Exhibit 99.1

PCB Bancorp Reports Earnings of $3.4 million for Q2 2020

Los Angeles, California - July 23, 2020 - PCB Bancorp (the “Company”) (NASDAQ: PCB), the holding company of Pacific City Bank (the “Bank”), today reported net income of $3.4 million, or $0.22 per diluted common share for the second quarter of 2020, compared with $3.6 million, or $0.23 per diluted common share, for the previous quarter and $6.6 million, or $0.40 per diluted common share, for the year-ago quarter.

Q2 2020 Financial Highlights

•Net income totaled $3.4 million or $0.22 per diluted common share;

◦The Company recorded a provision for loan losses of $3.9 million primarily due to an increase in the economic uncertainty due to the COVID-19 pandemic.

◦Allowance for loan losses to total loans held-for-investment ratio was 1.30% at June 30, 2020 compared with 1.15% at March 31, 2020 and 0.96% at June 30, 2019. Excluding SBA Paycheck Protection Program (“PPP”) loans, allowance for loan losses to total loans held-for-investment ratio was 1.43% at June 30, 2020.

◦Net interest margin was 3.22% for the second quarter of 2020 compared with 3.85% for the previous quarter and 4.17% for the year-ago quarter.

•Total assets were $2.02 billion at June 30, 2020, an increase of $220.8 million, or 12.3%, from $1.80 billion at March 31, 2020, an increase of $274.4 million, or 15.7%, from $1.75 billion at December 31, 2019, and an increase of $294.3 million, or 17.0%, from $1.73 billion at June 30, 2019;

•Loans held-for-investment, net of deferred costs (fees), were $1.55 billion at June 30, 2020, an increase of $102.6 million, or 7.1%, from $1.45 billion at March 31, 2020, an increase of $102.8 million, or 7.1%, from $1.45 billion at December 31, 2019, and an increase of $158.0 million, or 11.3%, from $1.40 billion at June 30, 2019;

◦PPP loans totaled $133.7 million at June 30, 2020.

◦Loans with modifications related to COVID-19 totaled $484.0 million at June 30, 2020.

•Total deposits were $1.65 billion at June 30, 2020, an increase of $169.5 million, or 11.5%, from $1.48 billion at March 31, 2020, an increase of $167.6 million, or 11.3%, from $1.48 billion at December 31, 2019, and an increase of $200.4 million, or 13.9%, from $1.45 billion at June 30, 2019; and

•The Company declared and paid a cash dividend of $0.10 per common share for the second quarter of 2020 compared with $0.10 per common share for the first quarter of 2020 and $0.06 per common share for the second quarter of 2019.

“We earned $3.4 million of net income in the second quarter despite building $3.9 million in loan loss provision related to the economic impact of COVID-19 pandemic,” commented Henry Kim, President and Chief Executive Officer. “During the quarter, we have maintained robust capital ratios and plenty of liquidity by the increase in our deposit balance by $169.5 million, or 11.5%, primarily due to the funding of PPP loans.”

“We continue to maintain procedures to promote the safety of our employees and customers. We remain steadfast in our commitment to assist the communities we serve by helping them through the difficult financial challenges from the ongoing COVID-19 crisis by keeping the dialogue open and extending 1,551 PPP loans totaling $133.7 million to our customers.”

1

Financial Highlights (Unaudited)

($ in thousands, except per share data)						Three Months Ended																																																						Six Months Ended
									6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Net income						$	3,367					$	3,572					(5.7)		%				$	6,601					(49.0)		%				$	6,939					$	13,165					(47.3)		%
Diluted earnings per common share						$	0.22					$	0.23					(4.3)		%				$	0.40					(45.0)		%				$	0.45					$	0.81					(44.4)		%
Net interest income						$	15,363					$	16,566					(7.3)		%				$	17,692					(13.2)		%				$	31,929					$	34,845					(8.4)		%
Provision for loan losses						3,855						2,896						33.1		%				394						878.4		%				6,751						309						2084.8		%
Noninterest income						2,918						2,026						44.0		%				3,054						(4.5)		%				4,944						5,463						(9.5)		%
Noninterest expense						9,696						10,567						(8.2)		%				10,984						(11.7)		%				20,263						21,273						(4.7)		%
Return on average assets (1)						0.69		%				0.81		%										1.52		%										0.75		%				1.55		%
Return on average shareholders’ equity (1), (2)						5.98		%				6.35		%										12.01		%										6.17		%				12.22		%
Net interest margin (1)						3.22		%				3.85		%										4.17		%										3.52		%				4.19		%
Efficiency ratio (3)						53.04		%				56.84		%										52.95		%										54.95		%				52.78		%

($ in thousands, except per share data)						6/30/2020						3/31/2020						% Change						12/31/2019						% Change						6/30/2019						% Change
Total assets						$	2,020,777					$	1,799,937					12.3		%				$	1,746,328					15.7		%				$	1,726,486					17.0		%
Net loans held-for-investment						1,533,341						1,434,364						6.9		%				1,436,451						6.7		%				1,382,229						10.9		%
Total deposits						1,646,930						1,477,442						11.5		%				1,479,307						11.3		%				1,446,526						13.9		%
Book value per common share (2), (4)						$	14.78					$	14.58					1.4		%				$	14.44					2.4		%				$	13.98					5.7		%
Tier 1 leverage ratio (consolidated)						11.49		%				12.57		%										13.23		%										12.74		%
Total shareholders’ equity to total assets (2)						11.24		%				12.45		%										12.99		%										12.94		%

(1)Ratios are presented on an annualized basis.

(2)The Company did not have any intangible equity components for the presented periods.

(3)The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

(4)The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares.

COVID-19 Pandemic

The ongoing COVID-19 pandemic, and governmental and societal responses thereto, have had a severe impact on recent global economic and market conditions, including significant disruption of, and volatility in, financial markets; global supply chain disruptions; and the institution of social distancing and shelter-in-place requirements that have resulted in temporary closures of many businesses, lost revenues, and increased unemployment throughout the U.S., but also specifically in California, where most of the Company’s operations and a large majority of its customers are located.

Since the beginning of the crisis, the Company has taken a number of steps to protect the safety of its employees and to support its customers. The Company has enabled its staff to work remotely and established safety measures within its bank premises and branches for both employees and customers.

In order to support its customers, the Company has been in close contact with its customers, assessing the level of impact on their businesses, and putting a process in place to evaluate each client’s specific situation and provide relief programs where appropriate. Since the launch of PPP, the Company has extended 1,551 PPP loans totaling $133.7 million as of June 30, 2020. The Company also provided modifications, including interest only payments or payment deferrals, to 467 loan customers for the aggregated carrying value of $484.0 million as of June 30, 2020 that are adversely affected by the COVID-19 pandemic.

The Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) provided for relief on existing and new SBA loans disbursed prior to September 27, 2020 with the SBA paying six months of principal, interest, and any associated fees on these loans. As of June 30, 2020, the Company had 938 loans for the aggregated carrying value of $140.9 million that are qualified for this relief program.

In addition, the Company has been monitoring its liquidity and capital closely. As of June 30, 2020, the Company maintained $307.6 million, or 15.2% of total assets, of cash and cash equivalents and $425.3 million, or 21.0% of total assets, of available borrowing capacity. All regulatory capital ratios were also well above the regulatory well capitalized requirements as of June 30, 2020.

At this time, the Company cannot estimate the long term impact of the COVID-19 pandemic, but these conditions impacted and are expected to impact its business, results of operations, and financial condition negatively.

2

Result of Operations (Unaudited)

Net Interest Income and Net Interest Margin

The following table presents the components of net interest income for the periods indicated:

						Three Months Ended																																																						Six Months Ended
($ in thousands)						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Interest income/expense on:
Loans						$	18,273					$	20,406					(10.5)		%				$	21,969					(16.8)		%				$	38,679					$	42,903					(9.8)		%
Investment securities						539						644						(16.3)		%				1,062						(49.2)		%				1,183						2,155						(45.1)		%
Other interest-earning assets						161						610						(73.6)		%				999						(83.9)		%				771						1,924						(59.9)		%
Total interest-earning assets						18,973						21,660						(12.4)		%				24,030						(21.0)		%				40,633						46,982						(13.5)		%
Interest-bearing deposits						3,409						4,992						(31.7)		%				6,200						(45.0)		%				8,401						11,865						(29.2)		%
Borrowings						201						102						97.1		%				138						45.7		%				303						272						11.4		%
Total interest-bearing liabilities						3,610						5,094						(29.1)		%				6,338						(43.0)		%				8,704						12,137						(28.3)		%
Net interest income						$	15,363					$	16,566					(7.3)		%				$	17,692					(13.2)		%				$	31,929					$	34,845					(8.4)		%
Average balance of:
Loans						$	1,554,011					$	1,454,727					6.8		%				$	1,378,910					12.7		%				$	1,504,369					$	1,360,641					10.6		%
Investment securities						120,336						118,502						1.5		%				167,991						(28.4)		%				119,419						167,727						(28.8)		%
Other interest-earning assets						245,447						158,793						54.6		%				154,661						58.7		%				202,120						147,601						36.9		%
Total interest-earning assets						$	1,919,794					$	1,732,022					10.8		%				$	1,701,562					12.8		%				$	1,825,908					$	1,675,969					8.9		%
Interest-bearing deposits						$	1,109,307					$	1,129,699					(1.8)		%				$	1,143,678					(3.0)		%				$	1,119,503					$	1,129,741					(0.9)		%
Borrowings						130,330						25,117						418.9		%				30,166						332.0		%				77,723						30,120						158.0		%
Total interest-bearing liabilities						$	1,239,637					$	1,154,816					7.3		%				$	1,173,844					5.6		%				$	1,197,226					$	1,159,861					3.2		%
Total funding (1)						$	1,713,812					$	1,524,334					12.4		%				$	1,500,657					14.2		%				$	1,619,073					$	1,477,354					9.6		%
Annualized average yield/cost of:
Loans						4.73		%				5.64		%										6.39		%										5.17		%				6.36		%
Investment securities						1.80		%				2.19		%										2.54		%										1.99		%				2.59		%
Other interest-earning assets						0.26		%				1.55		%										2.59		%										0.77		%				2.63		%
Total interest-earning assets						3.97		%				5.03		%										5.66		%										4.48		%				5.65		%
Interest-bearing deposits						1.24		%				1.78		%										2.17		%										1.51		%				2.12		%
Borrowings						0.62		%				1.63		%										1.83		%										0.78		%				1.82		%
Total interest-bearing liabilities						1.17		%				1.77		%										2.17		%										1.46		%				2.11		%
Net interest margin						3.22		%				3.85		%										4.17		%										3.52		%				4.19		%
Cost of total funding (1)						0.85		%				1.34		%										1.69		%										1.08		%				1.66		%
Supplementary information
Net accretion of discount on loans included in interest on loans						$	530					$	1,028					(48.4)		%				$	1,194					(55.6)		%				$	1,558					$	2,052					(24.1)		%

(1)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

Loans. The increase in average balance for the current quarter compared with the previous quarter was primarily due to the PPP loans production. The decreases in average yield for the current quarter and year were primarily due to the lower market rates, PPP loans, reset of interest rates on SBA loans, and a decrease in net accretion of discount. The Wall Street Journal prime rate decreased to 3.25% during the previous quarter compared to 4.75% at December 31, 2019 and 5.50% at June 30, 2019. On PPP loans, the Company expects to earn an annualized yield of approximately 2.7% assuming the expected term of 24 months and no prepayments. SBA loans, excluding PPP loans, had a weighted-average contractual rate of 4.67% and 6.17%, respectively, at June 30, 2020 and March 31, 2020. The decreases in net accretion of discount for the current quarter and year were primarily due to a decrease in prepayment speed on SBA loans.

3

The following table presents a composition of total loans by interest rate type accompanied with the weighted-average contractual rates as of the dates indicated:

						6/30/2020																		3/31/2020																		12/31/2019																		6/30/2019
						% to Total Loans						Weighted-Average Contractual Rate						% to Total Loans						Weighted-Average Contractual Rate						% to Total Loans						Weighted-Average Contractual Rate						% to Total Loans						Weighted-Average Contractual Rate
Fixed rate loans						38.4		%				4.18		%				30.2		%				5.19		%				28.2		%				5.29		%				21.2		%				5.40		%
Hybrid rate loans						13.3		%				4.99		%				14.6		%				5.01		%				15.2		%				5.03		%				16.6		%				5.03		%
Variable rate loans						48.3		%				4.11		%				55.2		%				4.41		%				56.6		%				5.51		%				62.2		%				6.29		%

Investment Securities. The decrease in average yield for the current quarter compared with the previous quarter was primarily due to new investment securities purchased under the lower market rates. The decreases in average yield for the current quarter and year compared with the same periods of 2019 were primarily due to new investment securities purchased, as well as sales of securities available-for-sale of $32.8 million with a weighted-average book yield of 3.02% during the forth quarter of 2019. During the current quarter and year, and past 12-month period, the Company purchased investment securities of $16.9 million, $24.4 million and $30.1 million, respectively.

Other Interest-Earning Assets. The decreases in average yield for the current quarter and year were primarily due to the lower market rates. The average balance for the current quarter increased primarily due to increases in deposits and other borrowings during the current quarter as the Company maintains most of its cash at the Federal Reserve Bank account. See the balance change discussion for the current quarter in “Deposits” under the “Balance Sheet” discussion.

Interest-Bearing Deposits. The decreases in average cost for the current quarter and year were primarily due to the continuing decreases in market rates.

Borrowings. The Company maintained a higher balance of Federal Home Loan Bank (“FHLB”) advances during the current quarter as a part of the Company’s liquidity management. At June 30, 2020, the Company had a total outstanding FHLB advances of $130.0 million with a weighted-average rate of 0.51%.

Provision for Loan Losses

Provision for loan losses was $3.9 million for the current quarter compared with $2.9 million for the previous quarter and $394 thousand for the year-ago quarter. For the six months ended June 30, 2020 and 2019, provision for loan losses was $6.8 million and $309 thousand, respectively. The provision was primarily driven by the increase in risks associated with economic and business conditions as a result of the COVID-19 pandemic, which required an additional provision for loan losses of $4.2 million and $6.8 million, respectively, for the current quarter and year. The Company recorded net charge-offs of $281 thousand for the current quarter compared with $602 thousand for the previous quarter and $203 thousand for the year-ago quarter. For the six months ended June 30, 2020 and 2019, the Company recorded net charge-offs of $883 thousand and $148 thousand, respectively. Allowance for loan losses to total loans held-for-investment ratio was 1.30% at June 30, 2020, 1.15% at March 31, 2020, 0.99% at December 31, 2019 and 0.96% at June 30, 2019. Excluding PPP loans, allowance for loan losses to total loans held-for-investment ratio was 1.43% at June 30, 2020.

Noninterest Income

The following table presents the components of noninterest income for the periods indicated:

						Three Months Ended																																																						Six Months Ended
($ in thousands)						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Gain on sale of loans						$	1,498					$	725					106.6		%				$	1,891					(20.8)		%				$	2,223					$	3,011					(26.2)		%
Service charges and fees on deposits						275						390						(29.5)		%				368						(25.3)		%				665						732						(9.2)		%
Loan servicing income						902						554						62.8		%				492						83.3		%				1,456						1,123						29.7		%
Other income						243						357						(31.9)		%				303						(19.8)		%				600						597						0.5		%
Total noninterest income						$	2,918					$	2,026					44.0		%				$	3,054					(4.5)		%				$	4,944					$	5,463					(9.5)		%

4

Gain on Sale of Loans. The following table presents information on gain on sale of loans for the periods indicated:

						Three Months Ended																																																						Six Months Ended
($ in thousands)						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Gain on sale of SBA loans
Sold loan balance						$	27,066					$	11,715					131.0		%				$	29,168					(7.2)		%				$	38,781					$	50,351					(23.0)		%
Premium received						2,042						1,056						93.4		%				2,665						(23.4)		%				3,098						4,227						(26.7)		%
Gain recognized						1,448						704						105.7		%				1,884						(23.1)		%				2,152						2,988						(28.0)		%
Gain on sale of residential property loans
Sold loan balance						$	6,118					$	2,079					194.3		%				$	375					1,531.5		%				$	8,197					$	2,771					195.8		%
Gain recognized						50						21						138.1		%				7						614.3		%				71						23						208.7		%

Loan Servicing Income. The Company services SBA loans and certain residential property loans that are sold to the secondary market. The increases were primarily due to a decrease in servicing asset amortization from a lower prepayment speed. The following table presents information on loan servicing income for the periods indicated.

						Three Months Ended																																																						Six Months Ended
($ in thousands)						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Loan servicing income:
Servicing income received						$	1,294					$	1,158					11.7		%				$	1,190					8.7		%				$	2,452					$	2,337					4.9		%
Servicing assets amortization						(392)						(604)						(35.1)		%				(698)						(43.8)		%				(996)						(1,214)						(18.0)		%
Loan servicing income						$	902					$	554					62.8		%				$	492					83.3		%				$	1,456					$	1,123					29.7		%
Underlying loans at end of period						$	494,000					$	478,748					3.2		%				$	502,124					(1.6)		%				$	494,000					$	502,124					(1.6)		%

Noninterest Expense

The following table presents the components of noninterest expense for the periods indicated:

						Three Months Ended																																																						Six Months Ended
($ in thousands)						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Salaries and employee benefits						$	5,761					$	6,551					(12.1)		%				$	6,600					(12.7)		%				$	12,312					$	13,222					(6.9)		%
Occupancy and equipment						1,400						1,380						1.4		%				1,407						(0.5)		%				2,780						2,720						2.2		%
Professional fees						509						797						(36.1)		%				686						(25.8)		%				1,306						1,444						(9.6)		%
Marketing and business promotion						548						179						206.1		%				529						3.6		%				727						757						(4.0)		%
Data processing						366						358						2.2		%				338						8.3		%				724						656						10.4		%
Director fees and expenses						107						221						(51.6)		%				185						(42.2)		%				328						374						(12.3)		%
Regulatory assessments						242						219						10.5		%				309						(21.7)		%				461						425						8.5		%
Other expenses						763						862						(11.5)		%				930						(18.0)		%				1,625						1,675						(3.0)		%
Total noninterest expense						$	9,696					$	10,567					(8.2)		%				$	10,984					(11.7)		%				$	20,263					$	21,273					(4.7)		%

Salaries and Employee Benefits. The decrease for the current quarter compared with the previous quarter was primarily due to an increase in direct loan origination cost, which defers the recognition of salaries and benefits expense. PPP loan production incurred direct loan origination cost of approximately $1.1 million. The decreases for the current quarter and year compared with the same periods of 2019 were primarily due to the increase in direct loan origination cost and a decrease in bonus accrual, partially offset by increases in wages, other employee benefits and vacation accrual.

Professional Fees. The decreases for the current quarter and year compared with the same periods of 2019 were primarily due to a decrease in expenses related to the BSA/AML compliance enhancements.

Marketing and business promotion. The increase for the current quarter compared with the previous quarter was primarily due to an increase in advertisement.

5

Director Fees and Expenses. The Company's Board of Directors temporarily reduced directors fees during the current quarter.

Regulatory Assessments. The decrease for the current quarter compared with the year-ago quarter was primarily due to an adjustment made during the year-ago quarter for the assessment rate increase, partially offset by an increase in balance sheet.

Balance Sheet (Unaudited)

Loans

The following table presents a composition of total loans (includes both loans held-for-sale and loans held-for-investment, net of deferred costs (fees)) as of the dates indicated:

($ in thousands)						6/30/2020						3/31/2020						% Change						12/31/2019						% Change						6/30/2019						% Change
Real estate loans:
Commercial property						$	813,409					$	812,484					0.1		%				$	803,014					1.3		%				$	748,526					8.7		%
Residential property						223,923						227,492						(1.6)		%				235,046						(4.7)		%				240,630						(6.9)		%
SBA property						122,675						125,322						(2.1)		%				129,837						(5.5)		%				128,208						(4.3)		%
Construction						20,432						19,178						6.5		%				19,164						6.6		%				22,455						(9.0)		%
Commercial and industrial loans:
Commercial term						98,936						101,943						(2.9)		%				103,380						(4.3)		%				105,651						(6.4)		%
Commercial lines of credit						96,339						116,873						(17.6)		%				111,768						(13.8)		%				101,531						(5.1)		%
SBA commercial term						22,650						24,745						(8.5)		%				25,332						(10.6)		%				24,762						(8.5)		%
SBA PPP						133,675						—						—		%				—						—		%				—						—		%
Other consumer loans						21,550						23,001						(6.3)		%				23,290						(7.5)		%				23,794						(9.4)		%
Loans held-for-investment						1,553,589						1,451,038						7.1		%				1,450,831						7.1		%				1,395,557						11.3		%
Loans held-for-sale						4,102						16,191						(74.7)		%				1,975						107.7		%				440						832.3		%
Total loans						$	1,557,691					$	1,467,229					6.2		%				$	1,452,806					7.2		%				$	1,395,997					11.6		%

The increase in loans held-for-investment for the current quarter was primarily due to new funding of $170.4 million and advances on lines of credit of $19.4 million, partially offset by pay-downs and pay-offs of $87.6 million. The increase for the current year was primarily due to new funding of $234.3 million and advances on lines of credit of $56.5 million, partially offset by pay-downs and pay-offs of $186.2 million.

The decrease in loans held-for-sale for the current quarter was primarily due to sales of $33.2 million, partially offset by new funding of $21.9 million. The increase for the current year was primarily due to new funding of $48.6 million, partially offset by sales of $47.0 million.

The following table presents a composition of commitments to extend credit as of the dates indicated:

($ in thousands)						6/30/2020						3/31/2020						% Change						12/31/2019						% Change						6/30/2019						% Change
Real estate loans:
Commercial property						$	16,962					$	14,393					17.8		%				$	15,836					7.1		%				$	18,129					(6.4)		%
SBA property						220						421						(47.7)		%				1,405						(84.3)		%				1,585						(86.1)		%
Construction						16,451						17,761						(7.4)		%				11,557						42.3		%				8,166						101.5		%
Commercial and industrial loans:
Commercial term						1,000						1,034						(3.3)		%				1,243						(19.5)		%				3,024						(66.9)		%
Commercial lines of credit						159,753						143,228						11.5		%				140,690						13.5		%				122,957						29.9		%
SBA commercial term						—						912						(100.0)		%				762						(100.0)		%				574						(100.0)		%
Other consumer loans						45						38						18.4		%				115						(60.9)		%				18						150.0		%
Total commitments to extend credit						$	194,431					$	177,787					9.4		%				$	171,608					13.3		%				$	154,453					25.9		%

6

Credit Quality

The following table presents a summary of non-performing loans, non-performing assets and classified assets as of the dates indicated:

($ in thousands)						6/30/2020						3/31/2020						% Change						12/31/2019						% Change						6/30/2019						% Change
Nonaccrual loans:
Real estate loans:
SBA property						$	1,351					$	1,461					(7.5)		%				$	442					205.7		%				$	1,372					(1.5)		%
Commercial and industrial loans:
Commercial lines of credit						1,968						2,182						(9.8)		%				1,888						4.2		%				—						—		%
SBA commercial term						381						430						(11.4)		%				159						139.6		%				16						2,281.3		%
Other consumer loans						70						10						600.0		%				48						45.8		%				41						70.7		%
Total nonaccrual loans held-for-investment						3,770						4,083						(7.7)		%				2,537						48.6		%				1,429						163.8		%
Loans past due 90 days or more and still accruing						696						—						—		%				287						142.5		%				—						—		%
Non-performing loans (“NPLs”)						4,466						4,083						9.4		%				2,824						58.1		%				1,429						212.5		%
Other real estate owned (“OREO”)						376						376						—		%				—						—		%				395						(4.8)		%
Non-performing assets (“NPAs”)						$	4,842					$	4,459					8.6		%				$	2,824					71.5		%				$	1,824					165.5		%
Loans past due and still accruing:
Past due 30 to 59 days						$	311					$	1,584					(80.4)		%				$	893					(65.2)		%				$	804					(61.3)		%
Past due 60 to 89 days						113						46						145.7		%				925						(87.8)		%				5						2,160.0		%
Past due 90 days or more						696						—						—		%				287						142.5		%				—						—		%
Total loans past due and still accruing						$	1,120					$	1,630					(31.3)		%				2,105						(46.8)		%				$	809					38.4		%
Troubled debt restructurings (“TDRs”):
Accruing TDRs						$	669					$	679					(1.5)		%				$	700					(4.4)		%				$	391					71.1		%
Nonaccrual TDRs						40						145						(72.4)		%				121						(66.9)		%				131						(69.5)		%
Total TDRs						$	709					$	824					(14.0)		%				$	821					(13.6)		%				$	522					35.8		%
Classified assets
Classified loans						$	5,809					$	6,519					(10.9)		%				$	8,862					(34.5)		%				$	7,484					(22.4)		%
OREO						376						376						—		%				—						—		%				395						(4.8)		%
Classified assets						$	6,185					$	6,895					(10.3)		%				$	8,862					(30.2)		%				$	7,879					(21.5)		%
NPLs to loans held-for-investment						0.29		%				0.28		%										0.19		%										0.10		%
NPAs to total assets						0.24		%				0.25		%										0.16		%										0.11		%
Classified assets to total assets						0.31		%				0.38		%										0.51		%										0.46		%

The Company had a residential property loan past due 90 days or more and still accruing at June 30, 2020, which management believes that the loan is well secured and the Bank is in the process of collection.

7

Accommodations Related to Loan Modifications from the Effects of the COVID-19 Pandemic

The Company provided modifications, including interest only payments or payment deferrals, to customers that were adversely affected by the COVID-19 pandemic. In accordance with the CARES Act, these loans will not be considered restructured for the purpose of risk-based capital rules, nor would they be reported as past due or nonaccrual during the period of the modification term.

The following table presents a summary of loans with such modifications as of June 30, 2020:

						Modification Type																								Weighted-Average Contractual Rate						Accrued Interest Receivable
($ in thousands)						Payment Deferment						Interest Only						Total
Real estate loans:
Commercial property						$	369,716					$	9,850					$	379,566					4.60		%				$	5,123
Residential property						44,804						—						44,804						5.02		%				664
Commercial and industrial loans:
Commercial term						53,277						4,882						58,159						4.77		%				786
Other consumer loans						1,507						—						1,507						7.28		%				24
Total						$	469,304					$	14,732					$	484,036					4.66		%				$	6,597

Investment Securities

During the current quarter, the Company transferred securities held-to-maturity to securities available-for-sale as a part of the Company’s liquidity management plan in response to the COVID-19 pandemic. Management determined that the COVID-19 pandemic was an extremely remote disaster, which could not have been anticipated when deciding whether it has the positive intent and ability to hold these debt securities to maturity. The Company transferred all of securities held-to-maturity of $18.8 million to securities available-for-sale, which resulted in a pre-tax increase to accumulated other comprehensive income of $787 thousand.

Total investment securities were $128.0 million at June 30, 2020, an increase of $9.8 million, or 8.3%, from $118.3 million at March 31, 2020 and an increase of $10.3 million, or 8.8%, from $117.7 million at December 31, 2019 but a decrease of $37.2 million, or 22.5%, from $165.2 million at June 30, 2019.

The increase for the current quarter was primarily due to purchases of $16.9 million and an increase in fair value of securities available-for-sale of $1.5 million, partially offset by principal pay-downs and calls of $8.4 million and net premium amortization of $224 thousand. The increase for the current year was primarily due to purchases of $24.4 million and an increase in fair value of securities available-for-sale of $2.8 million, partially offset by principal pay-downs and calls of $16.5 million and net premium amortization of $413 thousand.

8

Deposits

The following table presents the Company’s deposit mix as of the dates indicated:

						6/30/2020																		3/31/2020																		12/31/2019																		6/30/2019
($ in thousands)						Amount						% to Total						Amount						% to Total						Amount						% to Total						Amount						% to Total
Noninterest-bearing demand deposits						$	551,415					33.5		%				$	394,084					26.7		%				$	360,039					24.3		%				$	339,603					23.5		%
Interest-bearing deposits:
Savings						8,258						0.5		%				6,569						0.4		%				6,492						0.4		%				6,844						0.5		%
NOW						21,173						1.3		%				18,608						1.3		%				17,673						1.2		%				12,638						0.9		%
Retail money market accounts						339,444						20.6		%				338,850						22.9		%				307,980						20.8		%				311,865						21.6		%
Brokered money market accounts						10						0.1		%				10,006						0.7		%				30,034						2.0		%				10						0.1		%
Retail time deposits of:
$250,000 or less						347,382						21.0		%				362,408						24.5		%				405,004						27.5		%				453,286						31.2		%
More than $250,000						170,180						10.3		%				176,970						12.0		%				199,726						13.5		%				204,780						14.2		%
Time deposits from internet rate service providers						37,068						2.3		%				5,447						0.4		%				—						—		%				—						—		%
State and brokered time deposits						172,000						10.4		%				164,500						11.1		%				152,359						10.3		%				117,500						8.0		%
Total interest-bearing deposits						1,095,515						66.5		%				1,083,358						73.3		%				1,119,268						75.7		%				1,106,923						76.5		%
Total deposits						$	1,646,930					100.0		%				$	1,477,442					100.0		%				$	1,479,307					100.0		%				$	1,446,526					100.0		%

The increase in noninterest-bearing demand deposits for the current quarter was primarily due to the deposit increases from customers with PPP loans as well as the overall liquid deposit market. Deposits held with customers with PPP loans increased $120.0 million to $270.1 million at June 30, 2020 compared with $150.5 million at March 31, 2020.

The decrease in retail time deposits for the current quarter was primarily due to matured and closed accounts of $117.8 million, partially offset by new accounts of $16.0 million and renewals of the matured accounts of $76.7 million. The decrease in retail time deposits for the current year was primarily due to matured and closed accounts of $353.1 million, partially offset by new accounts of $49.6 million and renewals of the matured accounts of $208.5 million.

Liquidity

The following table presents a summary of the Company’s liquidity position as of June 30, 2020:

($ in thousands)						6/30/2020
Cash and cash equivalents						$	307,603
Cash and cash equivalents to total assets						15.2		%
Available borrowing capacity:
FHLB advances						$	319,970
Federal Reserve Discount Window						40,346
Overnight federal funds lines						65,000
Total						$	425,316
Total available borrowing capacity to total assets						21.0		%

Shareholders’ Equity

Shareholders’ equity was $227.2 million at June 30, 2020, an increase of $3.1 million, or 1.4%, from $224.1 million at March 31, 2020, an increase of $399 thousand, or 0.2%, from $226.8 million at December 31, 2019, and an increase of $3.8 million, or 1.7%, from $223.4 million at June 30, 2019. The increase for the current quarter was primarily due to net income for the current quarter and an increase in accumulated other comprehensive income, partially offset by cash dividend declared on common stock of $1.5 million. The increase for the current year was primarily due to net income for the current year and an increase in accumulated other comprehensive income, partially offset by repurchases of common stock of $6.5 million and cash dividend declared on common stock of $3.1 million.

On November 22, 2019, the Company’s Board of Directors approved a new $6.5 million stock repurchase program to commence upon the opening of the Company’s trading window for the first quarter of 2020 and continue through November 20, 2021. The Company completed this program in March 2020 and had repurchased and retired 428,474 shares.

9

Capital Ratios

Based on changes to the Federal Reserve’s definition of a “Small Bank Holding Company” that increased the threshold to $3 billion in assets in August 2018, the Company is not currently subject to separate minimum capital measurements. At such time as the Company reaches the $3 billion asset level, it will again be subject to capital measurements independent of the Bank. For comparison purposes, the Company’s ratios are included in following discussion. The following table presents capital ratios for the Company and the Bank as of dates indicated:

						6/30/2020						3/31/2020						12/31/2019						6/30/2019
PCB Bancorp
Common tier 1 capital (to risk-weighted assets)						15.83		%				15.53		%				15.87		%				16.20		%
Total capital (to risk-weighted assets)						17.09		%				16.71		%				16.90		%				17.18		%
Tier 1 capital (to risk-weighted assets)						15.83		%				15.53		%				15.87		%				16.20		%
Tier 1 capital (to average assets)						11.49		%				12.57		%				13.23		%				12.74		%
Pacific City Bank
Common tier 1 capital (to risk-weighted assets)						15.58		%				15.28		%				15.68		%				16.07		%
Total capital (to risk-weighted assets)						16.83		%				16.47		%				16.71		%				17.05		%
Tier 1 capital (to risk-weighted assets)						15.58		%				15.28		%				15.68		%				16.07		%
Tier 1 capital (to average assets)						11.30		%				12.37		%				13.06		%				12.64		%

About PCB Bancorp

PCB Bancorp, formerly known as Pacific City Financial Corporation, is the bank holding company for Pacific City Bank, a California state chartered bank, offering a full suite of commercial banking services to small to medium-sized businesses, individuals and professionals, primarily in Southern California, and predominantly in Korean-American and other minority communities.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements. These forward-looking statements represent plans, estimates, objectives, goals, guidelines, expectations, intentions, projections and statements of our beliefs concerning future events, business plans, objectives, expected operating results and the assumptions upon which those statements are based. Forward-looking statements include without limitation, any statement that may predict, forecast, indicate or imply future results, performance or achievements, and are typically identified with words such as ‘‘may,’’ “could,” “should,” “will,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “aim,” “intend,” “plan,” or words or phases of similar meaning. We caution that the forward-looking statements are based largely on our expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond our control, including but not limited to the economic uncertainty caused by the COVID-19 pandemic, and government and societal responses thereto. These and other important factors are detailed in various securities law filings made periodically by the Company, copies of which are available from the Company without charge. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements. Any forward-looking statements presented herein are made only as of the date of this press release, and we do not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as required by law.

Contact:

Timothy Chang

Executive Vice President & Chief Financial Officer

213-210-2000

10

PCB Bancorp and Subsidiary

Consolidated Balance Sheets (Unaudited)

($ in thousands, except share and per share data)

						6/30/2020						3/31/2020						% Change						12/31/2019						% Change						6/30/2019						% Change
Assets
Cash and due from banks						$	18,255					$	14,880					22.7		%				$	17,808					2.5		%				$	19,080					(4.3)		%
Interest-bearing deposits in financial institutions						289,348						174,039						66.3		%				128,420						125.3		%				114,205						153.4		%
Total cash and cash equivalents						307,603						188,919						62.8		%				146,228						110.4		%				133,285						130.8		%
Securities available-for-sale, at fair value						128,049						98,568						29.9		%				97,566						31.2		%				142,539						(10.2)		%
Securities held-to-maturity						—						19,711						(100.0)		%				20,154						(100.0)		%				22,685						(100.0)		%
Total investment securities						128,049						118,279						8.3		%				117,720						8.8		%				165,224						(22.5)		%
Loans held-for-sale						4,102						16,191						(74.7)		%				1,975						107.7		%				440						832.3		%
Loans held-for-investment, net of deferred loan costs (fees)						1,553,589						1,451,038						7.1		%				1,450,831						7.1		%				1,395,557						11.3		%
Allowance for loan losses						(20,248)						(16,674)						21.4		%				(14,380)						40.8		%				(13,328)						51.9		%
Net loans held-for-investment						1,533,341						1,434,364						6.9		%				1,436,451						6.7		%				1,382,229						10.9		%
Premises and equipment, net						4,542						4,797						(5.3)		%				3,760						20.8		%				4,334						4.8		%
Federal Home Loan Bank and other bank stock						8,447						8,345						1.2		%				8,345						1.2		%				8,345						1.2		%
Other real estate owned, net						376						376						—		%				—						—		%				395						(4.8)		%
Deferred tax assets, net						6,347						5,140						23.5		%				5,288						20.0		%				3,241						95.8		%
Servicing assets						6,399						6,358						0.6		%				6,798						(5.9)		%				7,230						(11.5)		%
Operating lease assets						7,843						8,393						(6.6)		%				8,991						(12.8)		%				10,105						(22.4)		%
Accrued interest receivable						9,498						4,706						101.8		%				5,136						84.9		%				5,314						78.7		%
Other assets						4,230						4,069						4.0		%				5,636						(24.9)		%				6,344						(33.3)		%
Total assets						$	2,020,777					$	1,799,937					12.3		%				$	1,746,328					15.7		%				$	1,726,486					17.0		%
Liabilities
Deposits:
Noninterest-bearing demand						$	551,415					$	394,084					39.9		%				$	360,039					53.2		%				$	339,603					62.4		%
Savings, NOW and money market accounts						368,885						374,033						(1.4)		%				362,179						1.9		%				331,357						11.3		%
Time deposits of $250,000 or less						466,450						442,355						5.4		%				467,363						(0.2)		%				480,786						(3.0)		%
Time deposits of more than $250,000						260,180						266,970						(2.5)		%				289,726						(10.2)		%				294,780						(11.7)		%
Total deposits						1,646,930						1,477,442						11.5		%				1,479,307						11.3		%				1,446,526						13.9		%
Federal Home Loan Bank advances						130,000						80,000						62.5		%				20,000						550.0		%				35,000						271.4		%
Operating lease liabilities						8,758						9,349						(6.3)		%				9,990						(12.3)		%				11,131						(21.3)		%
Accrued interest payable and other liabilities						7,856						9,021						(12.9)		%				10,197						(23.0)		%				10,429						(24.7)		%
Total liabilities						1,793,544						1,575,812						13.8		%				1,519,494						18.0		%				1,503,086						19.3		%
Commitments and contingent liabilities
Shareholders’ equity
Common stock, no par value						163,759						163,532						0.1		%				169,221						(3.2)		%				174,135						(6.0)		%
Retained earnings						61,532						59,702						3.1		%				57,670						6.7		%				48,927						25.8		%
Accumulated other comprehensive income (loss), net						1,942						891						118.0		%				(57)						NM						338						474.6		%
Total shareholders’ equity						227,233						224,125						1.4		%				226,834						0.2		%				223,400						1.7		%
Total liabilities and shareholders’ equity						$	2,020,777					$	1,799,937					12.3		%				$	1,746,328					15.7		%				$	1,726,486					17.0		%
Outstanding common shares						15,377,935						15,370,086												15,707,016												15,980,655
Book value per common share (1)						$	14.78					$	14.58											$	14.44											$	13.98
Total loan to total deposit ratio						94.58		%				99.31		%										98.21		%										96.51		%
Noninterest-bearing deposits to total deposits						33.48		%				26.67		%										24.34		%										23.48		%

(1)The ratios are calculated by dividing total shareholders’ equity by the number of outstanding common shares. The Company did not have any intangible equity components for the presented periods.

11

PCB Bancorp and Subsidiary

Consolidated Statements of Income (Unaudited)

($ in thousands, except share and per share data)

						Three Months Ended																																																						Six Months Ended
						6/30/2020						3/31/2020						% Change						6/30/2019						% Change						6/30/2020						6/30/2019						% Change
Interest income:
Interest and fees on loans						$	18,273					$	20,406					(10.5		%)				$	21,969					(16.8		%)				$	38,679					$	42,903					(9.8		%)
Interest on investment securities						539						644						(16.3		%)				1,062						(49.2		%)				1,183						2,155						(45.1		%)
Interest and dividend on other interest-earning assets						161						610						(73.6		%)				999						(83.9		%)				771						1,924						(59.9		%)
Total interest income						18,973						21,660						(12.4		%)				24,030						(21.0		%)				40,633						46,982						(13.5		%)
Interest expense:
Interest on deposits						3,409						4,992						(31.7		%)				6,200						(45.0		%)				8,401						11,865						(29.2		%)
Interest on other borrowings						201						102						97.1		%				138						45.7		%				303						272						11.4		%
Total interest expense						3,610						5,094						(29.1		%)				6,338						(43.0		%)				8,704						12,137						(28.3		%)
Net interest income						15,363						16,566						(7.3		%)				17,692						(13.2		%)				31,929						34,845						(8.4		%)
Provision for loan losses						3,855						2,896						33.1		%				394						878.4		%				6,751						309						2084.8		%
Net interest income after provision for loan losses						11,508						13,670						(15.8		%)				17,298						(33.5		%)				25,178						34,536						(27.1		%)
Noninterest income:
Gain on sale of loans						1,498						725						106.6		%				1,891						(20.8		%)				2,223						3,011						(26.2		%)
Service charges and fees on deposits						275						390						(29.5		%)				368						(25.3		%)				665						732						(9.2		%)
Loan servicing income						902						554						62.8		%				492						83.3		%				1,456						1,123						29.7		%
Other income						243						357						(31.9		%)				303						(19.8		%)				600						597						0.5		%
Total noninterest income						2,918						2,026						44.0		%				3,054						(4.5		%)				4,944						5,463						(9.5		%)
Noninterest expense:
Salaries and employee benefits						5,761						6,551						(12.1		%)				6,600						(12.7		%)				12,312						13,222						(6.9		%)
Occupancy and equipment						1,400						1,380						1.4		%				1,407						(0.5		%)				2,780						2,720						2.2		%
Professional fees						509						797						(36.1		%)				686						(25.8		%)				1,306						1,444						(9.6		%)
Marketing and business promotion						548						179						206.1		%				529						3.6		%				727						757						(4.0		%)
Data processing						366						358						2.2		%				338						8.3		%				724						656						10.4		%
Director fees and expenses						107						221						(51.6		%)				185						(42.2		%)				328						374						(12.3		%)
Regulatory assessments						242						219						10.5		%				309						(21.7		%)				461						425						8.5		%
Other expenses						763						862						(11.5		%)				930						(18.0		%)				1,625						1,675						(3.0		%)
Total noninterest expense						9,696						10,567						(8.2		%)				10,984						(11.7		%)				20,263						21,273						(4.7		%)
Income before income taxes						4,730						5,129						(7.8		%)				9,368						(49.5		%)				9,859						18,726						(47.4		%)
Income tax expense						1,363						1,557						(12.5		%)				2,767						(50.7		%)				2,920						5,561						(47.5		%)
Net income						$	3,367					$	3,572					(5.7		%)				$	6,601					(49.0		%)				$	6,939					$	13,165					(47.3		%)
Earnings per common share
Basic						$	0.22					$	0.23											$	0.41											$	0.45					$	0.82
Diluted						$	0.22					$	0.23											$	0.40											$	0.45					$	0.81
Average shares
Basic						15,337,405						15,505,699												16,017,089												15,421,552						16,008,325
Diluted						15,373,655						15,700,144												16,330,039												15,522,626						16,303,274
Dividend paid per common share						$	0.10					$	0.10											$	0.06											$	0.20					$	0.11
Return on average assets (1)						0.69		%				0.81		%										1.52		%										0.75		%				1.55		%
Return on average shareholders’ equity (1), (2)						5.98		%				6.35		%										12.01		%										6.17		%				12.22		%
Efficiency ratio (3)						53.04		%				56.84		%										52.95		%										54.95		%				52.78		%

(1)Ratios are presented on an annualized basis.

(2)The Company did not have any intangible equity components for the presented periods.

(3)The ratios are calculated by dividing noninterest expense by the sum of net interest income and noninterest income.

12

PCB Bancorp and Subsidiary

Average Balance, Average Yield, and Average Rate (Unaudited)

($ in thousands)

						Three Months Ended
						6/30/2020																														3/31/2020																														6/30/2019
						Average Balance						Interest Income/ Expense						Avg. Yield/Rate						Average Balance						Interest Income/ Expense						Avg. Yield/Rate						Average Balance						Interest Income/ Expense						Avg. Yield/Rate
Assets
Interest-earning assets:
Total loans (1)						$	1,554,011					$	18,273					4.73		%				$	1,454,727					$	20,406					5.64		%				$	1,378,910					$	21,969					6.39		%
Mortgage-backed securities						63,692						317						2.00		%				57,503						329						2.30		%				87,787						559						2.55		%
Collateralized mortgage obligation						37,745						122						1.30		%				41,408						198						1.92		%				53,027						325						2.46		%
SBA loan pool securities						13,189						62						1.89		%				13,872						79						2.29		%				21,297						140						2.64		%
Municipal bonds (2)						5,710						38						2.68		%				5,719						38						2.67		%				5,880						38						2.59		%
Other interest-earning assets						245,447						161						0.26		%				158,793						610						1.55		%				154,661						999						2.59		%
Total interest-earning assets						1,919,794						18,973						3.97		%				1,732,022						21,660						5.03		%				1,701,562						24,030						5.66		%
Noninterest-earning assets:
Cash and cash equivalents						16,031																		18,850																		18,342
Allowance for loan losses						(17,320)																		(14,399)																		(13,163)
Other assets						37,959																		34,312																		35,843
Total noninterest-earning assets						36,670																		38,763																		41,022
Total assets						$	1,956,464																	$	1,770,785																	$	1,742,584
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Deposits:
NOW and money market accounts						$	371,992					548						0.59		%				$	364,604					1,119						1.23		%				$	323,285					1,339						1.66		%
Savings						6,966						3						0.17		%				6,614						3						0.18		%				9,146						14						0.61		%
Time deposits						730,349						2,858						1.57		%				758,481						3,870						2.05		%				811,247						4,847						2.40		%
Total interest-bearing deposits						1,109,307						3,409						1.24		%				1,129,699						4,992						1.78		%				1,143,678						6,200						2.17		%
Federal Home Loan Bank advances						130,330						201						0.62		%				25,117						102						1.63		%				30,166						138						1.83		%
Total interest-bearing liabilities						1,239,637						3,610						1.17		%				1,154,816						5,094						1.77		%				1,173,844						6,338						2.17		%
Noninterest-bearing liabilities
Noninterest-bearing demand						474,175																		369,518																		326,813
Other liabilities						16,198																		20,365																		21,441
Total noninterest-bearing liabilities						490,373																		389,883																		348,254
Total liabilities						1,730,010																		1,544,699																		1,522,098
Total shareholders’ equity						226,454																		226,086																		220,486
Total liabilities and shareholders’ equity						$	1,956,464																	$	1,770,785																	$	1,742,584
Net interest income												$	15,363																	$	16,566																	$	17,692
Net interest spread (3)																		2.80		%																3.26		%																3.49		%
Net interest margin (4)																		3.22		%																3.85		%																4.17		%
Total deposits						$	1,583,482					$	3,409					0.87		%				$	1,499,217					$	4,992					1.34		%				$	1,470,491					$	6,200					1.69		%
Total funding (5)						$	1,713,812					$	3,610					0.85		%				$	1,524,334					$	5,094					1.34		%				$	1,500,657					$	6,338					1.69		%

(1)Total loans include both loans held-for-sale and loans held-for-investment, net of deferred loan costs (fees).

(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.

(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.

(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.

(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

13

PCB Bancorp and Subsidiary

Average Balance, Average Yield, and Average Rate, Continued (Unaudited)

($ in thousands)

						Six Months Ended
						6/30/2020																														6/30/2019
						Average Balance						Interest Income/ Expense						Avg. Yield/Rate						Average Balance						Interest Income/ Expense						Avg. Yield/Rate
Assets
Interest-earning assets:
Total loans (1)						$	1,504,369					$	38,679					5.17		%				$	1,360,641					$	42,903					6.36		%
Mortgage-backed securities						60,597						646						2.14		%				86,164						1,108						2.59		%
Collateralized mortgage obligation						39,577						320						1.63		%				53,962						683						2.55		%
SBA loan pool securities						13,531						141						2.10		%				21,717						287						2.66		%
Municipal bonds (2)						5,714						76						2.67		%				5,884						77						2.64		%
Other interest-earning assets						202,120						771						0.77		%				147,601						1,924						2.63		%
Total interest-earning assets						1,825,908						40,633						4.48		%				1,675,969						46,982						5.65		%
Noninterest-earning assets:
Cash and cash equivalents						17,441																		18,509
Allowance for loan losses						(15,860)																		(13,141)
Other assets						36,136																		35,215
Total noninterest-earning assets						37,717																		40,583
Total assets						$	1,863,625																	$	1,716,552
Liabilities and Shareholders’ Equity
Interest-bearing liabilities:
Deposits:
NOW and money market accounts						$	368,298					1,667						0.91		%				$	308,348					2,471						1.62		%
Savings						6,790						6						0.18		%				8,810						22						0.50		%
Time deposits						744,415						6,728						1.82		%				812,583						9,372						2.33		%
Total interest-bearing deposits						1,119,503						8,401						1.51		%				1,129,741						11,865						2.12		%
Federal Home Loan Bank advances						77,723						303						0.78		%				30,120						272						1.82		%
Total interest-bearing liabilities						1,197,226						8,704						1.46		%				1,159,861						12,137						2.11		%
Noninterest-bearing liabilities
Noninterest-bearing demand						421,847																		317,493
Other liabilities						18,281																		21,880
Total noninterest-bearing liabilities						440,128																		339,373
Total liabilities						1,637,354																		1,499,234
Total shareholders’ equity						226,271																		217,318
Total liabilities and shareholders’ equity						$	1,863,625																	$	1,716,552
Net interest income												$	31,929																	$	34,845
Net interest spread (3)																		3.02		%																3.54		%
Net interest margin (4)																		3.52		%																4.19		%
Total deposits						$	1,541,350					$	8,401					1.10		%				$	1,447,234					$	11,865					1.65		%
Total funding (5)						$	1,619,073					$	8,704					1.08		%				$	1,477,354					$	12,137					1.66		%

(1)Total loans include both loans held-for-sale and loans held-for-investment, net of deferred loan costs (fees).

(2)The yield on municipal bonds has not been computed on a tax-equivalent basis.

(3)Net interest spread is calculated by subtracting average rate on interest-bearing liabilities from average yield on interest-earning assets.

(4)Net interest margin is calculated by dividing annualized net interest income by average interest-earning assets.

(5)Total funding is the sum of interest-bearing liabilities and noninterest-bearing deposits. The cost of total funding is calculated as annualized total interest expense divided by average total funding.

14