Bank of Commerce (BOCH) 8-K Other Events

Exhibit 99.1

Bank of Commerce Holdings
(NASDAQ: BOCH)

Company Profile

• Founded 1982

• Five offices — three markets

• Redding Bank of Commerce™

• Roseville Bank of Commerce™

• Sutter Bank of Commerce™

• Bank of Commerce Mortgage™

Investor Highlights

• 5% stock dividend — 1986

• Annual cash dividends — 1988

• Two for one stock split — 1985

• Three for one stock split — 1998

• 10% stock dividend — 2000

• Three for one stock split — 2004

• Quarterly cash dividends — since 2005

• ACQB Index — America’s Community Bank Index

Business Overview

Bank of Commerce Holdings (the “Holding Company”) is a financial holding company (“FHC”) registered under the Bank Holding Company Act of 1956, as amended, and was incorporated in California on January 21, 1982. The Company ownsRedding Bank of Commerce™, Roseville Bank of Commerce™, Sutter Bank of Commerce™andBank of Commerce Mortgage™.

Company Press Release

For immediate release:

Bank of Commerce Holdings™ reports record income of $6.6 million for 2006

REDDING, California,January 31, 2007/ PR Newswire—Bank of Commerce Holdings (NASDAQ: BOCH), a $583.4 million asset financial holding company, and parent company of Redding Bank of Commerce™, Roseville Bank of Commerce™, Sutter Bank of Commerce™ and Bank of Commerce Mortgage™ today announced record income of $6.6 million for 2006.

2006 HIGHLIGHTS

• Record Income $6.6 million

• Record loan growth $46 million

• BOCH featured at America’s Community Bankers Investment Conference

• Sutter Bank of Commerce™ opens in Yuba City

• $1 million grant for the “Bridge to New Life Project”

• Treasury Stock Repurchase program announced

• Quarterly dividends of $0.07,$0.07,$0.07 and $0.09

“We are very proud to report a 21 percent increase in stock price over the prior year. Our stock reached a record high during the quarter. Our performance is well above average meeting our goal of achieving upper quartile performance, compared to our peers”saidMichael C. Mayer, President and CEO of the Company.

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Contact Information
Michael C. Mayer, President & CEO
Telephone (530) 224-7361
Linda J. Miles, Chief Financial Officer
Telephone (530) 224-7318
www.reddingbankofcommerce.com

Market Data

Exchange: NASDAQ
Exchange: NASDAQ
Symbol:BOCH
Shares outstanding at 12/31/06: 8,847,042
Market Cap: $106,076,034
Recent Price : $11.99
52 week range: $9.14 — $12.49
Price/ Book (%): 239.35
SNL™ Peer Price/Book (%): 211.48
Price/Earnings (x): 15.32
SNL™ Peer Price/Earnings (x): 15.90
Price/LTM EPS (x): 15.32
Dividend Yield (%): 2.37
SNL ™ Peer Dividend Yield(%): 1.53
YTD Volume traded: 746,077
Insider Ownership: 30.29%

FINANCIAL PERFORMANCE

Diluted earnings per share were $0.74, up 4.2%over the prior year of $0.71. Our balance sheet grew by 14.0% or $71.8 million over the prior year end. Loans, the single largest asset of the Company grew by 12.6% or $45.7 million and deposit growth was up by 18.1% or $67.3 million.

REVENUE

Top line revenues grew by 31.9% or $9.5 million reflective of the volume increases in loan generating activities. Merchant processing income enjoyed a 9.9% increase and payroll processing fees grew by 8.1% over the prior year. Mortgage brokerage fee income declined by approximately $178,000 over the prior year due to the decrease in mortgage loan activities.

LOANS

Net portfolio loans increased $45.7 million or 12.6%, to $409.0 million at December 31, 2006 over $363.3 million at December 31, 2005. The increase is primarily due to increased activity in commercial and industrial and the commercial real estate sectors. During 2006, commercial and industrial loans increased $13.0 million or 9.1% while the real estate related portfolio increased $32.2 million or 12.8%. The Company concentrates its lending activities primarily within Shasta, El Dorado, Placer Sacramento, Sutter, Yuba and Tehama counties, in California, and the location of the five full service offices of the Bank. The Company has a diversified loan portfolio and a significant portion of its customers’ ability to repay the loans is dependent upon the professional services and residential real estate development industry sectors. Generally, the loans are secured by real estate or other assets and are expected to be repaid from cash flows of the borrower or proceeds from the sale of the collateral.

NET INTEREST INCOME

Net interest income increased to $22.0 million in 2006 versus $20.2 million in 2005 and $16.9 million in 2004, representing an 8.9% increase in 2006 over 2005, and a 19.8% increase in 2005 over 2004. The average balance of total earning assets increased to $517.5 million in 2006 compared to $440.8 million in 2005, a 17.4% increase.

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Yields on portfolio loans increased 108 basis points to 8.22% compared to 7.14% in 2005. The yield increase, coupled with the volume of loan growth represents the increase in net interest margin over the prior year. Yields on all earning assets increased 95 basis points to 7.27% compared to 6.32% in 2005. Likewise, funding costs increased 145 basis points to 3.69% compared with 2.24% in 2005, reflective of the growth in certificate and repurchase accounts, and the competitive market for deposit accounts.

NON INTEREST INCOME

The Company’s non-interest income consists of payroll and benefit processing fees, processing fees for merchants who accept credit card payments for goods and services, service charge on deposit accounts, mortgage servicing fees and other service fees. For the year ended December 31, 2006, non-interest income represented 4.9% of the Company’s revenues (interest income plus non-interest income) versus 7.1% in 2005 and 9.5% in 2004.

Payroll and benefit processing fees increased 8.1% or $29,000 over the prior year due to increased volumes.

During the third quarter 2006, available-for-sale securities were sold to reposition the investment portfolio into higher yielding tax exempt investments. Mortgage activities slowed considerably during 2006 reflective in the fee income of $71,000 compared to $249,000 in 2005 a 71.5% decrease year over year.

NON INTEREST EXPENSE

Non-interest expense consists of salaries and related employee benefits, occupancy and equipment expenses, data processing fees, professional fees, directors’ fees and other operating expenses. The increase in operating expense for 2006 over 2005 is primarily due to salaries and benefits reflective of the growth in assets and the opening of the Sutter Bank of Commerce. Non-interest expense for 2006 increased to $13.3 million compared to $11.7 million for 2005 and $10.6 million in 2004, representing an increase of $1.6 million or 13.5% in 2006, and $1.1 million or 10.6% in 2005.

CREDIT QUALITY

The Company’s loan portfolio is sound and performing well. The Company’s OREO (Other Real Estate Owned) remained at $0 during 2006, 2005 and 2004. Non-accrual loans were reduced to $0 during 2006.

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The Company’s allowance for loan losses was 1.18% of total loans at December 31, 2006 and 1.17% at December 31, 2005, while its ratio of non-performing assets to total assets was 0.00% at December 31, 2006, compared to 0.08% at December 31, 2005. Provisions for loan losses were $226,000 compared to $448,000 for the year ended 2005.

FACILITIES

Construction is well underway on the Company’s Technology and Administrative Support Center (TASC) with an anticipated completion date of March 1, 2007 — located at 1891 Churn Creek Road, Redding, California.

CAPITAL STRENGTH

The capital ratios of Redding Bank of Commerce continue to be above the well-capitalized guidelines established by bank regulatory agencies.

Bank of Commerce Holdings, with administrative offices in Redding, California is a financial service holding company that owns Redding Bank of Commerce™, Roseville Bank of Commerce™, Sutter Bank of Commerce™ and Bank of Commerce Mortgage™. The Company is a federally insured California financial services company and opened on October 22, 1982.

BOCH is a NASDAQ Global Market listed stock. Please contact your local investment advisor for purchases and sales. Investment firms making a market in BOCH stock are:

Howe Barnes Hoefer & Arnett/ Dave Bonaccorso	Morgan Stanley/ Rick Hill
555 Market Street, 18th Floor	310 Hemsted Drive, Suite 100
San Francisco, CA	Redding, CA
(800) 346-5544	(800) 733-6126
Wachovia Securities/ Ken Myers, Rick Hansen	Raymond James Financial/ Geoff Ball
10466 Brunswick Road	1805 Hilltop Drive, Suite 106
Grass Valley, CA	Redding, CA
(888) 383-3112	(800) 926-5040

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This press release includes forward-looking information, which is subject to the “safe harbor” created by the Securities Act of 1933, and Securities Act of 1934. These forward-looking statements (which involve the Company’s plans, beliefs and goals, refer to estimates or use similar terms) involve certain risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such risks and uncertainties include, but are not limited to, the following factors:

• Competitive pressure in the banking industry and changes in the regulatory environment.

• Changes in the interest rate environment and volatility of rate sensitive assets and liabilities.

• The health of the economy declines nationally or regionally which could reduce the demand for loans or reduce the value of real estate collateral securing most of the Company’s loans.

• Credit quality deteriorates which could cause an increase in the provision for loan losses.

• Losses in the Company’s merchant credit card processing business.

• Asset/Liability matching risks and liquidity risks.

• Changes in the securities markets.

For additional information concerning risks and uncertainties related to the Company and its operations please refer to the Company’s Annual Report on Form 10-K for the year ended December 31, 2006 and under the heading “Risk factors that may affect results” and subsequent reports on Form 10-Q and current reports on Form 8-K. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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BANK OF COMMERCE HOLDINGS AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
AS OF DECEMBER 31, 2006 and 2005

	2006			2005
ASSETS
Cash and due from banks	$	14,661,386		$	17,435,887
Federal funds sold and securities purchased under agreements to resell		24,605,000			9,120,000
Cash and cash equivalents		39,266,386			26,555,887
Securities available-for-sale (including pledged collateral of $71,686,000 at December 31, 2006 and $50,102,000 at December 31, 2005)		95,601,107			94,014,027
Securities held-to-maturity, at cost (estimated fair value of $10,792,938 at December 31, 2006 and $6,881,172 at December 31, 2005)		10,810,113			6,932,652
Loans, net of the allowance for loan and lease losses of $4,904,266 at December 31, 2006 and $4,316,379 at December 31, 2005		408,989,228			363,305,161
Bank premises and equipment, net		8,595,044			5,630,684
Other assets		20,180,149			15,205,234
TOTAL ASSETS	$	583,442,027		$	511,643,645
LIABILITIES AND STOCKHOLDERS’ EQUITY
Deposits:
Demand — non-interest bearing	$	84,778,916		$	86,219,092
Demand — interest bearing		119,437,370			109,100,520
Savings accounts		22,748,885			27,539,918
Certificates of deposit		212,442,258			149,256,239
Total Deposits		439,407,429			372,115,769
Securities sold under agreements to repurchase		37,116,610			22,885,658
Federal Home Loan Bank borrowings		40,000,000			55,000,000
Other liabilities		7,536,738			7,194,315
Junior subordinated debt payable to unconsolidated subsidiary grantor trust		15,465,000			15,310,000
Total liabilities		539,525,777			472,505,742
Commitments and contingencies
Stockholders’ equity:
Preferred stock, no par value; 2,000,000 shares authorized; no shares issued and outstanding in 2006 and 2005		—			—
Common stock, no par value; 50,000,000 shares authorized; 8,847,042 shares issued and outstanding in 2006 and 8,657,896 shares issued and outstanding in 2005		11,517,368			11,009,346
Retained earnings		33,336,032			29,418,643
Accumulated other comprehensive (loss) income, net of tax		(937,150	)		(1,290,086	)
Total stockholders’ equity		43,916,250			39,137,903
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	583,442,027		$	511,643,645

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BANK OF COMMERCE HOLDINGS AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
FOR THE YEARS ENDED DECEMBER 31, 2006, 2005 AND 2004

	2006			2005			2004
Interest income:
Interest and fees on loans	$	32,394,766		$	24,069,980		$	18,444,703
Interest on tax-exempt securities		786,972			332,385			225,976
Interest on U.S. government securities		3,421,191			2,910,695			2,175,274
Interest on federal funds sold and securities purchased under agreement to resell		871,879			491,019			143,449
Interest on other securities		135,651			59,909			6,788
Total interest income		37,610,459			27,863,988			20,996,190
Interest expense:
Interest on demand deposits		1,504,180			938,532			429,699
Interest on savings deposits		288,883			182,994			103,670
Interest on certificates of deposit		8,485,799			4,331,468			2,876,236
Interest on securities sold under repurchase agreements		1,138,242			430,754			3,161
Interest on FHLB borrowings		3,079,432			1,161,762			446,271
Interest on junior subordinated debt payable to unconsolidated subsidiary grantor trusts		1,078,884			580,935			250,495
Total interest expense		15,575,420			7,626,445			4,109,532
Net interest income		22,035,039			20,237,543			16,886,658
Provision for loan and lease losses		225,900			447,700			554,000
Net interest income after provision for loan and lease losses		21,809,139			19,789,843			16,332,658
Non-interest income:
Service charges on deposit accounts		345,737			393,661			475,971
Payroll and benefit processing fees		385,867			356,957			343,086
Earnings on cash surrender value —
Bank owned life insurance		328,743			209,322			258,539
Net (loss) gain on sale of securities available-for-sale		(170,524	)		(1,537	)		0
Net gain on sale of loans		89,851			145,594			94,878
Merchant credit card service income, net		380,066			345,721			433,822
Mortgage brokerage fee income		71,350			249,049			186,188
Other income		497,141			424,973			403,437
Total non-interest income		1,928,231			2,123,740			2,195,921
Non-interest expense:
Salaries and related benefits		8,020,136			6,883,754			5,938,672
Occupancy and equipment expense		1,845,664			1,572,458			1,534,490
FDIC insurance premium		47,670			48,659			47,843
Data processing fees		216,313			303,316			253,895
Professional service fees		683,602			648,871			802,742
Payroll processing fees		103,518			110,376			0
Deferred compensation expense		368,809			321,321			280,771
Stationery and supplies		230,843			241,144			208,102
Postage		112,740			104,439			96,780
Directors’ expenses		243,428			219,687			266,911
Other expenses		1,460,008			1,294,684			1,189,790
Total non-interest expense		13,332,731			11,748,709			10,619,996
Income before income taxes		10,404,639			10,164,874			7,908,583
Provision for income taxes		3,836,930			3,886,504			2,930,908
Net Income	$	6,567,709		$	6,278,370		$	4,977,675
Basic earnings per share	$	0.75		$	0.73		$	0.60
Weighted average shares — basic		8,759,568			8,600,270			8,282,588
Diluted earnings per share	$	0.74		$	0.71		$	0.57
Weighted average shares — diluted		8,931,584			8,844,626			8,702,611

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BANK OF COMMERCE HOLDINGS & SUBSIDIARIES
Quarterly Financial Condition Data
(Unaudited)
For the Quarter Ended

	Dec. 31,			Sept 30,			June 30,			March 31,			Dec. 31,			Sept. 30,			June 30,
	2006			2006			2006			2006			2005			2005			2005
Cash and due from banks	$	14,661		$	17,535		$	12,668		$	11,819		$	17,436		$	14,759		$	19,300
Federal funds sold and securities purchased under agreements to resell		24,605			28,010			14,155			9,835			9,120			8,550			11,895
Total Cash & Equivalents		39,266			45,545			26,823			21,654			26,556			23,309			31,195
Securities available-for-sale		95,601			97,614			97,366			93,645			94,014			98,107			72,709
Securities held to maturity, at cost		10,810			10,841			11,141			7,620			6,933			5,813			5,889
Loans, net of allowance for loan losses		408,990			403,657			401,185			374,983			363,305			342,004			340,230
Bank premises and equipment, net		8,595			7,350			6,690			6,261			5,631			5,547			5,581
Other assets		20,180			20,211			20,942			18,733			15,205			13,228			12,611
TOTAL ASSETS	$	583,442		$	585,218		$	564,147		$	522,896		$	511,644		$	488,008		$	468,215
Liabilities:
Demand — non-interest bearing	$	84,779		$	81,125		$	74,505		$	74,519		$	86,219		$	80,516		$	77,960
Demand — interest bearing		119,437			111,439			101,492			102,003			109,101			116,137			115,772
Savings		22,749			22,610			23,111			28,477			27,540			26,078			26,898
Certificates of deposit		212,442			214,019			189,577			173,106			149,256			150,260			148,507
Total deposits		439,407			429,193			388,685			378,105			372,116			372,991			369,137
Securities sold under agreements to repurchase		37,117			35,260			32,507			25,117			22,886			20,461			21,537
Federal Home Loan Bank borrowings		40,000			55,000			80,000			55,000			55,000			35,000			30,000
Other liabilities		7,537			6,352			6,536			8,864			7,194			5,809			5,119
Junior subordinated debt payable to subsidiary grantor trust		15,465			15,465			15,465			15,465			15,310			15,310			5,000
Total liabilities		539,526			541,270			523,193			482,551			472,506			449,571			430,793
Stockholders’ equity:
Common stock		11,517			12,416			11,442			11,198			11,009			10,998			10,894
Retained earnings		33,336			32,526			31,479			30,535			29,419			28,240			27,097
Accumulated other comprehensive income (loss), net		(937	)		(994	)		(1,967	)		(1,388	)		(1,290	)		(801	)		(569	)
Total stockholders’ equity		43,916			43,948			40,954			40,345			39,138			38,437			37,422
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	583,442		$	585,218		$	564,147		$	522,896		$	511,644		$	488,008		$	468,215
										��
Interest Income:
Net interest income	$	5,418		$	5,530		$	5,674		$	5,413		$	5,395		$	5,125		$	4,861
Provision for loan losses		0			72			143			11			6			88			177
Net interest income after provision for loan losses		5,418			5,458			5,531			5,402			5,389			5,037			4,684
Non-interest Income:
Service charges		91			81			86			88			91			98			102
Merchant credit card service income, net		100			89			93			77			78			81			78
Net (loss) on sale of securities available-for-sale		0			(171	)		0			0			0			0			0
Mortgage brokerage fee income		(13	)		32			35			17			7			85			71
Other income		363			397			298			266			343			251			297
Total non-interest income		541			428			512			448			519			515			548
Non-interest Expense:
Salaries and related benefits		2,150			1,996			1,996			1,878			1,796			1,750			1,645
Net Occupancy and equipment expense		496			467			448			435			399			437			349
Professional service fees		181			149			150			204			72			199			173
Other expenses		659			687			716			721			579			709			720
Total non-interest expense		3,486			3,299			3,310			3,238			2,846			3,095			2,887
Income before income taxes		2,473			2,587			2,733			2,612			3,062			2,457			2,345
Provision for income taxes		858			915			1,044			1,020			1,191			897			874
Net Income	$	1,615		$	1,672		$	1,689		$	1,592		$	1,871		$	1,560		$	1,471

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BANK OF COMMERCE HOLDINGS & SUBSIDIARIES
Quarterly Financial Condition Data
(Unaudited)
For the Quarter Ended

Key Financial Information	Dec. 31,			Sept 30,			June 30,			March 31,			Dec. 31,			Sept. 30,			June 30,
(Unaudited)	2006			2006			2006			2006			2005			2005			2005
Net earnings per share — basic	$	0.18		$	0.19		$	0.19		$	0.18		$	0.23		$	0.18		$	0.17
Net earnings per share — diluted	$	0.17		$	0.19		$	0.19		$	0.18		$	0.21		$	0.17		$	0.16
Dividends per share	$	0.09		$	0.07		$	0.07		$	0.07		$	0.08		$	0.06		$	0.06
Net Interest Margin		4.04	%		4.33	%		4.47	%		4.47	%		4.59	%		4.56	%		4.66	%
Average Total Equity	$	42,399		$	38,211		$	41,629		$	41,951		$	49,812		$	45,151		$	41,101
Return on Average Equity		15.24	%		15.11	%		16.23	%		15.18	%		18.80	%		17.75	%		16.30	%
Average Assets	$	570,491		$	542,328		$	540,924		$	512,679		$	494,671		$	477,709		$	457,036
Return on Average Assets		1.13	%		1.17	%		1.25	%		1.24	%		1.51	%		1.31	%		1.29	%
Efficiency Ratio		58.50	%		54.69	%		53.51	%		56.69	%		48.12	%		54.88	%		53.37	%
Total Assets	$	583,442		$	585,218		$	564,147		$	522,741		$	511,644		$	488,008		$	468,215
Loans, net of allowances	$	408,990		$	403,657		$	401,185		$	374,983		$	363,305		$	342,004		$	340,230
Deposits	$	439,407		$	429,193		$	388,685		$	378,105		$	372,116		$	372,991		$	369,137
Stockholders’ Equity	$	43,916		$	43,948		$	40,954		$	40,345		$	39,138		$	38,437		$	37,422
Total shares outstanding		8,847			8,927			8,730			8,718			8,658			8,655			8,618
Book Value per share	$	4.96		$	4.93		$	4.70		$	4.63		$	4.52		$	4.45		$	4.34
Loan to deposit ratio		93.08	%		94.05	%		103.22	%		99.18	%		97.63	%		91.69	%		92.17	%
Non-performing assets to total assets		0.00	%		0.00	%		0.00	%		0.02	%		0.08	%		0.31	%		0.73	%
Non-performing loans to total loans		0.00	%		0.00	%		0.00	%		0.03	%		0.11	%		0.44	%		1.00	%
Allowance for loans losses to total loans		1.18	%		1.16	%		1.11	%		1.13	%		1.17	%		1.23	%		1.20	%
Leverage capital		9.38	%		9.99	%		9.62	%		10.05	%		10.19	%		10.05	%		9.25	%
Tier 1 risk based capital		11.52	%		11.64	%		11.36	%		12.00	%		12.05	%		12.36	%		11.15	%
Total risk based capital		12.64	%		12.73	%		12.41	%		13.09	%		13.09	%		13.43	%		12.23	%

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