Oak Valley Bancorp. Oak Valley Bancorp was incorporated on April 1, 2008 in
California for the purpose of becoming Oak Valley Community Bank’s parent
bank holding company. Effective July 3, 2008, Oak Valley Bancorp acquired all
of the outstanding capital stock of Oak Valley Community Bank (the “Bank”).
The principal office of Oak Valley Bancorp is located at 125 North Third Avenue,
Oakdale, California 95361 and its principal telephone is (209) 848-2265.
The Company is authorized to issue 50,000,000 shares of common stock, without
par value, of which 8,078,155 are issued and outstanding at December 31, 2015,
and 10,000,000 shares of preferred stock, without par value, of which no shares
are issued and outstanding.
The Company is the holding company of the Bank, and its only assets are the
outstanding capital stock of the Bank, which the Company wholly owns, cash and
income tax benefits receivable classified as other assets.
Oak Valley Community Bank. The Bank commenced operations in May 1991. The Bank
is an insured bank under the Federal Deposit Insurance Act and is a member of
the Federal Reserve. The Bank is subject to regulation, supervision and regular
examination by the California Department of Business Oversight (DBO), the Federal
Deposit Insurance Commission (FDIC) and the Federal Reserve Board (FRB). Since
its formation, the Bank has provided basic banking services to individuals and
business enterprises in Oakdale, California and the surrounding areas. The focus
of the Bank is to offer a range of commercial banking services designed for
both individuals and small to medium-sized businesses in the two main areas
of service of the Bank: the Central Valley and the Eastern Sierras.
The Bank offers a complement of business checking and savings accounts for its
business customers. The Bank also offers commercial and real estate loans, as
well as lines of credit. Real estate loans are generally of a short-term nature
for both residential and commercial lending purposes. Longer-term real estate
loans are generally made with adjustable interest rates and contain customary
provisions for acceleration. Traditional residential mortgages are available
to Bank customers through a third party.
The Bank offers other services for both individuals and businesses including
online banking, remote deposit capture, mobile banking, merchant services, night
depository, extended hours, wire transfer of funds, note collection, and automated
teller machines in a national network. The Bank does not currently offer international
banking or trust services although the Bank may make such services available
to the Bank’s customers through financial institutions with which the
Bank has correspondent banking relationships. The Bank does not offer stock
transfer services nor does it directly issue credit cards.
The Bank operates in two primary lines of business: Retail Banking and Commercial
Banking, as described in additional detail below. These business lines do not
meet the quantitative thresholds for reporting as separate segments and are
therefore considered one segment for financial reporting purposes.