West Coast Bancorp 8-K Results of Operations and Financial Condition

Exhibit 99.1

For more information, contact:

Robert D. Sznewajs

President & CEO

(503) 598-3243

Anders Giltvedt

Executive Vice President & CFO

(503) 598-3250

WEST COAST BANCORP REPORTS FULL-YEAR NET INCOME OF $17 MILLION

• FOURTH QUARTER EARNINGS WERE REDUCED BY A PRE-TAX PROVISION FOR CREDIT LOSSES OF $30.0 MILLION, OF WHICH $27.8 MILLION PRE-TAX WAS ASSOCIATED WITH THE TWO-STEP RESIDENTIAL CONSTRUCTION LOAN PORTFOLIO.

• FULL-YEAR 2007 DILUTED EARNINGS PER SHARE OF $1.04 DECLINED FROM $1.86 IN 2006 DUE TO THE FOURTH QUARTER 2007 PROVISION FOR CREDIT LOSSES.

• COMPARED TO FOURTH QUARTER 2006, THE COMPANY GENERATED A STRONG INCREASE IN TOTAL FEE INCOME WHILE TOTAL NON-INTEREST EXPENSE WAS NEARLY FLAT.

Lake Oswego, OR – January 15, 2008 – West Coast Bancorp (NASDAQ: WCBO) today announced a quarterly loss of $7.6 million or ($.49) per diluted share for the fourth quarter of 2007, compared to fourth quarter 2006 earnings of $7.7 million or $.48 per diluted share. The Company also reported net income of $16.7 million or $1.04per diluted share for the full year 2007, compared to $29.3 million or $1.86 per diluted share for 2006.

	Three months ended December 31,
(Dollars in millions, except per share data)	2007			2006			% Change
Diluted Earnings Per Share		($0.49	)	$	0.48
Return On Average Equity		(13.8	%)		15.5	%
Return On Average Equity, Tangible*		(14.6	%)		17.0	%
Total Period End Loans	$	2,173		$	1,948		12	%
Total Period End Deposits	$	2,095		$	2,006		4	%

*Return on Average Equity, Tangible is a non-GAAP measure that we define and calculate as net income excluding intangible asset amortization, net of tax, divided by average equity less average intangible assets. See financial tables for a reconciliation to the GAAP measure.

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"The loan portfolio, excluding the two-step loans, continues to perform within our expectations,” said Robert D. Sznewajs, President and Chief Executive Officer. “We remain committed to growing our core businesses consistent with our previously outlined strategy. The combination of our strong payments system products, delivery branch system and very talented people continues to give us a competitive advantage in the market place.”

Financial Results:

As previously announced, the Company recorded a fourth quarter 2007 total provision for credit losses of $30.0 million including $27.8 million related to the two-step portfolio and $2.2 million related to all other loans. In fourth quarter 2006, the Company recorded a total provision of $1.2 million, of which $.7 million was associated with the two-step portfolio. Total net charge-offs in the fourth quarter were 0.65% annualized of average loans outstanding or $3.6 million, of which $1.9 million related to the two-step portfolio. In the same period of 2006, $.6 million in total net charge-offs were recorded, none of which related to two-step loans.

At year end 2007, the total allowance for credit losses was $54.9 million, or 2.53% of total loans, including $31.1 million associated with the two-step loan portfolio and $23.8 million related to the remainder of the loan portfolio. The allowance for credit losses related to the two-step portfolio was 11.81% of total outstanding two-step loans. At December 31, 2007, the allowance for credit losses associated with loans other than two-step loans was 1.25% of such outstanding loan balances. At year-end 2006, the total allowance for credit losses was $23.0 million, or 1.18% of total loans.

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Total non-performing assets were $29.7 million or 1.12% of total assets at December 31, 2007. The non-performing assets related to the two-step loans was $23.8 million or .90% of total assets at December 31, 2007, as compared to $0.6 million or 0.02% of total assets at year-end 2006. At year-end 2007, there were $5.9 million of non-performing loans outside the two-step portfolio or .22% of total assets, as compared to $0.9 million or .04% of total assets at year-end 2006. Total non-performing assets were $1.5 million or .06% of total assets on December 31, 2006. For more information on non-performing loans and assets, see tables 3 through 9.

In the fourth quarter of 2007, total net interest income increased $2.6 million or 10% from the same quarter last year primarily due to the 12% loan growth from the fourth quarter 2006. The fourth quarter net interest margin remained relatively unchanged from the same quarter in 2006, but compressed 14 basis points from the third quarter of this year. The compression in the margin for the fourth quarter was mainly the result of a lag in the decrease in deposit and borrowing rates relative to the decline in loan yields along with interest reversals on loans that fell into non-accrual status during the most recent quarter.

Total fourth quarter non-interest income rose $1.1 million or 15% from the same quarter in 2006 despite a $.4 million or 46% decline in gain of sales of loans resulting from slower residential mortgage market activity. Compared to fourth quarter 2006, payment system revenues increased $.5 million or 26% with strong growth in number of card related and merchant services processing revenues. Total deposit service charge revenues grew 31% or $.9 million over the same period primarily reflecting the approximately 10% year-over-year growth in consumer and business transaction accounts, lower earnings credits and higher transaction volumes.

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Compared to the fourth quarter 2006, total non-interest expense increased a modest $.1 million or 1% in the final quarter of 2007. Personnel expense declined 5% from the fourth quarter in 2006, primarily caused by lower performance-related pay. New and relocated branches over the past 12 months and system upgrades were the primary drivers of the 27% and 17% growth in equipment and occupancy expense, respectively, from the same quarter in 2006. Consistent with the past few quarters, the 30% or $.2 million increase in year-over-year fourth-quarter payment system expense was largely due to significantly higher transaction volumes across our payment systems product offerings.

Other:

The Company will hold a Webcast conference call Wednesday, January 16, 2008, at 8:30 a.m. Pacific Time, during which the Company will discuss results for fourth quarter and year end 2007, as well as management's expectations for 2008. The Company will review and respond to questions regarding the provision associated with the two-step portfolio.

To access the conference call via a live Webcast, go to www.wcb.com and click on Investor Relations and the “4th Quarter 2007 Earnings Conference Call” tab. The conference call may also be accessed by dialing 877-604-2074, conference ID#: 26072584 a few minutes prior to 8:30 a.m. PDT. The call will be available for replay by accessing the Company’s website at www.wcb.com and following the same instructions.

West Coast Bancorp, one of Oregon Business Magazine’s 100 Best Companies to Work For, is a Northwest bank holding company with $2.6 billion in assets, and 63 offices in Oregon and Washington. The Company combines the sophisticated products

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and expertise of larger banks with the local decision making, market knowledge and customer service of a community bank. For more information, visit the Company’s web site at www.wcb.com.

Forward Looking Statements:

Statements in this release regarding future events, performance or results are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA") and are made pursuant to the safe harbors of the PSLRA. Actual results could be quite different from those expressed or implied by the forward-looking statements. Do not unduly rely on forward-looking statements. They give our expectations about the future and are not guarantees. Forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update them to reflect changes that occur after that date.

A number of factors could cause results to differ significantly from our expectations, including, among others, factors identified in our Annual Report on Form 10-K for the year ended December 31, 2006, including under the heading "Forward Looking Statement Disclosure" and in Item 1A. Risk Factors as updated the Company’s Quarterly Report in Form 10-Q for the period ended September 20, 2007.

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	West Coast Bancorp
	Consolidated Statements of Income (Loss)
(Unaudited)	Three months ended								Twelve months ended
(Dollars and shares in thousands)	December 31,					September 30,			December 31,
		2007			2006		2007			2007			2006
Net interest income
Interest and fees on loans	$	43,254		$	38,137	$	44,517		$	170,319		$	136,193
Interest on investment securities		3,178			3,815		3,129			13,446			13,737
Other interest income		235			349		96			564			868
Total interest income		46,667			42,301		47,742			184,329			150,798
Interest expense on deposit accounts		14,020			13,486		14,504			55,036			40,927
Interest on borrowings and subordinated debentures		3,233			1,975		3,401			13,434			8,999
Total interest expense		17,253			15,461		17,905			68,470			49,926
Net interest income		29,414			26,840		29,837			115,859			100,872
Provision for credit losses		29,956			1,200		2,700			38,956			2,733
Non-interest income
Service charges on deposit accounts		3,698			2,833		3,213			12,932			11,096
Payment systems related revenue		2,197			1,738		2,122			8,009			6,738
Trust and investment services revenues		1,587			1,484		1,662			6,390			5,480
Gains on sales of loans		443			821		650			3,364			2,962
Other		690			631		661			2,870			2,506
Losses on sales of securities		—			—		(163	)		(67	)		(686	)
Total non-interest income		8,615			7,507		8,145			33,498			28,096
Non-interest expense
Salaries and employee benefits		11,418			12,017		13,312			49,787			47,240
Equipment		1,852			1,455		1,593			6,544			5,477
Occupancy		2,242			1,921		2,099			8,548			7,048
Payment systems related expense		810			625		843			3,143			2,378
Professional fees		621			646		485			2,072			2,484
Postage, printing and office supplies		1,079			919		973			3,896			3,558
Marketing		1,233			1,260		1,298			4,524			4,967
Communications		421			388		415			1,624			1,370
Other non-interest expense		1,854			2,149		1,584			6,531			7,143
Total non-interest expense		21,530			21,380		22,602			86,669			81,665
Income (loss) before income taxes		(13,457	)		11,767		12,680			23,732			44,570
Provision (benefit) for income taxes		(5,828	)		4,068		4,350			7,032			15,310
Net (loss) income	$	(7,629	)	$	7,699	$	8,330		$	16,700		$	29,260
Basic (loss) earnings per share	$	(0.49	)	$	0.50	$	0.54		$	1.08		$	1.95
Diluted (loss) earnings per share	$	(0.49	)	$	0.48	$	0.52		$	1.04		$	1.86
Weighted average common shares		15,445			15,432		15,536			15,507			15,038
Weighted average diluted shares		15,445			16,130		16,035			16,045			15,730
Tax equivalent net interest income	$	29,871		$	27,246	$	30,225		$	117,500		$	102,432

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	West Coast Bancorp
	Consolidated Balance Sheets
	December 31,			December 31,			September 30,
(Dollars and shares in thousands, unaudited)	2007			2006			2007
Assets:
Cash and cash equivalents	$	113,802		$	93,800		$	101,372
Investments		269,425			328,652			271,409
Total loans		2,172,669			1,947,690			2,183,301
Allowance for loan losses		(46,917	)		(23,017	)		(27,534	)
Loans, net		2,125,752			1,924,673			2,155,767
Goodwill and other intangibles		14,491			15,032			14,611
Other assets		123,232			103,215			104,452
Total assets	$	2,646,702		$	2,465,372		$	2,647,611
Liabilities and Stockholders’ Equity:
Demand	$	501,506		$	496,676		$	500,120
Savings and interest-bearing demand		364,971			343,689			347,560
Money market		678,090			642,507			666,352
Certificates of deposits		550,265			523,480			597,421
Total deposits		2,094,832			2,006,352			2,111,453
Borrowings and subordinated debentures		301,100			229,409			285,141
Reserve for unfunded commitments		7,986			—			972
Other liabilities		34,685			28,729			32,134
Total liabilities		2,438,603			2,264,490			2,429,700
Stockholders’ equity		208,099			200,882			217,911
Total liabilities and stockholders’ equity	$	2,646,702		$	2,465,372		$	2,647,611
Common shares outstanding period end		15,593			15,586			15,604
Book value per common share	$	13.35		$	12.89		$	13.97
Tangible book value per common share	$	12.42		$	11.92		$	13.03

	West Coast Bancorp
	Period End Loan Portfolio By Category
	December 31,		December 31,		Change					Sept. 30
(Dollars in thousands, unaudited)	2007		2006		Amount			%		2007
Commercial loans	$	504,101	$	463,188	$	40,913		9	%	$	530,196
Real estate construction loans 1		517,988		365,954		152,034		42	%		519,870
Real estate mortgage loans		330,803		287,495		43,308		15	%		305,675
Commercial real estate loans		796,622		804,865		(8,243	)	(1	%)		804,200
Installment and other consumer loans		23,155		26,188		(3,033	)	(12	%)		23,360
Total loans	$	2,172,669	$	1,947,690	$	224,979		12	%	$	2,183,301
1 Two-step residential construction loan
balances within this category are:		262,952		171,692		91,260		53	%		274,747
Non two-step residential construction loans		1,909,717		1,775,998		133,719		8	%		1,908,554
Total loans	$	2,172,669	$	1,947,690	$	224,979		12	%	$	2,183,301

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The following table reconciles return on average equity to return on average equity tangible.

	West Coast Bancorp
	Return on average equity tangible reconciliation1
(Dollars in thousands)	For the three months ended Dec. 31,						For the twelve months ended Dec. 31,
	2007			2006			2007			2006
Net income	$	(7,629	)	$	7,699		$	16,700		$	29,260
Less: intangible asset amortization, net of tax*		77			98			351			283
Net income, tangible	$	(7,552	)	$	7,797		$	17,051		$	29,543
Average shareholders’ equity	$	219,890		$	196,619		$	212,349		$	177,648
Less: average intangibles		(14,549	)		(15,104	)		(14,740	)		(8,039	)
Average shareholders’ equity, tangible	$	205,341		$	181,515		$	197,609		$	169,609
*Federal income tax provision applied at 35%.
Return on average equity		(13.8	%)		15.5	%		7.9	%		16.5	%
Return on average equity, tangible		(14.6	%)		17.0	%		8.6	%		17.4	%

¹ Management uses return on equity, tangible internally and has disclosed it to investors based on its belief that the figure makes it easier to compare the Company’s performance to other financial institutions that do not have merger-related intangible assets and is commonly used in the industry. Ratios have been annualized where appropriate.

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		West Coast Bancorp
		Financial Information
		Fourth			Fourth			Third
(Dollars in thousands except for per share data, unaudited)		Quarter			Quarter			Quarter			Year to date			Year to date
(all rates have been annualized where appropriate)		2007			2006			2007			2007			2006
PERFORMANCE RATIOS
- Return on average assets		(1.16	%)		1.29	%		1.29	%		0.66	%		1.33	%
- Return on average common equity		(13.76	%)		15.54	%		15.33	%		7.86	%		16.47	%
- Return on average tangible equity		(14.59	%)		17.04	%		16.60	%		8.62	%		17.42	%
- Non-interest income to average assets		1.31	%		1.26	%		1.26	%		1.32	%		1.28	%
- Non-interest expense to average assets		3.27	%		3.58	%		3.49	%		3.42	%		3.72	%
- Efficiency ratio, tax equivalent		55.9	%		61.5	%		58.7	%		57.4	%		62.2	%
NET INTEREST MARGIN
- Yield on interest-earning assets		7.57	%		7.59	%		7.87	%		7.77	%		7.37	%
- Rate on interest-bearing liabilities		3.66	%		3.71	%		3.86	%		3.76	%		3.27	%
- Net interest spread		3.91	%		3.88	%		4.01	%		4.01	%		4.10	%
- Net interest margin		4.80	%		4.84	%		4.94	%		4.91	%		4.96	%
AVERAGE ASSETS
- Investment securities	$	273,328		$	321,942		$	267,681		$	284,582		$	298,758
- Commercial loans	$	504,330		$	442,512		$	516,634		$	497,975		$	418,955
- Real estate construction loans		525,110			328,625			507,613			477,055			274,856
- Real estate mortgage loans		314,497			279,526			300,114			296,859			265,217
- Commercial real estate loans		804,585			802,230			798,940			798,383			759,023
- Installment and other consumer loans		23,320			27,066			23,799			24,705			27,726
- Total loans	$	2,171,842		$	1,879,959		$	2,147,100		$	2,094,977		$	1,745,777
- Total interest earning assets	$	2,468,863		$	2,233,725		$	2,426,360		$	2,394,958		$	2,066,217
- Other assets		140,963			138,218			143,180			142,760			127,412
- Total assets	$	2,609,826		$	2,371,943		$	2,569,540		$	2,537,718		$	2,193,629
AVERAGE LIABILITIES & EQUITY
- Demand deposits	$	492,636		$	496,870		$	490,336		$	479,310		$	466,282
- Savings and Interest bearing demand		367,359			343,921			341,496			351,521			339,082
- Money market		676,908			640,306			680,027			665,037			558,735
- Certificates of deposits		573,967			534,000			565,550			554,263			457,077
- Total deposits	$	2,110,870		$	2,015,097		$	2,077,409		$	2,050,131		$	1,821,176
- Borrowings and subordinated debentures	$	251,868		$	137,326		$	252,314		$	250,481		$	170,790
- Total interest bearing liabilities	$	1,797,355		$	1,655,553		$	1,839,387		$	1,748,515		$	1,525,683
- Other liabilities		592,581			519,771			514,603			576,854			490,298
- Total liabilities	$	2,389,936		$	2,175,324		$	2,353,990		$	2,325,369		$	2,015,981
- Average common equity		219,890			196,619			215,550			212,349			177,648
- Total average liabilities and common equity	$	2,609,826		$	2,371,943		$	2,569,540		$	2,537,718		$	2,193,629
AVERAGE ASSET/LIABILITY RATIOS
- Average stockholders’ equity to average assets		8.43	%		8.29	%		8.39	%		8.37	%		8.10	%
- Average int. earning assets to int. bearing liabilities		137.4	%		134.9	%		131.9	%		137.0	%		135.4	%
- Average loans to average assets		83.2	%		79.3	%		83.6	%		82.6	%		79.6	%
- Interest bearing deposits to assets		59.2	%		64.0	%		61.8	%		59.0	%		61.8	%

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The following table presents information with respect to the change in the Company’s total allowance for credit losses.

	West Coast Bancorp
	Total Loan Portfolio
	Allowance For Credit Losses and Net Charge-offs
	Quarter ended				Quarter ended				Quarter ended
	December 31,				December 31,				September 30,
(Dollars in thousands, unaudited)	2007				2006				2007
Allowance for credit losses, beginning of period		$	28,506			$	22,404			$	26,496
Provision for credit losses			29,956				1,200				2,700
Charge-offs			3,636				774				990
Recoveries			77				187				300
Net charge-offs			3,559				587				690
Total allowance for credit losses		$	54,903			$	23,017			$	28,506
Components of allowance for credit losses
Allowance for loan losses		$	46,917			$	23,017			$	27,534
Reserve for unfunded commitments			7,986				—				972
Total allowance for credit losses		$	54,903			$	23,017			$	28,506
Net loan charge-offs to average loans (annualized)			0.65	%			0.12	%			0.13	%
	Year to date				Year to date
	December 31,				December 31,
(Dollars in thousands, unaudited)	2007				2006
Allowance for credit losses, beginning of period		$	23,017			$	20,469
Provision for credit losses			38,956				2,733
Charge-offs			7,713				1,921
Recoveries			643				849
Net Charge-offs			7,070				1,072
Allowance for loan losses, from acquisition			—				887
Total allowance for loan losses		$	54,903			$	23,017
Components of allowance for credit losses
Allowance for loan losses		$	46,917			$	23,017
Reserve for unfunded commitments			7,986				—
Total allowance for credit losses		$	54,903			$	23,017
Net loan charge-offs to average loans			0.34	%			0.06	%

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The following table presents information about the Company’s total non-performing assets and delinquent loans.

	West Coast Bancorp
	Total Loan Portfolio
	Non-performing Assets and Delinquencies
	December 31,				December 31,				September 30,
(Dollars in thousands, unaudited)	2007				2006				2007
Non-accruing loans		$	26,427			$	1,468			$	7,867
90 day past and accruing interest			—				—				—
Total non-performing loans			26,427				1,468				7,867
Other real estate owned			3,255				—				1,183
Total non-performing assets		$	29,682			$	1,468			$	9,050
Delinquent loans 30-89 days pastdue, not in nonaccrual status		$	44,484			$	9,922			$	14,827
Allowance for loan losses to total loans			2.16	%			1.18	%			1.26	%
Allowance for credit losses to total loans			2.53	%			1.18	%			1.31	%
Non-performing loans to total loans			1.22	%			0.08	%			0.36	%
Delinquent loans to total loans			2.05	%			0.51	%			0.68	%
Allowance for loan losses to non-performing loans			178	%			1568	%			350	%
Non-performing assets to total assets			1.12	%			0.06	%			0.34	%
Allowance for loan losses to non-performing assets			158	%			1568	%			304	%

The following table presents information about the Company’s activity in other real estate owned.

	West Coast Bancorp
	Other real estate owned (“OREO”) activity
	December 31,			December 31,		September 30,
(Dollars in thousands, unaudited)	2007			2006		2007
Beginning balance	$	—		$	—	$	—
Additions to other real estate owned		3,793			—		1,721
Disposition of other real estate owned		(538	)		—		(538	)
Ending other real estate owned balance	$	3,255		$	—	$	1,183

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The following table presents information with respect to the change in the Company’s allowance for credit losses in the two-step residential construction loan portfolio.

	West Coast Bancorp
	Two-Step Loan Portfolio
	Allowance For Credit Losses and Net Charge-offs Two-Step Portfolio
	Quarter ended			Quarter ended			Quarter ended
	December 31,			December 31,			September 30,
(Dollars in thousands, unaudited)	2007			2006			2007
Allowance for credit losses, beginning of period	$	5,196		$	1,940		$	3,971
Provision for credit losses		27,736			678			1,891
Charge-offs		1,867			—			666
Recoveries		—			—			—
Net charge-offs		1,867			—			666
Total allowance for credit losses	$	31,065		$	2,618		$	5,196
Components of allowance for credit losses
Allowance for loan losses	$	23,917		$	2,618		$	5,025
Reserve for unfunded commitments		7,148			—			171
Total allowance for credit losses	$	31,065		$	2,618		$	5,196
Net loan charge-offs to average loans (annualized)		0.34	%		0.00	%		0.12	%

	Year to date				Year to date
	December 31,				December 31,
(Dollars in thousands, unaudited)			2007			2006
Allowance for credit losses, beginning of period		$	2,618		$	1,166
Provision for credit losses			30,980			1,452
Charge-offs			2,540			—
Recoveries			7			—
Net Charge-offs			2,533			—
Total allowance for credit losses		$	31,065		$	2,618
Components of allowance for credit losses
Allowance for loan losses		$	23,917		$	2,618
Reserve for unfunded commitments			7,148			—
Total allowance for credit losses		$	31,065		$	2,618
Net loan charge-offs to average loans			0.12	%		0.00	%

WEST COAST BANCORP REPORTS FOURTH QUARTER 2007 EARNINGS

January 15, 2008

Page 13 of 15

The following table presents information about the Company’s allowance for credit losses, nonperforming assets and delinquencies in the two-step residential construction loan portfolio.

	West Coast Bancorp
	Two-step Residential Construction Loans
	Non-performing Assets and Delinquencies
	December 31,			December 31,			September 30,
(Dollars in thousands, unaudited)	2007			2006			2007
Non-accruing two-step loans	$	20,545		$	567		$	6,695
90 day past and accruing interest		—			—			—
Total non-performing two-step loans		20,545			567			6,695
Other real estate owned two-step		3,255			—			1,183
Total non-performing two-step assets	$	23,800		$	567		$	7,878
Delinquent two-step loans 30-89 days past due	$	36,778		$	2,969		$	9,878
Allowance for two-step loan losses to total two-step loans		9.10	%		1.52	%		1.83	%
Allowance for two-step credit losses to total two-step loans		11.81	%		1.52	%		1.89	%
Non-performing two-step loans to total two-step loans		7.81	%		0.33	%		2.44	%
Delinquent two-step loans to total two-step loans		13.99	%		1.73	%		3.60	%
Allowance for two-step loan losses to non-performing two-step loans		116	%		462	%		75	%
Non-performing two-step assets to total assets		0.90	%		0.02	%		0.30	%
Allowance for two-step loan losses to non-performing two-step assets		100	%		462	%		64	%

WEST COAST BANCORP REPORTS FOURTH QUARTER 2007 EARNINGS

January 15, 2008

Page 14 of 15

The following table presents information with respect to the change in the Company’s allowance for credit losses for the non two-step residential construction loan portfolio.

	West Coast Bancorp
	Non Two-step Residential Construction Loans
	Allowance For Credit Losses and Net Charge-offs non two-step loans
	Quarter ended				Quarter ended				Quarter ended
	December 31,				December 31,				September 30,
(Dollars in thousands, unaudited)	2007				2006				2007
Allowance for credit losses, beginning of period		$	23,310			$	20,464			$	22,525
Provision for credit losses			2,220				522				809
Charge-offs			1,769				774				324
Recoveries			77				187				300
Net charge-offs			1,692				587				24
Total allowance for credit losses		$	23,838			$	20,399			$	23,310
Components of allowance for credit losses
Allowance for loan losses		$	23,000			$	20,399			$	22,509
Reserve for unfunded commitments			838				—				801
Total allowance for credit losses		$	23,838			$	20,399			$	23,310
Net loan charge-offs to average loans (annualized)			0.31	%			0.12	%			0.00	%
	Year to date				Year to date
	December 31,				December 31,
(Dollars in thousands, unaudited)			2007				2006
Allowance for credit losses, beginning of period		$	20,399			$	19,303
Provision for credit losses			7,976				1,281
Charge-offs			5,173				1,921
Recoveries			636				849
Net Charge-offs			4,537				1,072
Allowance for loan losses, from acquisition			—				887
Total allowance for credit losses		$	23,838			$	20,399
Components of allowance for credit losses
Allowance for loan losses		$	23,000			$	20,399
Reserve for unfunded commitments			838				—
Total allowance for credit losses		$	23,838			$	20,399
Net loan charge-offs to average loans			0.22	%			0.06	%

WEST COAST BANCORP REPORTS FOURTH QUARTER 2007 EARNINGS

January 15, 2008

Page 15 of 15

The following table presents information about the Company’s allowance for credit losses, nonperforming assets and delinquencies in the non two-step residential construction loan portfolio.

	West Coast Bancorp
	Non Two-step Residential Construction Loans
	Non-performing Assets and Delinquencies
	December 31,			December 31,			September
(Dollars in thousands, unaudited)	2007			2006			2007
Non-accruing non two-step loans	$	5,882		$	901		$	1,172
90 day past and accruing interest		—			—			—
Total non-performing non-step loans		5,882			901			1,172
Other real estate owned non two-step		—			—			—
Total non-performing non two-step assets	$	5,882		$	901		$	1,172
Delinquent non two-step loans 30-89 days past due	$	7,706		$	6,953		$	4,949
Allowance for non two-step loan losses to total non two-step loans		1.20	%		1.15	%		1.18	%
Allowance for non two-step credit losses to total non two-step loans		1.25	%		1.15	%		1.22	%
Non-performing non two-step loans to total non two-step loans		0.31	%		0.05	%		0.06	%
Delinquent non two-step loans to total non two-step loans		0.40	%		0.39	%		0.26	%
Allowance for non two-step loan losses to non-performing non two-step loans		391	%		2264	%		1921	%
Non-performing non two-step assets to total assets		0.22	%		0.04	%		0.04	%
Allowance for non two-step loan losses to non-performing non two-step assets		391	%		2264	%		1921	%