First Valley Bancorp (FVLY) 8-K Valley Bank Announces 45% Jump In Earnings

EXHIBIT 99.1

Contact	Contact
Robert L. Messier, Jr.	Mark J. Blum
President and CEO	Executive Vice President and CFO
860-582-8868	860-585-2118

VALLEY BANK ANNOUNCES 45% JUMP IN EARNINGS

Bristol, Connecticut - August 3, 2005 - Robert L. Messier, Jr., President and Chief Executive Officer, announced that second quarter earnings for Valley Bank grew by $66,000, or 45%. Net income for the quarter ended June 30, 2005 was $212,000, or $0.19 diluted income per share, compared to $146,000, or $0.13 diluted income per share, for the second quarter of 2004. For the first half of 2005, the Bank has earned $383,000, or $0.34 diluted income per share, versus $243,000, or $0.22 diluted income per share, for the first six months of 2004.

Assets grew to $136.6 million at June 30, 2005 compared to $116.9 million at June 30, 2004, a 17% increase. As of June 30, 2005, loans totaled $86.7 million and deposits totaled $114.0 million.

Valley Bank recently announced that effective July 1, 2005, the process of reorganizing Valley Bank into a bank holding company structure was finalized, resulting in the formation of a new bank holding company called First Valley Bancorp, Inc. and Valley Bank becoming the wholly-owned subsidiary of First Valley Bancorp, Inc. As a result of reorganization, shares of Valley Bank common stock were automatically converted into shares of First Valley Bancorp, Inc. common stock.

VALLEY BANK

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Messier stated, “Our new holding company, First Valley Bancorp, Inc., completed a trust preferred offering on July 28, 2005 which added approximately $4.0 million in new capital and increased the Bank’s lending capacity to any one borrower to almost $2.0 million. Through loan participations with other community banks, we have the ability to lend much more.”

Messier continued, “Mark A. Gibson, President of Quality Coils, Inc. and DynaLock Corporation, has been elected a Director of First Valley Bancorp, Inc. as of July 25, 2005.”

“As of August 22, 2005, Valley Bank will also begin offering on-line banking, Valley On-line (“VOL”), including bill paying to its customers”, said Messier.

Valley Bank is a commercial bank with full service banking offices in Bristol and Terryville and a loan production office in Southington. For more information about Valley Bank visit the Bank’s website at www.valleybankct.com or call 860-582-8868.

First Valley Bancorp, Inc. stock is quoted on the Over the Counter Bulletin Board under the symbol “FVLY”.

Statements in this news release concerning future results, performance, expectations or intentions are forward-looking statements. Actual results, performance or developments may differ materially from forward-looking statements as a result of known or unknown risks, uncertainties, and other factors, including those identified from time to time in the Company’s other filings with the Securities and Exchange Commission, press releases and other communications.

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VALLEY BANK
JUNE 30, 2005
STATEMENTS OF FINANCIAL CONDITION
(in thousands except share data)
	June 30,			December 31,
	2005			2004
	(Unaudited)
ASSETS
Cash and due from depository institutions	$	3,742		$	5,764
Federal funds sold and money market accounts		6,675			4,269
Investment securities		37,030			39,548
Loans receivable, net		85,064			77,729
Premises and equipment, net		1,504			1,524
FHLB Stock		727			727
Accrued income receivable		563			560
Deferred income taxes		647			632
Other assets		665			187
TOTAL ASSETS	$	136,617		$	130,940
LIABILITIES AND CAPITAL ACCOUNTS
Deposits:
Non-interest bearing	$	15,642		$	12,300
Interest bearing		98,350			95,446
Total deposits		113,992			107,746
Borrowed funds		11,575			12,679
Mortgagors' escrow accounts		153			150
Other liabilities		1,337			1,206
Total Liabilities		127,057			121,781
Capital Accounts:
Common stock, no par value; authorized 2,000,000 shares;
issued and outstanding 1,076,082 and 1,072,902 at
June 30, 2005 and December 31, 2004, respectively		890			887
Additional paid-in capital		8,164			8,126
Retained earnings		688			305
Accumulated other comprehensive loss		(182	)		(159	)
Total Capital Accounts		9,560			9,159
TOTAL LIABILITIES AND CAPITAL ACCOUNTS	$	136,617		$	130,940

VALLEY BANK
JUNE 30, 2005
STATEMENTS OF INCOME (UNAUDITED)
(in thousands except share data)
	Three Months Ended				Six Months Ended
	June 30,				June 30,
Interest income:		2005		2004		2005		2004
Interest on loans	$	1,412	$	1,116	$	2,718	$	2,117
Interest and dividends on investments
and deposits		381		286		760		610
Total interest income		1,793		1,402		3,478		2,727
Interest expense:
Deposits and escrow		506		338		973		634
Borrowed money		77		62		152		130
Total interest expense		583		400		1,125		764
Net interest income		1,210		1,002		2,353		1,963
Provision for loan losses		85		65		161		162
Net interest income after provision for loan losses		1,125		937		2,192		1,801
Noninterest income:
Service charges and other fees		102		77		191		138
Realized gains on investments		-		-		-		6
Total noninterest income		102		77		191		144
Noninterest expenses:
Salaries		404		364		809		717
Employee benefits and taxes		77		72		169		150
Occupancy and equipment		156		180		329		359
Professional fees		38		35		74		76
Marketing		32		25		52		46
Office supplies		20		18		37		35
Outside service fees		59		28		107		65
Other		88		55		172		103
Total noninterest expenses		874		777		1,749		1,551
Income before income tax expense		353		237		634		394
Income tax expense		141		91		251		151
NET INCOME	$	212	$	146	$	383	$	243
Basic income per share	$	0.20	$	0.14	$	0.36	$	0.23
Diluted income per share	$	0.19	$	0.13	$	0.34	$	0.22
Weighted-average shares outstanding - basic		1,076,082		1,070,744		1,076,029		1,070,473
Weighted-average shares outstanding - diluted		1,116,108		1,086,099		1,116,055		1,085,828