Coronado First Bank Turns Profitable in Second Quarter

CORONADO, Calif.--(Business Wire)--
Bruce Ives, President and CEO of Coronado First Bank (the "Bank") (OTCBB:CDFB)
announced unaudited financial results for the second quarter ended June 30,
2009. Total assets grew to $96 million and total deposits grew to $84 million,
increases of 60% and 84% respectively, over June 30 a year ago. During the 12
month period ended June 30, 2009, the Bank increased total loans by 78% to $81
million. The Bank maintained a Tier I capital to average assets ratio of 12.5%
at June 30, which was in excess of the 5% required to be designated "well
capitalized" as defined by the FDIC.

The Bank reported a second quarter profit of $38,000 or 3 cents per diluted
share and a six month loss of $111,000, or 8 cents per diluted share. Of note,
during this second quarter, was the ability of the Bank to absorb the
extraordinary expenses of the special FDIC assessment and the implementation of
FAS 123R relating to stock compensation expense.

Ives stated: "We are proud to report Coronado First Bank`s first full quarter of
profitability despite the industry wide mandatory special assessment by the FDIC
which resulted in a charge of $42,422 this quarter. We continue to expand
services and lending to credit worthy borrowers which allows us to grow the Bank
with safety, soundness and capital adequacy at the forefront of our strategic
plans and actions. In line with this strategy, we have successfully opened a new
full service office in Downtown San Diego on the corner of Ash and India Streets
that will allow us to expand our product offerings to a much broader San Diego
Market."

Ives continued: "We remain focused on three specific objectives set by our Board
for this year:

1. Produce profitable results for 2009
2. Grow to at least $100 million in assets
3. Open and grow our first branch office

We are pleased that our second quarter results indicate the Bank is on track to
achieve all three of these objectives in 2009. We truly appreciate the support
our shareholders, clients and employees have demonstrated since our beginnings
and look forward to continuing the Bank`s service to our communities in the
years to come."

Coronado First Bank is publicly traded on the Over-the-Counter Bulletin Board, ticker symbol: "CDFB". For more information on the Bank please contact:

Bruce Ives at 619-437-1000
www.coronadofirst.com

This press release includes forward-looking statements that involve inherent
risks and uncertainties. Coronado First Bank cautions readers that a number of
important factors could cause actual results to differ materially from those in
the forward-looking statements. These factors include economic conditions and
competition in the geographic and business areas in which Coronado First Bank
operates, inflation, fluctuations in interest rates, legislation and
governmental regulation. We make no promise to update any forward-looking
statement, whether as a result of changes in underlying factors, new
information, future events or otherwise.

CORONADO FIRST BANK
CONDENSED BALANCE SHEETS
(In thousands)

June 30, June 30,
2009 2008
ASSETS Unaudited Unaudited
Cash and due from banks $ 977 $ 917
Federal funds sold 7,720 635
Interest-bearing deposits in other banks 4,574 2,277
Investment securities 491 9,203
Loans, net 80,567 45,331
Premises and equipment, net 999 912
Accrued interest receivable and other assets 523 425
Total assets $ 95,851 $ 59,700

LIABILITIES AND STOCKHOLDERS' EQUITY
Non-interest bearing demand $ 12,738 $ 7,733
Money market 11,442 7,736
Savings and NOW 2,031 1,303
Time 57,899 28,984
Total deposits 84,110 45,756
Other borrowed money 500 2,500
Accrued interest payable and other liabilities 255 230
Total liabilities 84,865 48,486
Common stock - no par value, 1,392,477 outstanding
at June 30, 2009 and 2008, respectively 14,380 14,200
Retained earnings (3,394 ) (2,955 )
Unrealized losses on AFS securities, net - (31 )
Total stockholders' equity 10,986 11,214
Total liabilities and stockholders' equity $ 95,851 $ 59,700

CONDENSED STATEMENTS OF OPERATION
(In thousands, except per share amounts)

Six Months Ended
Three Months Ended June 30,
June 30, 2009 March 31, 2009 2009 2008
Unaudited Unaudited Unaudited Unaudited
Total interest income $ 1,327 $ 1,168 $ 2,495 $ 1,971
Total interest expense 406 364 770 734
Net interest income 921 804 1,725 1,237
Provision for loan losses 48 158 206 74
Net interest income after provision for loan losses 873 646 1,519 1,163

Noninterest income 14 12 26 55
Noninterest expense 848 807 1,655 1,423
Income before income taxes 39 (149 ) (110 ) (205 )
Income taxes 1 - 1 1
Net income (loss) $ 38 $ (149 ) $ (111 ) $ (206 )

Basic and diluted earnings (loss) per share $ 0.03 $ (0.11 ) $ (0.08 ) $ (0.15 )

Average basic and diluted shares outstanding 1,392 1,392 1,392 1,392

Coronado First Bank
Bruce Ives, 619-437-1000
www.coronadofirst.com

Copyright Business Wire 2009