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PINNACLE BANK FOR IMMEDIATE RELEASE PRESS RELEASE : October 28 , 2021 Pinnacle Bank Announces Q3 2021 Results Gilroy , CA - October 28 , 2021 - OTCQB : PBNK - Pinnacle Bank , headquartered in Gilroy , California , announced today unaudited net income for the three months ended September 30 , 2021 of $ 2,170,000 compared to $ 1,348,000 in the same period in 2020 . As of September 30 , 2021 , total assets were $ 722.0 million , a 16 % increase from the $ 624.9 million at September 30 , 2020 . Gross loans were $ 444.9 million at September 30 , 2021 , a decrease of $ 57.3 million ( -11 % ) from the September 30 , 2020 balance of $ 502.1 million . Excluding PPP loans , gross loans increased $ 32.1 million or 9 % . Gross Paycheck Protection Program ( PPP ) loans at September 30 , 2021 were $ 36.3 million compared to $ 125.6mm a year earlier . The allowance for loan losses at September 30 , 2021 was $ 6.178 million or 1.34 % of loans ( 1.45 % of net loans excluding the PPP loans ) compared to $ 5.885 million or 1.24 % of loans at September 30 , 2020 ( 1.67 % excluding PPP loans ) . Total deposits at September 30 , 2021 , increased to $ 647.1 million from $ 548.8 million at September 30 , 2020 , an 18 % increase . Gains on the sale of government guaranteed loans were $ 1.6mm in the third quarter of 2021 compared to $ 927,000 in the same period in 2020. The increase reflects borrower demand for financing using the enhancements to the SBA 7a program available through September 2021 and the prices paid by buyers of the guarantees . " Economic activity in our communities remains encouraging . Our strong third quarter earnings and excellent growth in core loans and deposits reflects the success of our approach to combine relationship banking with participation in government guaranteed lending , " stated Jeffrey Payne , President and CEO . “ We are honored to contribute to the success of our communities by providing premier business banking from Salinas Valley to Silicon Valley . Our continued success and momentum is due to the ongoing efforts and contributions of our outstanding team of professional bankers , committed directors and advisors and our many loyal clients . " As of September 30 , 2021 , there was one loan for $ 683,000 performing in agreement with a COVID loan modification . COVID loan modifications are generally for interest only periods . The Bank's capital position remains above regulatory guidelines for well capitalized banks . At September 30 , 2021 , the Bank had a total capital ratio of 14.75 % . Book value per share at September 30 , 2021 was $ 12.01 . Pinnacle Bank is rated by Bauer Financial as Five - Star " Superior " for strong financial performance , the top rating given by the independent bank rating firm . DepositAccounts.com awarded Pinnacle Bank an A + rating with a ranking of 80 out of 5,035 U.S. banks analyzed . The Findley Reports named Pinnacle Bank a 2020 Super Premier performing bank . For more information please go to www.pinnacle.bank click on Investor Relations and September 2021 call report . About Pinnacle Bank Pinnacle Bank is a full - service business bank dedicated to providing quality depository and credit services in Santa Clara , San Benito and Monterey counties . The bank focuses on commercial banking services for businesses and nonprofit organizations , offering a variety of products and services that combine the best of personal touch with convenient technology - based delivery . Pinnacle Bank has locations in Morgan Hill , Gilroy , Salinas and Campbell . For more information please go to www.pinnacle.bank click on Investor Relations and September 2021 call report . Forward - Looking Statements This release may contain forward - looking statements , such as , among others , statements about plans , expectations and goals concerning growth and improvement . Forward - looking statements are subject to risks and uncertainties . Such risks and uncertainties may include , but are not necessarily limited to fluctuations in interest rates , inflation , government regulations and general economic conditions , including the real estate market in our primary service area and more generally in California and other factors beyond the Bank's control . Such risks and uncertainties could cause results for subsequent interim periods or for the entire year to differ materially from those indicated . Readers should not place undue reliance on the forward- looking statements , which reflect management's view only as of the date hereof . Pinnacle Bank undertakes no obligation to publicly revise these forward - looking statements to reflect subsequent events or circumstances . Media Contact : Pinnacle Bank Jeffrey D. Payne , President & CEO 408-762-7146