<PAGE>

                       SECURITIES AND EXCHANGE COMMISSION

                             WASHINGTON, D. C. 20549

                                    FORM 10-Q

                  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF

                       THE SECURITIES EXCHANGE ACT OF 1934

                        FOR QUARTER ENDED:MARCH 31, 2000

                         COMMISSION FILE NUMBER: 0-11108

                             SUMMIT BANCSHARES, INC.

               STATE OF CALIFORNIA      I.R.S. IDENTIFICATION
                             NUMBER 94-2767067

                     2969 BROADWAY, OAKLAND CALIFORNIA 94611

                                 (510) 839-8800

Indicate by the 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
                                -------         -------

The number of shares outstanding of the registrant's common stock was
          456,681 shares of no par value common stock
                issued as of March 31, 2000

<PAGE>

PART I - FINANCIAL INFORMATION
<TABLE>
<CAPTION>
ITEM 1                                                           PAGE

SUMMIT BANCSHARES, INC. AND SUBSIDIARY FINANCIAL STATEMENTS

<S>                                                               <C>
              Consolidated Balance Sheets ......................  3

              Consolidated Statements of Income ................  4

              Consolidated Statements of Changes in
                     Shareholders' Equity ......................  5

              Consolidated Statement of Cash Flows .............  6

              Notes to Financial Statements.....................  7

              Interest Rate Risk Reporting Schedule.............  8

ITEM 2

             Management's Discussion and Analysis of Financial
             Condition and Results of Operations ...............  9-16

                           PART II - OTHER INFORMATION

  ITEMS 1-6 ....................................................  17-18
</TABLE>


<PAGE>

SUMMIT BANCSHARES, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF
FINANCIAL POSITION DECEMBER 31, 1999 AND MARCH 31, 2000
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                                                        Audited                   Unaudited
ASSETS                                                                                  12/31/99                  03/31/00
---------------------------------------------------------------------------------------------------------------------------
<S>                                                                         <C>                       <C>
Cash and due from banks                                                              $ 5,875,500               $ 7,861,961
Federal funds sold                                                                    21,760,000                18,860,000
                                                                             --------------------       -------------------
Cash and cash equivalents                                                             27,635,500                26,721,961
Time deposits with other financial institutions                                       27,888,634                31,262,350
Investment securities (fair value of $19,294,504 at
    March 31, 2000 and $19,154,772 at
    December 31, 1999 ) held to maturity                                              19,465,133                19,465,101
Loans, net of allowance for loan losses of
   $1,273,364 at March 31, 2000 and
   $1,273,364 at December 31, 1999                                                    56,071,617                58,703,440
Other real estate owned                                                                        0                         0
Premises and equipment, net                                                              913,435                   853,715
Interest receivable and other assets                                                   3,929,372                 5,175,065
                                                                             --------------------       -------------------

Total Assets                                                                        $135,903,691              $142,181,632
                                                                             ====================       ===================

LIABILITIES AND SHAREHOLDERS' EQUITY
--------------------------------------------------------------------         --------------------       -------------------
Deposits:
Demand                                                                              $ 39,566,546              $ 46,492,670
Interest-bearing transaction accounts                                                 48,225,818                45,711,228
Savings                                                                                2,327,328                 2,664,060
Time certificates $100,000 and over                                                   23,047,736                23,372,593
Other time certificates                                                                6,828,925                 7,229,555
                                                                             --------------------       -------------------
Total Deposits                                                                       119,996,353               125,470,106
Interest payable and other liabilities                                                   754,210                 1,101,488
                                                                             --------------------       -------------------
Total Liabilities                                                                    120,750,563               126,571,594
SHAREHOLDERS' EQUITY
Preferred Stock, no par value:
   2,000,000 shares authorized, no shares outstanding                                          0                         0
Common Stock, no par value:
   3,000,000 shares authorized;
   456,681 shares outstanding at March 31, 2000 and
   458,021 shares outstanding at December 31, 1999                                     3,741,924                 3,696,934
Retained Earnings                                                                     11,411,204                11,913,104
                                                                             --------------------       -------------------
Total Shareholders' Equity                                                            15,153,128                15,610,038

Total Liabilities and Shareholders' Equity                                          $135,903,691              $142,181,632
                                                                             ====================       ===================
</TABLE>

The accompanying notes are an integral part of these consolidated financial
statements

<PAGE>

SUMMIT BANCSHARES, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF
INCOME FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 2000
<TABLE>
<CAPTION>
                                                                               Unaudited                         Unaudited
                                                                             THREE MONTHS                      THREE MONTHS
                                                                            ENDED 3-31-99                      ENDED 3-31-00
------------------------------------------------------               --------------------------           ------------------
<S>                                                                  <C>                                 <C>
INTEREST INCOME:
Interest and fees on loans                                                          $1,375,009                   $1,579,891
Interest on time deposits with other
   financial institutions                                                              363,680                      387,447
Interest on U.S. government
   treasury securities                                                                 160,768                      267,047
Interest on federal funds sold                                                         184,002                      251,297
                                                                            -------------------           ------------------
Total interest income                                                                2,083,460                    2,485,682

INTEREST EXPENSE:
Interest on deposits                                                                   587,219                      614,743
                                                                            -------------------           ------------------
Total interest expense                                                                 587,219                      614,743
                                                                            -------------------           ------------------
Net interest income                                                                  1,496,241                    1,870,939
Provision for loan losses                                                                    -                            -
                                                                            -------------------           ------------------
Net interest income after
   provision for loan losses                                                         1,496,241                    1,870,939

NON-INTEREST INCOME:
Service charges on deposit accounts                                                     86,821                       61,150
Other customer fees and charges                                                        102,901                       30,476
                                                                            -------------------           ------------------
Total non-interest income                                                              189,722                       91,626

NON-INTEREST EXPENSE:
Salaries and employee benefits                                                         521,448                      658,820
Occupancy expense                                                                      102,579                      101,422
Equipment expense                                                                       60,317                       65,209
Other                                                                                  243,367                      275,897
                                                                            -------------------           ------------------
Total non-interest expense                                                             927,711                    1,101,348
Income before income taxes                                                             758,252                      861,217
Provision for income taxes                                                             312,128                      359,319
                                                                            -------------------           ------------------
Net Income                                                                            $446,124                     $501,898
                                                                            ===================           ==================

EARNINGS PER SHARE:
Earnings per common share                                                                $0.98                        $1.10
Earnings per common share assuming dilution                                              $0.96                        $1.08
Weighted average shares outstanding                                                    454,323                      457,699
Weighted avg. shrs. outsdg. assuming dilution                                          465,934                      465,286
                                                                            ===================           ==================
</TABLE>

The accompanying notes are an integral part of these consolidated financial
statements

<PAGE>

SUMMIT BANCSHARES, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF
CASH FLOWS FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND  2000
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                                                         THREE MONTHS            THREE MONTHS
                                                                                        ENDED 3-31-99           ENDED 3-31-00
------------------------------------------------------------------------------------------------------------------------------
<S>                                                                                <C>                     <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Interest received                                                                         $ 1,812,325             $ 2,438,557
Fees received                                                                                 441,945                 379,035
Interest paid                                                                                (619,524)               (613,014)
Cash paid to suppliers and employees                                                       (1,008,967)               (909,424)
Income taxes paid                                                                            (125,000)               (326,000)
                                                                                   -------------------     -------------------
Net cash provided by operating activities                                                     500,779                 969,154

CASH FLOWS FROM INVESTING ACTIVITIES:
(Increase) decrease in time deposits with
   other financial institutions                                                            (5,940,000)             (3,373,716)
Maturity of investment securities                                                           5,000,000                      32
Purchase of investment securities                                                          (5,000,000)                      0
Net (increase) decrease in loans to customers                                               1,427,426              (2,799,959)
Recoveries on loans previously charged-off                                                          0                       0
(Increase) decrease in premises and equipment                                                 (41,265)               (213,064)
                                                                                   -------------------     -------------------
Net cash provided by (used in) investing activities                                        (4,553,839)             (6,386,708)

CASH FLOWS FROM FINANCING ACTIVITIES:
Increase (decrease) in demand, interest
   bearing transaction, and savings deposits                                                1,431,486               4,748,266
Net increase (decrease) in time deposits                                                   (5,322,161)                725,488
(Increase) decrease in other assets                                                          (121,794)               (924,750)
Exercise of stock options                                                                      90,000                       0
Repurchase of common stock                                                                    (24,544)                (44,990)
Dividends paid                                                                                      0                       0
                                                                                   -------------------     -------------------
Net cash provided by (used in) financing activities                                        (3,946,653)              4,504,014
                                                                                   -------------------     -------------------
Net increase (decrease) in cash and cash equivalents                                       (7,999,713)               (913,540)
Cash and cash equivalents at the
   beginning of the year                                                                   26,766,067              27,635,500
                                                                                   -------------------     -------------------
Cash and cash equivalents at the end of the year                                         $ 18,766,354            $ 26,721,961
                                                                                   -------------------     -------------------

RECONCILIATION OF NET INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES:
Net Income                                                                                  $ 446,124               $ 501,898
Adjustments to reconcile net income to
   net cash provided by operating activities:
Depreciation and amortization                                                                  63,250                  69,713
Provision for loan losses and OREO losses                                                           0                       0
(Increase) decrease in interest receivable                                                   (159,338)                 41,957
Increase (decrease) in unearned loan fees                                                     140,426                 181,875
Increase (decrease) in accrued interest payable                                               (32,305)                 18,183
(Increase) decrease in prepaid expenses                                                       (14,810)                 15,354
Increase (decrease) in accounts payable                                                      (129,696)                106,858
Increase (decrease) in income taxes payable                                                   187,128                  33,319
                                                                                   -------------------     -------------------
Total adjustments                                                                              54,655                 467,259
                                                                                   -------------------     -------------------
Net cash provided by operating activities                                                   $ 500,779               $ 969,154
                                                                                   -------------------     -------------------
</TABLE>

The accompanying notes are an integral part of these consolidated financial
statements

<PAGE>

SUMMIT BANCSHARES, INC. AND SUBSIDIARY CONSOLIDATED STATEMENTS OF CHANGES
IN SHAREHOLDERS' EQUITY FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 2000
                                   (UNAUDITED)
<TABLE>
<CAPTION>
                                                               NUMBER OF
                                                                 SHARES            COMMON        RETAINED
                                                               OUTSTANDING          STOCK         EARNINGS            TOTAL
-----------------------------------------------------------------------------------------------------------------------------
<S>                                                         <C>                <C>             <C>                <C>
Balance at December 31, 1998                                    452,684        $3,829,340      $10,259,075        14,088,415

Stock Options Exercised                                           7,500            90,000                0            90,000

Repurchase of Common Stock                                         (550)          (24,544)               0           (24,544)

Issuance of cash dividends of $.75 per share                          0                 0                0                 0

Net Income                                                            0                 0          446,124           446,124

Balance at March 31, 1999                                       459,634         3,894,796       10,705,199        14,599,995


Balance at December 31, 1999                                    458,021         3,741,924       11,411,204        15,153,128

Stock Options Exercised                                               0                 -                -                 0

Repurchase of Common Stock                                       (1,160)          (44,990)               0           (44,990)

Issuance of cash dividends of $.75 per share                          0                 0                0                 0

Net Income                                                            0                 0          501,898           501,898

Balance at March 31, 2000                                       456,861         3,696,934       11,913,102        15,610,036
</TABLE>





The accompanying notes are an integral part of these consolidated financial
statements

<PAGE>

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

1. CONSOLIDATED FINANCIAL STATEMENTS

In the opinion of management, the un-audited interim consolidated financial
statements contain all adjustments (consisting of only normal recurring
adjustments) necessary to present fairly the financial position at March 31,
2000 and the results of operations for the three months ended March 31, 2000 and
1999 and cash flows for the three months ended March 31, 2000 and 1999.

Certain information and footnote disclosures presented in the Corporation's
annual consolidated financial statements are not included in these interim
financial statements. Accordingly, the accompanying un-audited interim
consolidated financial statements should be read in conjunction with the
consolidated financial statements and notes thereto included in the
Corporation's 1999 Annual Report to Shareholders, which is incorporated by
reference in the Company's 1999 annual report on Form 10-K. The results of
operations for the three months ended March 31, 2000 are not necessarily
indicative of the operating results for the full year.

2. COMPREHENSIVE INCOME

The Company had no items of other comprehensive income for the quarters ended
March 31, 2000 and 1999. Accordingly, total comprehensive income was equal to
net income for each of those periods.

3.  SEGMENT REPORTING

The Company is principally engaged in community banking activities through the
four banking offices of its subsidiary bank. The community banking activities
include accepting deposits, providing loans and lines of credit to local
individuals and businesses, investing in investment securities and money market
instruments. The four banking offices have been aggregated into a single
reportable segment. Because the Company's financial information is internally
evaluated as a single operating segment, no separate segment information is
presented. The combined results are reflected in these financial statements.

<PAGE>

4.    EARNINGS PER SHARE

The following table reconciles the numerator and denominator of the basic and
diluted earnings per share computations:
<TABLE>
<CAPTION>
                                    NET INCOME       WEIGHTED          PER SHARE
                                    (LOSS)           AVG. SHARES       AMOUNT
                                    FOR THE QUARTER ENDED MARCH 31, 2000
<S>                                 <C>                       <C>               <C>
Basic Earnings
(Loss) per share                    $502                      457,699           $1.10
Stock Options                                                   7,587
Diluted Earnings
(Loss) per share                    $502                      465,286           $1.08
</TABLE>

<TABLE>
<CAPTION>
                                    NET INCOME       WEIGHTED          PER SHARE
                                    (LOSS)           AVG. SHARES       AMOUNT
                                    FOR THE QUARTER ENDED MARCH 31, 1999
<S>                                 <C>                       <C>               <C>
Basic Earnings
(Loss) per share                    $446                      454,323           $.98
Stock Options                                                  11,610
Diluted Earnings
(Loss) per share                    $446                      465,934           $.96
</TABLE>

For the periods reported, the "Company" had no reconciling items between net
income(loss) and income(loss) available to common shareholders.

ITEM 2.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2000

The registrant, Summit Bancshares,Inc. (the "Company") is a bank holding company
whose only operating subsidiary is Summit Bank (the "Bank"). The following
discussion primarily concerns the financial condition and results of operations
of the Company on a consolidated basis including the subsidiary Bank. All
adjustments made in the compilation of this information are of a normal
recurring nature.

FINANCIAL CONDITION

LIQUIDITY MANAGEMENT

The consolidated loan-to-deposit ratio at March 31, 2000 was 46.8% which was a
decrease from 49.1% for the same period in 1999. Total outstanding loans as of
March 31, 2000 increased $6,645,000 compared to the same period a year ago while
total

<PAGE>

deposits increased $19,471,000 versus the same time last year. The increases in
loans and deposits are primarily due to Bank's concentrated effort in promoting
sales culture to its employees.

Net liquid assets, which consists primarily of cash, due from banks,
interest-bearing deposits with other financial institutions, investment
securities and federal funds sold totaled $77,449,000 on March 31, 2000. This
amount represented 61.7% of total deposits in comparison to the liquidity ratio
of 60.7% as of March 31, 1999. This increase is primarily a result of an
increase in deposit growth. It is management's belief that the current liquidity
level is appropriate given current economic conditions and is sufficient to meet
current needs.

The Company is not aware of any current recommendations by the regulatory
authorities which, if they were implemented, would have a material effect on the
Company.

The following table sets forth book value of investments by category and the
percent of total investments at the dates specified.

<TABLE>
<CAPTION>
                                          INVESTMENT COMPARATIVE
                                             ($000.00 Omitted)

                                 3-31-99           %        12-31-99            %        3-31-00            %
                                                            ---------                   ----------
<S>                              <C>            <C>         <C>              <C>        <C>             <C>
Fed funds sold                    $12,350         21%         $21,760          31%        $18,860          27%
Interest bearing
   deposits                       $30,075         52%         $27,889          40%        $31,262          45%
Securities                        $15,500         27%         $19,465          29%        $19,465          28%
</TABLE>

Interest bearing deposits are comprised of Time Certificates of Deposit with
other banks and savings and loan institutions with no more than $100,000 in any
institution.

Securities on March 31, 2000 were comprised of U.S. Gov't agencies.

CHANGES IN FINANCIAL POSITION

As of March 31, 2000, deposits increased $5,474,000 from December 31, 1999 while
at the same time net loans outstanding increased $2,632,00. Total deposits as of
March 31, 2000 were $125,470,000, an increase of 18.4% from $105,999,000 as of
March 31, 1999. Total loans as of March 31, 2000 were $58,703,000, which was an
increase from $52,013,000 as of March 31, 1999.

<PAGE>

The following table sets forth the amount of deposits by each category and the
percent of total deposits at the dates specified.
<TABLE>
<CAPTION>
                              DEPOSIT COMPARATIVE
                               ($000.00 Omitted)
                           3-31-99            %       12-31-99            %        3-31-00               %
                                                                                  ---------
<S>                        <C>              <C>        <C>              <C>       <C>                 <C>
Demand                     $39,017          37%        $39,557          33%        $46,493             37%

Savings                      2,184           2%          2,327           2%          2,664              2%
Interest bearing
 trans. deposits            35,793          34%         48,226          40%         45,711             36%

Other time                  29,004          27%         29,877          25%         30,603             25%
</TABLE>

The following table sets forth the amount of loans outstanding by each category
and the percent of total loans outstanding at the dates specified.
<TABLE>
<CAPTION>
                                     LOAN COMPARATIVE
                                    ($000.00 Omitted)
                             3-31-99            %     12-31-99             %         3-31-00             %
                             --------                                               ---------
<S>                          <C>             <C>      <C>               <C>         <C>               <C>
Commercial                    $38,044         71%      $32,880           57%         $32,624           54%
Real estate-const               4,989          9%        7,627           13%          10,166           17%
Real estate-other               4,668          9%       10,676           19%          11,549           19%
Installment/other               5,631         11%        6,162           11%           5,638           10%
</TABLE>




NON-PERFORMING ASSETS

The following table provides information with respect to the subsidiary Bank's
past due loans and components for non-performing assets at the dates indicated.
<TABLE>
<CAPTION>
                                   NON-PERFORMING ASSETS
                                 --------------------------
                                     (000.00 Omitted)
                                3-31-99  12-31-99  3-31-00
                                -------- --------  ---------
<S>                             <C>      <C>       <C>
Loans 90 days or more past
 due & still accruing            $  631    $    0   $    0
Non-accrual loans                   742       158      298
Other real estate owned             212         0        0
                                 ------    ------   ------
   Total non-performing assets   $1,585    $  158   $  298
                                 ======    ======   ======

<PAGE>

Non-performing assets to
  period end loans plus
  other real estate owned          3.03%      .28%     .50%

Allowance to non-performing
  loans                              96%      805%     234%

Allowance to non-performing
  assets                             83%      805%     234%
</TABLE>

The subsidiary Bank's policy is to recognize interest income on an accrual basis
unless the full collectibility of principal and interest is uncertain. Loans
that are delinquent 90 days as to principal or interest are placed on a
non-accrual basis, unless they are well secured and in the process of
collection, and any interest earned but uncollected is reversed from income.
Collectibility is determined by considering the borrower's financial condition,
cash flow, quality of management, the existence of collateral or guarantees and
the state of the local economy.

Other real estate owned ("OREO")is comprised of properties acquired through
foreclosure. These properties are carried at the lower of the recorded loan
balance or their estimated fair market value based on appraisal. When the loan
balance plus accrued interest exceeds the fair value of the property, the
difference is charged to the allowance for loan losses at the time of
acquisition. Subsequent declines in value from the recorded amount, if any, and
gains or losses upon disposition are included in non-interest expense. Operating
expenses related to other real estate owned are charged to non-interest expense
in the period incurred.

The decrease in non-performing assets from March 31, 1999 to March 31, 2000 is
due primarily to a decrease in loans 90 days past due and non-accrual loans of
$786,000 and a decrease in other real estate owned from $212,000 to $0.

<PAGE>

CAPITAL POSITION

As of March 31, 2000, Shareholders' Equity was $15,610,000. This represents an
increase of $1,010,000, or 6.9% over the same period last year. Since the
inception of the repurchase program in 1989, the Company has authorized the
repurchase of $3,000,000 of its stock. As of March 31, 2000, the Company has
repurchased a total of 165,818 shares of the Company stock constituting 31.0% of
the Company's original stock prior to the repurchase program, at a total cost of
$2,617,690, or an average price per share of $15.79. The Company plans to
continue its repurchase program as an additional avenue for liquidity for its
shareholders. The program has not affected the Company's liquidity or capital
position or its ability to operate as the Company's capital growth has exceeded
its asset growth. In addition, the Company's subsidiary Bank remains more than
well-capitalized under current regulations.

The following table shows the risk-based capital and leverage ratios as well as
the minimum regulatory requirements for the same as of March 31, 2000:

<TABLE>
<CAPTION>
                                           Minimum
                   Capital Ratio    Regulatory Requirement
<S>                <C>              <C>
Tier 1 Capital        19.58%                4.00%
Total Capital         20.82%                8.00%
Leverage Ratio        11.39%                4.00%
</TABLE>

The Company is not aware of any current recommendations by the regulatory
authorities which if they were implemented would have a material effect on the
Company.

<PAGE>

              INTEREST RATE SENSITIVITY/INTEREST RATE RISK ANALYSIS

         The following table provides an interest rate sensitivity and interest
rate risk analysis for the quarter ended September 30, 1998. The table presents
each major category of interest-earning assets and interest bearing-liabilities.

                      INTEREST RATE RISK REPORTING SCHEDULE

REPORTING INSTITUTION:  SUMMIT BANK                     REPORTING DATE: 3-31-00
<TABLE>
<CAPTION>
                                                REMAINING TIME BEFORE MATURITY OR INTEREST RATE ADJUSTMENT
                                                ($000.00)
                                                 OMITTED           UP        > 3          > 1         > 3       >  5         OVER
                                                   TOTAL            3        < 1          < 3         < 5       < 10       10 YEARS
<S>                                         <C>              <C>          <C>         <C>        <C>         <C>         <C>
   I.       EARNING ASSETS

         A. INVESTMENTS:

         1. U. S. TREASURIES                          $0           $0           $0          $0         $0          $0          $0
         2. U. S. AGENCIES                        19,465            0       14,465       5,000          0           0           0
         3. FED FUNDS SOLD                        18,860       18,860            0           0          0           0           0
         4. PURCHASED CDS                         31,262        3,166       25,222       2,874          0           0           0
                                            --------------------------------------------------------------------------------------
            TOTAL INVESTMENTS                    $69,587      $22,026      $39,687      $7,874         $0          $0          $0


         B. LOANS                                $58,798      $51,870       $1,393        $454     $3,192      $1,890          $0
                                            --------------------------------------------------------------------------------------
            TOTAL LOANS                          $58,798      $51,870       $1,393        $454     $3,192      $1,890          $0

         C. TOTAL EARNING ASSETS                $128,385      $73,896      $41,080      $8,328     $3,192      $1,890          $0

  II.       COST OF FUNDS (DEPOSITS)

         A. CERTIFICATE OF DEPOSITS              $30,602      $20,839       $9,661        $101         $0          $0          $0
         B. MONEY MARKET ACCOUNTS                 42,781        5,834       16,448      20,499          0           0           0
         C. TRANSACTION ACCOUNTS                   5,689          244          731       1,928      1,387       1,398           0
         D. SAVINGS ACCOUNTS                       2,664          114          343         903        649         655           0
                                            --------------------------------------------------------------------------------------
            TOTAL COST OF FUNDS                  $81,736      $27,031      $27,183     $23,431     $2,036      $2,053          $0

 III.       INTEREST SENSITIVE ASSETS           $128,385      $73,896      $41,080      $8,328     $3,192      $1,890          $0

  IV.       INTEREST SENSITIVE LIABILITIES       $81,736      $27,031      $27,183     $23,432     $2,036      $2,053          $0
                                            --------------------------------------------------------------------------------------
   V.       GAP                                  $46,649      $46,865      $13,897    ($15,105)    $1,156       ($164)         $0

  VI.       CUMULATIVE GAP                       $46,649      $46,865      $60,762     $45,657    $46,813     $46,649     $46,649

 VII.       GAP RATIO                               1.57         2.73         1.51       -0.36       1.57        0.92        1.57

VIII.       CUMULATIVE RATIO                        1.57         2.73         2.12        1.59       1.59        1.57        1.57

  IX.       GAP AS A % OF TOTAL ASSETS             33.26        33.41         9.91      -10.77       0.82       -0.12        0.00

   X.       CUMULATIVE GAP AS A % OF               33.26        33.41        43.32       32.55      33.37       33.26       33.26
                 TOTAL ASSETS
</TABLE>

<PAGE>

RESULTS OF OPERATIONS

NET INTEREST INCOME

Total interest income including loan fees increased from $2,083,000 for the
first three months of 1999 to $2,502,000 for the same period in 2000. The prime
lending rate increased to 9.00% in March 2000 from 7.75% compared to the same
period last year. The primary reason for the increase in interest income on
loans was due to $7,325,000 increase in average loans compared to the same
period a year ago. Loan fees showed an increase of $6,000 over the same period
last year. The yield on loans and fees increased 27 basis points over the same
period last year. The increase in interest income from investments was due to
total average outstanding investments volume increase of $10,088,000 combined
with an increase in the rate earned on investments for the first quarter 2000
versus 1999. The yield on investments showed an increase of 45 basis points
reflective of market conditions. Interest expense increased from $576,000 as of
the end of the first three months of 1999 to $615,000 in 2000. This increase was
brought about by a increase in average interest-bearing deposit accounts of
$12,355,000 during the first quarter of 2000 versus the same period last year.
The average cost of funds however, for the period ending March 31, 2000 was 12
basis points less than the same period last year. As a result of these factors,
net interest margin for the first three months of 2000 was 5.81% compared to
5.42% for the same period last year.

OTHER OPERATING INCOME

Service charges on deposit accounts as of the end of the first three months of
2000 decreased to $61,000 versus $87,000 for the same period in 1999. The
decrease was due to lower fees collected in service charges related to return
check and overdraft charges and from analysis of service charges on commercial
accounts. Other charges and fees decreased $74,000 primarily due to the sale of
Other Real Estate Owned in 1999.

<PAGE>

LOAN LOSS PROVISION

The allowance for loan losses is maintained at a level that management of the
Company considers to be adequate for losses that are inherent in the loan
portfolio. The allowance is increased by charges to operating expenses and
reduced by net-charge-offs. The level of the allowance for loan losses is based
on management's evaluation of losses inherent in the loan portfolio, as well as
prevailing and anticipated economic conditions.

Management employs a systematic methodology on a monthly basis to determine the
adequacy of the allowance for loan losses. Each loan is graded at the time of
extension or renewal by the credit administrator. Gradings are assigned a risk
factor which is calculated to assess the adequacy of the allowance for loan
losses. Further, management considers other factors such as overall portfolio
quality, trends in the level of delinquent and classified loans, specific
problem loans, and current and anticipated economic conditions.

The following table summarizes the activity in the Bank's allowance for credit
losses for the three months ended March 31, 2000 and 1999.
<TABLE>
<CAPTION>
                                         THREE MONTHS ENDED
                                         ------------------
                                           (000.00 Omitted)

                                          3-31-00  3-31-99
                                          -------  -------
<S>                                      <C>      <C>
Balance, beginning of the period           $1,273   $1,319
Provision for loan losses                       0        0
Recoveries                                      0        0
Loans charged-off                               0        0
                                           ------   ------
Balance, end of the period                 $1,273   $1,319
</TABLE>


The balance in the allowance for loan losses at March 31, 2000 was 2.12% of
total loans compared to 2.47% of total loans at March 31, 1999.

OTHER OPERATING EXPENSES

Total non interest expenses increased $174,000 as of the end of the first three
months of 2000 compared to the same period last year. This increase was
primarily due to an increase in salaries and employee expense. The Bank's
commitment to grow increased the number of employees from 42 to 49 primarily in
the sales area. The increase was also attributed to increase in regular raises
in pay and increased cost of benefits.

<PAGE>

PROVISION FOR INCOME TAXES

The Company's provision for income taxes as of the end of the first three months
of 2000 increased from $312,000 in 1999 to $359,000. This increase is attributed
to increased income from regular business operations. For the same period in
2000 the Company's total effective tax rate was 41.7% compared to 41.1% in 1999.

NET INCOME

Net income for the first quarter of 2000 increased from $446,000 for the same
period in 1999 to $502,000, or an increase of 12.6%.

CERTAIN FACTORS THAT MAY AFFECT FUTURE RESULTS

The primary factor which may affect future results is, the fluctuation of
interest rates in the market place more commonly referred to as interest rate
risk. Interest rate risk is the exposure of a bank's current and future
earnings and equity capital arising from adverse movements in interest rates.
It results from the possibility that changes in interest rates may have an
adverse effect on a bank's earnings and its underlying economic value.
Changes in interest rates affect a bank's earnings by changing its net
interest income and the level of other interest-sensitive income and
operating expenses. As mentioned previously, the potential decrease in a
declining interest rate environment would be minimized by an increase in
assets. In addition, earnings and growth of the company are and will be
affected by general economic conditions, both domestic and international, and
by monetary and fiscal policies of the United States Government, particularly
the Federal Reserve Bank.

<PAGE>

PART II  -  OTHER INFORMATION

ITEM 1 - LEGAL PROCEEDINGS

          No material developments from that which was reported in the Form
          10-K dated March 31, 2000 for the year ended December 31, 1999.

ITEM 2 - CHANGES IN SECURITIES

          None

ITEM 3 - DEFAULTS UPON SENIOR SECURITIES

          None

ITEM 4 - SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

          None

ITEM 5 - OTHER INFORMATION

          None

ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K

         (a)   Exhibits

          11   Statement re: computation of per share
               earnings

          27   Financial Data Schedule

                  (b)  Reports on Form 8-K

                  One Form 8-K was filed by the registrant during the first
                  quarter of 2000, reporting that the Company had dismissed
                  PriceWaterhouseCoopers as Its independent accountants. On May
                  8, 2000, the Company filed a Form 8-K indicating that it
                  retained Arthur Andersen LLP as its independent public
                  accountants for the fiscal year ending December 31, 2000.

<PAGE>

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.

                                  SUMMIT BANCSHARES, INC.
                                  REGISTRANT

  DATE: May 15, 2000               BY: /s/ Shirley W. Nelson
       -------------------------      -----------------------------
                                        SHIRLEY W. NELSON
                                        CHAIRMAN AND CEO
                                        (PRINCIPAL EXECUTIVE OFFICER)

  DATE: May 15, 2000               BY: /s/ Kikuo Nakahara
       -------------------------      -----------------------------
                                        KIKUO NAKAHARA
                                        CHIEF FINANCIAL OFFICER
                                        (PRINCIPAL FINANCIAL OFFICER)

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