8-K

 1

                       SECURITIES & EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549




                                    FORM 8-K


                                 CURRENT REPORT


   Pursuant to Section 13 or 15d of the Securities Exchange Act of 1934



     Date of Report (Date of earliest event reported): October 1, 1998




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



            California                  0-254018         77-0367061
      -----------------------------     --------         ----------
       (State or other jurisdiction)   (Commission      (I.R.S.Employer
     of incorporation or organization)   File Nimber)  Identification No.)



      301 Main Street, Salinas, California                  93901
      --------------------------------------                -----
     (Address of Principal Executive Offices)             (Zip Code)



    Registrants telephone number including area code: (831) 422-6642
                                                            --------

                                 Not Applicable
         ---------------------------------------------------------
      (Former name or former address, if changed since last report).



                                  Page 1 of 5

                          The Exhibit Index is on Page 4
 2







                       INFORMATION INCLUDED IN THE REPORT

Item 5.  Other Events.

         On October 1, 1998, CENTRAL COAST BANCORP of Salinas,
California issued a press  release  concerning  the approval by
the Board of Directors to pursue a stock repurchase of up to 5% of
its common stock traded on NASDAQ under the symbol CCBN.

         The forgoing is qualified by reference to the press
release attached as Exhibit-99.1.


Item 7.  Financial Statements and Exhibits.

          (a) Financial Statements.

               Not Applicable.

          (b) Pro Forma Financial Information.

               Not Applicable.

          (c) Exhibits.

               (99.1) Press Release dated October 1, 1998























 3




                                   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 hereunto duly authorized.



                                          CENTRAL COAST BANCORP


Date:  October 1, 1998                 By: /s/NICK VENTIMIGLIA
                                          ---------------------
                                          Nick Ventimiglia
                                          President and Chief
                                           Executive Officer




































 4


EXHIBIT INDEX

                                                         Sequential
Exhibit No.                   Description                  Page No.

99.1             Press Release dated October 1, 1998          5

EX-99.1

 5


For Immediate Release                             October 1, 1998

PRESS RELEASE

Contacts:     Nick Ventimiglia
              President/CEO
              (831) 422 - 6642

              Jayme C. Fields
              First VP/Controller
              (831) 422 - 6642

Subject:    New Stock Repurchase Plan





                       CENTRAL COAST BANCORP ANNOUNCES
                          STOCK REPURCHASE PROGRAM


(Salinas, CA) -- CENTRAL COAST BANCORP (the "Corporation")
announced today that the Board of Directors has approved the
repurchase, from time to time, on the open market of up to 5% of
the Corporation's outstanding shares of common stock.

According to Nick Ventimiglia, President of the Corporation, the
Board believes that the current market price of the Corporation's
shares does not accurately reflect the Corporation's underlying
book value and that open market purchases will have the potential
effect of enhancing shareholder worth.

CENTRAL COAST BANCORP a California corporation, is the holding
company of the Bank of Salinas and Cypress Bank, commercial banks
headquartered in Salinas and Seaside, California, respectively.
The Corporation's stock trades on the Nasdaq National Market
System under the symbol CCBN with market makers such as:  Sandler
& O'Neill and Hoefer & Arnett, as well as other financial firms.


                              # # #

Certain matters discussed in this news release may be forward-
looking statements that are subject to the risks and uncertainties
that could cause actual results to differ materially from those
projected.  Such risks and uncertainties, which could impact
future financial performance, include, among others, (1)
competitive pressures in the banking industry; (2) changes in the
interest rate environment ; (3) general economic conditions,
either nationally or regionally; (4) changes in the regulatory
environment; (5) changes in business conditions and inflation; and
(6) changes in securities markets.  Therefore, the information set
forth herein should be carefully considered when evaluating the
business prospects of the company and its subsidiaries.