Placer Sierra Bancshares Increases Quarterly Dividend

July 31, 2006; 05:46 AM

SACRAMENTO, Calif. - Placer Sierra Bancshares (Nasdaq: PLSB), a $2.7 billion commercial banking company serving the Northern, Central and Southern California markets, announced today that the board of directors declared a common stock cash dividend of $0.15 per share for the third quarter of 2006. This represents an increase of 25% over the previous quarterly dividend payment. The dividend will be payable on or about August 28, 2006 to shareholders of record on August 10, 2006.

About Placer Sierra Bancshares
Placer Sierra Bancshares is a Northern California-based bank holding company for Placer Sierra Bank with 49 branches operating throughout California. The bank has 31 branches in Northern California extending from the Greater Sacramento area to the San Joaquin Valley. The bank also has 18 branches in the Southern California counties of Orange, Los Angeles, San Diego, Riverside and San Bernardino.

Placer Sierra Bank and its divisions, Sacramento Commercial Bank, Bank of Orange County, Bank of Lodi and Southwest Community Bank offer customers the resources of a large financial institution and the resourcefulness and superior customer service of a community bank.

Placer Sierra Bank (www.placersierrabank.com) offers a broad array of deposit products and services for both commercial and retail customers. These products include electronic banking, cash management services, electronic bill payment and investment services with an emphasis on relationship banking. Placer Sierra Bank also provides competitive loan products such as commercial loans and lines of credit, commercial real estate loans, Small Business Administration loans, residential mortgage loans, home equity lines of credit and construction loans.

Placer Sierra Bancshares (www.placersierrabancshares.com) is publicly traded on NASDAQ under the stock symbol PLSB.