Exhibit 99.3
                           FARMERS & MERCHANTS BANCORP
                      REPORTS RECORD FIRST QUARTER EARNINGS


Kent A. Steinwert, President and Chief Executive Officer of Farmers & Merchants
Bancorp, announced that the Company earned record net income for the first
quarter ending March 31, 2004. The results represented the 25th consecutive
quarter that Farmers & Merchants Bancorp's net income increased over the same
period the prior year.

Farmers & Merchants Bancorp reported record net income of $3,902,000 for the
quarter ending March 31, 2004. Earnings per share of common stock outstanding
for the first quarter were $5.12, up 15.6% from the first quarter of the prior
year. In addition, loans outstanding grew 16.0%, total core deposits, excluding
time deposits, increased 11.3%, and total average assets were $1,132,844,000 up
12.3% over the first quarter of 2003. Return on average assets for the quarter
was 1.38%, and return on average equity was 14.07%, an improvement of 109 basis
points over the first quarter of the prior year. The Company's loan quality has
remained extremely high with non-performing assets as of March 31, 2004 totaling
0.3% of loans. In addition, the Company's loan loss reserve remains strong at
2.20% of loans.

Steinwert further stated, "We are particularly pleased that we have been able to
deliver this significant level of earnings growth despite constant pressures on
industry-wide net interest margins. The Bank's management team continues to
focus on initiatives that provide strong control over operating expenses and
credit quality. Together with our growth in earning assets, these initiatives
have been critical to achieving recent levels of financial performance.
Furthermore, from an asset/liability management perspective, the Bank is well
positioned to benefit from future increases in interest rates should they occur.
Improvement in the Bank's net interest margin as a result of increases in
interest rates should have a positive impact on future quarters' earnings."

Farmers & Merchants Bancorp is the parent of Farmers & Merchants Bank of Central
California, also known as F&M Bank. Founded in 1916, the institution is a full
service community bank and proudly serves California's Great Central Valley
through 18 branch offices conveniently located from Sacramento to Turlock.


FORWARD LOOKING STATEMENTS

Statements concerning future performance, developments or events, expectations
for growth and income forecasts, and any other guidance on future periods,
constitute forward-looking statements that are subject to a number of risks and
uncertainties. Actual results may differ materially from stated expectations.
Specific factors include, but are not limited to, loan production, balance sheet
management, expanded net interest margin, the ability to control costs and
expenses, interest rate changes and financial policies of the United States
government and general economic conditions. Additional information on these and
other factors that could affect financial results are included in Farmers &
Merchants Bancorp's Securities and Exchange Commission filings. The Company
disclaims any obligation to update any such factors or to publicly announce the
results of any revisions to any forward-looking statements contained herein to
reflect future events or developments.