EXHIBIT 99.1



                   SAFE HARBOR FOR FORWARD-LOOKING STATEMENTS
                       UNDER PRIVATE SECURITIES LITIGATION
                REFORM ACT OF 1995; CERTAIN CAUTIONARY STATEMENTS


          Centennial Bancorp ("Bancorp") and its representatives may make
forward-looking statements (as such term is defined in the Private Securities
Litigation Reform Act) from time-to-time. Bancorp wants to invoke to the fullest
extent possible the protection of the Private Securities Litigation Reform act
and the judicially created "bespeaks caution" doctrine with respect to such
statements. Accordingly, Bancorp is filing this Exhibit 99.1, which lists
certain factors that may cause actual results to differ materially from those in
such forward-looking statements.

          This list is not necessarily exhaustive. Bancorp and its subsidiaries,
Centennial Bank and Centennial Mortgage Co., operate in a rapidly changing
environment, and new risk factors emerge periodically. There can be no assurance
that this Exhibit lists all material risks to Bancorp at any specific point in
time.

          Readers are cautioned not to rely on any such forward-looking
statements in making investment decisions. Bancorp does not intend to update its
forward-looking statements.

IMPACT OF INTEREST RATES AND ECONOMIC CONDITIONS

          The results of operations for financial institutions, including
Bancorp and its subsidiaries, may be materially and adversely affected by
changes in prevailing economic conditions, including declines in real estate
market values, rapid changes in interest rates or changes in the monetary and
fiscal policies of the federal government. Accordingly, there can be no
assurance that Bancorp's positive financial trends will continue or that
negative trends or developments will not have a material adverse effect on
Bancorp's results of operations. Most of the loans originated by Centennial Bank
are made to borrowers within the Eugene/Springfield and Portland, Oregon areas.
Consequently, adverse changes in economic conditions in those market areas could
impair Bancorp's ability to collect loans and could otherwise have a negative
effect on Bancorp's financial condition.

UNCERTAIN ABILITY TO MANAGE GROWTH

          Bancorp intends to continue to pursue an aggressive growth strategy
focused primarily upon Bancorp's ability to develop new account relationships,
to establish new Centennial Bank branches in Oregon, particularly outside the
Eugene/Springfield area, to make acquisitions, and to generate loans and
deposits at acceptable risk levels and on acceptable terms.

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          Bancorp's growth strategy requires, among other things, expanded
operational systems, the implementation of new control procedures, and success
in hiring and retaining skilled employees. Bancorp believes that its capital,
borrowings, and expected earnings will be sufficient to support its operations
and anticipated expansion and to meet all regulatory requirements for the
foreseeable future.

          There can be no assurance that Bancorp will be successful in
implementing, or will have the necessary regulatory capital to implement, its
growth strategy.

COMPOSITION OF LOAN PORTFOLIO

          At December 31, 1996, commercial loans (not collateralized by real
estate), real estate loans (including commercial loans collateralized by real
estate) and construction loans represented approximately 44%, 28% and 25%,
respectively, of Bancorp's total loan portfolio. Commercial loans that are not
collateralized by real estate generally are considered to involve a higher
degree of risk than loans collateralized by real estate, primarily because the
collateral may be difficult to obtain or liquidate. Construction lending is
subject to substantial risks, such as construction delays, cost overruns,
insufficient collateral and an inability to obtain permanent financing in a
timely manner.

RESERVE FOR LOAN LOSSES

          Bancorp's reserve for loan losses is maintained at a level considered
adequate by management to absorb anticipated losses. The amount of future
losses, however, may be affected by changes in economic, operating and other
conditions, including changes in interest rates, that may be beyond Bancorp's
control, and future losses may exceed current estimates. At December 31, 1996,
Bancorp had total nonperforming loans of $1.9 million. At the same date,
Bancorp's reserve for loan losses was $2.6 million, or .91% of total loans and
137% of total nonperforming loans. There can be no assurance that Bancorp's
reserve will be adequate to cover actual losses.

POTENTIAL LIABILITY FOR UNDERCAPITALIZED BANK SUBSIDIARY

          Under federal law, a bank holding company may be required to guarantee
a capital plan filed by an undercapitalized bank subsidiary with its primary
regulator. If the bank defaults under the plan, the holding company may be
required to contribute to the capital of the bank an amount equal to the lesser
of 5% of the bank's assets at the time it became undercapitalized or the amount
necessary to bring the bank into compliance with applicable standards. Under
Oregon law, the Director of the Department of Consumer and Business Services has
the authority to require the shareholders of an Oregon state-chartered bank to
contribute additional capital to the bank if its capital becomes impaired.
Bancorp is the sole shareholder of Centennial Bank.

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COMPETITIVE BANKING ENVIRONMENT

          The banking and mortgage lending businesses in Oregon are highly
competitive. Bancorp competes for loans and deposits with other commercial
banks, savings banks, savings and loan associations, finance companies, money
market funds, brokerage firms, credit unions and other nonfinancial
institutions. Many of these competitors have substantially greater resources
than Bancorp. Bancorp also competes with other community banks operating in
Oregon. Several banks, which focus on the same types of customers as Bancorp,
have been formed in Oregon during the last few years. In addition, out-of-state
banks and bank holding companies headquartered anywhere in the United States are
permitted to acquire Oregon state-chartered banks that have been operating for
three or more years. Statewide branch banking also is permitted in Oregon. As a
result of such interstate banking and branch banking, Centennial Bank and
Centennial Mortgage may experience increased competition in their respective
market areas.

GOVERNMENT REGULATION

          Bancorp and its subsidiaries, particularly Centennial Bank, are
subject to extensive federal and state legislation, regulation and supervision.
Legislation and regulations have had and will continue to have a significant
impact on the banking industry. Although some legislative and regulatory changes
may benefit Bancorp, others may increase its costs of doing business, assist
competitors or otherwise adversely affect Bancorp's operations.

LEGAL PROCEEDINGS

          Periodically, and in the ordinary course of business, various claims
and lawsuits are brought by and against Bancorp and its subsidiaries, such as
claims to enforce liens, condemnation proceedings on properties in which Bancorp
holds security interests, claims involving the making and servicing of real
estate loans and other issues incident to Bancorp's business.