Central Valley Community Bancorp

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Central Valley Community Bancorp Reports Earnings Results for the Year Ended December 31, 2012

FRESNO, CA -- (Marketwire) -- 01/31/13 -- The Board of Directors of Central Valley Community Bancorp (Company) (NASDAQ: CVCY), the parent company of Central Valley Community Bank (Bank), reported today unaudited consolidated net income of $7,520,000, and diluted earnings per common share of $0.75 for the year ended December 31, 2012, compared to $6,477,000 and $0.63 per diluted common share for the year ended December 31, 2011. Net income increased 16.10%, primarily driven by increases in non-interest income, a decrease in non-interest expense and lower provision for credit losses, partially offset by a decrease in net interest income in 2012 compared to 2011. Non-performing assets decreased $4,739,000 or 32.83% to $9,695,000 at December 31, 2012, compared to $14,434,000 at December 31, 2011. The Company had no OREO as of December 31, 2012 or December 31, 2011. During 2012, the Company's shareholders' equity increased $10,183,000, or 9.47%. The growth in shareholders' equity was driven by net income during the period, an increase in other comprehensive income, and the issuance of common stock from the exercise of stock options. Unaudited consolidated net income for the year was the highest in the Company's 32 years of operation.

During the year ended 2012, the Company's total assets increased 4.85%, total liabilities increased 4.18%, and shareholders' equity increased 9.47% compared to December 31, 2011. Return on average equity (ROE) for the year ended December 31, 2012 was 6.56%, compared to 6.26% for the year ended December 31, 2011. The increase in ROE reflects an increase in net income, notwithstanding an increase in capital from an increase in other comprehensive income and an increase in retained earnings. Return on average assets (ROA) was 0.88% and 0.81% for the years ended December 31, 2012 and 2011, respectively. The increase in ROA is due to an increase in net income, notwithstanding an increase in average assets.

During the year ended December 31, 2012, the Company recorded a provision for credit losses of $700,000, compared to $1,050,000 for the year ended December 31, 2011. During the year ended December 31, 2012, the Company recorded $1,963,000 in net loan charge-offs, compared to $668,000 for the year ended December 31, 2011. The net charge-off ratio, which reflects net charge-offs to average loans, was 0.48% for the year ended December 31, 2012, compared to 0.16% for the same period in 2011. The charged off loans were previously identified and adequately reserved for as of December 31, 2011. The Company also recorded OREO related expenses of $78,000 during 2012 compared to $15,000 for the year ended December 31, 2011.

At December 31, 2012, the allowance for credit losses stood at $10,133,000, compared to $11,396,000 at December 31, 2011, a net decrease of $1,263,000. The allowance for credit losses as a percentage of total loans was 2.56% at December 31, 2012, and 2.67% at December 31, 2011. The Company believes the allowance for credit losses is adequate to provide for probable incurred losses inherent within the loan portfolio at December 31, 2012.

Total non-performing assets were $9,695,000, or 1.09% of total assets as of December 31, 2012 compared to $14,434,000 or 1.70% of total assets as of December 31, 2011. Total non-performing assets as of September 30, 2012 were $10,190,000 or 1.15% of total assets.

The following provides a reconciliation of the change in non-accrual loans for 2012.




                        Additions         Transfer
                           to                to     Returns
               Balances   Non-           Foreclosed   to            Balances
(Dollars in    December  accrual Net Pay Collateral Accrual Charge  December
 thousands)    31, 2011   Loans   Downs    - OREO   Status   Offs   31, 2012
               -------- -------- -------  -------  ------- -------  --------
Non-accrual
 loans:
 Commercial
  and
  industrial   $    267 $      4 $   (32) $  (155) $    -- $   (84) $     --
 Real estate      2,787      294    (312)  (2,175)      --    (381)      213
 Equity loans
  and lines of
  credit            705       79    (472)      --       --     (75)      237
 Consumer            74       73      (4)      --       --    (143)       --
Restructured
 loans (non-
 accruing):
 Real estate      2,129      425     (82)      (7)      --  (1,103)    1,362
 Real estate
  construction
  and land
  development     6,823       --    (535)      --       --      --     6,288
 Equity loans
  and lines of
  credit          1,649       75    (129)      --       --      --     1,595
               -------- -------- -------  -------  ------- -------  --------
  Total non-
   accrual     $ 14,434 $    950 $(1,566) $(2,337) $    -- $(1,786) $  9,695
               ======== ======== =======  =======  ======= =======  ========

The following provides a summary of the change in the OREO balance for the year ended December 31, 2012:


                                                     Year Ended
                                                    December 31,
                   (Dollars in thousands)               2012
                                                   -------------
                   Balance, Beginning of period    $          --
                   Additions                               2,337
                   Dispositions                           (2,349)
                   Write-downs                                --
                   Net gain on disposition                    12
                                                   -------------
                   Balance, End of period          $          --
                                                   =============

The Company's net interest margin (fully tax equivalent basis) was 4.21% for the year ended December 31, 2012, compared to 4.63% for the year ended December 31, 2011. The decrease in net interest margin in the period-to-period comparison resulted primarily from a decrease in the yield on the Company's investment portfolio partially offset by a decrease in the Company's cost of funds. For the year ended December 31, 2012, the effective yield on total earning assets decreased 58 basis points to 4.46% compared to 5.04% for the year ended December 31, 2011, while the cost of total interest-bearing liabilities decreased 21 basis points to 0.37% compared to 0.58% for the year ended December 31, 2011. The cost of total deposits decreased 16 basis points to 0.23% for the year ended December 31, 2012, compared to 0.39% for the year ended December 31, 2011. For the year ended December 31, 2012, the amount of the Company's average investment securities, including interest-earning deposits in other banks and Federal funds sold, increased $68,883,000 or 22.97% compared to the year ended December 31, 2011. The effective yield on average investment securities decreased to 2.77% for the year ended December 31, 2012, compared to 3.33% for the year ended December 31, 2011. The decrease in yield in the Company's investment securities during 2012 resulted primarily from the purchase of lower yielding investment securities. Total average loans, which generally yield higher rates than investment securities, decreased $23,251,000, from $428,291,000 for the year ended December 31, 2011 to $405,040,000 for the year ended December 31, 2012. The effective yield on average loans decreased to 6.06% for the year ended December 31, 2012, compared to 6.32% for the year ended December 31, 2011. Net interest income before the provision for credit losses for the year ended December 31, 2012 was $29,937,000, compared to $31,357,000 for the year ended December 31, 2011, a decrease of $1,420,000 or 4.53%. Net interest income decreased as a result of these yield changes and an increase in interest-bearing liabilities, partially offset by an increase in average earning assets.

Total average assets for the year ended December 31, 2012 were $853,078,000 compared to $800,178,000, for the year ended December 31, 2011, an increase of $52,900,000 or 6.61%. Total average loans were $405,040,000 for the year ended 2012, compared to $428,291,000 for the same period in 2011, representing a decrease of $23,251,000 or 5.43%. Total average investments, including deposits in other banks and Federal funds sold, increased to $368,818,000 for the year ended December 31, 2012, from $299,935,000 for the year ended December 31, 2011, representing an increase of $68,883,000 or 22.97%. Total average deposits increased $41,812,000 or 6.17% to $719,601,000 for the year ended December 31, 2012, compared to $677,789,000 for the year ended December 31, 2011. Average interest-bearing deposits increased $6,527,000, or 1.32%, and average non-interest bearing demand deposits increased $35,285,000, or 19.36%, for the year ended December 31, 2012, compared to the year ended December 31, 2011. The Company's ratio of average non-interest bearing deposits to total deposits was 30.23% for the year ended December 31, 2012, compared to 26.89% for the year ended December 31, 2011.

Non-interest income for the year ended December 31, 2012 increased $971,000 to $7,242,000, compared to $6,271,000 for the year ended December 31, 2011, driven primarily by an increase of $1,341,000 in net realized gains on sales and calls of investment securities, and a $357,000 increase in loan placement fees, partially offset by a decrease of $603,000 in gains on the sale of other real estate owned, and a $129,000 decrease in service charge income. The net gain realized on sales and calls of investment securities was the result of a partial restructuring of the investment portfolio designed to improve the future performance of the portfolio.

Non-interest expense for the year ended December 31, 2012 decreased $966,000, or 3.42%, to $27,274,000 compared to $28,240,000 for the year ended December 31, 2011, primarily due to decreases in occupancy and equipment expenses of $217,000, advertising fees of $177,000, amortization of core deposit intangibles of $214,000, legal fees of $150,000, salaries and employee benefits of $165,000, and regulatory assessments of $193,000, partially offset by increases in other real estate owned expenses of $63,000 and merger-related expenses of $284,000.

The Company recorded an income tax expense of $1,685,000 for the year ended December 31, 2012, compared to $1,861,000 for the year ended December 31, 2011. The effective tax rate for 2012 was 18.31% compared to 22.32% for the year ended December 31, 2011.

In December 2012, the Company entered into a definitive merger agreement to acquire Visalia Community Bank and is in the process of filing the required regulatory applications with federal and state banking regulators and a securities registration statement with the Securities and Exchange Commission. The Company anticipates it will receive regulatory approvals and expects to complete the merger near the end of the second quarter of 2013. During the year ended December 31, 2012, the company recorded $284,000 in merger-related expenses as a part of non-interest expense.

Quarter Ended December 31, 2012
For the quarter ended December 31, 2012, the Company reported unaudited consolidated net income of $1,642,000 and diluted earnings per common share of $0.16, compared to $1,708,000 and $0.17 per diluted share, for the same period in 2011. The decrease in net income during the fourth quarter of 2012 compared to the same period in 2011 is primarily due to decreases in net interest income and an increase in non-interest expense, partially offset by an increase in non-interest income.

Annualized return on average equity for the fourth quarter of 2012 was 5.56%, compared to 6.41% for the same period of 2011. This decrease is reflective of a decrease in net income and an increase in capital. Annualized return on average assets was 0.74% for the fourth quarter of 2012 compared to 0.81% for the same period in 2011. This decrease is due to a decrease in net income and an increase in average assets.

In comparing the fourth quarter of 2012 to the fourth quarter of 2011, average total loans decreased $25,735,000, or 6.15%. During the fourth quarter of 2012, the Company recorded $200,000 in provision for credit losses, compared to $300,000 for the same period in 2011. During the fourth quarter of 2012, the Company recorded $281,000 in net loan charge-offs compared to $66,000 in net loan recoveries for the same period in 2011. The net charge-off ratio, which reflects annualized net charge-offs (recoveries) to average loans, was 0.29% for the quarter ended December 31, 2012 compared to (0.06)% for the quarter ended December 31, 2011.

The following provides a reconciliation of the change in non-accrual loans for the quarter ended December 31, 2012.



                                          Transfer
                        Additions            to     Returns
               Balances to Non-          Foreclosed   to            Balances
(Dollars in   September accrual  Net Pay Collateral Accrual Charge  December
 thousands)    30, 2012   Loans   Downs    - OREO   Status   Offs   31, 2012
               -------- -------- -------  -------- ------- -------- --------
Non-accrual
 loans:
 Real estate   $    510 $     -- $  (297) $     -- $    -- $     -- $    213
 Equity loans
  and lines of
  credit            239       --      (2)       --      --       --      237
Restructured
 loans (non-
 accruing):
Real estate       1,386       --     (24)       --      --       --    1,362
 Real estate
  construction
  and land
  development     6,428       --    (140)       --      --       --    6,288
 Equity loans
  and lines of
  credit          1,627       --     (32)       --      --       --    1,595
               -------- -------- -------  -------- ------- -------- --------
  Total non-
   accrual     $ 10,190 $     -- $  (495) $     -- $    -- $     -- $  9,695
               ======== ======== =======  ======== ======= ======== ========

The Company had no OREO transactions recorded during the quarter ended December 31, 2012.

Average total deposits for the fourth quarter of 2012 increased $28,846,000 or 4.03% to $744,072,000 compared to $715,226,000 for the same period of 2011.

The Company's net interest margin (fully tax equivalent basis) decreased 55 basis points to 3.95% for the quarter ended December 31, 2012, from 4.50% for the quarter ended December 31, 2011. Net interest income, before provision for credit losses, decreased $827,000 or 10.32% to $7,189,000 for the fourth quarter of 2012, compared to $8,016,000 for the same period in 2011. The decreases in net interest margin and in net interest income are primarily due to a decrease in the yield on interest-earning assets and a decrease in average loan balances. Over the same periods, the cost of total deposits decreased 15 basis points to 0.17% compared to 0.32% in 2011.

Non-interest income increased $498,000 or 37.42% to $1,829,000 for the fourth quarter of 2012 compared to $1,331,000 for the same period in 2011. The fourth quarter of 2012 non-interest income included $352,000 in net realized gains on sales and calls of investment securities compared to $49,000 for the same period in 2011. Loan placement fees increased $134,000 during the fourth quarter of 2012, compared to the same period in 2011. Non-interest expense increased $185,000 or 2.72% for the same periods mainly due to increases in salaries and employee benefits of $110,000 and merger-related expenses of $284,000, partially offset by decreases in amortization of core deposit intangible expense, advertising expense, data processing expense and occupancy expense.

"The Company achieved its highest earnings mark in 32 years of operation for the full 2012 year. The fourth quarter of 2012 showed consistent earnings due to an increase in non-interest income from securities called/sold and from loan placement fees. This along with continued asset quality improvement highlights the safety and financial strength of our company," stated Daniel J. Doyle, President and CEO of Central Valley Community Bancorp and Central Valley Community Bank.

"Gross loans decreased during the quarter as a result of customer paydowns. The market for loans continues to experience competitive pricing and terms. We are seeing some increase in loan commitments, but reduced usage on lines of credit due to economic uncertainty has impacted our business borrowers and the profitability of many of our agriculture-related borrowers."

"During the fourth quarter, we announced the pending merger with Visalia Community Bank which has four full-service offices in Visalia and one branch in Exeter. We believe adding these offices, their professional employees and customers to our current structure will provide a long-term benefit to the growth and profitability of our company. The transaction, which is expected to close in the second quarter of 2013, is subject to customary closing conditions, including regulatory approvals and approval by Visalia Community Bank's shareholders," concluded Doyle.

Central Valley Community Bancorp trades on the NASDAQ stock exchange under the symbol CVCY. Central Valley Community Bank, headquartered in Fresno, California, was founded in 1979 and is the sole subsidiary of Central Valley Community Bancorp. Central Valley Community Bank currently operates 17 full service offices in Clovis, Fresno, Kerman, Lodi, Madera, Merced, Modesto, Oakhurst, Prather, Sacramento, Stockton, and Tracy, California. In December 2012, Central Valley Community Bancorp entered into a definitive merger agreement to acquire Visalia Community Bank with four offices in Visalia and one in Exeter, which is expected to be completed during 2013. Additionally, the Bank operates Commercial Real Estate Lending, SBA Lending and Agribusiness Lending Departments. Investment services are provided by Investment Centers of America and insurance services are offered through Central Valley Community Insurance Services LLC.

Members of Central Valley Community Bancorp's and the Bank's Board of Directors are: Daniel N. Cunningham (Chairman), Sidney B. Cox, Edwin S. Darden, Jr., Daniel J. Doyle, Steven D. McDonald, Louis McMurray, William S. Smittcamp, Joseph B. Weirick, and Wanda L. Rogers (Director Emeritus).

More information about Central Valley Community Bancorp and Central Valley Community Bank can be found at www.cvcb.com. Also, visit Central Valley Community Bank on Twitter and Facebook.

Forward-looking Statements -- Certain matters discussed in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained herein that are not historical facts, such as statements regarding the Company's current business strategy and the Company's plans for future development and operations, are based upon current expectations. These statements are forward-looking in nature and involve a number of risks and uncertainties. Such risks and uncertainties include, but are not limited to (1) significant increases in competitive pressure in the banking industry; (2) the impact of changes in interest rates, a decline in economic conditions at the international, national or local level on the Company's results of operations, the Company's ability to continue its internal growth at historical rates, the Company's ability to maintain its net interest margin, and the quality of the Company's earning assets; (3) changes in the regulatory environment; (4) fluctuations in the real estate market; (5) changes in business conditions and inflation; (6) changes in securities markets; and (7) the other risks set forth in the Company's reports filed with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2011. Therefore, the information set forth in such forward-looking statements should be carefully considered when evaluating the business prospects of the Company.



                      CENTRAL VALLEY COMMUNITY BANCORP
                         CONSOLIDATED BALANCE SHEETS

                                                December 31,   December 31,
(In thousands, except share amounts)                2012           2011
                                               -------------- --------------
                                                 (Unaudited)
ASSETS
Cash and due from banks                        $       22,405 $       19,409
Interest-earning deposits in other banks               30,123         24,467
Federal funds sold                                        428            928
                                               -------------- --------------
    Total cash and cash equivalents                    52,956         44,804
Available-for-sale investment securities
 (Amortized cost of $381,074 at December 31,
 2012 and $321,405 at December 31, 2011)              393,965        328,413
Loans, less allowance for credit losses of
 $10,133 at December 31, 2012 and $11,396 at
 December 31, 2011                                    385,185        415,999
Bank premises and equipment, net                        6,252          5,872
Bank owned life insurance                              12,163         11,655
Federal Home Loan Bank stock                            3,850          2,893
Goodwill                                               23,577         23,577
Core deposit intangibles                                  583            783
Accrued interest receivable and other assets           11,697         15,027
                                               -------------- --------------
      Total assets                             $      890,228 $      849,023
                                               ============== ==============

LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits:
  Non-interest bearing                         $      240,169 $      208,025
  Interest bearing                                    511,263        504,961
                                               -------------- --------------
    Total deposits                                    751,432        712,986
Short-term borrowings                                   4,000             --
Long-term debt                                             --          4,000
Junior subordinated deferrable interest
 debentures                                             5,155          5,155
Accrued interest payable and other liabilities         11,976         19,400
                                               -------------- --------------
      Total liabilities                               772,563        741,541
                                               -------------- --------------
Commitments and contingencies
Shareholders' equity:
Preferred stock, no par value, $1,000 per
 share liquidation preference; 10,000,000
 shares authorized, Series C, issued and
 outstanding: 7,000 shares at December 31,
 2012 and December 31, 2011                             7,000          7,000
Common stock, no par value; 80,000,000 shares
 authorized; issued and outstanding: 9,558,746
 at December 31, 2012 and 9,547,816 at
 December 31, 2011                                     40,583         40,552
Retained earnings                                      62,496         55,806
Accumulated other comprehensive income, net of
 tax                                                    7,586          4,124
                                               -------------- --------------
      Total shareholders' equity                      117,665        107,482
                                               -------------- --------------
      Total liabilities and shareholders'
       equity                                  $      890,228 $      849,023
                                               ============== ==============



                      CENTRAL VALLEY COMMUNITY BANCORP
                     CONSOLIDATED STATEMENTS OF INCOME

                              For the Three Months    For the Twelve Months
                               Ended December 31       Ended December 31,
                            -----------------------  ----------------------
(In thousands, except share
 and per share amounts)         2012        2011         2012       2011
                            ----------- -----------  ----------- ----------
                            (Unaudited) (Unaudited)  (Unaudited)
INTEREST INCOME:
  Interest and fees on
   loans                    $     5,665 $     6,436  $    23,913 $   26,098
  Interest on deposits in
   other banks                       38          46          108        187
  Interest on Federal funds
   sold                               1           1            2          2
  Interest and dividends on
   investment securities:
    Taxable                         595       1,241        3,289      4,548
    Exempt from Federal
     income taxes                 1,275         942        4,508      3,464
                            ----------- -----------  ----------- ----------
      Total interest income       7,574       8,666       31,820     34,299
                            ----------- -----------  ----------- ----------
INTEREST EXPENSE:
  Interest on deposits              323         586        1,630      2,662
  Interest on junior
   subordinated deferrable
   interest debentures               25          27          107        100
  Other                              37          37          146        180
                            ----------- -----------  ----------- ----------
    Total interest expense          385         650        1,883      2,942
                            ----------- -----------  ----------- ----------
    Net interest income
     before provision for
     credit losses                7,189       8,016       29,937     31,357
PROVISION FOR CREDIT LOSSES         200         300          700      1,050
                            ----------- -----------  ----------- ----------
    Net interest income
     after provision for
     credit losses                6,989       7,716       29,237     30,307
                            ----------- -----------  ----------- ----------
NON-INTEREST INCOME:
  Service charges                   719         720        2,774      2,903
  Appreciation in cash
   surrender value of bank
   owned life insurance             100          93          391        382
  Loan placement fees               223          89          631        274
  Net gain on disposal of
   other real estate owned           --           7           12        615
  Net realized (loss) gain
   on sale of assets                 --          (5)           4         (5)
  Net realized gains on
   sales and calls of
   investment securities            352          49        1,639        298
  Other-than-temporary
   impairment loss:
    Total impairment loss            --          --           --        (31)
    Loss recognized in
     other comprehensive
     income                          --          --           --         --
                            ----------- -----------  ----------- ----------
      Net impairment loss
       recognized in
       earnings                      --          --           --        (31)
  Federal Home Loan Bank
   dividends                         25           2           36          9
  Other income                      410         376        1,755      1,826
                            ----------- -----------  ----------- ----------
    Total non-interest
     income                       1,829       1,331        7,242      6,271
                            ----------- -----------  ----------- ----------
NON-INTEREST EXPENSES:
  Salaries and employee
   benefits                       3,738       3,628       15,597     15,762
  Occupancy and equipment           914         947        3,578      3,795
  Regulatory assessments            164         181          652        845
  Data processing expense           274         321        1,125      1,178
  Advertising                       139         187          558        735
  Audit and accounting fees         135         154          514        491
  Legal fees                         67          69          185        335
  Merger expenses                   284          --          284         --
  Other real estate owned            --           4           78         15
  Amortization of core
   deposit intangibles               50         103          200        414
  Other expense                   1,218       1,204        4,503      4,670
                            ----------- -----------  ----------- ----------
    Total non-interest
     expenses                     6,983       6,798       27,274     28,240
                            ----------- -----------  ----------- ----------
      Income before
       provision for income
       taxes                      1,835       2,249        9,205      8,338
PROVISION FOR INCOME TAXES          193         541        1,685      1,861
                            ----------- -----------  ----------- ----------
    Net income              $     1,642 $     1,708  $     7,520 $    6,477
                            =========== ===========  =========== ==========
Net income                  $     1,642 $     1,708  $     7,520 $    6,477
Preferred stock dividends
 and accretion                       88          86          350        486
                            ----------- -----------  ----------- ----------
    Net income available to
     common shareholders    $     1,554 $     1,622  $     7,170 $    5,991
                            =========== ===========  =========== ==========
Net income per common
 share:
  Basic earnings per common
   share                    $      0.16 $      0.17  $      0.75 $     0.63
                            =========== ===========  =========== ==========
  Weighted average common
   shares used in basic
   computation                9,586,201   9,547,816    9,587,784  9,522,066
                            =========== ===========  =========== ==========
  Diluted earnings per
   common share             $      0.16 $      0.17  $      0.75 $     0.63
                            =========== ===========  =========== ==========
  Weighted average common
   shares used in diluted
   computation                9,629,300   9,552,043    9,616,413  9,538,662
                            =========== ===========  =========== ==========
Cash dividends per common
 share                      $      0.05 $        --  $      0.05         --
                            =========== ===========  =========== ==========



                      CENTRAL VALLEY COMMUNITY BANCORP
                 CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                                 (Unaudited)

For the three months
 ended                 Dec. 31,   Sep. 30,   Jun. 30,   Mar. 31,   Dec. 31,
                         2012       2012       2012       2012       2011
                      ---------- ---------- ---------- ---------- ----------
(In thousands, except
 share and per share
 amounts)
Net interest income   $    7,189 $    7,572 $    7,510 $    7,666 $    8,016
Provision for credit
 losses                      200         --        100        400        300
                      ---------- ---------- ---------- ---------- ----------
Net interest income
 after provision for
 credit losses             6,989      7,572      7,410      7,266      7,716
Total non-interest
 income                    1,829      2,284      1,471      1,658      1,331
Total non-interest
 expense                   6,983      6,655      6,718      6,918      6,798
Provision for income
 taxes                       193        745        454        293        541
                      ---------- ---------- ---------- ---------- ----------
Net income            $    1,642 $    2,456 $    1,709 $    1,713 $    1,708
                      ========== ========== ========== ========== ==========
Net income available
 to common
 shareholders         $    1,554 $    2,369 $    1,622 $    1,625 $    1,622
                      ========== ========== ========== ========== ==========
Basic earnings per
 common share         $     0.16 $     0.25 $     0.17 $     0.17 $     0.17
                      ========== ========== ========== ========== ==========
Weighted average
 common shares used
 in basic computation  9,586,201  9,602,473  9,592,045  9,570,297  9,547,816
                      ========== ========== ========== ========== ==========
Diluted earnings per
 common share         $     0.16 $     0.25 $     0.17 $     0.17 $     0.17
                      ========== ========== ========== ========== ==========
Weighted average
 common shares used
 in diluted
 computation           9,629,300  9,635,339  9,618,976  9,577,432  9,552,043
                      ========== ========== ========== ========== ==========



                     CENTRAL VALLEY COMMUNITY BANCORP
                              SELECTED RATIOS
                                (Unaudited)

As of and for the three
 months ended              Dec. 31  Sep. 30   Jun. 30,  Mar. 31,  Dec. 31,
                            2012      2012      2012      2012      2011
                          --------  -------   --------  --------  --------
(Dollars in thousands,
 except per share
 amounts)
Allowance for credit
 losses to total loans        2.56%    2.56%      2.45%     2.52%     2.67%
Nonperforming assets to
 total assets                 1.09%    1.15%      1.48%     1.48%     1.70%
Total nonperforming
 assets                   $  9,695  $10,190   $ 12,340  $ 12,395  $ 14,434
Net loan charge offs
 (recoveries)             $    281  $   (74)  $    245  $  1,511  $    (66)
Net charge offs
 (recoveries) to average
 loans (annualized)           0.29%   (0.07)%     0.24%     1.46%    (0.06)%
Book value per share      $  11.58  $  11.5   $  11.08  $  10.82  $  10.52
Tangible book value per
 share                    $   9.05  $  8.98   $   8.55  $   8.28  $   7.97
Tangible common equity    $ 86,505  $86,276   $ 81,999  $ 79,422  $ 76,122
Interest and dividends on
 investment securities
 exempt from Federal
 income taxes             $  1,275  $ 1,118   $  1,078  $  1,037  $    942
Net interest margin
 (calculated on a fully
 tax equivalent basis)
 (1)                          3.95%    4.21%      4.33%     4.37%     4.50%
Return on average assets
 (2)                          0.74%    1.14%      0.82%     0.82%     0.81%
Return on average equity
 (2)                          5.56%    8.43%      6.06%     6.19%     6.41%
Tier 1 leverage - Bancorp    10.56%   10.78%     10.70%    10.33%    10.13%
Tier 1 leverage - Bank       10.22%   10.35%     10.60%    10.21%    10.01%
Tier 1 risk-based capital
 - Bancorp                   18.24%   18.27%     17.29%    16.97%    16.20%
Tier 1 risk-based capital
 - Bank                      17.67%   17.56%     17.14%    16.78%    16.02%
Total risk-based capital
 - Bancorp                   19.53%   19.57%     18.58%    18.25%    17.49%
Total risk based capital
 - Bank                      18.96%   18.86%     18.43%    18.06%    17.31%

(1) Net Interest Margin is computed by dividing annualized quarterly net
    interest income by quarterly average interest-bearing assets.

(2) Computed by annualizing quarterly net income.



                      CENTRAL VALLEY COMMUNITY BANCORP
                         AVERAGE BALANCES AND RATES
                                (Unaudited)

                                                          For the Twelve
                                 For the Three Months      Months Ended
AVERAGE AMOUNTS                    Ended December 31       December 31,
                                 --------------------  --------------------
(Dollars in thousands)              2012       2011       2012       2011
                                 ---------  ---------  ---------  ---------
Federal funds sold               $     748  $     847  $     618  $     695
Interest-bearing deposits in
 other banks                        41,334     72,624     36,836     73,016
Investments                        368,587    275,035    331,364    226,224
Loans (1)                          383,051    404,034    394,575    412,969
Federal Home Loan Bank stock         3,850      2,893      3,544      2,958
                                 ---------  ---------  ---------  ---------
Earning assets                     797,570    755,433    766,937    715,862
Allowance for credit losses        (10,090)   (11,087)   (10,365)   (11,018)
Non-accrual loans                    9,967     14,719     10,465     15,322
Other real estate owned                 --         70        919        217
Other non-earning assets            87,214     81,952     85,122     79,795
                                 ---------  ---------  ---------  ---------
Total assets                     $ 884,661  $ 841,087  $ 853,078  $ 800,178
                                 =========  =========  =========  =========

Interest bearing deposits        $ 506,586  $ 514,350  $ 502,072  $ 495,545
Other borrowings                     9,155      9,155      9,156     10,265
                                 ---------  ---------  ---------  ---------
Total interest-bearing
 liabilities                       515,741    523,505    511,228    505,810
Non-interest bearing demand
 deposits                          237,486    200,876    217,529    182,244
Non-interest bearing liabilities    13,263     10,128      9,760      8,738
                                 ---------  ---------  ---------  ---------
Total liabilities                  766,490    734,509    738,517    696,792
                                 ---------  ---------  ---------  ---------
Total equity                       118,171    106,578    114,561    103,386
                                 ---------  ---------  ---------  ---------
Total liabilities and equity     $ 884,661  $ 841,087  $ 853,078  $ 800,178
                                 =========  =========  =========  =========

AVERAGE RATES
Federal funds sold                    0.30%      0.25%      0.30%      0.29%
Interest-earning deposits in
 other banks                          0.37%      0.25%      0.29%      0.26%
Investments                           2.74%      3.88%      3.05%      4.33%
Loans                                 5.87%      6.32%      6.06%      6.32%
Earning assets                        4.14%      4.85%      4.46%      5.04%
Interest-bearing deposits             0.25%      0.45%      0.32%      0.54%
Other borrowings                      2.69%      2.77%      2.76%      2.73%
Total interest-bearing
 liabilities                          0.30%      0.49%      0.37%      0.58%
Net interest margin (calculated
 on a fully tax equivalent
 basis) (2)                           3.95%      4.50%      4.21%      4.63%

(1) Average loans do not include non-accrual loans.

(2) Calculated on a fully tax equivalent basis, which includes Federal tax
    benefits relating to income earned on municipal bonds totaling $657 and
    $485 for the quarters ended December 31, 2012 and 2011, respectively.
    The Federal tax benefits relating to income earned on municipal bonds
    totaled $2,322 and $1,784 for the year ended December 31, 2012 and 2011,
    respectively.

Source: Central Valley Community Bancorp

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