
For Immediate Release	From:	Mark Chapman
		SVP/Director, Corporate Communications
		415-526-6485
		mchapman@tambank.com

Tamalpais Bancorp Reports
Results for Fiscal 2009

Bancorp Continuing to Take Reserves and Charges
to Fulfill Mandated Actions

San Rafael, CA—February 16, 2010—Tamalpais Bancorp (the Company), the parent company for Tamalpais Bank (the Bank), today reported a net loss for the fourth quarter of 2009 of $28.2 million and a quarterly loss per share (EPS) of $7.37. The net loss for the full year of 2009 was $37.6 million and the annual diluted loss per share was $9.83, compared to net income of $4.8 million and EPS of $1.26 in the prior year.

To meet regulatory requirements, the Bank continues to divest itself of portions of its loan portfolio to reduce its risk exposure in classified assets and to facilitate the required roll-off of brokered deposits. The resulting loan loss provisions recorded for loans sold in the fourth quarter of 2009 and for loans to be sold in the first quarter of 2010 were the major contributors for the fourth quarter 2009 loss. Additionally, the general provisions increased the allowance for loan losses as a percent of total loans held for investment to 5.03% as of December 31, 2009, from 1.37% as of December 31, 2008. For the 12 months ended December 31, 2009 the Bank’s net loans decreased by $88.8 million to $495.6 million.

“In the fourth quarter, we increased our allowance for loan losses to resolve non-performing loans and to acknowledge the decline in commercial real estate values,” said Mark Garwood, president /CEO/chairman. “The results of this action and plans for loan sales in the first quarter 2010 show our continuing and determined work to improve our credit quality.

“We are focusing our efforts on raising capital and have been successful in increasing deposit balances, plus decreasing FHLB borrowings and brokered deposits,” he said.

During 2009, deposits into the Bank increased by $26.9 million to $487.2 million. During this same period, intermediate-term investments decreased by $10.4 million to $56.8 million and the Bank’s FHLB borrowings decreased by $64.0 million to $119.1 million. As of December 31, 2009 the total assets of the Company decreased to $629.7 million from a total of $703.7 million as of December 31, 2008.

About Tamalpais Bancorp
Tamalpais Bancorp, through its wholly owned subsidiary Tamalpais Bank, offers business and consumer banking through its seven Marin County full service branches. The Company had $630 million in assets as of December 31, 2009. As previously reported, Tamalpais Wealth Advisors will be absorbed by CSI Capital Management Inc.

This news release contains forward-looking statements with respect to the financial condition, results of operation and business of Tamalpais Bancorp and its subsidiary. These include, but are not limited to, statements that relate to or are dependent on estimates or assumptions relating to the prospects of loan growth, credit quality, changes in securities or financial markets, and certain operating efficiencies resulting from the operations of Tamalpais Bank. These forward-looking statements involve certain risks and uncertainties. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following possibilities: (1) our ability to successfully raise capital or otherwise comply with the requirements of the FDIC order and agreement with the Federal Reserve Board; (2) competitive pressure among financial services companies increases significantly; (3) changes in the interest rate environment reduce interest margins; (4) general economic conditions, internationally, nationally or in the State of California are less favorable than expected; (5) legislation or regulatory requirements or changes adversely affect the businesses in which the consolidated organization is or will be engaged;(6) the ability to satisfy the requirements of the Sarbanes-Oxley Act and other regulations governing internal controls; and (7) other risks detailed in the Tamalpais Bancorp filings with the Securities and Exchange Commission. When relying on forward-looking statements to make decisions with respect to Tamalpais Bancorp, investors and others are cautioned to consider these and other risks and uncertainties. Tamalpais Bancorp disclaims any obligation to update any such factors or to publicly announce the results of any revisions to any of the forward-looking statements contained herein to reflect future events or developments.

# # #

TAMALPAIS BANCORP AND SUBSIDIARIES
Consolidated Balance Sheets


	December 31, 2009			December 31, 2008			$ Change			% Change

	(unaudited)
Assets
Cash and cash equivalents:
Cash and due from banks	$	14,186,881		$	15,918,826		$	(1,731,945	)		-10.9	%
Federal funds sold		15,001,715			838			15,000,877			1790081	%

Total Cash and Cash Equivalents		29,188,596			15,919,664			13,268,932			83.3	%
Interest-bearing time deposits in other financial institutions		178,733			558,034			(379,301	)		-68.0	%
Investment securities		—
Available-for-sale		50,951,388			56,415,727			(5,464,339	)		-9.7	%
Held-to-maturity, at cost		5,807,181			10,773,579			(4,966,398	)		-46.1	%
Federal Home Loan Bank restricted stock, at cost		8,652,000			8,652,000			—			0.0	%
Pacific Coast Banker’s Bank restricted stock, at cost		50,000			50,000			—			0.0	%
Loans receivable		458,750,100			592,543,181			(133,793,081	)		-22.6	%
Less: Allowance for loan losses		(23,097,897	)		(8,093,499	)		(15,004,398	)		185.4	%
Loans Held-for-Sale		59,985,443			—			59,985,443			100	%

Total Loans, net		495,637,646			584,449,682			(88,812,036	)		-15.2	%
Bank premises and equipment, net		3,322,794			3,935,230			(612,436	)		-15.6	%
Accrued interest receivable		3,205,232			3,861,854			(656,622	)		-17.0	%
Other real estate owned		3,587,468			—			3,587,468			100	%
Cash surrender value of bank-owned life insurance		11,194,845			10,828,936			365,909			3.4	%
Other assets		17,953,434			7,945,510			10,007,924			126.0	%

Total Assets	$	629,729,317		$	703,390,216			(73,660,899	)		-10.5	%


Liabilities and Stockholders’ Equity
Liabilities
Deposits
Noninterest-bearing deposits		43,362,167			33,259,929			10,102,238			30.4	%
Interest-bearing checking deposits		7,171,790			9,735,689			(2,563,899	)		-26.3	%
Money market and saving deposits		128,632,912			156,479,340			(27,846,428	)		-17.8	%
Certificates of deposit		308,050,249			260,826,102			47,224,147			18.1	%

Total Deposits		487,217,118			460,301,060			26,916,058			5.8	%
Federal Home Loan Bank Advances		119,085,000			183,085,000			(64,000,000	)		-35.0	%
Long term debt		6,185,614			6,000,000			185,614			3.1	%
Junior Subordinated Debentures		13,403,000			13,403,000			—			0.0	%
Accrued interest payable and other liabilities		4,077,163			3,227,823			849,340			26.3	%

Total Liabilities		629,967,895			666,016,883			(36,048,988	)		-5.4	%


Commitment and Contingencies		—			—			—			—

Stockholders’ Equity
Common stock, no par value; 300,000,000 shares authorized; 3,823,634 shares issued and outstanding at December 31, 2009 and December 31, 2008, respectively		12,027,473			12,027,473			—			0.0	%
Paid-In-Capital		1,181,825			949,488			232,337			24.5	%
Retained earnings		(13,774,870	)		24,082,473			(37,857,343	)		-157.2	%
Accumulated other comprehensive income		326,994			313,899			13,095			4.2	%

Total Stockholders’ Equity		(238,578	)		37,373,333			(37,611,911	)		-100.6	%

Total Liabilities and Stockholders’ Equity	$	629,729,317		$	703,390,216			(73,660,899	)		-10.5	%

TAMALPAIS BANCORP AND SUBSIDIARIES
Consolidated Statements of Income
For the Periods Ended December 31, 2009 and 2008


	For the Three Months Ended
	December 31,						Change

	2009			2008			$			%

	(Unaudited)
Interest Income
Interest and fees on loans	$	8,069,951		$	10,287,346		$	(2,217,395	)		-21.6	%
Interest on investment securities		608,232			728,165			(119,933	)		-16.5	%
Interest on Federal funds sold		19,252			16,238			3,014			18.6	%
Interest on other investments		159			(32,266	)		32,425			-100.5	%
Interest on deposits in other financial institutions		1,558			7,034			(5,476	)		-77.9	%

Total Interest Income		8,699,152			11,006,517			(2,307,365	)		-21.0	%


Interest Expense
Interest expense on deposits		2,346,667			2,685,048			(338,381	)		-12.6	%
Interest expense on borrowed funds		1,323,582			1,891,966			(568,384	)		-30.0	%
Interest expense on long term debt		84,090			93,889			(9,799	)		-10.4	%
Interest expense on Junior Subordinated Debentures		58,980			137,781			(78,801	)		-57.2	%

Total Interest Expense		3,813,319			4,808,684			(995,365	)		-20.7	%

Net Interest Income Before Provision for Loan Losses		4,885,833			6,197,833			(1,312,000	)		-21.2	%

Provision for Loan Losses		27,410,510			1,594,000			25,816,510			1619.6	%

Net Interest (Loss) Income After Provision for Loan Losses		(22,524,677	)		4,603,833			(27,128,510	)		-589.3	%


Noninterest Income
Gain on sale of securities, net		546,335			—			546,335			—
(Loss)Gain on sale/brokering of loans, net		(67,219	)		(16,196	)		(83,415	)		-515.0	%
(Loss) on sale of other real estate owned, net		(552,089	)		—			(552,089	)		—
Loan servicing		47,643			50,233			(2,590	)		-5.2	%
Registered Investment Advisory Services fee income		147,371			135,420			11,951			8.8	%
Other income		265,277			320,730			(55,453	)		-17.3	%

Total Noninterest Income		387,317			522,579			(135,262	)		-25.9	%


Noninterest Expenses
Salaries and benefits		1,820,817			2,077,211			(256,394	)		-12.3	%
Occupancy		351,295			361,063			(9,768	)		-2.7	%
Advertising		160,960			74,029			86,931			117.4	%
Professional		1,066,816			287,578			779,238			271.0	%
Data processing		194,665			186,208			8,457			4.5	%
Equipment and depreciation		195,016			188,197			6,819			3.6	%
Other administrative		2,581,713			730,474			1,851,239			253.4	%

Total Noninterest Expense		6,371,282			3,904,760			2,466,522			63.2	%


(Loss) Income Before Income Taxes		(28,508,642	)		1,221,652			(29,730,294	)		-2433.6	%
(Benefit) Provision for Income Taxes		(313,640	)		371,924			(685,564	)		-184.3	%

Net (Loss) Income	$	(28,195,003	)	$	849,728		$	(29,044,731	)		-3418.1	%

(Loss) Earnings Per Share
Basic	$	(7.37	)	$	0.22		$	(7.59	)		-3450.6	%


Diluted	$	(7.37	)	$	0.22		$	(7.59	)		-3450.6	%

TAMALPAIS BANCORP AND SUBSIDIARIES
Consolidated Statements of Income
For the Periods Ended December 31, 2009 and 2008


	For the Twelve Months Ended December 31,						Change

	2009			2008			$			%

	(Unaudited)
Interest Income
Interest and fees on loans	$	37,147,921		$	40,052,345		$	(2,904,424	)		-7.3	%
Interest on investment securities		2,744,977			2,680,668			64,309			2.4	%
Interest on Federal funds sold		46,016			110,668			(64,652	)		-58.4	%
Interest on other investments		24,913			298,165			(273,252	)		-91.6	%
Interest on deposits in other financial institutions		20,700			30,647			(9,947	)		-32.5	%

Total Interest Income		39,984,527			43,172,493			(3,187,966	)		-7.4	%


Interest Expense
Interest expense on deposits		9,129,615			11,987,917			(2,858,302	)		-23.8	%
Interest expense on borrowed funds		6,526,821			7,027,569			(500,748	)		-7.1	%
Interest expense on long term debt		287,826			212,803			75,023			35.3	%
Interest expense on Junior Subordinated Debentures		723,793			635,787			88,006			13.8	%

Total Interest Expense		16,668,055			19,864,076			(3,196,021	)		-16.1	%

Net Interest Income Before Provision for Loan Losses		23,316,472			23,308,417			8,055			0.0	%

Provision for Loan Losses		50,845,681			3,190,957			47,654,724			1493.4	%

Net Interest Income (Loss) After Provision for Loan Losses		(27,529,209	)		20,117,460			(47,646,669	)		-236.8	%

Noninterest Income
Gain on sale of loans, net		(67,219	)		182,489			(249,708	)		-136.8	%
Gain (Loss) on sale of securities, net		783,822			(5,780	)		789,602			-13660.9	%
Gain on sale of other real estate owned, net		(474,308	)		—			(474,308	)		—
Loan servicing		166,982			182,093			(15,111	)		-8.3	%
Registered Investment Advisory Services fee income		540,448			599,537			(59,089	)		-9.9	%
Other income		1,211,498			1,228,544			(17,046	)		-1.4	%

Total Noninterest Income		2,161,222			2,186,883			(25,661	)		-1.2	%


Noninterest Expenses
Salaries and benefits		7,790,611			8,489,707			(699,096	)		-8.2	%
Occupancy		1,420,994			1,481,267			(60,273	)		-4.1	%
Advertising		547,168			307,868			239,300			77.7	%
Professional		2,321,692			674,067			1,647,625			244.4	%
Data processing		665,672			610,092			55,580			9.1	%
Equipment and depreciation		757,526			838,561			(81,035	)		-9.7	%
Other administrative		6,666,306			2,688,146			3,978,160			148.0	%

Total Noninterest Expense		20,169,969			15,089,708			5,080,261			33.7	%


(Loss) Income Before Income Taxes		(45,537,956	)		7,214,635			(52,752,591	)		-731.2	%
(Benefit) Provision for Income Taxes		(7,909,929	)		2,385,901			(10,295,830	)		-431.5	%

Net (Loss) Income	$	(37,628,027	)	$	4,828,734		$	(42,456,761	)		-879.3	%

(Loss) Earnings Per Share
Basic	$	(9.84	)	$	1.26		$	(11.10	)		-880.7	%


Diluted	$	(9.83	)	$	1.26		$	(11.09	)		-880.2	%

TAMALPAIS BANCORP AND SUBSIDIARIES
Selected Ratios and Other Data
Unaudited
(Dollars in Thousands Except Per Share Amounts)


	At or For the Three Months Ended December 31,						At or For the Twelve Months Ended December 31,

	2009			2008			2009			2008

Profitability Ratios:
Return on average assets		-16.67	%		0.49	%		-5.39	%		0.76	%
Return on average equity		-425.75	%		9.18	%		-115.17	%		13.74	%
Net Interest Margin		2.97	%		3.71	%		3.45	%		3.79	%
Efficiency ratio		120.8	%		58.1	%		79.2	%		59.2	%

Other Information:
Average total assets	$	676,544		$	686,981		$	697,971		$	636,713
Average interest earning assets	$	652,354		$	664,824		$	674,900		$	614,458
Average equity	$	26,490		$	37,023		$	32,672		$	35,135
Period Ending Shares Outstanding		3,823,634			3,823,634			3,823,634			3,823,634
Average Basic Shares Outstanding		3,823,634			3,823,634			3,823,634			3,820,535
Average Diluted Shares Outstanding		3,823,634			3,825,842			3,827,699			3,830,149
Book value per share	$	(0.06	)	$	9.77		$	(0.06	)	$	9.77
Basic (loss) / earnings per share	$	(7.37	)	$	0.22		$	(9.84	)	$	1.26
Diluted (loss) / earnings per share	$	(7.37	)	$	0.22		$	(9.83	)	$	1.26

Tamalpais Bank Capital Ratios:
Tier 1 leverage ratio		2.73	%		8.07	%
Tier 1 risk based capital ratio		3.58	%		9.20	%
Total risk based capital ratio		4.87	%		10.46	%

Tamalpais Bancorp Capital Ratios:
Tier 1 leverage ratio		-0.08	%		N/A
Tier 1 risk based capital ratio		-0.11	%		N/A
Total risk based capital ratio		-0.11	%		N/A

TAMALPAIS BANCORP AND SUBSIDIARIES
Selected Loan and Asset Quality Data
Unaudited
(Dollars in Thousands Except Per Share Amounts)


Loan Portfolio:	At December 31, 2009					At December 31, 2008

	Amount		%			Amount		%

Loans Held-for-Investment
One-to-four family residential	$	32,288		6.2	%	$	33,695		5.7	%
Multifamily residential		103,700		20.0	%		171,136		28.9	%
Commercial real estate		240,615		46.4	%		322,861		54.5	%
Land		9,766		1.9	%		10,905		1.8	%
Construction real estate		33,667		6.5	%		31,077		5.2	%
Commercial, non real estate		35,716		6.9	%		18,913		3.2	%
Consumer loans		1,556		0.3	%		2,111		0.4	%
Loans Held-for-Sale
Multifamily residential		19,191		3.7	%		—		0.0	%
Commercial real estate		40,794		7.9	%		—		0.0	%

Total gross loans	$	517,293		99.8	%		590,698		99.7	%
Net deferred loan costs		1,442		0.2	%		1,845		0.3	%

Gross loans receivable	$	518,735		100.0	%	$	592,543		100.0	%


	As Of the Period Indicated

	December 31, 2009		December 31, 2008

Nonperforming Assets:
Nonaccrual loans	$	43,053	$	16,758

Nonperforming loans		43,053		16,758
Other real estate owned		3,587		417

Nonperforming assets		46,640		17,175


	As of the Period Indicated

	December 31, 2009			December 31, 2008

Allowance for Loan Losses:
Balance, beginning of period	$	8,093		$	4,915
Provisions for loan losses		50,846			3,190
Charge-offs		(35,845	)		(37	)
Recoveries		4			25

Net charge-offs		(35,841	)		(12	)

Balance, end of period	$	23,098		$	8,093


	As Of the Period Indicated

	December 31, 2009		December 31, 2008

Allowance for Loan Losses:
General allowance for loan losses	$	17,103	$	8,093
Impairments of specific loans		5,995		—

Balance	$	23,098	$	8,093


	As Of the Period Indicated

	December 31, 2009		December 31, 2008

Asset Quality:
Allowance for loan losses / loans held-for-investment	5.03	%	1.37	%
Allowance for loan losses / nonperforming loans	53.7	%	48.3	%
Nonperforming loans / gross loans	8.30	%	2.83	%
Nonperforming assets / total assets	7.41	%	2.44	%
Net charge-offs / gross loans	6.91	%	0.00	%

TAMALPAIS BANCORP AND SUBSIDIARIES
Average Balance Sheets (Unaudited)


	For the Three Months Ended

	12/31/09								12/31/08

(dollars in thousands)	Average Balance			Interest Income/ Expense		Yields Earned/ Paid			Average Balance			Interest Income/ Expense			Yields Earned/ Paid

Assets
Investment securities - Muni’s (1,2)	$	4,157		$	42		4.01	%	$	5,226		$	51			5.47	%
Investment securities - Taxable (2)		58,337			567		3.86	%		57,539			677			4.68	%
Other investments		8,702			—		0.00	%		8,497			(32	)		-1.50	%
Interest bearing deposits in other financial institutions		343			2		1.80	%		628			7			4.43	%
Federal funds sold		24,820			19		0.31	%		9,241			16			0.69	%
Loans (3)		555,343			8,070		5.77	%		583,693			10,288			7.01	%
Loans Held For Sale		652			—		0.00	%		—			—			0.00	%

Total Interest Earning Assets		652,354			8,700		5.29	%		664,824			11,007			6.59	%
Allowance for loan losses		(21,658	)							(6,720	)
Cash and due from banks		5,381								4,348
Net premises, furniture and equipment		3,434								4,057
Other assets		37,033								20,472

Total Assets	$	676,544							$	686,981


Liabilities and Shareholders’ Equity
Interest bearing checking	$	7,509			5		0.26	%	$	7,943			12			0.60	%
Savings deposits (4)		135,399			429		1.26	%		152,242			725			1.89	%
Time deposits		310,820			1,913		2.44	%		255,167			1,948			3.04	%
Other borrowings		132,498			1,324		3.96	%		180,020			1,892			4.18	%
Long term debt		6,186			84		5.39	%		6,000			94			6.23	%
Junior Subordinated Debentures		13,403			58		1.72	%		13,403			138			4.10	%

Total Interest Bearing Liabilities		605,815			3,813		2.50	%		614,775			4,809			3.11	%
Noninterest-bearing deposits		41,390								31,490
Other liabilities		2,849								3,693

Total Liabilities		650,054								649,958
Shareholders’ Equity		26,490								37,023

Total Liabilities and Shareholders’ Equity	$	676,544							$	686,981



Net interest income				$	4,887							$	6,198

Net interest spread (5)							2.79	%								3.47	%
Net interest margin (6)							2.97	%								3.71	%

(1) Yields on securities and certain loans have been adjusted upward to a “fully taxable equivalent” (“FTE”) basis in order to reflect the effect of income which is exempt from federal income taxation at the current statutory tax rate.
(2) The yields for securities were computed using the average amortized cost and therefore do not give effect for changes in fair value.
(3) Loans, net of unearned income, include non-accrual loans but do not reflect average reserves for possible loan losses.
(4) Savings deposits include Money Market accounts.
(5) Net interest spread is the interest differential between total interest earning assets and total interest-bearing liabilities.
(6) Net interest margin is the net yield on average interest earning assets.

TAMALPAIS BANCORP AND SUBSIDIARIES
Average Balance Sheets (Unaudited)


	For the Twelve Months Ended

	12/31/09								12/31/08

(dollars in thousands)	Average Balance			Interest Income/ Expense		Yields Earned/ Paid			Average Balance			Interest Income/ Expense		Yields Earned/ Paid

Assets
Investment securities - Muni’s (1,2)	$	4,667		$	184		5.66	%	$	6,307		$	248		5.54	%
Investment securities - taxable (2)		60,629			2,561		4.22	%		51,606			2,433		4.71	%
Other investments		9,521			25		0.26	%		8,031			298		3.71	%
Interest bearing deposits in other financial institutions		515			21		4.08	%		669			31		4.63	%
Federal funds sold		15,928			46		0.29	%		6,301			111		1.76	%
Loans (3)		583,476			37,148		6.37	%		541,544			40,051		7.40	%
Loans Held For Sale		164

Total Interest Earning Assets		674,900			39,985		5.92	%		614,458			43,172		7.03	%
Allowance for loan losses		(15,784	)							(5,790	)
Cash and due from banks		4,791								4,430
Net premises, furniture and equipment		3,680								4,319
Other assets		30,384								19,296

Total Assets	$	697,971							$	636,713


Liabilities and Shareholders’ Equity
Interest bearing checking	$	8,664		$	24		0.28	%	$	7,193			44		0.61	%
Savings deposits (4)		166,420			2,126		1.28	%		151,014			3,576		2.37	%
Time deposits		270,069			6,979		2.58	%		228,140			8,367		3.67	%
Other borrowings		160,126			6,527		4.08	%		167,854			7,028		4.19	%
Long Term Debt		6,010			288		4.79	%		4,011			213		5.31	%
Junior Subordinated Debentures		13,403			724		5.40	%		13,403			636		4.75	%

Total Interest Bearing Liabilities		624,692			16,668		2.67	%		571,615			19,864		3.48	%
Noninterest-bearing deposits		37,825								26,562
Other liabilities		2,782								3,401

Total Liabilities		665,299								601,578
Shareholders’ Equity		32,672								35,135

Total Liabilities and Shareholders’ Equity	$	697,971							$	636,713



Net interest income				$	23,317							$	23,308

Net interest spread (5)							3.25	%							3.55	%
Net interest margin (6)							3.45	%							3.79	%

TAMALPAIS BANCORP 8-K/A