of reported profits for First Commercial Bank since 1991."

During 1996, the Bank continued its efforts to reduce its level of problem assets. At December 31, 1996, nonperforming assets were reduced to $1.06 million from $5.91 million at December 31, 1995. Nonperforming assets to total assets, and nonperforming asset to the Bank's capital and reserves, were 0.69% and 5.95% respectively, at Dec. 31, 1996, compared to 3.48% and 36.09% respectively, at Dec. 31, 1995. The success of the Bank in improving the level of its problem assets enabled it to reduce its provision for possible loan losses from $3.88 million in 1995 to $1.15 million in 1996.

James E. Culleton, President and Chief Operating Officer of the Bank observed, "The improvement in the level of problem assets and reduction in provision for possible loan losses contributed significantly to the improvement in the Bank's operating performance." Other factors contributing to the improved performance of the organization was the reduction in noninterest expense to $8.08 million in 1996 from $12.59 million in 1995.

Williams concluded by saying, "The cumulative effect of recapitalization, reduced problem assets, and improved operating performance, has positioned the Bank to focus its attention on the development of new business relationships. The Bank is now well capitalized and has established a sound financial foundation to support future growth."

FCB has consolidated assets of $153 million at Dec. 31, 1996 and operates from branches in Sacramento, Roseville (two locations), San Francisco, Concord and Campbell, California. First Commercial is affiliated through ownership with Sunrise Bank of California with branches in Roseville and Citrus Heights, and First Bank & Trust with branches in Irvine, Fountain Valley, Huntington Beach, Long Beach, Santa Barbara, Santa Maria, Walnut Creek, and San Jose, California. -0-

                     First Commercial Bancorp, Inc.
                           Financial Summary
                (In thousands, except net loss per share)

                              Three Months Ended        Year  Ended
                                   Dec. 31,               Dec. 31,
Condensed Consolidated
  Statements of Income         1996       1995     1996       1995

Net Interest Income         $ 1,820     $1,602   $6,396     $7,614
Provision for loan losses         5        540    1,155      3,885
Net income (loss)               304     (1,130)    (570)    (7,431)
Net income (loss) per share(1) 0.36      (2.55)   (0.77)    (40.77)
Weighted average common shares
  and common Share equivalents
  outstanding(1)            846,128    442,618  738,260    182,278

(1) The per share data has been adjusted to reflect the 125 to one
reverse stock split completed in December 1996.


Condensed Consolidated Balance Sheet Information

                                              Dec. 31
                                         1996          1995

Assets                               $153,033       169,535
Deposits                              136,136       156,164
Loans, net of unearned discount        94,497        74,015
Allowance for loan losses               4,597         5,388
Stockholders' equity                    6,330         3,579
Nonperforming assets                    1,056         5,906

CONTACT: First Commercial Bancorp Inc., Sacramento

Donald W. Williams, 916/641-3288

or

First Commercial Bank, Sacramento

James E. Culleton, 916/641-3288