Sierra Vista Bank Reports 1st Quarter 2011 Financial Results

FOLSOM, Calif., May 6, 2011 /PRNewswire/ -- Sierra Vista Bank (OTCBB: SVBA) reported its 1st quarter 2011 financial results.  The Bank finished the 1st quarter of 2011 with a $21,000 loss compared to a $970,000 loss in the 1st quarter of 2010.  The Bank's total revenues for the 1st quarter 2011 were $1.1 million compared to $1.3 million in the 1st quarter of 2010.  

As of March 31, 2011, the Bank reported total assets of $83.9 million, a decrease of $21.1 million from March 31, 2010.  The Bank had total loans at March 31, 2011 of $65.3 million compared to $79.7 million at March 31, 2010, and total deposits of $74.6 million at March 31, 2011 compared to $87.9 million at March 31, 2010.  Non-interest bearing deposits at March 31, 2011 totaled $21.2 million or 28.4% of total deposits.  The Bank's smaller size is reflective of the current economic and regulatory environment.

The Bank's net interest margin remains very strong ending the 1st quarter at 5.09% as the Bank's cost of funds continued to decline and the yield on loans and investments remained consistent.

The Bank's allowance for loan losses at March 31, 2011 was $1.8 million or 2.80% of total loans.  Total charge offs for the first quarter were $233,000.  "While real estate values have continued to decline, the Bank is pleased with its efforts in addressing the problem loan portfolio.  We look forward to continued improvement in the economy and the positive impact that will have on our borrowers," stated Greg Patton, President/CEO.

The March 31, 2011 Tier 1 Leverage ratio was 9.03%; the Tier 1 Risk Based Capital ratio was 12.51%; and the Total Risk Based Capital ratio was 13.78%, all above the well capitalized ratio levels as defined in the regulations.

About Sierra Vista Bank

Sierra Vista Bank is a locally owned community bank headquartered at 1710 Prairie City Road in Folsom, California since March 2007 and has a branch located in the Sam's Town Center in Cameron Park.  The Bank prides itself on serving the financial needs of small businesses and professionals in Folsom and throughout the Highway 50 Corridor while remaining committed to community philanthropy. Additional information about Sierra Vista Bank can be found at www.sierravistabank.com or by calling (916) 850-1500.

Forward Looking Statement:

This release may contain forward-looking statements that are subject to risks and uncertainties. Such risks and uncertainties may include but are not necessarily limited to fluctuations in interest rates, inflation, government regulations and general economic conditions, and competition within the business areas in which the Bank will be conducting its operations, including the real estate market in California and other factors beyond the Bank's control.  Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated.  You should not place undue reliance on the forward-looking statements, which reflect management's view only as of the date hereof.  The Bank undertakes no obligation to publicly revise these forward-looking statements to reflect subsequent events or circumstances.

SOURCE Sierra Vista Bank