CHARLOTTE, N.C., July 15 /PRNewswire-FirstCall/ -- Bank of Commerce (OTC Bulletin Board: BONC) posted net income of $94,000 for the quarter ending June 30, 2008, compared to a loss of $192,000 for the same period last year. Total assets have grown from $98.6 million last quarter to $107.4 million as of June 30, 2008. Gross loans have increased to $84.0 million and deposits to $72.7 million as of June 30, 2008.

"The current economic conditions have been difficult for most industries, particularly the financial industry. As of quarter-end we did not have any past due, non-accrual or charged-off loans," said Wes Sturges, President & CEO. "I am very pleased with the commitment of our customers and the vigilance of our staff in servicing our loans."

The Bank's net income for the six months ended June 30, 2008 was $186,000, compared to a loss of $446,000 for the same period last year. The Bank which opened on February 7, 2006 has had three consecutive quarters of profitability.

Bank of Commerce serves the needs of independently owned businesses in the Charlotte, N.C. area. From a midtown Charlotte office at 100 Queens Road, we offer guidance to clients from experienced loan officers, in addition to start-up financing and other banking products, services and information. Online banking, courier service and extended deposit hours are additional hallmarks of the Bank of Commerce. The Bank's common stock is quoted in the over-the-counter market through the OTC Bulletin Board under the symbol "BONC.OB." For additional information, contact Bank of Commerce Headquarters, 100 Queens Road, Charlotte, N.C. (telephone 704-971-7000) or visit www.BankofCommerceNC.com.

This release contains certain forward-looking statements with respect to the financial condition, results of operations and business of Bank of Commerce. These forward-looking statements involve risks and uncertainties and are based on the beliefs and assumptions of management of the Bank and on the information available to management at the time that these disclosures were prepared. These statements can be identified by the use of words like "expect," "anticipate," "estimate" and "believe," variations of these words and other similar expressions. Readers should not place undue reliance on forward-looking statements as a number of important factors could cause actual results to differ materially from those in the forward-looking statements. The Bank does not undertake an obligation to update any forward-looking statements.





    Bank of Commerce
    2008 Second Quarter Report

    Balance Sheets
    In Thousands
                                 June 30,  December 31,
                                   2008        2007
    Assets                     (unaudited)  (audited)

    Cash                          $2,364      $1,618
    Investment securities         21,326      21,131
    Loans, gross                  83,976      66,126
    Allowance for loan losses     (1,219)       (995)
    Other assets                     904         884
        Total assets            $107,351     $88,764

    Liabilities and
     Shareholders' Equity
    Deposits                     $72,675     $58,030
    Borrowed funds                19,013      14,928
    Other liabilities                264         436
    Shareholders' equity          15,399      15,370
        Total liabilities and
         shareholders' equity   $107,351     $88,764



    Statements of Operations (Unaudited)
    In Thousands
                                For the Quarter Ending  For Six Months Ending
                                 June 30,    June 30,    June 30,   June 30,
                                   2008        2007        2008       2007

    Total interest income         $1,537      $1,229      $3,067     $2,202
    Total interest expense           586         551       1,203        963
    Net interest income              951         678       1,864      1,239
    Provision for loan losses        152         146         224        238
    Net interest income after
     provision for loan losses       799         532       1,640      1,001
    Total other income               114          58         188         81
    Total other expense              819         782       1,642      1,528
      Income (loss) before taxes      94        (192)        186       (446)
    Income taxes                       -           -           -          -
      Net income (loss)              $94       ($192)       $186      ($446)

SOURCE Bank of Commerce