FOR
      IMMEDIATE RELEASE





CONTACT:          Roy
      Estridge. EVP/CFO




Valley
      Commerce Bancorp




(559)
      622-9000










VALLEY
      COMMERCE BANCORP REPORTS 2007 RESULTS




VISALIA,
      Calif., January 24, 2008/ -- Valley Commerce Bancorp (OTCBB: VCBP), a bank
      holding company and the parent company of Valley Business Bank, today reported
      unaudited consolidated net income of $2,661,000 or $1.09 per diluted share
      for
      the year ended December 31, 2007, compared to $2,956,000, or $1.22 per diluted
      share for 2006.  Return on average assets for 2007 was 0.99% compared
      to 1.22% for 2006, while return on average equity for 2007 was 9.8% compared
      to
      12.6% for 2006.  For the quarters ended December 31, 2007 and 2006,
      the Company earned $0.27 and $0.31 per diluted share,
      respectively.  Fourth quarter 2007 earnings were $675,000 compared to
      $746,000 achieved in the comparable quarter of 2006, a decrease of $71,000
      or 10
      percent.  Net income and other profitability measures decreased in the
      2007 periods due to net interest margin compression and increased non-interest
      expenses, as discussed further below.




“The
      combination of a slowing economy and increased costs associated with our
      strategic growth initiatives and regulatory compliance prevented us from
      reporting record high profitability as we did for 2006,” stated Don Gilles,
      President and CEO.  “Given the challenges being faced by many
      financial institutions at the present time, we take a good deal of satisfaction
      in our risk management efforts which have allowed us to maintain a high quality
      balance sheet and stable profits.”







The
      Company’s consolidated total assets were $279 million at December 31, 2007, a
      $15 million or 6% increase over the prior year end total of $264
      million.  At December 31, 2007, net loans totaled $199 million, a $17
      million or 9% increase over the December 31, 2006 total of $182
      million.  Total deposits at December 31, 2007 totaled $215 million, a
      $7 million or 4% increase over the December 31, 2006 total of $208
      million.




Average
      total assets for 2007 were $268 million compared to $242 million for 2006,
      an
      increase of $26 million or 11%.  Average total loans for 2007 were
      $195 million compared to $167 million for 2006, an increase of $28 million
      or
      17%.  Average total deposits for 2007 were $214 million compared to
      $194 million for 2006, an increase of $20 million or 10%.




Net
      interest income increased only slightly in 2007 compared to the prior year
      as
      the interest income attributable to the Company’s growth was offset by a
      decrease in the Company’s net interest margin.  The Company’s net
      interest margin decreased from 5.15% in 2006 to 4.71% in 2007 due primarily
      to
      increased cost of retail deposits and increased use of brokered time deposits
      and Federal Home Loan Bank borrowings in the 2007 period.




The
      allowance for loan losses totaled $1.8 million or 0.9% of total loans at
      December 31, 2007. This compared to $1.7 million or 0.9% of total loans at
      December 31, 2006. Based upon management’s assessment of the adequacy of the
      allowance for loan losses and the credit quality of the loan portfolio, no
      loan
      loss provision was recorded during either 2007 or 2006.  The Company
      had no net loan charge-offs for 2007 and $21,000 in net loan charge-offs for
      2006.  The Company had no non-performing assets at either December 31,
      2007 or December 31, 2006.




Non-interest
      income earned during the three- and twelve-month periods ended December 31,
      2007
      totaled $282,000 and $1.2 million, respectively.  Non-interest income
      for the same periods in 2006 was $307,000 and $996,000,
      respectively.  Non-interest income increased in 2007 due to increases
      in earnings on bank-owned life insurance, service charges from deposit customer
      account relationships and Federal Home Loan Bank dividend
      income.  These increases were partially offset by a decrease in
      mortgage loan brokerage fees.











Non-interest
      expense during the three- and twelve-month periods ended December 31, 2007
      totaled $2.3 million and $8.7 million, respectively.  Non-interest
      expense for the same periods in 2006 was $1.9 million and $7.7 million,
      respectively.  The increase in non-interest expense was due primarily
      to increased employee-related costs associated with the Company’s growth
      initiatives.  Salaries and benefits for the 2007 period totaled $4.8
      million compared to $4.3 million for the 2006 period, a $510,000 or 12%
      increase, while occupancy and equipment expense for the 2007 period totaled
      $1.1
      million compared to $.9 million for the 2006 period, an $183,000 or 21%
      increase.  Other non-interest expenses for the 2007 period totaled
      $2.8 million compared to $2.5 million for the 2006 period, a $353,000 or 14%
      increase.  The other expense category included $103,000 of consultant
      expense related to compliance with Sarbanes-Oxley legislation, and a $57,000
      increase in Federal Deposit Insurance Corporation assessments attributable
      to
      higher assessment rates charged to financial institutions.




Valley
      Commerce Bancorp had 2,396,435 shares of common stock outstanding at December
      31, 2007.  The balance of stockholders’ equity increased to $28.9
      million at December 31, 2007 from $25.4 million at December 31, 2006 due
      primarily to the retention of 2007 earnings of $2.7 million.  In
      addition, 97,507 stock options were exercised during 2007 that increased
      stockholders’ equity by $879,000 due to funds received and related tax
      benefits.  The Company also repurchased 27,440 shares of stock under a
      stock repurchase program which reduced stockholders’ equity by
      $382,000.  The book value per share was $12.05 at December 31, 2007,
      compared to $10.94 at December 31, 2006.  All per share data has been
      adjusted for the 5% stock dividend issued in June 2007.











Valley
      Business Bank has branch offices in Visalia, Fresno, Woodlake, and Tipton,
      and a
      loan production office in Tulare.




OTHER
      INFORMATION:  Valley Commerce Bancorp stock trades on NASDAQ’s Over
      The Counter Bulletin Board under the symbol VCBP.  Valley Business
      Bank, the wholly owned subsidiary of Valley Commerce Bancorp, is a commercial
      bank that commenced operations in 1996 under the name Bank of Visalia. Valley
      Business Bank operates through Business Banking Centers in Visalia and Fresno
      and has branch offices in Woodlake and Tipton.  The Bank also operates
      a loan production office in Tulare.  Additional information about
      Valley Business Bank is available from the Bank’s website at http://www.valleybusinessbank.net.




FORWARD-LOOKING
      STATEMENTS:  In addition to historical information, this release
      includes forward-looking statements, which reflect management's current
      expectations for Valley Commerce Bancorp’s future financial results, business
      prospects and business developments.  Management's expectations for
      Valley Commerce Bancorp's future necessarily involve assumptions, estimates
      and
      the evaluation of risks and uncertainties. Various factors could cause actual
      events or results to differ materially from those expectations.  The
      forward-looking statements contained herein represent management's expectations
      as of the date of this release. Valley Commerce Bancorp undertakes no obligation
      to release publicly the results of any revisions to the forward-looking
      statements included herein to reflect events or circumstances after today,
      or to
      reflect the occurrence of unanticipated events.  For those statements,
      the Company claims the protection of the safe harbor for forward-looking
      statements contained in the Private Securities Litigation Reform Act of
      1995.







Condensed
                  Consolidated
                Balance
                  Sheet
                (in
                  Thousands)
                  (Unaudited)
              
              As
                  of December
                  31,2007
              
              
              2006AssetsCash
                  and Due from
                  Banks
              
              $
              9,297
              
              
              $
              13,266Available-for-Sale
                  Investment
                  Securities
              
              
              56,615
              
              
              
              55,298Loans
                  (net)
              
              
              199,514
              
              
              
              182,332Bank
                  Premises and Equipment
                  (net)
              
              
              3,037
              
              
              
              1,832Cash
                  Surrender Value of Bank-Owned
                  Life Insurance
              
              
              6,185
              
              
              
              5,935Other
                  Assets
              
              
              4,433
              
              
              
              5,002TOTAL
                  ASSETS
              
              $
              279,081
              
              
              $
              263,665Liabilities
&
                  EquityNon-Interest
                  Bearing
                  Deposits
              
              $
              66,993
              
              
              $
              63,020Interest
                  Bearing
                  Deposits
              
              
              86,277
              
              
              
              75,293Time
                  Deposits
              
              
              62,116
              
              
              
              69,263Total
                  Deposits
              
              
              215,386
              
              
              
              207,576Short-Term
                  Debt
              
              
              21,804
              
              
              
              17,600Long-Term
                  Debt
              
              
              8,146
              
              
              
              8,548Junior
                  Subordinated Deferrable
                  Interest Debentures
              
              
              3,093
              
              
              
              3,093Other
                  Liabilities
              
              
              1,779
              
              
              
              1,400Total
                  Liabilities
              
              
              250,208
              
              
              
              238,217Shareholders’
                  Equity
              
              
              28,873
              
              
              
              25,448TOTAL
                  LIABILITIES &
                  EQUITY
              
              $
              279,081
              
              
              $
              263,665
  Condensed
                    Consolidated
                  Statement
                    of
                    Income
                  (in
                    Thousands except per share
                    data) (Unaudited)
                
                Three
                    Months
                    Ended
                  December
                    31,
                
                
                Years
                    Ended
                  December
                    31,2007
                
                
                2006
                
                
                2007
                
                
                2006Interest
                    Income
                
                $
                4,681
                
                
                $
                4,538
                
                
                $
                18,470
                
                
                $
                16,750Interest
                    Expense
                
                
                1,687
                
                
                
                1,794
                
                
                
                7,131
                
                
                
                5,561NET
                    INTEREST
                    INCOME
                
                
                2,994
                
                
                
                2,744
                
                
                
                11,339
                
                
                
                11,189Provision
                    for
                    Loan Losses
                
                
                -
                
                
                
                -
                
                
                
                -
                
                
                
                -NET
                    INTEREST INCOME
                    AFTER
                  PROVISION
                    FOR
                    LOAN LOSSES
                
                
                2,994
                
                
                
                2,744
                
                
                
                11,339
                
                
                
                11,189Non-interest
                    Income
                
                
                282
                
                
                
                307
                
                
                
                1,155
                
                
                
                996Non-interest
                    Expense
                
                
                2,324
                
                
                
                1,923
                
                
                
                8,699
                
                
                
                7,653INCOME
                    BEFORE INCOME
                    TAXES
                
                
                952
                
                
                
                1,128
                
                
                
                3,795
                
                
                
                4,532Income
                    Taxes
                
                
                277
                
                
                
                382
                
                
                
                1,134
                
                
                
                1,576NET
                    INCOME
                
                $
                675
                
                
                $
                746
                
                
                $
                2,661
                
                
                $
                2,956EARNINGS
                    PER SHARE -
                    BASIC*
                
                $
                0.28
                
                
                $
                0.33
                
                
                $
                1.13
                
                
                $
                1.28EARNINGS
                    PER SHARE –
                    DILUTED*
                
                $
                0.27
                
                
                $
                0.31
                
                
                $
                1.09
                
                
                $
                1.22SHARES
                    OUTSTANDING – END OF
                    PERIOD*
                
                
                2,396
                
                
                
                2,327
                
                
                
                2,396
                
                
                
                2,327
 *All
                  share and earnings per share
                  data have been restated for a 5% stock dividend issued in June
                  2007.