July 21, 2005

Premier Service Bank (OTC BB: PSBK), a California state-chartered bank headquartered in Riverside, California, released the results of its operations for the quarter and six months ended June 30, 2005.

At June 30, 2005, the bank reported total assets of $105.8 million, representing a 25% increase over June 30, 2004. Deposits closed at $96.2 million, representing an increase of 24% over June 30, 2004. The bank's gross loan portfolio (prior to the allowance for loan loss reserves) grew to $59.8 million, representing a 36% increase over June 30, 2004. Unfunded credit commitments increased to $25.3 million at June 30, 2005, representing a 109% increase over June 30, 2004.

For the quarter the bank reported an operating profit of $304.2 thousand, representing a 572% increase over the $64.5 thousand loss reported for the comparable period ending June 30, 2004. For the six months ended June 30, 2005 the bank reported an operating profit of $524.6 thousand, representing a 386% increase over the $183.4 thousand loss reported for the comparable period ending June 30, 2004.

Earnings per basic share for the quarter ended June 30, 2005 were $0.25, compared to the loss of <$0.06> per basic share for the quarter ended June 30, 2004.

"We are extremely pleased with the progress we made on a quarter over quarter basis," said Kerry Pendergast, President and CEO of the bank. "At the end of the second quarter 2005, we saw assets increase by 16%, deposits increase by 17%; loans (prior to the allowance for loan loss reserves) increase by slightly over 5% and net income increase by 39% over the quarter ended March 31, 2005. We also rolled out the bank's own "private label" credit card program, which is now being marketed to our retail and commercial depositors, as well as initiated strategies to deliver additional deposit products to our customers in the third quarter of this year," Pendergast said in closing.

Contact Information:
Premier Service Bank, Riverside
Kerry L. Pendergast or F. Dean Fletcher, 951-274-2400

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