Preferred Bank Announces Cash Dividend of $0.10 Per Common Share

LOS ANGELES, Oct. 23 /PRNewswire-FirstCall/ -- Preferred Bank (Nasdaq: PFBC),
today announced that at a meeting held on October 21, 2008, its Board of
Directors declared a quarterly cash dividend of $0.10 per common share payable
on November 25, 2008 to shareholders of record on November 11, 2008.

About Preferred Bank
Preferred Bank is one of the largest independent commercial banks in
California focusing on the Chinese-American market. The bank is chartered by
the State of California, and its deposits are insured by the Federal Deposit
Insurance Corporation, or FDIC, to the maximum extent permitted by law. The
Company conducts its banking business from its main office in Los Angeles,
California, and through ten full-service branch banking offices in Alhambra,
Century City, Chino Hills, City of Industry, Torrance, Arcadia, Irvine,
Diamond Bar, Santa Monica and Valencia, California. Preferred Bank offers a
broad range of deposit and loan products and services to both commercial and
consumer customers. The bank provides personalized deposit services as well
as real estate finance, commercial loans and trade finance to small and
mid-sized businesses, entrepreneurs, real estate developers, professionals and
high net worth individuals. Preferred Bank continues to benefit from the
significant migration to Southern California of ethnic Chinese from China and
other areas of East Asia. While its business is not solely dependent on the
Chinese-American market, it represents an important element of the bank's
operating strategy, especially for its branch network and deposit products and
services. Preferred Bank believes it is well positioned to compete effectively
with the smaller Chinese-American community banks, the larger commercial banks
and other major banks operating in Southern California by offering a high
degree of personal service and responsiveness, experienced multi-lingual staff
and substantial lending limits.

For Further Information:

AT THE COMPANY: AT FINANCIAL RELATIONS BOARD:
Edward J. Czajka Lasse Glassen
Executive Vice President General Information

Chief Financial Officer (213) 486-6546
(213) 891-1188 lglassen@financialrelationsboard.com

SOURCE Preferred Bank

CONTACT: Edward J. Czajka, Executive Vice President, Chief Financial Officer
of Preferred Bank, +1-213-891-1188; or Lasse Glassen, General Information,
+1-213-486-6546, lglassen@financialrelationsboard.com, of Financial Relations
Board, for Preferred Bank