FOR IMMEDIATE RELEASE




SARATOGA BANCORP ANNOUNCES DIVIDEND PAYMENT


     The Board of Directors of Saratoga Bancorp(OTC BB:SRTB), holding company 
for Saratoga National Bank, declared a 3-for-2 stock split for shareholders 
of record on April 15, 1998.  The decision to declare the 3-for-2 stock split 
reflects the continued growth and strong financial performance of Saratoga
National Bank.

     Richard Mount, Chairman of Saratoga Bancorp, noted that "the stock split
will provide improved market liquidity and make the stock more accessible to a
larger spectrum of investors".

     As a result of the 3-for-2 stock split, shareholders of record at the 
close of business on April 15, 1998 will receive an additional share of 
Saratoga Bancorp common stock on May 1, 1998 for each two shares owned.  The
Company currently has approximately 1,095,275 shares outstanding.

     Saratoga National Bank serves clients throughout Santa Clara County. 
The bank has offices located in Saratoga, San Jose and Los Gatos with a strong
emphasis on relationship banking.  Saratoga National recently celebrated 15
years of operation. 


                                        Richard L. Mount
                                        12000 Saratoga-Sunnyvale Rd.
                                        Saratoga, CA 95070
                                        (408) 973-1111

April 8, 1998                                           Unaudited