SECURITIES AND EXCHANGE COMMISSION
                         WASHINGTON, DC 20549



               Quarterly Report Under Section 13 or 15(d)
                 of The Securities Exchange Act of 1934


For Quarter Ended September 30, 1999 Commission file number  0-16213

                        GBC BANCORP
---------------------------------------------------------------------
(Exact name of registrant as specified in its charter)

         California                              95-3586596
---------------------------------------------------------------------
(State or other jurisdiction of        (I.R.S.Employer Identification
 incorporation or organization)         No.)

  800 West 6th Street, Los Angeles,              California 90017
---------------------------------------------------------------------
(Address of principal executive offices)            (Zip code)

Registrant's telephone number, including area code   213/972-4174
---------------------------------------------------------------------
Former name address and former fiscal year, if changed since last
report.

      Indicate by check mark whether the registrant (1) has filed  all
reports  required to be filed by Section 13 or 15(d) of the Securities
Exchange  Act  of  1934 during the preceding 12 months  (or  for  such
shorter period that the registrant was required to file such reports),
and  (2) has been subject to such filing requirements for the past  90
days.
Yes      X      No
     ---------      ---------

     Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the close of the period covered by this
report.

      Common  stock,  no  par  value,  11,501,819  shares  issued  and
outstanding as of September 30, 1999.








                           TABLE OF CONTENTS



PART I - FINANCIAL INFORMATION ...................................


Item 1.  Financial Statements ....................................

Item 2.  Management's Discussion and Analysis of Financial
         Condition and Results of Operations .....................



PART II- OTHER INFORMATION .......................................


Item 1.  Legal Proceedings .......................................

Item 2.  Changes In Securities ...................................

Item 3.  Default Upon Senior Securities ..........................

Item 4.  Submission Of Matters To A Vote Of Securities Holders ...

Item 5.  Other Information .......................................

Item 6.  Exhibits And Reports On Form 8-K ........................



PART III-SIGNATURES ..............................................










                    PART I - FINANCIAL INFORMATION









                        GBC BANCORP AND SUBSIDIARIES
                        CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
                                                  September 30,  December 31,
(In Thousands)                                        1999           1998
-----------------------------------------------------------------------------
<S>                                            <C>             <C>
ASSETS

Cash and Due From Banks                           $     39,102   $     27,514
Federal Funds Sold and Securities Purchased
 Under Agreements to Resell                              8,500        101,000
Securities Available for Sale at Fair Value
 (Amortized Cost of $743,079 And $721,000 at
 September 30, 1999 and December 31, 1998,
 Respectively)                                         734,508        724,172
Securities Held to Maturity (Fair Value of
 $1,403 and $24,677 at September 30, 1999
 and December 31, 1998, Respectively)                    1,441         24,616
Loans and Leases                                       921,969        788,945
Less: Allowance for Credit Losses                      (19,545)       (19,381)
      Deferred Loan Fees                                (5,030)        (5,914)
                                                  -------------  -------------

Loans and Leases, Net                                  897,394        763,650
Bank Premises and Equipment, Net                         5,462          5,656
Other Real Estate Owned, Net                             9,112          6,885
Due From Customers on Acceptances                        8,762          7,249
Real Estate Held for Investment                          5,946          7,034
Other Investments                                        8,859          1,333
Accrued Interest Receivable and Other Assets            10,790         11,715
                                                  -------------  -------------
Total Assets                                      $  1,729,876   $  1,680,824
                                                  =============  =============

LIABILITIES AND STOCKHOLDERS' EQUITY

Deposits:
 Demand                                           $    174,798   $    149,397
 Interest Bearing Demand                               311,460        280,294
 Savings                                                79,830         81,051
 Time Certificates of Deposit of
  $100,000 or More                                     688,473        599,669
 Other Time Deposits                                   212,657        270,492
                                                  -------------  -------------
Total Deposits                                       1,467,218      1,380,903

Federal Funds Purchased and Securities
 Sold Under Repurchase Agreements                       15,000              -
Borrowings from the Federal Home Loan Bank              50,000         35,000
Subordinated Debt                                       38,974         38,876
Acceptances Outstanding                                  8,762          7,249
Liability on Securities Awaiting Settlement                  -         30,178
Accrued Expenses and Other Liabilities                  21,716         25,588
                                                  -------------  -------------
Total Liabilities                                    1,601,670      1,517,794

Stockholders' Equity:
 Common Stock, No Par or Stated Value;
  40,000,000 Shares Authorized ;
  11,501,819 and 13,711,998 shares
  Outstanding at September 30, 1999
  and December 31,1998, Respectively              $     56,990   $     56,303
 Accumulated Other Comprehensive Income                 (4,976)         1,829
 Retained Earnings                                      76,192        104,898
                                                  -------------  -------------
Total Stockholders' Equity                             128,206        163,030
                                                  -------------  -------------

Total Liabilities and Stockholders' Equity        $  1,729,876   $  1,680,824
                                                  =============  =============
</TABLE>

See Accompanying Notes to Consolidated Financial Statements





                                          GBC BANCORP AND SUBSIDIARIES
                                         CONSOLIDATED STATEMENTS OF INCOME
<TABLE>
<CAPTION>
                                                        For The Three Months Ended   For The Nine Months Ended
                                                              September 30,                September 30,

(In Thousands, Except Per Share Data)                        1999          1998           1999          1998
--------------------------------------------------------------------------------------------------------------
<S>                                                <C>             <C>           <C>            <C>

INTEREST INCOME
 Loans and Leases, Including Fees                      $   20,887    $   20,237     $   58,652    $   54,689
 Securities Available for Sale                             11,745        10,132         34,027        30,418
 Securities Held to Maturity                                   26         1,129            423         3,796
 Federal Funds Sold and Securities
  Purchased under Agreements to Resell                        460         1,843          2,471         5,311
 Other                                                          1             1              3             7
                                                       ----------    ----------     ----------    ----------
Total Interest Income                                      33,119        33,342         95,576        94,221

INTEREST EXPENSE
 Interest Bearing Demand                                    2,032         2,001          5,419         5,169
 Savings                                                      481           535          1,332         1,778
 Time Certificates of Deposits of $100,000 or More          7,865         7,684         22,435        23,306
 Other Time Deposits                                        2,362         3,611          7,832        10,047
 Federal Funds Purchased and Securities
  Sold under Repurchase Agreements                             43             2             68            18
 Borrowings from the Federal Home Loan Bank                   620             -          1,736             -
 Subordinated Debt                                            870           870          2,611         2,611
                                                       ----------    ----------     ----------    ----------
Total Interest Expense                                     14,273        14,703         41,433        42,929

 Net Interest Income                                       18,846        18,639         54,143        51,292
 Provision for Credit Losses                                1,500             -          3,500             -
                                                       ----------    ----------     ----------    ----------
 Net Interest Income after Provision
  for Credit Losses                                        17,346        18,639         50,643        51,292


NON-INTEREST INCOME
 Service Charges and Commissions                            1,987         1,633          5,434         4,731
 Gain on Sale of Loans, Net                                     9           344            120           368
 Gain on Sale of Fixed Assets                                   -             -             22             -
 Other                                                        164           258            379           721
                                                       ----------    ----------     ----------    ----------
Total Non-Interest Income                                   2,160         2,235          5,955         5,820


NON-INTEREST EXPENSE
 Salaries and Employee Benefits                             5,026         5,015         14,461        13,674
 Occupancy Expense                                            818           727          2,391         2,213
 Furniture and Equipment Expense                              452           523          1,522         1,524
 Net Other Real Estate Owned (Income) Expense                (579)           51           (805)          490
 Other                                                      1,713         1,853          5,237         5,078
                                                       ----------    ----------     ----------    ----------
Total Non-Interest Expense                                  7,430         8,169         22,806        22,979

Income before Income Taxes                                 12,076        12,705         33,792        34,133
Provision for Income Taxes                                  4,584         4,827         12,719        12,781
                                                       ----------    ----------     ----------    ----------
Net Income                                             $    7,492    $    7,878     $   21,073    $   21,352
                                                       ==========    ==========     ==========    ==========

Earnings Per Share:
 Basic                                                 $     0.64    $     0.56     $     1.65    $     1.51
 Diluted                                               $     0.62    $     0.55     $     1.62    $     1.48
                                                       __________    __________     __________    __________

</TABLE>
See Accompanying Notes to Consolidated Financial Statements







                                   GBC BANCORP & SUBSIDIARIES
                  CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY

<TABLE>
<CAPTION>

                                                                              Accumulated
                                                                              Other                           Total
                                              Common Stock        Retained    Comprehensive   Comprehensive   Stockholders'
(In Thousands, Except per Share Amounts)    Shares     Amount     Earnings    Income(Loss)    Income          Equity
                                            -----------------------------------------------------------------------------
<S>                                        <C>       <C>         <C>         <C>            <C>              <C>
Balance at December 31, 1997                  13,990  $ 53,314    $ 91,355    $  1,654                        $146,323
----------------------------
 Comprehensive Income
  Net Income for the year                          -         -      28,142           -        $ 28,142          28,142
                                                                                              --------
  Other Comprehensive Income,Net of Tax
   Net Changes in Securities Valuation
   Allowance                                       -         -           -         175             175             175
                                                                                              --------
 Comprehensive Income                                                                         $ 28,317
                                                                                              ========
 Stock Options Exercised                         187     1,375           -           -                           1,375
 Tax Benefit-Stock Options Exercised               -     1,614           -           -                           1,614
 Stock Repurchase                               (465)        -     (10,386)          -                         (10,386)
 Cash Dividend- $.30 per Share                     -         -      (4,213)          -                          (4,213)
                                            -------------------------------------------                       ---------
Balance at December 31, 1998                  13,712  $ 56,303    $104,898    $  1,829                        $163,030
----------------------------                  ======  ========    ========    ========                        ========
 Comprehensive Income
  Net Income for the Nine Months                   -         -      21,073           -        $ 21,073          21,073
 Other Comprehensive Income (Loss),
  Net of Tax Net Changes in Securities
  Valuation Allowance                              -         -           -      (6,805)         (6,805)         (6,805)
                                                                                              ---------
 Comprehensive Income                                                                         $ 14,268
                                                                                              ========

 Stock Options Exercised                          52       451           -           -                             451
 Tax Benefit-Stock Options Exercised               -       236           -           -                             236
 Stock Repurchase                             (2,263)        -     (46,782)          -                         (46,782)
 Cash Dividend- $0.24 per Share                    -         -      (2,997)          -                          (2,997)
                                            -------------------------------------------                       ---------
Balance at Sept. 30, 1999                     11,502  $ 56,990    $ 76,192    $ (4,976)                       $128,206
-------------------------                     ======  ========    ========    =========                       ========

</TABLE>



Disclosure of Reclassification Amount:
<TABLE>
<CAPTION>

                                                                      For the Nine Months       For the Year
                                                                      Ended Sept.30, 1999       Ended Dec.31, 1998
                                                                      -------------------       ------------------
<S>                                                                   <C>                      <C>

Net Change of Unrealized Holding (Losses) Gains Arising During
 Period, Net of Tax (Benefit) Expense  of  $(4,939) and $172
 in 1999 and 1998, Respectively                                           $  (6,805)               $     237

Less: Reclassification Adjustment for Gains Included in Net
 Income, Net of Tax Expense of: $0 and $45 in 1999 and
 1998, Respectively                                                               -                      (62)
                                                                      -------------------       ------------------
Net Change of Unrealized (Losses) Gains on Securities Net of
 Tax (Benefit) Expense of $(4,939) and $127 in 1999 and 1998,
 Respectively                                                             $  (6,805)               $     175
                                                                          ==========               ==========
</TABLE>
See Accompanying Notes to Consolidated Financial Statements






                         GBC BANCORP AND SUBSIDIARIES
                    CONSOLIDATED STATEMENTS OF CASH FLOWS
<TABLE>
<CAPTION>


                                                              For the Nine Month Ended September 30,
----------------------------------------------------------------------------------------------------
(In Thousands)                                                               1999          1998
---------------------------------------------------------------------------------------------------
<S>                                                                <C>             <C>
OPERATING ACTIVITIES:
Net Income                                                             $   21,073    $   21,352
Adjustments to Reconcile Net Income to Net Cash Provided
 by Operating Activities:
Depreciation                                                                  942           947
Net Amortization/(Accretion) of Premiums/Discounts on
 Securities                                                                 1,037           363
Accretion of Discount on Subordinated Notes                                    98            98
Writedown on Real Estate Held for Investment                                1,087           995
Provision for Credit Losses                                                 3,500             -
Provision for Losses on Other Real Estate Owned                               900             -
Amortization of Deferred Loan Fees                                         (3,454)       (2,396)
Gain on Sale of Loans                                                           -          (368)
Gain on Sale of Other Real Estate Owned                                    (2,302)         (114)
Gain on Sale of Fixed Assets                                                  (22)            -
Proceeds from Sales of Loans Originated for Sale                                -           368
Net Decrease in Accrued Interest Receivable and Other
 Assets                                                                    (6,601)       (2,601)
Net (Decrease)/ Increase in Accrued Expenses and
 Other Liabilities                                                        (29,112)        6,591
Other, Net                                                                    348            19
                                                                       -----------   -----------
NET CASH (USED) PROVIDED BY OPERATING ACTIVITIES                       $  (12,506)   $   25,254
                                                                       -----------   -----------

INVESTING ACTIVITIES:
Purchases of Securities Available for Sale                               (256,267)     (244,275)
Proceeds from Maturities of Securities Available
 for Sale                                                                 233,103       271,123
Purchases of Securities Held to Maturity                                        -       (50,090)
Proceeds from Maturities of Securities Held to
 Maturity                                                                  23,224        46,015
Net Increase in Loans and Leases                                         (142,249)     (108,818)
Proceeds from Sales of Other Real Estate Owned                              7,954         2,453
Capitalized Costs of Other Real Estate Owned                                 (322)         (370)
Purchases of Premises and Equipment                                          (870)         (756)
Proceeds from Sales of Bank Premises and
 Equipment                                                                     27             -
                                                                       -----------   -----------
NET CASH USED BY INVESTING ACTIVITIES                                  $ (135,400)   $  (84,718)
                                                                       -----------   -----------
FINANCING ACTIVITIES:
Net Increase in Demand, Interest Bearing Demand and
 Savings Deposits                                                          55,346        41,721
Net Increase in Time Certificates of Deposits                              30,969        46,514
Net Increase in Federal Funds Purchased and
 Securities Sold Under Agreements to Repurchase                            15,000             -
Borrowings from the Federal Home Loan Bank                                 15,000             -
Stock Repurchase Program                                                  (46,782)            -
Cash Dividend Paid                                                         (2,990)       (2,962)
Proceeds from Exercise of Stock Options                                       451         1,242
                                                                      -----------   -----------
NET CASH PROVIDED BY FINANCING ACTIVITIES                             $    66,994   $    86,515
                                                                      -----------   -----------

NET CHANGE IN CASH AND CASH EQUIVALENTS                                   (80,912)       27,051
Cash and Cash Equivalents at Beginning of Period                          128,514       140,519
                                                                      -----------   -----------
Cash and Cash Equivalents at End of Period                            $    47,602   $   167,570
                                                                      ===========   ===========
Supplemental Disclosures of Cash Flow Information:
 Cash Paid During This Period for:
 Interest                                                             $    41,405   $    42,540
 Income Taxes                                                         $    11,363   $     3,538
                                                                      ===========   ===========
Noncash Investing Activities:
 Loans Transferred to Other Real Estate Owned
  at Fair Value                                                       $     8,772   $     1,036
 Loans to Facilitate the Sale of Other Real
  Estate Owned                                                                313           137
                                                                      ===========   ===========

</TABLE>
See Accompanying Notes to Consolidated Financial Statements






                     GBC Bancorp and Subsidiaries


NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
------------------------------------------------------

       In  the  opinion  of  management,  the  consolidated  financial
statements of GBC Bancorp and its subsidiaries (the "Company")  as  of
September  30, 1999 and the three and nine months ended September  30,
1999  and 1998, reflect all adjustments (which consist only of  normal
recurring  adjustments)  necessary for a fair  presentation.   In  the
opinion  of  management,  the  aforementioned  consolidated  financial
statements  are  in  conformity  with  generally  accepted  accounting
principles.


Earnings Per Share
------------------

      Basic earnings per share is determined by dividing net income by
the  average  number  of  shares of common  stock  outstanding,  while
diluted earnings per share is determined by dividing net income by the
average number of shares of common stock outstanding adjusted for  the
dilutive effect of common stock equivalents.

     The  following  table  discloses for the  periods  indicated  the
average  number of shares of common stock outstanding and the  average
number of shares of common stock outstanding adjusted for the dilutive
effect  of common stock equivalents for the basic and diluted earnings
per share computations, respectively:

<TABLE>
<CAPTION>
                      Three Months Ended         Nine Months Ended
                         September 30,              September 30,
(In Thousands)
                       1999      1998             1999      1998
                  __________________________________________________
<S>                  <C>       <C>              <C>       <C>

Basic                 11,772    14,161           12,740    14,131
Diluted               12,012    14,431           12,984    14,434

</TABLE>

Consolidated Statements of Cash Flows
-------------------------------------

     Cash and cash equivalents consist of cash and due from banks, and
federal  funds  sold  and  securities purchased  under  agreements  to
resell.



Item 2.   MANAGEMENT'S DISCUSSION AND ANALYSIS OF
          ---------------------------------------
          FINANCIAL CONDITION AND RESULTS OF OPERATIONS
          ---------------------------------------------


OVERVIEW
--------

      Net income for the third quarter of 1999 was $7,492,000 or $0.62
diluted  earnings per share, compared to $7,878,000, or $0.55  diluted
earnings per share, for the corresponding period of 1998. The $386,000
or 4.90%, decrease was mainly the result of a $1,500,000 provision for
credit  losses, partially offset by both an increase of  net  interest
income  and a decrease of non-interest expense. There was no provision
for credit losses for the corresponding quarter a year ago. The $0.07,
or 12.7%, increase of the diluted earnings per share was the result of
stock  repurchases of 2,728,000 shares in the fourth quarter  of  1998
and in 1999.



      For the nine months ended September 30, 1999, net income totaled
$21,073,000,  a  decrease of $279,000, or 1.3%, from  the  $21,352,000
earned during the corresponding period of 1998.  Diluted earnings  per
share for the nine months ended September 30, 1999 were $1.62 compared
to  $1.48 for the same period of 1998.  The decrease in net income was
primarily due to an increase in the provision for credit losses offset
by   higher  net  interest  income,  higher  non-interest  income  and
decreased  non-interest  expense. The  $0.14,  or  9.5%,  increase  of
diluted earnings per share is for the reason explained above.

      As  of September 30, 1999, record high levels were achieved  for
total assets, loans and leases, and for total deposits.

     For the quarter ended September 30, 1999 and 1998, the annualized
return  on  average assets ("ROA") was 1.72% and 1.94%,  respectively,
and  the annualized return on average stockholders' equity ("ROE") was
22.2%  and 18.9%, respectively. The ROE for 1999 was bolstered by  the
stock repurchases referenced above.

      For  the nine months ended September 30, 1999 and 1998, the  ROA
was  1.66%  and 1.81%, respectively, and the ROE was 18.7%  and  18.1%,
respectively.

      The  Company has filed applications with the relevant regulatory
authorities  to establish a full service branch operation  of  General
Bank  in the state of Washington. Management estimates the branch will
be in place by early in the year 2000.



RESULTS OF OPERATIONS
---------------------

Net Interest Income-Quarterly Results
-------------------------------------

      For  the quarter ended September 30, 1999 and 1998, net interest
income  before  the  provision for credit losses was  $18,846,000  and
$18,639,000,  respectively, representing an increase of  $207,000,  or
1.1%.  The components explaining this increase are discussed below.

      Total  interest income for the quarter ended September 30,  1999
was  $33,119,000, representing a $223,000, or 0.7%, decrease from  the
corresponding quarter of a year ago.  The decrease was  due  to  a  60
basis  points  decrease in the yield on average  earning  assets  from
8.45%  during  the third quarter in 1998 to 7.85% in the corresponding
quarter  of  1999,  partially offset by a $108.0 million  increase  of
average interest earning assets.

     The  60 basis point decrease in the yield on earning assets  from
the  third  quarter of 1998 to the corresponding quarter of  1999  was
primarily  the  result  of lower yields on all categories  of  earning
assets.  The most notable reduction was the yield on loans and leases,
which  declined 160 basis points. Several factors contributed  to  the
decline of the loan yield, as follows:


     O    The third quarter, 1998 included $1,458,000 of loan interest
       recoveries due to repayments in full of two loans. Excluding this
       recovery, the third quarter 1998 loan yield would have been 79 basis
       points lower.
     O    A $28.8 million increase of average non-accrual loans in the
       third quarter of 1999 as compared to the third quarter, 1998.
     O    A lower average prime rate of interest during the third quarter
       of 1999. The average prime was 8.10% and 8.50% for the third quarter
       of 1999 and 1998, respectively. This factor also contributed to the
       reduced yields on the Company's other categories of interest earning
       assets.


     The  effect  of the decline of the yield on loans and leases  and
other  earning  assets was partially mitigated by an increase  in  the
percentage  of  average  accruing loans and leases  to  total  average
earning  assets.  For the three months ended September  30,  1999  and
1998,  average  accruing loans and leases comprised 51.7%  and  46.4%,
respectively,  of total average earning assets (excluding  non-accrual
loans).   Loans  and  leases represent the highest  yielding  interest
earning assets.



      Total interest expense for the quarter ended September 30,  1999
was  $14,273,000, representing a $430,000, or 2.9%, decrease from  the
corresponding  quarter of a year ago.  The decrease  was  due  to  the
reduction  of the cost of funds, partially offset by a $122.9  million
increase of average interest bearing liabilities.

      For the quarter ended September 30, 1999, the cost of funds  was
4.07%  compared to 4.60% for the corresponding period of a  year  ago.
This  decrease was the result of a decrease in the rates paid  on  all
interest bearing deposits, which decreased from 4.46% to 3.89% for the
quarters  ended  September 30, 1998 and 1999,  respectively.  For  the
quarters  ended as indicated, the average balance and the  rates  paid
for the deposit products of General Bank (the "Bank") were as follows:

<TABLE>
<CAPTION>

                                   For the Quarter Ended September 30,
                                          1999           1998
                                   -----------------------------------
<S>                                 <C>             <C>
Interest bearing demand -
 Average balance                       $ 309,884       $ 276,119
Rate                                       2.60%           2.88%

Savings - Average balance                 85,612          81,676
Rate                                       2.23%           2.60%

Time certificates of deposit:
 of $100,000 or more - Average
 balance                                 683,823         584,159
Rate                                       4.56%           5.22%

Other time deposits -  Average
 balance                                 220,502         288,046
Rate                                       4.25%           4.97%

</TABLE>

     The most significant impact was the 65 basis point decline in the
rates  paid on time certificates of deposit. Average time certificates
of  deposit  constituted  69.6% and 70.9% of  total  average  interest
bearing  deposits for the quarter ending September 30, 1999 and  1998,
respectively.

     The  57  basis  point  reduction of the rates  paid  on  interest
bearing  deposits  was slightly offset by an average  $50  million  of
borrowings  from the Federal Home Loan Banks ("FHLB") with an  average
rate  in  the  quarter of 4.85%. There were no borrowings  outstanding
with the FHLB during the 3 months ended September 30, 1998.

      The  net  interest  spread is defined as the yield  on  interest
earning  assets  less the rates paid on interest-bearing  liabilities.
For  the  three  months ended September 30, 1999  and  1998,  the  net
interest  spread was 3.78% and 3.85%, respectively. The 7 basis  point
decline is due to the reasons as explained above.



      The  net interest margin is defined as the annualized difference
between  interest  income  and interest  expense  divided  by  average
interest  earning  assets.  For the three months ended  September  30,
1999   and  1998,  the  net  interest  margin  was  4.47%  and  4.73%,
respectively.   In addition to the reasons explaining the  compression
of  the  net  interest  spread,  the  net  interest  margin  was  also
negatively  impacted by the decline of average equity as a  result  of
the stock repurchase programs to which reference has been made above.


Net Interest Income - Year-to-Date Results
------------------------------------------

     For the nine months ended September 30, 1999, net interest income
before the provision for credit losses was $54,143,000, representing a
$2,851,000, or 5.6%, growth over the corresponding period  of  a  year
ago.

      Total  interest income for the nine months ended  September  30,
1999  was  $95,576,000 compared to $94,221,000 for  the  corresponding
period of a year ago.  The $1,355,000, or 1.4%, increase is the result
of  an  increase  in the balance of average interest  earning  assets.
Average interest earning assets increased to $1,650.9 million for  the
nine  months  ended September 30, 1999 from $1,525.5 million  for  the
corresponding period of a year ago, representing a $125.4 million,  or
8.2%,  increase.   The growth was represented by  increases  of  $32.0
million  and  $150.5  million in the securities  and  loan  and  lease
portfolios,  respectively, partially offset by $57.1 million  decrease
of  federal  funds sold and securities purchased under  agreements  to
resell.

      The yield on average earning assets decreased 52 basis points to
7.74% for the nine months ended September 30, 1999 from 8.26% for  the
corresponding  period of a year ago. The yields on all  categories  of
earning  assets  declined with the most notable  reduction  being  the
yield  on  loans and leases which declined from 10.54% to  9.29%.  The
following are the major reasons explaining the 125-basis point decline
of  the  loan  yield  and  are similar to  the  explanations  for  the
quarterly comparison above.

O    1998 included the $1,458,000 of loan interest recoveries received
  in the third quarter. Excluding the impact of this recovery the 1998
  yield for loans and leases would have been 28 basis points lower.

O     1999  included a $25.6 million increase of non-accrual loans  as
  compared to the comparable period of 1998.

O     A reduced average prime rate of interest during 1999 compared to
  1998. The average prime was 7.87% and 8.50% for the nine months ended
  September  30,  1999  and  1998,  respectively.  This  factor   also
  contributed to the reduced yields on the Company's other categories of
  interest-earning assets.

      The  impact  of the above was partially offset by  an  increased
percentage  of   average accruing loans and leases  to  total  average
earning  assets  (excluding non-accrual loans).  For the  nine  months
ended  September  30, 1999 and 1998, this ratio was 50.0%  and  45.0%,
respectively.

      Total  interest expense for the nine months ended September  30,
1999,  was  $41,433,000 compared to $42,929,000 for the  corresponding
period  of a year ago.  The  decrease of $1,496,000, or 3.5%, was  due
to  a 51 basis point decline in the cost of funds from 4.60% to 4.09%,
partially   offset   by  an  increase  in  average  interest   bearing
liabilities.  All  categories of interest-bearing  deposits  reflected
rate  decreases thereby contributing to the 55 basis point decline  of
the  rates paid on interest-bearing deposits. The largest decrease  of
rates  paid was in time deposits which declined 62 basis points.  Time
deposits represent the Company's largest deposit product comprising on
an  average  70.4% and 71.5% of average interest bearing deposits  for
the nine months ended September 30, 1999 and 1998, respectively.

     The  average balance and the rates paid on deposit categories for
the nine months ended September 30, 1999 were as follows:

<TABLE>
<CAPTION>
                                               1999        1998
                                          --------------------------
<S>                                      <C>          <C>

Interest bearing demand -
 Average balance                            $ 292,864    $ 256,495
Rate                                            2.47%        2.69%

Savings - Average balance                      82,253       88,176
                                                2.17%        2.70%
Time certificates of deposit
 of $100,000 or more - Average
 balance                                      651,713      593,351
Rate                                            4.60%        5.25%

Other time deposits - Average
 balance                                      238,522      269,971
Rate                                            4.39%        4.98%

</TABLE>

      Borrowings from the Federal Home Loan Bank (the "FHLB") averaged
$47.5  million during the nine months ended September 30, 1999.  There
was  no  average  balance during the nine months ended  September  30,
1998.  These funds represent advances under an existing line of credit
and  have  replaced the reduced equity base resulting from  the  stock
repurchases as discussed previously.

      The  rates  paid on the FHLB borrowings of 4.82%  for  the  nine
months  ended September 30, 1999 partially offset the 55  basis  point
decline of the rates paid on interest-bearing deposits.

      For  the nine months ended September 30, 1999 and 1998, the  net
interest   spread   declined  to  3.65%  from   3.66%,   respectively,
representing a 1 basis point decrease. A 52 basis point decline of the
yield on earning assets was offset by a 51 basis point decline in  the
cost of funds.

      For  the nine months ended September 30, 1999 and 1998, the  net
interest margin was 4.38% and 4.50%, respectively, representing  a  12
basis point decline. The decline of the margin is primarily the result
of the decline of average equity as a result of the stock repurchases.

Provision for Credit Losses
---------------------------

      For  the  quarter  ended September 30, 1999, the  provision  for
credit  losses  was  $1,500,000.  There was no  provision  for  credit
losses  for  the corresponding quarter of a year ago.   For  the  nine
months  ended  September 30, 1999, there was $3,500,000 provision  for
credit  losses.  There  was no provision for  credit  losses  for  the
corresponding  period  of  a year ago. The  current  year's  provision
reflects the growth of the loan portfolio, the increase of non-accrual
loans  and  increased net charge-offs. Loans and  leases  were  $922.0
million and $789.0 million, as of September 30, 1999, and December 31,
1998,  respectively. Non-accrual loans were $45.4  million  and  $20.8
million  as of September 30, 1999 and December 31, 1998, respectively.
Net  charge-offs were $1.0 million and $3.3 million for the three  and
nine  month  periods  ended  Sept. 30,  1999.  This  compares  to  net
recoveries  of  $1.9  million and $0.6 million for  the  corresponding
periods of 1998.

      The  amount of the provision for credit losses is determined  by
management  and  is  based upon the quality  of  the  loan  portfolio,
management's assessment of the economic environment, evaluations  made
by regulatory authorities, historical loan loss experience, collateral
values,  assessment of borrowers' ability to repay, and  estimates  of
potential  future losses.  Please refer to the discussion  "Allowance
for Credit Losses", following.


Non-Interest Income
-------------------

      Non-interest  income for the quarter ended  September  30,  1999
totaled $2,160,000, representing a $75,000, or 3.4%, decrease compared
to  $2,235,000 for the quarter ended September 30, 1998. While service
charges   and   commissions  increased  $354,000  due   to   increased
commissions on standby and commercial letters of credit reflecting the
increased  activity  of  the  Bank's  International  department,  this
increase  was more than offset by reduced gain on sale of  loans,  net
(during  the third quarter of 1998 the Company sold its mortgage  loan
servicing  portfolio  for  a  pre-tax  amount  of  $338,000)  and  the
cessation  of  an  escrow business. The Bank's escrow  subsidiary  was
closed in the first quarter of 1999.

     For the nine months ended September 30, 1999, non-interest income
totaled $5,955,000 representing a $135,000, or 2.3%, increase compared
to  $5,820,000  for the nine months ended September  30,  1998.   Non-
interest income increased primarily due to the commission income  from
letter  of  credit related transactions as discussed above.  Partially
offsetting  the increase was the cessation of the escrow business  and
the reduced gain on sale of loans, net, as discussed above.

Non-Interest Expense
--------------------

      For  the  three  months ended September 30,  1999,  non-interest
expense  was  $7,430,000, representing a $739,000, or  9.0%,  decrease
from  $8,169,000  for the corresponding period  of  a  year  ago.  The
decline  was  primarily due to the net gains on  sale  of  other  real
estate  owned  ("OREO")  that are included  as  a  reduction  of  OREO
incurred expenses.  For the three months ended September 30, 1999, net
gains  on  the sale of OREO were $1,582,000, representing a $1,491,000
increase from $91,000 for the corresponding period of a year ago.  The
effect of this increase was partially offset by a $900,000 addition to
the valuation allowance for the Company's OREO properties.

     For the quarter ended September 30, 1999, and 1998, the Company's
efficiency ratio, defined as non-interest expense divided by  the  sum
of  net interest income plus non-interest income, was 35.4% and 39.1%,
respectively.

      For  the  nine  months  ended September 30,  1999,  non-interest
expense was $22,806,000 representing a $173,000, or 0.8% decrease from
the  $22,979,000 reported for the corresponding period of a year  ago.
The  decline  was  primarily due to the net other  real  estate  owned
(income)  expense decline of $1,295,000 which included  net  gains  on
sale  of OREO of $2,302,000 compared to $114,000 for the corresponding
period  of  the prior year. This was partially offset by the  $900,000
increase  to  the OREO valuation allowance discussed above.  Partially
offsetting  the  $1,295,000 decrease of net other  real  estate  owned
expense  was  a  $787,000, or 5.8% increase of salaries  and  employee
benefits.  The  increase is primarily the result of  the  accrual  for
deferred  compensation for the Company's chairman and chief  executive
officer.

      For  the  nine  months ended September 30, 1999,  the  Company's
efficiency ratio declined to 38.0%, comparing favorably to  40.2%  for
the corresponding period of 1998.


Provision for Income Taxes
--------------------------

      For the quarter ended September 30, 1999 and 1998, the provision
for   income   taxes  was  $4,584,000  and  $4,827,000,  respectively,
representing effective tax rates of 38.0%.

      For  the  nine  months ended September 30, 1999  and  1998,  the
provision   for   income  taxes  was  $12,719,000   and   $12,781,000,
representing effective tax rates of 37.6% and 37.4%, respectively.


     The effective tax rates compare favorably to a combined statutory
rate  of  42.0%  primarily due to a low income housing tax  credit  to
which  the  Company is entitled. Through September 30, 1999 and  1998,
this tax credit was $1,485,000 and $1,547,000, respectively.

FINANCIAL CONDITION
-------------------

     As  of   September 30, 1999, the Company achieved  balance  sheet
records as follows:

     **  Total assets of $1,729.9 million, up $23.0 million, or 1.3%,
         from $1,706.9 million, as of June 30, 1999.

     **  Total loans and leases of $922.0 million, up $73.1 million, or
         8.6%, from  $848.9 million, as of June 30, 1999.

     **  Total deposits of $1,467.2 million, up $29.9 million, or 2.1%,
         from  $1,437.3 million, as of June 30, 1999.

     Stockholders' equity was $128.2 million, down $24.3 million  from
$152.5  million  as  of June 30, 1999 and $34.8 million,  from  $163.0
million  as  of  December 31, 1998. The decline is the result  of  the
Company's stock repurchase programs which reduced retained earnings by
$46.8 million in 1999.

Loans
-----

     The $133.0 million loan growth from year-end 1998, was mainly due
to  increases of $87.6 million and $46.5 million in the commercial and
real  estate  loans  portfolios, respectively.   The  commercial  loan
growth was primarily in the trade financing area which increased $82.8
million  reflecting a continued growth in international trade and  new
customer relationships.

      During  the  third quarter of 1999, loans and  leases  increased
$73.1  million, or 8.6%. The loan production offices in New  York  and
Seattle contributed a significant portion of the growth.

      The  following table sets forth the amount of loans  and  leases
outstanding  by  category and the percentage of each category  to  the
total loans and leases outstanding as of the dates indicated:

<TABLE>
<CAPTION>

                               September 30, 1999      December 31, 1998

(In Thousands)                Amount    Percentage    Amount   Percentage
--------------------------------------------------------------------------
<S>                      <C>            <C>      <C>           <C>

Commercial                  $ 396,813      43.04%   $ 309,198     39.19%
Real Estate-Construction      192,089      20.83%     177,737     22.53%
Real Estate-Conventional      296,040      32.11%     263,869     33.45%
Installment                        15         N/A          37        N/A
Other Loans                    20,591       2.24%      22,302      2.83%
Leveraged Leases               16,421       1.78%      15,802      2.00%
                            ----------------------------------------------
Total                       $ 921,969     100.00%   $ 788,945    100.00%
                            ==============================================
N/A = Percentage less than 0.01

</TABLE>

Non-Performing Assets
---------------------

      A certain degree of risk is inherent in the extension of credit.
Management has credit policies in place to minimize the level of  loan
losses  and  non-performing loans.  The Company performs  a  quarterly
assessment of the credit portfolio to determine the appropriate  level
of the allowance.  Included in the assessment is the identification of
loan impairment.  A loan is identified as impaired when it is probable
that  interest  and principal will not be collected according  to  the
contractual terms of the loan agreement.  Loan impairment is  measured
by  estimating the expected future cash flows and discounting them  at
the  respective  effective interest rate or by valuing the  underlying
collateral.

      The  Company  has  a policy of classifying loans  (including  an
impaired  loan)  which  are 90 days past due as  to  principal  and/or
interest  as non-accrual loans unless management determines  that  the
fair value of underlying collateral is substantially in excess of  the
loan  amount or other circumstances justify treating the loan as fully
collectible.   After  a  loan  is placed on  non-accrual  status,  any
interest  previously  accrued,  but not  yet  collected,  is  reversed
against  current  income.  A loan is returned to accrual  status  only
when the borrower has demonstrated the ability to make future payments
of   principal  and  interest  as  scheduled,  and  the  borrower  has
demonstrated a sustained period of repayment performance in accordance
with  the  contractual terms.  Interest received on non-accrual  loans
generally  is  either applied as principal reduction  or  reported  as
recoveries   on   amounts   previously   charged-off,   according   to
management's judgment as to the collectability of principal.

      The  following  table provides information with respect  to  the
Company's  past due loans, non-accrual loans, restructured  loans  and
other real estate owned, net, as of the dates indicated:

<TABLE>
<CAPTION>

----------------------------------------------------------------------
(IN THOUSANDS)                   September 30,1999    December 31,1998
----------------------------------------------------------------------
<S>                            <C>                <C>
Loans 90 Days or More
 Past Due and Still Accruing          $3,400               $780
Non-Accrual Loans                     45,398             20,790
Total Past Due Loans                  48,798             21,570
Restructured Loans                     8,809             10,440
Total Non-Performing Loans            57,607             32,010
Other Real Estate Owned, Net           9,112              6,885
Total Non-Performing Assets          $66,719            $38,895
----------------------------------------------------------------------
</TABLE>

      Total  non-performing assets increased to $66.7 million,  as  of
September  30,  1999,  from $38.9 million, as of  December  31,  1998,
representing  a  $27.8 million, or 71.5%, increase.  The  increase  is
primarily  due to the increase of non-accrual loans, in  general,  and
one construction loan, in particular, as discussed below.

Loans 90 days or More Past Due and Still Accruing
-------------------------------------------------

     As of September 30, 1999, there is one credit in this category of
loans for the amount of $3.4 million. This loan is well collateralized
and in the process of collection.

Non-Accrual Loans
-----------------

     As of September 30, 1999 non-accrual loans totaled $45.4 million,
an  increase  of $24.6 million from year-end 1998 and an  increase  of
$4.4  million from June 30, 1999. The increase from December 31,  1998
is  primarily due to a $30.9 million construction loan for a casino in
Las  Vegas.  The loan is collateralized by a first trust deed  on  the
building, second trust deeds on an associated hotel and on a RV  park,
and  by a first trust deed on undeveloped land. There also was a take-
out  commitment from another financial institution to pay off the loan
at  the end of construction. As of September 30, 1999, this particular
loan  remains  in bankruptcy proceedings. Excluding this credit,  non-
accrual loans would be less than year-end, 1998 levels.

     The increase of non-accrual loans from June 30, 1999 to September
30,  1999 was primarily the result of a $4.8 million construction loan
for a tract of single family homes in Southern California. The loan to
collateral value ratio is low and there is considered sufficient value
for the full recapture of principal, interest and expenses.

     The following table breaks out the Company's non-accrual loans by
category as of the dates indicated:

<TABLE>
<CAPTION>
------------------------------------------------------------------
(IN THOUSANDS)               September 30, 1999  December 31, 1998
------------------------------------------------------------------
<S>                        <C>                  <C>
Commercial                      $  8,981             $ 19,202
Real Estate- Construction         35,694                  277
Real Estate- Conventional            723                1,309
Other Loans                            -                    2
Total                           $ 45,398             $ 20,790
------------------------------------------------------------------
</TABLE>

      Of  the  $45.4 million of non-accrual loans, $36.4  million  are
collateralized  by real property with appraisal value considerably  in
excess  of  the  carrying  value of the loans,  providing  substantial
protection  against  the loss of principal. This amount  includes  the
casino construction loan discussed above.

      The  following  table analyzes the change in  non-accrual  loans
during the nine months ended September 30, 1999:

<TABLE>
<CAPTION>

-------------------------------------------------
(IN THOUSANDS)
-------------------------------------------------
<S>                               <C>
Balance, December 31, 1998             $  20,790
Add: Loans placed on non-accrual          47,756
Less: Charge-offs                         (4,225)
      Returned to accrual status          (4,644)
      Repayments                          (5,492)
      Transfer to OREO                    (8,787)
Balance, September 30, 1999            $  45,398
-------------------------------------------------
</TABLE>

Restructured Loans
------------------

      The  balance of restructured loans as of September 30, 1999  was
$8.8  million  compared  to $10.4 million as  of  December  31,  1998,
representing  a  $1.6  million,  or  15.4%  decrease.   As   indicated
previously, the decline was primarily due to the pay-off  in  full  of
$1.4  million of restructured loans during the second quarter of 1999.
A loan is categorized as restructured if the original interest rate on
such  loan,  the  repayment terms, or both,  are  modified  due  to  a
deterioration   in   the   financial  condition   of   the   borrower.
Restructured loans may also be put on a non-accrual status in  keeping
with the Bank's policy of classifying loans which are 90 days past due
as  to  principal and/or interest.  Restructured loans which are  non-
accrual  loans are not included in the balance of restructured  loans.
As  of  September 30, 1999, three restructured loans totaling $581,000
were  on  non-accrual status.  As of September 30, 1999,  restructured
loans  excluding the three non-accrual loans consisted  of  ten  loans
compared  to  eleven  loans as of December  31,  1998.   The  weighted
average yield of the restructured loans was 9.86% as of September  30,
1999.

      There are no commitments to lend additional funds on any of  the
restructured loans.


Other Real Estate Owned
-----------------------

      As  of September 30, 1999, other real estate owned ("OREO"), net
of   valuation  allowance  of  $2.0  million,  totaled  $9.1  million,
representing  an  increase of $2.2 million, or  31.9%,  from  the  net
balance  of $6.9 million, net of valuation allowance of $2.0  million,
as  of  December 31, 1998.  As of September 30, 1999 and December  31,
1998, OREO consisted of 12 properties and 22 properties, respectively.
One of the 12 properties comprising the September 30, 1999 balance  is
a  manufacturing  facility representing the primary  collateral  on  a
$12.6  million  loan which became non-accrual in the  fourth  quarter,
1998. Net of valuation allowance this property has a carrying value of
$7.7  million as of September 30, 1999 which is considered fair  value
based on appraisals and other criteria of property valuation.

     The outstanding OREO properties are all physically located in the
Bank's   market   area.   They  include  single   family   residences,
condominiums,  commercial  buildings,  and  land.   Seven   properties
comprise  the land category of OREO.  The Company does not  intend  to
develop these properties; rather, it will sell the land undeveloped.

      The  following table sets forth OREO by property type as of  the
dates indicated:

<TABLE>
<CAPTION>
----------------------------------------------------------------------
                                     September 30,        December 31,
----------------------------------------------------------------------
(In Thousands)                           1999                1998
----------------------------------------------------------------------
Property Type
-------------
<S>                                <C>               <C>
Single-Family Residential            $      96            $     752
Condominium                                  -                  485
Land                                     1,194                3,621
Retail Facilities                        1,287                4,027
Industrial Facilities                    8,550                    -
Less: Valuation Allowance               (2,015)              (2,000)
                                     ---------------------------------
Total                                $   9,112            $   6,885
                                     =========            =========
</TABLE>


Impaired Loans
--------------

      A  loan  is  identified as impaired when  it  is  probable  that
interest  and  principal  will  not  be  collected  according  to  the
contractual terms of the loan agreement.  Loan impairment is  measured
by  estimating the expected future cash flows and discounting them  at
the  respective  effective interest rate or by valuing the  underlying
collateral.  Of the $49.8 million of outstanding impaired loans as  of
September  30,  1999,  $3.6 million are included  in  the  balance  of
restructured  loans  and  are performing pursuant  to  the  terms  and
conditions  of  the  restructuring.   The  following  table  discloses
pertinent information as it relates to the Company's impaired loans as
of the dates indicated:

<TABLE>
<CAPTION>
--------------------------------------------------------------------
(IN THOUSANDS)                       Sept. 30,1999      Dec. 31,1998
--------------------------------------------------------------------
<S>                                 <C>                <C>
Recorded Investment with Related
 Allowance                              $ 43,528           $ 20,746
Recorded Investment with no Related
 Allowance                                 6,257              1,519
Total Recorded Investment                 49,785             22,265
Allowance on Impaired Loans                4,713              3,250
--------------------------------------------------------------------
</TABLE>

     The increase from year-end in the recorded investment of impaired
loans  is due primarily to the $30.9 million casino construction  loan
and the $4.8 million tract home construction loan as discussed above.

      The  average balance of impaired loans before the allowance  was
$45.9  million for the nine months ended September 30, 1999 and  $13.5
million for the twelve months ended December 31, 1998.

      For  the nine months ended September 30, 1999 and 1998, interest
income  recognized  on  impaired  loans  was  $499,000  and  $233,000,
respectively. Of the amount of interest income recognized  during  the
nine  months  ended  September 30, 1999  and  1998,  no  interest  was
recognized under the cash basis method.

      Management  cannot  predict  the extent  to  which  the  current
economic  environment, including the real estate market, may  continue
to  improve or worsen, or the full impact such environment may have on
the  Bank's  loan  portfolio.   Furthermore,  as  the  Bank's  primary
regulators  review  the  loan portfolio  as  part  of  their  routine,
periodic  examinations  of  the  Bank, their  assessment  of  specific
credits  may  affect  the  level of the Bank's  non-performing  loans.
Accordingly, there can be no assurance that other loans  will  not  be
placed  on  non-accrual, become 90 days or more past due,  have  terms
modified in the future, or become OREO.


Allowance for Credit Losses
---------------------------

     As of September 30, 1999, the balance of the allowance for credit
losses was $19.5 million, representing 2.12% of outstanding loans  and
leases.   This  compares to an allowance for credit  losses  of  $19.4
million  as  of  December 31, 1998, representing 2.46% of  outstanding
loans and leases, respectively.

      The  table below summarizes the activity in the total  allowance
for  credit  losses (which amount includes the specific  allowance  on
impaired loans) for the nine month periods ended as indicated:

<TABLE>
<CAPTION>

--------------------------------------------------------------------------
(IN THOUSANDS)                    September 30, 1999    September 30, 1998
--------------------------------------------------------------------------
<S>                              <C>                   <C>
Balance, Beginning of Period          $  19,381             $  16,776
Provision for Credit Losses               3,500                     -
Charge-offs                              (5,684)               (1,829)
Recoveries                                2,348                 2,463
Net Recoveries (Charge-offs)             (3,336)                  634
Balance, End of Period                $  19,545             $  17,410
--------------------------------------------------------------------------
</TABLE>

      As  of  September 30, 1999, the allowance represents  33.9%  and
43.1%  of non-performing loans and of non-accrual loans, respectively.
As  of December 31, 1998, the allowance represented 60.6% and 93.2% of
non-performing  loans  and  of non-accrual  loans,  respectively.  The
decline of these ratios is due to the increase of non-accrual loans as
discussed above.

     The amount of the provision for credit losses is that required to
maintain  an  allowance for credit losses that is  adequate  to  cover
probable  credit  losses related to specifically identified  loans  as
well  as probable credit losses inherent in the remainder of the  loan
and  lease  portfolio.  Management evaluates the loan  portfolio,  the
economic  environment,  historical loan  loss  experience,  collateral
values  and  assessments of borrowers' ability to repay in determining
the amount of the allowance for credit losses.

      The allowance is based on ongoing, quarterly assessments of  the
probable  estimated losses inherent in the loan and  lease  portfolio,
and  to a lesser extent, unused commitments to provide financing.  The
Company's  methodology  for  assessing  the  appropriateness  of   the
allowance consists primarily of the use of a formula allowance.

      This formula allowance is calculated by applying loss factors to
outstanding loans and leases and certain unused commitments,  in  each
case  based on the internal risk rating of such loans, pools of loans,
leases or commitments.  Changes in risk rating of both performing  and
nonperforming loans affect the amount of the formula allowance.   Loss
factors are based on the Company's historical loss experience and  may
be  adjusted for significant factors that, in management's  judgement,
affect the collectibility of the portfolio as of the evaluation  date.
Loss factors are described as follows:

     - Problem graded loan loss factors represent percentages which have
       proven accurate over time.  Such factors are checked against and
       supported by migration analysis which tracks loss experience over
       a five-year period.

     - Pass  graded loan loss factors are based on the approximate
       average annual net charge-off rate over an eight-year period.

     - Pooled loan loss factors (not individually graded loans) are
       based on probable net charge-offs.  Pooled loans are loans and
       leases that are homogeneous in nature, such as residential
       mortgage loans and small business loans.

      Management  believes  that the allowance for  credit  losses  is
adequate  to  cover  known and inherent losses related  to  loans  and
leases outstanding as of September 30, 1999.




Securities
----------

      The  Company  classifies its securities as held to  maturity  or
available  for  sale.  Securities classified as held to  maturity  are
those  that  the Company has the positive intent and ability  to  hold
until maturity.  These securities are carried at amortized cost.

      Securities that could be sold in response to changes in interest
rates, increased loan demand, liquidity needs, capital requirements or
other  similar  factors,  are classified as securities  available  for
sale.   These  securities are carried at fair value,  with  unrealized
gains or losses reflected net of tax in stockholders' equity.

      As  of  September 30, 1999, the Company recorded net  unrealized
holding  losses  of  $8,571,000  on its available-for-sale  portfolio.
Accumulated other comprehensive income has been reduced by  $4,967,000
representing the net unrealized holding loss, net of tax.

      The  amortized  cost, gross unrealized gains,  gross  unrealized
losses and fair value of securities at September 30, 1999 and December
31, 1998 were as follows:

<TABLE>
<CAPTION>
------------------------------------------------------------------------------------
                                                Gross         Gross
(In Thousands)                     Amortized    Unrealized    Unrealized    Fair
September 30, 1999                 Cost         Gains         Losses        Value
------------------------------------------------------------------------------------
<S>                             <C>           <C>          <C>          <C>
Securities Held to Maturity
---------------------------
 U.S. Government Agencies          $   1,432    $    -        $     (38)   $   1,394
 Collateralized Mortgage
  Obligations                              9         -                -            9
                                   -------------------------------------------------
Total Securities Held to
 Maturity                          $   1,441    $    -        $     (38)   $   1,403
                                   =================================================
Securities Available for Sale
-----------------------------
 U.S. Government Agencies          $  39,032    $   30        $       -    $  39,062
 Mortgage Backed Securities          147,200         -           (3,829)     143,371
 Corporate Notes                      49,984         -             (342)      49,642
 Collateralized Mortgage
  Obligations                        227,789         -           (2,900)     224,889
 Asset Backed Securities             272,921         -           (2,302)     270,619
 Other Securities                      6,153       772                -        6,925
                                   -------------------------------------------------
Total Securities Available
 for Sale                          $ 743,079    $  802        $  (9,373)   $ 734,508
                                   =================================================
</TABLE>


<TABLE>
<CAPTION>

                                                Gross         Gross
(In Thousands)                     Amortized    Unrealized    Unrealized    Fair
December 31, 1998                  Cost         Gains         Losses        Value
------------------------------------------------------------------------------------
<S>                              <C>          <C>           <C>          <C>
Securities Held to Maturity
---------------------------
 U.S. Government Agencies          $  24,594    $   61        $       -    $  24,655
 Collateralized Mortgage
  Obligations                             22         -                -           22
                                   -------------------------------------------------
Total Securities Held to
 Maturity                          $  24,616    $   61        $       -    $  24,677
                                   =================================================
Securities Available for Sale
-----------------------------
 U.S. Treasuries                   $   1,859    $    3        $       -    $   1,862
 U.S. Government Agencies             59,604       171                -       59,775
 Mortgage Backed Securities           72,799       408                -       73,207
 Corporate Notes                      34,925         -               (1)      34,924
 Collateralized Mortgage
  Obligations                        246,026       621                -      246,647
 Asset Backed Securities             257,638     1,970                -      259,608
 Commercial Papaer                    39,860         -                -       39,860
 Other Securities                      8,289         -                -        8,289
                                   -------------------------------------------------
Total Securities Available
 for Sale                          $ 721,000    $3,173        $      (1)   $ 724,172
                                   =================================================

</TABLE>

      There were no sales of securities available for sale or held  to
maturity during the nine months ended September 30, 1999 and 1998.

Other Investments
-----------------

     The balance of other investments as of September 30, 1999 of $8.8
million is primarily comprised of the purchase of a 10% interest in  a
limited  partnership. The partnership is involved with the leasing  of
aircraft.

Deposits
--------

      The  Company's deposits totaled $1,467.2 million as of September
30,  1999, representing an $86.3 million, or 6.3%, increase from total
deposits of $1,380.9 million as of December 31, 1998.  The growth  for
the  nine  months  ended  September 30, 1999,  was  primarily  due  to
increases  in time certificates of deposit of $100,000 or more,  which
grew $88.8 million, or 14.8%.  Also, interest bearing demand reflected
an  increase  of $31.2 million, or 11.1%. The growth of these  deposit
categories  was partially offset by a $57.8 million, or 21.4%  decline
of other time deposits.

      As  of  September 30, 1999 and December 31, 1998, there were  no
brokered deposits outstanding.  The Company believes that the majority
of  its deposit customers have strong ties to the Bank.  Although  the
Company has a significant amount of time deposits of $100,000 or  more
having  maturities of one year or less, historically,  the  depositors
have generally renewed their deposits upon maturity. Accordingly,  the
Company believes its deposit source to be stable.

     The maturity schedule of time certificates of deposit of $100,000
or more, as of September 30, 1999, is as follows:

<TABLE>
<CAPTION>
----------------------------------------------------
(IN THOUSANDS)
----------------------------------------------------
<S>                                     <C>
3 Months or Less                           $ 365,819
Over 3 Months Through 6 Months               202,002
Over 6 Months Through 12 Months              119,851
Over 12 Months                                   801
----------------------------------------------------
Total                                      $ 688,473
----------------------------------------------------
</TABLE>

Other Borrowings
----------------

      As  of  September  30, 1999, the Company has  three  sources  of
outstanding borrowings.

      Subordinated debt is comprised of a $40 million public  offering
issuance of 8.375% subordinated notes due August 1, 2007.  Proceeds of
$38.7  million,  net  of underwriting discount of $1.3  million,  were
received  by  the  Company  at  date of  issuance.   The  discount  is
amortized as a yield adjustment over the 10-year life of the notes.

     The Bank has obtained advances from the Federal Home Loan Bank of
San  Francisco (the "FHLB") totaling $50.0 million.  The advances  are
under an existing line of credit whereby the FHLB has granted the Bank
a  line  of  credit equal to 25 percent of its assets.  The  following
relates to the four outstanding advances as of September 30, 1999:

<TABLE>
<CAPTION>

            Maturity            Amount         Fixed Rate of Interest
            --------            ------         ----------------------
          <S>              <C>                       <C>
          Nov.  1, 2000       $25,000,000               4.53%
          Jan. 31, 2001        10,000,000               5.19%
          Apr. 30, 2001        10,000,000               4.92%
          July 15, 2002         5,000,000               5.61%

</TABLE>

The total outstanding of $50 million of advances as of September 30,
1999 has a composite fixed rate of interest of 4.85%.

     As  of September 30, 1999, the Bank had $15.0 million outstanding
of  federal funds purchased. The rate of interest paid on the  federal
funds purchased was 5.75% .


Capital Resources
-----------------

      As  of  September 30, 1999, stockholders' equity totaled  $128.2
million, a decrease of $34.8 million, or 21.3%, from $163.0 million as
of  December 31, 1998. During 1999, a total of $46.8 million was spent
on  the  repurchase of shares of the Company stock. These  repurchases
represented  the  completion  of a 1.4  million  share  repurchase  as
authorized  by the Board of Directors on September 17, 1998,  and  the
repurchase  of 1.3 million shares pursuant to the Dutch Auction  self-
tender  program announced in the second quarter of 1999 and  completed
in the current quarter.

      Capital ratios for the Company and for the Bank were as  follows
as of the dates indicated:

<TABLE>
<CAPTION>

--------------------------------------------------------------------
                           Well-Capitalized      Sept. 30,   Dec. 31
                              Standards            1999       1998
--------------------------------------------------------------------
<S>                           <C>              <C>        <C>
GBC Bancorp
Tier 1 Leverage Ratio             5%               7.69%      9.75%
Tier 1 Risk-Based Capital
 Ratio                            6%               8.82%     11.06%
Total Risk-Based Capital
 Ratio                           10%              12.65%     14.98%

General Bank
Tier 1 Leverage Ratio             5%               9.24%      9.49%
Tier 1 Risk-Based Capital
 Ratio                            6%              10.62%     10.77%
Total Risk-Based Capital
 Ratio                           10%              11.87%     12.02%
--------------------------------------------------------------------
</TABLE>

      For  the nine months ended September 30, 1999, the ratio of  the
Company's average stockholders' equity to average assets was 8.9%. For
the  year  ended December 31, 1998, this ratio was 10.0%. The decrease
of the ratio is mainly the result of the stock repurchases.

Liquidity and Interest Rate Sensitivity
---------------------------------------

       Liquidity  measures  the  ability  of  the  Company   to   meet
fluctuations in deposit levels, to fund its operations and to  provide
for  customers' credit needs. Asset liquidity is provided by cash  and
short-term financial instruments which include federal funds sold  and
securities  purchased under agreements to resell, unpledged securities
held  to  maturity  maturing within one year and unpledged  securities
available  for  sale.  These sources of liquidity amounted  to  $604.8
million,  or 35.0% of total assets, as of September 30, 1999, compared
to $666.7 million, or 39.7% of total assets, as of December 31, 1998.

      To further supplement its liquidity, the Company has established
federal  funds  lines  with  correspondent  banks  and  three   master
repurchase  agreements  with major brokerage  companies.   In  August,
1992, the Federal Home Loan Bank of San Francisco ("FHLB") granted the
Bank  a  line  of credit currently equal to 25 percent of assets  with
terms up to 360 months. As of September 30, 1999, the Company has  $50
million outstanding under this financing facility representing 2.9% of
total  assets. Management believes its liquidity sources to be  stable
and adequate.

      As  of  September  30, 1999, total loans and leases  represented
62.8% of total deposits.  This compares to 59.1% and 57.1% as of  June
30, 1999 and December 31, 1998, respectively. During the third quarter
of 1999, loans and leases increased $73.1 million, or 8.6%.

      The  liquidity  of the parent company, GBC Bancorp  ("GBC"),  is
primarily  dependent  on  the  payment  of  cash  dividends   by   its
subsidiary,  General  Bank, (the "Bank") subject  to  the  limitations
imposed  by  the Financial Code of the State of California.   For  the
nine months ended September 30, 1999, the Bank declared cash dividends
of  $19.0 million to GBC Bancorp. A $16 million cash dividend  in  the
3rd quarter was used to partially fund GBC's stock repurchase.


"GAP" Measurement
-----------------

      While  no  single measure can completely identify the impact  of
changes  in  interest  rates  on net interest  income,  one  gauge  of
interest  rate  sensitivity is to measure,  over  a  variety  of  time
periods, contractual differences in the amounts of the Company's  rate
sensitive  assets and rate sensitive liabilities.  These  differences,
or  "gaps",  provide  an indication of the extent  that  net  interest
income  may be affected by future changes in interest rates.  However,
these  contractual "gaps" do not take into account timing  differences
between the repricing of assets and the repricing of liabilities.

      A  positive  gap exists when rate sensitive assets  exceed  rate
sensitive  liabilities and indicates that a greater volume  of  assets
than  liabilities will reprice during a given period.   This  mismatch
may  enhance  earnings in a rising rate environment  and  may  inhibit
earnings   when  rates  decline.   Conversely,  when  rate   sensitive
liabilities  exceed rate sensitive assets, referred to as  a  negative
gap,  it  indicates that a greater volume of liabilities  than  assets
will  reprice during the period. In this case, a rising interest  rate
environment  may  inhibit  earnings and declining  rates  may  enhance
earnings.

      "Gap" reports originated as a means to provide management with a
tool  to monitor repricing differences, or "gaps", between assets  and
liabilities  repricing  in  a  specified  period,  based  upon   their
underlying  contractual  rights.  The use of  "gap"  reports  is  thus
limited  to  a  quantification of the "mismatch"  between  assets  and
liabilities   repricing   within   a   unique   specified   timeframe.
Contractual  "Gap"  reports cannot be used  to  quantify  exposure  to
interest  rate  changes because they do not take into  account  timing
differences between repricing assets and liabilities, and  changes  in
the amount of prepayments.

      As  of  September  30,  1999, there was  a  cumulative  one-year
negative "gap" of $618.2 million, compared to a one-year negative  gap
of $448.2 million as of December 31, 1998.

      The  following  table  indicates  the  Company's  interest  rate
sensitivity  position  as  of September 30,  1999,  and  is  based  on
contractual  maturities.   It may not be reflective  of  positions  in
subsequent periods:

<TABLE>
<CAPTION>
                                                                 September 30,1999
                                                               INTEREST SENSITIVITY PERIOD
                                    -----------------------------------------------------------------------------
                                      0 to 90    91 to 365   Over 1 Year   Over      Non-Interest
(In Thousands)                         Days        Days      to 5 Years   5 Years    Earning/Bearing     Total
-----------------------------------------------------------------------------------------------------------------
Earning Assets
<S>                                   <C>        <C>        <C>          <C>          <C>             <C>
Securities Available for Sale          $ 14,896   $ 10,420   $ 70,251     $ 638,941     $         -     $ 734,508
Securities Held to Maturity                   -          -      1,432             9               -         1,441
Federal Funds Sold & Securities
 Purchased Under Agreement to Resell      8,500          -          -             -               -         8,500
Loans and Leases (1) (2)                633,817     20,271     98,642       123,841               -       876,571
Non-Earning Assets (2)                                                                      108,856       108,856
                                       ---------   --------   --------    ----------  --------------   -----------
Total Assets                           $657,213    $30,691    $170,325    $ 762,791      $  108,856    $1,729,876
                                       ---------   --------   --------    ----------  --------------   -----------
Source of Funds for Assets:

Deposits:
  Demand - N/B                         $      -    $     -    $      -    $       -      $  174,798    $  174,798
  Interest Bearing Demand               311,460          -           -            -               -       311,460
  Savings                                79,830          -           -            -               -        79,830
  TCD'S Under $100,000                  112,807     99,379         471            -               -       212,657
  TCD'S $100,000 and Over               365,819    321,853         801            -               -       688,473
                                       ---------  ---------    --------   ----------  --------------   -----------
Total Deposits                         $869,916   $421,232     $ 1,272    $       -      $  174,798    $1,467,218
                                       ---------  ---------    --------   ----------  --------------   -----------

Federal Funds Purchased & Securities
 Sold Under Agreement to Resell        $ 15,000   $      -     $     -    $       -      $        -    $   15,000
Borrowings from the Federal Home Loan
 Bank                                         -          -      50,000            -               -        50,000
Subordinated Debt                             -          -           -       38,974               -        38,974
Other Liabilities                             -          -           -            -          30,478        30,478
Stockholders' Equity                          -          -           -            -         128,206       128,206
                                       ---------  ---------    --------    ----------  --------------   ----------
Total Liabilities and
  Stockholders' Equity                 $884,916   $421,232      $51,272    $ 38,974       $ 333,482    $1,729,876
                                       ---------  ---------    ---------   ----------  --------------   ----------


Interest Sensitivity Gap               ($227,703) ($390,541)    $119,053   $ 723,817      ($224,626)

Cumulative Interest Sensitivity Gap    ($227,703) ($618,244)   ($499,191)  $  224,626             -

Gap Ratio (% of Total Assets)              -13.2%     -22.6%         6.9%        41.8%        -12.9%

Cumulative Gap Ratio                       -13.2%     -35.8%       -28.9%        12.9%          0.0%

</TABLE>

     (1) Loans and leases are before unamortized deferred loan fees
         and allowance for credit losses.
     (2) Nonaccrual loans are included in non-earning assets.


       Effective   asset/liability  management  includes   maintaining
adequate  liquidity and minimizing the impact of future interest  rate
changes  on  net interest income. The Company attempts to  manage  its
interest rate sensitivity on an on-going basis through the analysis of
the  repricing characteristics of its loans, securities, and deposits,
and managing the estimated net interest income volatility by adjusting
the  terms of its interest-earning assets and liabilities, and through
the use of derivatives as needed.


Market risk
-----------

      Market  risk is the risk of financial loss arising from  adverse
changes  in  market prices and interest rates.  The  Company's  market
risk  is inherent in its lending and deposit taking activities to  the
extent  of  differences in the amounts maturing or degree of repricing
sensitivity.  Adverse changes in market prices and interest rates  may
therefore  result in diminished earnings and ultimately an erosion  of
capital.

      Since  the  Company's profitability is affected  by  changes  in
interest  rates, management actively monitors how changes in  interest
rates  may affect earnings and ultimately the underlying market  value
of equity.  Management monitors interest rate exposure through the use
of  three basic measurement tools in conjunction with established risk
limits.   These  tools  are  the expected  maturity  gap  report,  net
interest  income  volatility  and market value  of  equity  volatility
reports.  The gap report details the expected maturity mismatch or gap
between interest earning assets and interest bearing liabilities  over
a  specified timeframe.  The expected gap differs from the contractual
gap  report  shown  earlier in this section by  adjusting  contractual
maturities  for  expected  prepayments  of  principal  on  loans   and
amortizing securities as well as the projected timing of repricing non-
maturity  deposits.  The following table shows the Company's financial
instruments   that  are  sensitive  to  changes  in   interest   rates
categorized by their expected maturity, as of September 30, 1999:

<TABLE>
<CAPTION>


                                               0 to 90       91 to 365      Over 1 Year        Over
 (In Thousands)                                  Days          Days          to 5 Years        5 Years        Total
                                              -----------   ------------    ------------     ------------   ---------
<S>                                          <C>           <C>>           <C>              <C>             <C>
Interest-sensitive Assets:
 Securities Available for Sale                $   29,982     $   88,112      $  490,182       $   126,232    $  734,508
 Securities Held to Maturity                       1,441              -               -                 -         1,441
 Federal Funds Sold & Securities
  Purchased Under Agreements to Resell             8,500              -               -                 -         8,500
 Loans and Leases (1)                            633,817         20,271          98,642           123,841       876,571
                                              -----------   ------------    ------------     ------------   -----------
 Total Interest-earning Assets                $  673,740      $ 108,383       $ 588,824       $   250,073    $1,621,020
                                              -----------   ------------    ------------     ------------   -----------

 Interest-sensitive Liabilities:
 Deposits:
   Interest Bearing Demand                    $  10,902       $  32,705       $ 206,452        $   61,401    $  311,460
   Savings                                        2,661           7,983          53,220            15,966        79,830
   Time Certificates of  Deposit                478,626         421,232           1,272                 -       901,130
                                              -----------   ------------    ------------     ------------   -----------
 Total Deposits                               $ 492,189       $ 461,920       $ 260,944        $   77,367    $1,292,420
                                              -----------   ------------    ------------     ------------   -----------

 Federal Funds Purchased & Securities
    Sold Under Repurchased Agreements         $  15,000       $       -       $       -         $       -    $   15,000
 Borrowing from FHLB                                  -               -          50,000                 -        50,000
 Subordinated Debt                                    -               -               -            38,974        38,974
                                              -----------   ------------    ------------     ------------   -----------
 Total Interest-sensitive Liabilities         $ 507,189       $ 461,920       $ 310,944         $ 116,341    $1,396,394
                                              -----------   ------------    ------------     ------------   -----------
</TABLE>


 (1) Loans and leases are net of non-accrual loans and before
unamortized deferred loan fees and allowance for credit
losses.


     Expected maturities of assets are contractual maturities adjusted
for   projected   payment  based  on  contractual   amortization   and
unscheduled  prepayments of principal as well as repricing  frequency.
Expected  maturities for deposits are based on contractual  maturities
adjusted for projected rollover rates and changes in pricing for  non-
maturity  deposits.   The  Company utilizes assumptions  supported  by
documented  analysis  for the expected maturities  of  its  loans  and
repricing of its deposits and relies on third party data providers for
prepayment   projections  for  amortizing  securities.    The   actual
maturities  of  these instruments could vary significantly  if  future
prepayments and repricing differ from the Company's expectations based
on historical experience.

      The  Company uses a computer simulation analysis to  attempt  to
predict  changes in the yields earned on assets and the rates paid  on
liabilities in relation to changes in market interest rates.  The  net
interest  income  volatility  and market value  of  equity  volatility
reports measure the exposure of earnings and capital respectively,  to
immediate  incremental changes in market interest rates as represented
by  the prime rate change of 100 to 200 basis points.  Market value of
portfolio  equity is defined as the present value of assets minus  the
present  value  of liabilities and off balance sheet  contracts.   The
table below shows the estimated impact of changes in interest rates on
net  interest  income and market value of equity as of  September  30,
1999:

<TABLE>
<CAPTION>

                   Net Interest      Market Value of
   Change in          Income         Portfolio Equity
    Interest        Volatility          Volatility
  Rates (Basis    September 30,     September 30, 1999
    Points)          1999 (1)              (2)
     <S>            <C>               <C>
      +200            -3.60%             -12.70%
      +100            -2.10%              -6.70%
      -100            -0.90%              +6.00%
      -200            -3.70%              +8.60%

</TABLE>

        (1)  The percentage change in this column represents the change in net
             interest income for 12 months under various rate scenarios.

        (2)  The percentage change in this colume represents the change in net
             portfolio equity value of the Bank under variouse rate scenarios.



     The Company's primary objective in managing interest rate risk is
to  minimize  the  adverse effects of changes  in  interest  rates  on
earnings  and  capital.   In this regard the Company  has  established
internal  risk limits for net interest income volatility given  a  100
and 200 basis point decline in rates of 10% and 15% respectively, over
a  twelve month horizon.  Similarly, risk limits have been established
for  market value of portfolio equity volatility in response to a  100
and 200 basis point increase in rates of 10% and 15%, respectively.

      On  June 30, 1999 the Federal Reserve Bank (the "FRB") announced
an increase  of 25 basis points in short-term rates.  Again, on August
24,  the  FRB increased short-term rates by 25 basis points  and  also
raised  the discount rate from 4.50% to 4.75%. The increase of  short-
term rates affects immediately the yield of approximately $627 million
of  loans and $8.5 million in overnight fed funds sold as of September
30,  1999.  In  addition, securities expected to  mature  or  re-price
during the current quarter totaling $31.5 million are expected  to  be
re-invested  at higher yields. Offsetting these increase  in  interest
income,  however, are increases in interest expense due  primarily  to
higher rates paid on the Company's time certificates of deposit  which
comprise 69.7% of total interest bearing deposits as of September  30,
1999.  There  is  a  delay  in  the  increased  rates  paid  on   time
certificates of deposit due to a four-month average maturity of  these
deposits.

Year 2000
---------

     The Company's main software systems have been licensed from large
vendors  who  have  provided certifications of Year  2000  compliance.
Tests  have confirmed such compliance for these main software systems.
Certain ancillary systems that operate on personal computers are  also
licensed  and  the  vendors have informed the  Company  that  releases
conform  to Year 2000 requirements. The Bank has budgeted $100,000  of
expenses related to Year 2000 compliance.  Expenses to date have  been
approximately  $66,000. Total expenses are expected to  be  under  the
budgeted amount.  Management believes that there are no material risks
to the Company from its computer systems related to the Year 2000.

     Certain operations, such as payroll and the administration of the
Company's  401(k)  plan,  are outsourced to  outside  companies.   The
Company  has  obtained  certification of their Year  2000  compliance.
Management  believes that there are no material risks to  the  Company
from its outsourced operations related to the Year 2000.


      Non-information technology systems are expected to function well
in   Year   2000  and  beyond.   The  Company  has  requested  written
certification  for  Year 2000 compliance from the utilities  companies
and  the telecommunications companies and has received acknowledgement
from each company that they are on target with Year 2000 compliance.

      A Business Resumption Plan (the "Plan") is in place including  a
back-up site for data processing in the event of failure of the Bank's
mainframe  computer.   In  the unlikely event  that  the  testing  and
certification  procedures  of  the  Bank  utilized  software  did  not
discover a problem, the Bank has in place manual processing procedures
that have been tested which would be followed until correction of  the
software problem by the Bank's vendors.

      The  Company  has  sent  questionnaires  to  selected  borrowers
representing  more  than  70% of  outstanding  credit  commitments  by
dollar volume at the time of the mailing. All questionnaires have  now
been  received  and reviewed. The questionnaire review process,  along
with  ongoing  oversight,  has resolved  all  issues  where  potential
adverse  impact  on credit quality would have been a factor  had  Year
2000 issues not been addressed.

      One  credit with a commitment of $3 million has been judged "not
sure" in its ability to ensure Year 2000 compliance, and one credit of
$0.5  million  has a Year 2000 analysis  still pending. These  credits
have  been  placed on the "Watch" list to ensure high  visibility  and
ongoing monitoring.

      Any borrowers unable to confirm Year 2000 compliance in a timely
manner will be evaluated to ensure an adequate specific allocation  to
the  allowance for credit losses. Year 2000 compliance is a factor  in
all  credit  decisions and in the specific allocations of  a  required
allowance  for credit losses. Management believes the Year  2000  does
represent  an  area  of  potential risk for credit  losses,  but  also
believes  the  risk  is manageable. However, credit  losses  could  be
realized  by  the  Company  due  to Year  2000  problems  affecting  a
borrower's  businesses. The amount of such losses would be a  function
of the value of the collateral associated with the individual credits.
Whether  such  potential losses would require an additional  provision
for  credit losses would be determined in conjunction with the  normal
quarterly analysis of the adequacy of the allowance for credit losses.


Forward-Looking Statements
--------------------------

       Certain   statements  contained  herein,   including,   without
limitation,  statements  containing the words  "believes,"  "intends,"
"should",  "expects" and words of similar import, constitute "forward-
looking  statements"  within the meaning  of  the  Private  Securities
Litigation Reform Act of 1995. Such forward-looking statements involve
known  and  unknown risks, uncertainties and other  factors  that  may
cause  the actual results, performance or achievements of the  Company
to  be  materially different from any future results,  performance  or
achievements expressed or implied by such forward-looking  statements.
Such  factors include, among others, the following:  general economics
and  business conditions in those areas in which the Company operates;
demographic  changes;  competition; fluctuations  in  interest  rates;
changes  in  business  strategy  or  development  plans;  changes   in
governmental regulation; credit quality; and other factors  referenced
herein,  including,  without limitation, under the captions  Provision
for Credit Losses, Non-Performing Assets, Allowance for Credit Losses,
Liquidity and Interest Rate Sensitivity, Market Risk, and Recent
Accounting Developments.  Given these uncertainties, the reader is
cautioned  not to  place  undue  reliance  on such forward-looking
statements. The Company  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.


Recent Accounting Developments
------------------------------


Disclosure about Segments of an Enterprise and Related Information
------------------------------------------------------------------

      In  June 1997, the FASB issued Statement of Financial Accounting
Standards  No.  131 "Disclosures about Segments of an  Enterprise  and
Related  Information".  This statement establishes standards  for  the
way  public  business  enterprises are  to  report  information  about
operating  segments in annual financial statements and requires  those
enterprises to report selected information about operating segments in
interim financial reports issued to shareholders.  It also establishes
standards   for  related  disclosures  about  products  and  services,
geographic areas, and major customers.  SFAS 131 supersedes  SFAS  14,
"Financial  Reporting  for  Segments of a  Business  Enterprise",  but
retains  the requirement to report information about major  customers.
SFAS  131  is effective for financial statements for periods beginning
after December 15, 1997.  Management and the Board of Directors do not
utilize   profit   center  reporting  to  manage   the   organization.
Therefore, segment reporting will not be disclosed.


Accounting for Derivative Instruments and Hedging Activities
------------------------------------------------------------

      Statement  of Financial Accounting Standards No. 133 "Accounting
for  Derivative Instruments and Hedging Activities", ("SFAS No. 133"),
establishes   accounting  and  reporting  standards   for   derivative
instruments,  including  certain derivative  instruments  embedded  in
other  contracts,  (collectively referred to as derivatives)  and  for
hedging  activities.   It   requires  that  an  entity  recognize  all
derivatives as either assets or liabilities in the balance  sheet  and
measure  those  instruments at fair value.  If certain conditions  are
met,  a  derivative may be specifically designated  as (a) a hedge  of
the  exposure to changes in the fair  value of a recognized  asset  or
liability  or  an unrecognized firm commitment, (b)  a  hedge  of  the
exposure to variable cash flows of a forecasted transaction, or (c)  a
hedge  of   the  foreign currency exposure of a net  investment  in  a
foreign  operation, an unrecognized firm commitment, an available-for-
sale   security,   or   a  foreign-currency  denominated    forecasted
transaction.   The   accounting  for  changes  in  fair  value  of   a
derivative (that is,  gains and losses) depends on the intended use of
the derivative and the resulting designation.

      SFAS 133 was originally scheduled to be effective for all fiscal
quarters  of fiscal years beginning after June 15, 1999. However,  the
FASB  recently issued SFAS 137, "Accounting for Derivative Instruments
and  Hedging  Activities  - Deferral of the  Effective  Date  of  FASB
Statement No.133 " which amended the effective date of the application
of  SFAS  133 to be effective for all fiscal quarters of fiscal  years
beginning after June 15, 2000. Initial application of SFAS 133 must be
as  of  the  beginning of an entity's fiscal quarter;  on  that  date,
hedging  relationships must be designated anew and documented pursuant
to  the  provisions  of  SFAS 133. SFAS  133  is  not  to  be  applied
retroactively  to  financial statements of prior  periods.  Management
does  not believe that there will be a material adverse impact on  the
financial  position  or  results of operations  of  the  Company  upon
adoption of SFAS 133.










                      PART II - OTHER INFORMATION



Item 1. LEGAL PROCEEDINGS
-------------------------

      In  the  normal course of business, the Company  is  subject  to
pending  and threatened legal actions.  Management believes  that  the
outcome of such actions will not have a material adverse effect on the
Company's financial condition or results of operations.


Item 2.  CHANGES IN SECURITIES
------------------------------

      There  have been no changes in the securities of the  Registrant
during the quarter ended September 30, 1999.


Item 3.  DEFAULT UPON SENIOR SECURITIES
---------------------------------------

     This item is not applicable.

Item 4.  SUBMISSION OF MATTERS TO A VOTE OF SECURITIES HOLDERS
--------------------------------------------------------------

      No  matters were submitted to a vote of security holders  during
the quarter ended September 30, 1999.


Item 5.  OTHER INFORMATION
--------------------------

     There are no events to be reported under this item.


Item 6.  EXHIBITS AND REPORTS ON FORM 8-K
-----------------------------------------

     a)  Exhibits: None.
     b)  Reports on Form 8-K:  None.









                         PART III - SIGNATURES


SIGNATURES


Pursuant  to the requirements of the Securities Exchange Act of  1934,
the  Registrant has duly caused this report to be signed on its behalf
by the undersigned thereunto duly authorized.



                         GBC Bancorp
                         (Registrant)


Dated: November 12, 1999       s/Li-Pei Wu
       --------------------    -----------------------
                                 Chairman and
                                 Chief Executive Officer



Dated: November 12,1999        s/Peter Lowe
       --------------------    -----------------------
                                 Executive Vice President and
                                 Chief Financial Officer