FIRST COMMUNITY BANK CORPORATION ANNOUNCES SECOND QUARTER RESULTS

Pinellas Park, Florida (August 13, 2010) – Kenneth P. Cherven, President and C.E.O. of First Community Bank Corporation of America, recorded a net loss for the second quarter ended June 30, 2010 of $9,277,000 compared to a net loss of $281,000 for the same period in 2009.  For the six-month period ended June 30, 2010, the Company reported a net loss of $11,149,000 compared to a net loss of $212,000 for the same period in 2009. 

First Community established an allowance against its deferred tax asset of $6,828,000 as of June 30, 2010, as it became apparent that the extended deterioration of credit markets would result in the Company recording its third consecutive annual loss in 2010.  The Company continues to feel that the base earnings are sufficient to recover all or part of this tax benefit when credit conditions improve. 

The decline in earnings is also directly attributed to $4.5 million and $8.3 million in write-downs and specific reserves on real estate loans due to a substantial devaluation in collateral values for the second quarter and first six months, respectively.  The Company remains well capitalized with 7.38% equity to total assets on June 30, 2010.  Total risk weighted assets to risk weighted capital was 11.20% in the Bank.  The Company recorded a net interest margin of 2.90% for the second quarter of 2010 even with $28 million in non-performing loans and an average of $52 million on deposit at the Federal Reserve.

The Company recorded a net loss available to common stockholders, after preferred stock dividend and amortization of preferred discount, for the quarter ended June 30, 2010 of $9,412,000 or $(1.72) basic loss per share, compared to net loss of $416,000 or $(0.10) basic loss per share for the same period in 2009.  For the six month period ended June 30, 2010, the Company recorded a net loss available to common stockholders of $11,615,000 or $(2.16) basic loss per share, compared to a net loss of $496,000 or $(0.12) basic loss per share for the same period in 2009.

The second quarter 2010 results included a $3,849,000 charge to provision for loan losses compared to $1,337,000 for the same period in 2009.  For the first six months, provision for loan losses was $7,790,000 in 2010 compared to $2,032,000 in 2009. The increased loan loss provision was due to increased levels of delinquencies resulting from a continued weakness in the local economy.  Nonperforming assets as a percentage of total assets were 6.84% at the end of the period.  The allowance for loan losses was 2.00% of gross loans at June 30, 2010.

Total assets at June 30, 2010 were $516 million, a decrease of $32 million from December 31, 2009, representing a 6% decrease. Total assets decreased by $39 million compared to the second quarter of 2009, representing a 7% decrease. The Company’s total deposits decreased by $24 million from December 31, 2009, representing a 5% decrease, and also decreased $30 million compared to the second quarter of the prior year, representing a 7% decrease. First Community allowed higher cost and brokered deposits to roll off the balance sheet upon maturity.  Total loans decreased by $38 million from December 31, 2009, representing a 9% decrease.  Total loans decreased by $53 million compared to the second quarter of the prior year, representing a 13% decrease.

First Community currently operates 11 banking offices along the west coast of Florida.  First Community Bank Corporation of America is traded on the NASDAQ Capital Market under the symbol FCFL.

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This press release contains forward-looking statements under the Private Securities Litigation Reform Act of 1995 that are subject to certain risks and uncertainties that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. The company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Factors that could cause actual results to differ from the results discussed in the forward-looking statements include, but are not limited to: risk of loans and investments, including dependence on local economic conditions competition for the company’s customers from other providers of financial services; possible adverse effects of changes in interest rates; execution and implementation of a series of previously announced strategic initiatives; balance sheet and capital ratio risks related to the share repurchase program; risks related to the company’s acquisition and market extension strategy, including risks of adversely changing results of operations and factors affecting the company’s ability to consummate further acquisitions or extend its markets; and other risks detailed in the company’s filings with the Securities and Exchange Commission, all of which are difficult to predict and many of which are beyond the control of the company.