Exhibit 99.1
Temecula Valley Bancorp Announces
101% Increase in Year To Date Earnings
TEMECULA, Calif.--(BUSINESS WIRE)--July 17, 2003--Temecula Valley
Bancorp (OTCBB:TMCV) announced second quarter earnings of $1,848,680
for the quarter ending June 30, 2003. For the six months ended June
30, net income increased 101% over the same period last year. Earnings
for the first half of 2003 were $3,343,959 compared to $1,663,028 for
the first six months of 2002.
"We are pleased with the outstanding operating results for the
first half of 2003," said Stephen H. Wacknitz, President/CEO. "As we
continue our commitment of expanding business products and services,
combined with delivering exceptional customer service, we look forward
to continuing our momentum for a record second half of 2003."
As of June 30, 2003, total assets grew over 51% to $387,839,000
compared to $256,800,000 at June 30, 2002. Total loans outstanding
increased 56% to $322,347,000 compared to $206,194,000 at the same
period last year and deposits climbed 60% to $352,357,000 up from
$220,416,000 at the end of the second quarter of 2002. At June 30,
2003, shareholder equity was $24,292,000, a 44% increase from
$16,877,000, at the second quarter of 2002, resulting in a Tier 1
leverage capital ratio of 8.33%. For the second quarter the return on
average assets was 2.00% and the return on average equity was 32.67%.
For the six-month period, the return on average assets was 1.90% and
the return on average equity was 31.06%.
Temecula Valley Bank was established in 1996 and operates full
service offices in Temecula, Murrieta, Fallbrook, Escondido and El
Cajon. Temecula Valley Bancorp was established in June 2002 and
operates as a one-bank holding company for Temecula Valley Bank. As a
Preferred Lender (PLP) since 1998, the locally owned and operated bank
also has SBA loan production offices in Sherman Oaks, CA, Fresno CA,
Chico, CA, Anaheim Hills, CA, Bellevue, WA, Raleigh, NC, Greenville,
SC, Knoxville, TN, Tampa/St. Petersburg FL, Coral Springs, FL,
Jacksonville, FL, Atlanta, GA, and Bethesda, MD. The Bancorp's common
stock is traded over the counter with the stock symbol TMCV.OB and the
banks' Internet website can be reached at www.temvalbank.com.
Statements concerning future performance, developments or events
concerning expectations for growth and market 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, the effect of interest rate changes, the
ability to control costs and expenses, the impact of consolidation in
the banking industry, 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 its Securities and Exchange Commission filings.
TEMECULA VALLEY BANCORP INC.
FINANCIAL DATA
JUNE 2003
JUNE 30 JUNE 30 INCREASE /(DECREASE)
-------------------------- ------------------------
2003 2002 AMOUNT PERCENT
-------------------------- ------------------------
Total Assets $387,839,000 $256,800,000 $131,039,000 51%
Total Loans $322,347,000 $206,194,000 $116,153,000 56%
Total Deposits $352,357,000 $220,416,000 $131,941,000 60%
Shareholder Equity $24,292,000 $16,877,000 $7,415,000 44%
Tier One Capital
Ratio 8.33% 9.08%
Annualized Net Loan
Charge-offs 0.21% 0.40%
(Recovieries) as a
percent of Average
Loans
Non-performing
loans 3,543,000 1,645,000
SBA/SBDC Guaranteed
portion (3,059,000) (1,445,000)
--------------------------
Net non-
performing
loans 484,000 200,000
==========================
Other real estate
owned 1,336,036 0
==========================
THREE MONTHS ENDED SIX MONTHS ENDED
JUNE 30 JUNE 30
-------------------------- ------------------------
2003 2002 2003 2002
-------------------------- ------------------------
Income before
Income Taxes $3,121,936 $1,740,209 $5,658,931 $2,793,443
Provision for
Income Taxes $1,273,256 $706,730 $2,314,972 $1,130,415
-------------------------- ------------------------
Net Income (Loss) $1,848,680 $1,033,479 $3,343,959 $1,663,028
Per Share - Basic $0.48 $0.28 $0.88 $0.45
Per Share - Diluted $0.42 $0.24 $0.77 $0.39
Annualized Return
on Average Assets 2.00% 1.81% 1.90% 1.58%
Annualized Return
on Average Equity 32.67% 26.47% 31.06% 21.00%
Shares Outstanding 3,963,315 3,684,433 3,963,315 3,684,433
Average Shares
Outstanding 3,829,155 3,570,719 3,794,195 3,668,142
Average Shares &
Equivalents 4,386,927 4,287,504 4,336,436 4,243,469
CONTACT: Temecula Valley Bancorp Inc., Temecula
Stephen H. Wacknitz, 909-694-9940