XML 27 R9.htm IDEA: XBRL DOCUMENT v3.3.1.900
Note 1 - The Business of the Company
12 Months Ended
Dec. 31, 2015
Disclosure Text Block [Abstract]  
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]

NOTE 1. THE BUSINESS OF THE COMPANY


Bank of Commerce Holdings (“Holding Company,” “we,” or “us”) is a bank holding company with its principal offices in Redding, California. The Holding Company’s principal business is to serve as a holding company for Redding Bank of Commerce (the “Bank” and together with the Holding Company, the “Company”) which operates under two separate names (Redding Bank of Commerce and Sacramento Bank of Commerce, a division of Redding Bank of Commerce). The Company has an unconsolidated subsidiary in Bank of Commerce Holdings Trust II. The Bank is principally supervised and regulated by the California Department of Business Oversight (“CDBO”) and the Federal Deposit Insurance Corporation (“FDIC”). Substantially all of the Company’s activities are carried out through the Bank. The Bank was incorporated as a California banking corporation on November 25, 1981. The Bank operates three full service offices in Redding, and one in Roseville, California.


We conduct a general commercial banking business in the counties of El Dorado, Placer, Shasta, and Sacramento, California. We consider Northern California to be our major market. The services offered by the Bank include those traditionally offered by commercial banks of similar size and character in California, including demand, interest-bearing demand, savings and money market deposit accounts, certificates of deposit; commercial, real estate, and construction loans; travelers checks, safe deposit boxes, collection services, electronic banking activities, and payroll processing. The primary focus of the Bank is to provide services to the business and professional community of its major market area, including Small Business Administration loans and payroll processing. The Bank does not offer trust services or international banking services and does not plan to do so in the near future. Most of the customers of the Bank are small to medium sized businesses and individuals with medium to high net worth.


On October 28, 2015, we announced the execution of a definitive agreement to purchase five northern California branches from Bank of America, National Association (the “Branch Acquisition”) which will close on March 11, 2016. Upon completion of the Branch Acquisition, we expect to acquire approximately $160.0 million of deposits and $4.0 million of premises and equipment. We agreed to pay an amount equal to 2.83% of the average daily closing balance (including accrued interest) of the deposits for the thirty (30) calendar day period prior to the closing date. See Note 25 Acquisition in these Notes to Consolidated Financial Statements.