Hank's Small Banks

[10 bagger]

OPPS..MVLY DOWNWARD EPS EST..

It has been brought to my attention that my earnings Est.. can not hold up and I also after reading further info also believe the same.. I don't think the bank was trying to hide anything but,, thier reporting leaves a lot to be desired..

I used the info in the following portion of thier web site to mean second quarter results and not thru the second Qtr..

https://www.missionvalleybank.com/pdf/MVB_Q2_09.pdf

Because of this error I have to change my EPS projections to
$0.85 from $1.15 and that assumes that there will not be another extraordinary Fed fee made to all banks during the next six months.. The entire press release is as follows:

SUN VALLEY, Calif., Aug. 5 /PRNewswire-FirstCall/ -- Mission Valley Bancorp (the parent company of Mission Valley Bank (OTC Bulletin Board: MVLY - News)) today announced record year to date after tax income for 2009 of $635,000.

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Symbol Price Change
MVLY.OB 7.60 0.00

Tamara Gurney, President and CEO of the one bank holding company stated, "We are very pleased with the company's performance through the first half of 2009. Our commitment to 'sticking to the basics of banking' has enabled Mission Valley to achieve significant growth despite the current economic climate. Loans are up more than 19% to $196 million (an increase of $31 million over the $165 million reported at June 30, 2008). Deposits grew more than $49 million to slightly over $205 million, a 32% improvement from the year prior. As a result, total assets increased to more than $261 million - a 32% increase over the $198 million reported for the same period one year ago. Even more impressive, net income has grown more than 217% to $635,000 at June 30, 2009 from $200,000 reported at June 30, 2008."

Gurney continued, "During these turbulent times, Mission Valley's strong performance may seem extraordinary on the surface; however, as an organization we know that our continuing success is due to a number of strategic decisions made over the past 18 months in response to the changing financial landscape. Expansion of the Bank's Specialized Lending Division into accounts receivable and formula based lending has contributed, not only through increased loan growth and revenues, but also allowing the Bank to assist businesses that are struggling with cash flow and that may not otherwise qualify for financing. In addition, Mission Valley Bank received approval to become a 'settlement bank' for merchant bankcard processing. This designation allows the Bank to provide direct processing services for Independent Sales Organizations as well as our own clientele, thereby enhancing our operating and fee income."

Gurney concluded, "While we are pleased with our strong performance, we remain mindful of the current economic climate and the potential impact that further deterioration in commercial real estate could have on our Bank. Delinquencies within Mission Valley's loan portfolio remain relatively low (particularly as compared to the overall industry) however, in response to the on-going tough economy - as well as our own extensive analysis of our existing loan portfolio, we remain focused on preserving our allowance for credit losses and capital. Additionally, we are committed to maintaining open and frequent communication with our borrowers, working to understand their individual situations and partnering with them to define appropriate solutions to assist them through these difficult times."

Mission Valley Bank is a full-service, independent, commercial bank specializing in serving small and middle market businesses in the San Fernando & Santa Clarita Valleys. A full service, community based, business bank, the Bank was chartered in July 2001, with a vision of local ownership and a commitment to providing financial solutions to meet the needs of its clients.

www.MissionValleyBank.com

Forward-looking statements:

Certain matters discussed in this news release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based upon current management expectations and, therefore, are subject to certain risks and uncertainties that could cause actual results, performance, or achievements to differ materially from those expressed, suggested, or implied by the forward-looking statements. Forward-looking statements are effective only as of the date that they are made and Mission Valley Bank assumes no obligation to update this information.