<PAGE> 1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the quarterly period ended March 31, 1998
[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
For the transition period from _____________ to _____________
Commission file number 0-27938
COLUMBIA BANCORP
(Exact name of registrant as specified in its charter)
93-1193156
Oregon (I.R.S. Employer
(State of Incorporation) Identification Number)
420 East Third Street, Suite 200
The Dalles, Oregon 97058
(Address of principal executive offices)
(541) 298-6649
(Registrant's telephone number, including area code)
Indicate by 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 [ ]
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.
3,466,561 shares as of May 5, 1998
<PAGE> 2
COLUMBIA BANCORP
FORM 10-Q
MARCH 31, 1998
INDEX
<TABLE>
<CAPTION>
PAGE
PART I - FINANCIAL INFORMATION REFERENCE
- ------------------------------ ---------
<S> <C>
Consolidated Balance Sheets as of March 31, 1998 and 3
December 31, 1997.
Consolidated Statements of Income and Comprehensive Income 4 for the three
months ended March 31, 1998 and 1997.
Consolidated Statements of Cash Flows for the three 5 months ended March
31, 1998 and 1997.
Consolidated Statements of Changes in Shareholders' Equity 6 for the
periods of December 31, 1996 to March 31, 1998.
Notes to Consolidated Financial Statements 7-8
Management's Discussion and Analysis of Financial
Condition and Results of Operations:
Overview 9
Material Changes in Financial Condition 9
Material Changes in Results of Operations 10
Loan Loss Provision 10
Liquidity and Capital Resources 10-11
Quantitative and Qualitative Disclosures About Market Risk 11
PART II - OTHER INFORMATION
Item 6 - Exhibits and Reports on Form 8-K 11
Signatures 11
</TABLE>
2
<PAGE> 3
COLUMBIA BANCORP AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
<TABLE>
<CAPTION>
March 31, December 31,
1998 1997
------------- -------------
<S> <C> <C>
ASSETS
Cash and due from banks $ 20,015,574 $ 16,878,138
Federal funds sold 9,966,281 2,834,363
------------- -------------
Total cash and cash equivalents 29,981,855 19,712,501
Investment securities available-for-sale 26,367,805 31,309,883
Investment securities held-to-maturity 16,818,016 16,728,036
Federal Home Loan Bank stock 780,300 765,900
------------- -------------
Total investment securities 43,966,121 48,803,819
Loans held-for-sale 5,604,151 2,713,665
Loans, net of allowance for loan losses and unearned loan fees 154,734,953 152,504,671
Property and equipment, net of depreciation 5,222,390 5,256,561
Accrued interest receivable 2,198,425 2,185,544
Other assets 1,047,323 649,982
------------- -------------
Total Assets $ 242,755,218 $ 231,826,743
============= =============
LIABILITIES AND SHAREHOLDERS' EQUITY
Deposits:
Noninterest bearing demand deposits $ 42,732,712 $ 46,377,081
Interest bearing demand accounts 87,015,886 85,502,927
Savings accounts 25,689,634 22,743,932
Time certificates and IRA accounts 52,495,458 46,944,204
------------- -------------
Total deposits 207,933,690 201,568,144
Notes payable 8,984,989
5,263,824
Accrued interest payable and other liabilities 1,825,424 2,007,289
------------- -------------
Total liabilities 218,744,103 208,839,257
Employee stock ownership plan shares subject to put option 2,369,375 1,430,450
Shareholders' equity:
Common stock, no par value; 10,000,000 shares
authorized, 3,464,611 issued and outstanding
(2,288,451 at December 31, 1997) 5,918,261 5,528,218
Additional paid-in capital 6,317,732 6,317,732
Retained earnings 11,790,521 11,131,444
Accumulated other comprehensive income, net of tax (15,399) 10,092
------------- -------------
24,011,115 22,987,486
Less: employee stock ownership plan shares subject to put option (2,369,375) (1,430,450)
------------- -------------
Total shareholders' equity 21,641,740 21,557,036
------------- -------------
$ 242,755,218 $ 231,826,743
============= =============
</TABLE>
See accompanying notes.
3
<PAGE> 4
COLUMBIA BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
Three months ended
March 31,
------------------------------
1998 1997
----------- -----------
<S> <C> <C>
INTEREST INCOME
Interest and fees on loans $ 4,132,585 $ 3,195,665
Interest on investments:
Taxable investment securities 413,481 601,505
Nontaxable investment securities 212,122 188,379
Other interest income 100,939 100,066
----------- -----------
Total interest income 4,859,127 4,085,615
INTEREST EXPENSE
Interest bearing demand and savings 858,484 780,906
Interest on time deposit accounts 682,640 688,717
Other borrowed funds 88,153 11,651
----------- -----------
Total interest expense 1,629,277 1,481,274
----------- -----------
NET INTEREST INCOME 3,229,850 2,604,341
PROVISION FOR LOAN LOSSES 225,000 90,000
----------- -----------
NET INTEREST INCOME AFTER
PROVISION FOR LOAN LOSSES 3,004,850 2,514,341
NONINTEREST INCOME
Service charges and fees 407,243 316,667
Credit card discounts and fees 81,092 65,100
Financial services department 63,974 45,287
Net gains on sale of loans 88,785 --
Other noninterest income 124,677 57,919
----------- -----------
Total noninterest income 765,771 484,973
NONINTEREST EXPENSE
Salaries and employee benefits 1,260,091 1,055,769
Occupancy expense 198,730 195,412
Credit card processing fees 49,150 46,564
Office Supplies 42,919 38,073
Data processing expense 86,331 69,129
Other noninterest expenses 639,670 564,220
----------- -----------
Total noninterest expense 2,276,891 1,969,167
----------- -----------
INCOME BEFORE INCOME TAXES 1,493,730 1,030,147
PROVISION FOR INCOME TAXES 487,853 317,745
----------- -----------
NET INCOME $ 1,005,877 $ 712,402
=========== ===========
OTHER COMPREHENSIVE INCOME, NET OF TAX
Unrealized gain or loss on securities available for sale, net of tax 5,469 (78,227)
Reclassification adjustment for gain included in net income (30,960) --
----------- -----------
(25,491) (78,227)
----------- -----------
COMPREHENSIVE INCOME $ 980,386 $ 634,175
=========== ===========
Earnings per share of common stock:
Net Income Basic $ .29 $ .21
=========== ===========
Net Income Diluted $ .28 $ .21
=========== ===========
Weighted average common shares outstanding
Primary 3,449,492 3,382,878
Fully diluted 3,558,940 3,436,466
</TABLE>
See accompanying notes
4
<PAGE> 5
COLUMBIA BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
The Three months ended
March 31,
--------------------------------
1998 1997
------------ ------------
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income $ 1,005,877 $ 712,402
Adjustments to reconcile net income to net cash provided by
operating activities
Loss) on sale or call of investment securities (33,960) --
Depreciation 119,553 112,189
Provision for loan losses 225,000 90,000
Federal Home Loan Bank stock dividend (14,400) (4,700)
Increase (decrease) in cash due to changes in certain assets
and liabilities
Accrued interest receivable (12,881) (141,526)
Other assets (397,341) (46,495)
Accrued interest payable and other liabilities (399,676) 262,310
------------ ------------
Net cash provided by operating activities 492,172 984,180
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from the sale of available-for-sale securities 3,086,176 --
Proceeds from the maturity of available-for-sale securities 8,664,868 300,000
Purchases of available-for-sale securities (7,000,158) (1,374,715)
Proceeds from the maturity of held-to-maturity securities 210,298 2,980,741
Purchases of held-to-maturity securities -- (2,898,353)
Net change in loans made to customers (5,345,768) (10,332,320)
Purchases of premises and equipment (86,543) (206,086)
Proceeds from the sale of premises and equipment 400 --
------------ ------------
Net cash used in investing activities (470,727) (11,530,733)
CASH FLOWS FROM FINANCING ACTIVITIES:
Net change in demand deposits and savings accounts 814,292 749,282
Net change in time deposits and IRA accounts 5,551,254 3,034,649
Net increase (decrease) in borrowings from Federal Home Loan Bank 3,000,000
Dividends paid (228,845) (180,388)
Proceeds from stock options and purchases and effect of stock split 390,043 10,800
Net increase (decrease) in short-term borrowings 721,165 (31,929)
------------ ------------
Net cash provided by financing activities 10,247,909 3,582,414
NET DECREASE IN CASH AND CASH EQUIVALENTS 10,269,354 6,964,139
CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 19,712,501 23,397,411
------------ ------------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 29,981,855 $ 16,433,272
============ ============
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Interest paid in cash $ 1,678,029 $ 1,458,910
============ ============
Taxes Paid in cash $ 69,000 $ --
============ ============
SCHEDULE OF NONCASH ACTIVITIES
Change in unrealized loss on available-for sale securities, net of tax $ (25,491) $ (78,227)
============ ============
</TABLE>
See accompanying notes.
5
<PAGE> 6
COLUMBIA BANCORP AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
(UNAUDITED)
<TABLE>
<CAPTION>
Accumulated ESOP
Additional Other plan shares Total
Common Paid-in Retained Comprehensive subject to Shareholders'
Shares Stock Capital Earnings Income put options Equity
--------- ----------- ---------- ------------ -------- ----------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
BALANCE, December 31, 1996 2,254,841 $ 5,139,218 $6,317,732 $ 8,087,264 $(11,232) $(1,058,183) $ 18,474,799
Stock options exercised 21,415 214,001 -- -- -- -- 214,001
Sale of common stock 12,195 174,999 -- -- -- -- 174,999
Changes in ESOP shares
subject to put option -- -- -- -- -- (372,267) (372,267)
Cash dividend -- -- -- (613,384) -- -- (613,384)
Cash dividend declared -- -- -- (228,845) -- -- (228,845)
Net Income and
Comprehensive Income -- -- -- 3,886,409 21,324 -- 3,907,733
--------- ----------- ---------- ------------ -------- ----------- ------------
BALANCE, December 31, 1997 2,288,451 $ 5,528,218 $6,317,732 $ 11,131,444 $ 10,092 $(1,430,450) $ 21,557,036
Stock options exercised 12,030 159,706 -- -- -- -- 159,706
Sale of common stock 9,375 234,375 -- -- -- -- 234,375
3 for 2 stock split 1,154,755 (4,038) -- -- -- -- (4,038)
Changes in ESOP shares
subject to put option -- -- -- -- -- (938,925) (938,925)
Cash dividend paid
or declared -- -- -- (346,800) -- -- (346,800)
Net Income and
Comprehensive Income -- -- -- 1,005,877 (25,491) -- 980,386
--------- ----------- ---------- ------------ -------- ----------- ------------
BALANCE, March 31, 1998 3,464,611 $ 5,918,261 $6,317,732 $ 11,790,521 $(15,399) $(2,369,375) $ 21,641,740
</TABLE>
See accompanying notes.
6
<PAGE> 7
COLUMBIA BANCORP
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
1. Principles of Consolidation
The interim consolidated financial statements include the accounts of
Columbia Bancorp, a bank holding company (Bancorp), and its wholly-owned
subsidiary, Columbia River Banking Company ("Columbia River"), after
elimination of intercompany transactions and balances. Columbia River is an
Oregon state-chartered bank, headquartered in The Dalles, Oregon, and doing
business as Columbia River Bank, Juniper Banking Company, and Klickitat
Valley Bank. Substantially all activity of Bancorp is conducted through its
subsidiary bank.
The interim financial statements have been prepared in accordance with
generally accepted accounting principles for interim financial information.
Accordingly, they do not include all of the information and footnotes
required by generally accepted accounting principles for complete financial
statements. The financial information included in this interim report has
been prepared by management without audit by independent public
accountants. Bancorp's annual report will contain audited financial
statements. All adjustments including normal recurring accruals necessary
for fair presentation of results of operations for the interim periods
included herein have been made. The results of operations for the three
months ended March 31, 1998 are not necessarily indicative of results to be
anticipated for the year ending December 31, 1998.
2. Recent Mergers & Corporate Activity
Bancorp was incorporated on October 3, 1995, and became the holding
company of Columbia River through merger. The effective date of the merger
was January 1, 1996, and the transaction was consummated on January 13,
1996, on which date Bancorp acquired 100% of the common stock of Columbia
River, and the shareholders of Columbia River became shareholders of
Bancorp.
Effective June 13, 1996, Bancorp completed its acquisition of Klickitat
Valley Bank, at the time, making Klickitat Valley Bank the second
wholly-owned bank subsidiary of Bancorp. The business combination was
accomplished through the exchange of 8.5 shares of Bancorp common stock for
each share of Klickitat Valley common stock. Klickitat Valley was a
Washington state-chartered bank with headquarters in Goldendale,
Washington.
Effective March 1, 1997 Columbia River merged with Klickitat Valley Bank,
resulting in Bancorp having only one banking subsidiary. The two branches
of Klickitat Valley Bank became branches of Columbia River and continue to
do business under the "Klickitat Valley Bank" name
The accompanying financial statements have been restated and include the
accounts and results of operations of the mergers as pooling-of-interest
combinations.
3. Loans and Reserve for Loan Losses The composition of the loan portfolio was
as follows:
<TABLE>
<CAPTION>
March 31, December 31,
1998 1997
------------- -------------
<S> <C> <C>
Commercial 39,926,013 38,012,762
Agriculture 21,963,504 22,365,007
Real estate 76,198,508 75,003,128
Consumer 17,106,177 17,385,488
Other 2,067,852 1,989,591
------------- -------------
157,262,056 154,755,976
Allowance for loan losses (1,872,531) (1,638,633)
Deferred loan fees (654,572) (612,672)
------------- -------------
$ 154,734,953 $ 152,504,671
============= =============
</TABLE>
7
<PAGE> 8
Transactions in the reserve for loan losses were as follows for the three
months ended March 31:
<TABLE>
<CAPTION>
1998 1997
----------- -----------
<S> <C> <C>
Balance at beginning of period $ 1,638,633 $ 994,577
Provision charged to operations 225,000 90,000
Recoveries 24,390 11,159
Loans charged off (15,492) (9,165)
----------- -----------
Balance at end of period $ 1,872,531 $ 1,086,571
=========== ===========
</TABLE>
It is the policy of Bancorp's subsidiary Columbia River, to place loans on
nonaccrual status whenever the collection of all or a part of the principal
balance is in doubt. Loans placed on nonaccrual status may or may not be
contractually past due at the time of such determination, and may or may
not be secured by collateral. Loans on nonaccrual status at March 31, 1998
and December 31, 1997 were approximately $1,452,000 and $1,041,000,
respectively.
Loans past due 90 days or more on which Bancorp continued to accrue
interest were approximately $601,000 at March 31, 1998, and approximately
$414,000 at December 31, 1997. There were six loans with a total principal
balance of approximately $548,000 on which the interest rate or payment
schedule was modified from original terms to accommodate a borrower's
weakened financial position at March 31, 1998. There were no loans in this
category at December 31, 1997.
4. Earnings Per Share
Basic earning per share excludes dilution and is computed by dividing net
income by the weighted average common shares outstanding for the period.
Diluted earnings per share reflect the potential dilution that could occur
if common shares were issued pursuant to the exercise of options under
stock option plans. Weighted average shares outstanding consist of common
shares outstanding and common stock equivalents attributable to outstanding
stock options.
The weighted average number of shares and common share equivalents have
been adjusted to give retroactive effect to the 3-for-2 stock split in
March 1998, and all prior stock dividends or splits.
8
<PAGE> 9
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
OVERVIEW
Columbia Bancorp's first quarter results continue a trend of record
earnings and growth in asset totals. The benefits of the merger of Bancorp's
subsidiary banks that was completed March 1, 1997 are being realized, and the
ongoing evolution of the corporation leave Bancorp poised to achieve the stated
mission of being a high performing banking corporation that provides superior
financial services to its communities.
In January 1998, several brokerage firms began serving as market makers for
Bancorp's common stock. In addition, stock price information for the common
stock became available on the NASDAQ "bulletin board", an electronic
inter-dealer quotation service. The symbol for the common stock is "CBBO". The
common stock did not, however, become listed on NASDAQ or on any other stock
exchange.
Columbia Bancorp reported net income of $1,005,877, or $.28 per share for
the three months ended March 31, 1998. This represented a 41% increase in net
income, as compared to $712,402, or $.21 per share, for the three months ended
March 31, 1997. The increased earnings during the quarter ended March 31, 1998
reflected both the expansion of Bancorp's interest-earning assets and increased
net interest income and noninterest income.
The net income added to shareholders' equity during the first three months
of 1998 was offset, in part, by dividends declared and paid of $346,800. On
March 19, the Bancorp board declared a first-quarter dividend of $.10 per share
(post 3 for 2 split) payable May 1 to shareholders of record April 15. With the
payment of the declared dividend, approximately 35% of earnings will have been
returned to shareholders, the remainder being retained to fund the continued
strong growth of Bancorp.
MATERIAL CHANGES IN FINANCIAL CONDITION
Material changes in financial condition for the three months ended March
31, 1998 include an increase in total assets, primarily in federal funds sold,
loans, and other assets. Funds were provided for these changes primarily by an
increase in total deposits and short-term borrowings, and a reduction in
investment securities.
At March 31, 1998, total assets increased 4.7%, or approximately $10.9
million, over total assets at December 31, 1997. Increases of $5.1 million in
loans and a $10.3 million in cash and cash equivalents, and a decrease of $4.8
million in investment securities were the major components of the change in
total assets. The increase in loans is reflected in increases in all loan
categories and is indicative of the continuing good local economy, and the
efforts of experienced loan professionals capitalizing on borrowers' desire for
service and value-added products.
Bancorp experienced an increase in deposits of $6.4 million during the
first three months of 1998. Interest bearing demand deposits decreased $3.7
million, while non-interest bearing deposits increased $1.5 million, savings
deposits increased $2.9 million, and time certificate deposits and IRA's
increased $5.6 million at March 31, 1998 as compared to December 31, 1997.
Management believes deposit increases are due to continuing marketing efforts
and helped by continued customer dissatisfaction with merger and consolidation
activities by competition in the markets served by the Bank.
Short-term borrowings from the Federal Home Loan Bank of Seattle were
utilized to fund the strong growth in loan demand and increased $3.0 million as
compared to end of year borrowings.
All other changes experienced in asset and liability categories during the
first three months of 1998 were comparatively modest.
9
<PAGE> 10
MATERIAL CHANGES IN RESULTS OF OPERATIONS
Total interest income increased $773,512 for the three months ended March
31, 1998, as compared to the same periods in 1997. This increase is primarily
due to the increase in loans and investment securities held in 1998 as compared
to 1997.
Total interest expense also increased $148,003 for the quarter ended March
31, 1998, as compared to the same periods in 1997. This increase is primarily
due to the increase in interest bearing deposits held during 1998 as compared to
1997.
The increase in interest earned, offset in part by the increase in interest
paid, served to increase Bancorp's net interest income by $625,509 for the three
months ended March 31, 1998, as compared to the three months ended March 31,
1997. Diluted net income per common share increased to $.28 for the first three
months of 1998 from $.21 for the first three months of 1997.
Noninterest income increased approximately $280,800 for the three months
ended March 31, 1998 as compared to the same period in 1997. This increase is
primarily attributable to increases in income generated by service charges and
fees on deposit accounts, and the sale of loans generated by the bank's mortgage
group.
Noninterest expense increased approximately $307,700 for the three months
ended March 31, 1998 as compared to the comparable 1997 period. The increase for
the three month period was primarily attributable to increases in salaries and
employee benefits and other expenses. The formation and staffing of the mortgage
group, and commitment and investment in technology and new products were primary
forces in the increased expense in these categories.
LOAN LOSS PROVISION
During the three months ended March 31, 1998, Bancorp charged a $225,000
loan loss provision to operations, as compared to $156,479 charged during the
same period in 1997. Loans recoveries, net of loans charged off, was $8,898
during the three months ended March 31, 1998, as compared to net charged off
loans of $1,994 for the like period in 1997.
Management believes that the reserve for loan losses is adequate for
potential loan losses, based on management's assessment of various factors,
including present delinquent and nonperforming loans, past history of industry
loan loss experience, and present and anticipated future economic trends
impacting the areas and customers served by Bancorp.
LIQUIDITY AND CAPITAL RESOURCES
Bancorp's subsidiary, Columbia River, has adopted policies to maintain a
relatively liquid position to enable it to respond to changes in the financial
environment. Generally, the Bank's major sources of liquidity is customer
deposits, sales and maturities of investment securities, the use of federal
funds markets and net cash provided by operating activities. Scheduled loan
repayments are a relatively stable source of funds, while deposit inflows and
unscheduled loan prepayments, which are influenced by general interest rate
levels, interest rates available on other investments, competition, economic
conditions and other factors, are not.
The analysis of liquidity should also include a review of the changes that
appear in the consolidated statement of cash flows for the first three months of
1998. The statement of cash flows includes operating, investing and financing
categories. Operating activities include net income of $1,005,877, which is
adjusted for non-cash items and increases or decreases in cash due to changes in
certain assets and liabilities. Investing activities consisted primarily of both
proceeds from and purchases of securities, and the impact of the net growth in
loans. Financing activities present the cash flows associated with deposit
accounts, and reflect the dividend paid to shareholders.
10
<PAGE> 11
The Federal Reserve Board ("FRB") and Federal Deposit Insurance Corporation
("FDIC") have established minimum requirements for capital adequacy for bank
holding companies and member banks. The requirements address both risk-based
capital and leveraged capital. The regulatory agencies may establish higher
minimum requirements if, for example, a corporation has previously received
special attention or has a high susceptibility to interest rate risk. At March
31, 1998, the Bancorp's tier-one and total risk-based capital ratios were 13.76%
and 14.83%, respectively. The FRB's minimum risk-based capital ratio guidelines
for Tier 1 and total capital are 4% and 8%, respectively. At March 31, 1998, the
capital-to-assets ratio under leverage ratio guidelines was approximately
10.46%. The FRB's current minimum leverage capital ratio guideline is 3%.
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
There has not been a material change since the end of the latest fiscal
year in the market risks faced by Columbia Bancorp. Please refer to the
discussion of quantitative and qualitative disclosures in the Columbia Bancorp
form 10-KSB for the latest fiscal year.
PART II - OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.
(a) Exhibit 27 Article 9 Financial Data Schedule for Form 10-Q
(b) No current reports on Form 8-K were filed during the quarter ended March 31,
1998.
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.
COLUMBIA BANCORP
Dated: May 5, 1998 /s/ Terry L. Cochran
---------------------------------------
Terry L. Cochran
President & Chief Executive Officer
Dated: May 5, 1998 /s/ Neal T. McLaughlin
---------------------------------------
Neal T. McLaughlin, EVP, Chief Financial
Officer - Columbia River Banking
Company; and Chief Financial Officer -
Columbia Bancorp
11
<TABLE> <S> <C>
<ARTICLE> 9
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM COLUMBIA
BANCORP'S CONSOLIDATED FINANCIAL STATEMENTS CONTAINED IN ITS QUARTERLY REPORT ON
FORM 10-Q FOR THE PERIOD ENDED MARCH 31, 1998 AND IS QUALIFIED IN ITS ENTIRETY
BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1998
<PERIOD-END> MAR-31-1998
<CASH> 20,015,574
<INT-BEARING-DEPOSITS> 0
<FED-FUNDS-SOLD> 9,966,281
<TRADING-ASSETS> 0
<INVESTMENTS-HELD-FOR-SALE> 27,148,105
<INVESTMENTS-CARRYING> 16,818,016
<INVESTMENTS-MARKET> 0
<LOANS> 156,607,484
<ALLOWANCE> 1,872,531
<TOTAL-ASSETS> 242,755,218
<DEPOSITS> 207,933,690
<SHORT-TERM> 8,684,989
<LIABILITIES-OTHER> 1,825,424
<LONG-TERM> 300,000
0
0
<COMMON> 5,918,261
<OTHER-SE> 18,092,854
<TOTAL-LIABILITIES-AND-EQUITY> 242,755,218
<INTEREST-LOAN> 4,132,585
<INTEREST-INVEST> 625,603
<INTEREST-OTHER> 100,939
<INTEREST-TOTAL> 4,859,127
<INTEREST-DEPOSIT> 1,541,124
<INTEREST-EXPENSE> 1,629,277
<INTEREST-INCOME-NET> 3,229,850
<LOAN-LOSSES> 225,000
<SECURITIES-GAINS> 33,960
<EXPENSE-OTHER> 1,545,080
<INCOME-PRETAX> 1,493,730
<INCOME-PRE-EXTRAORDINARY> 1,005,877
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1,005,877
<EPS-PRIMARY> .29
<EPS-DILUTED> .28
<YIELD-ACTUAL> 0<F1>
<LOANS-NON> 1,452,000
<LOANS-PAST> 601,000
<LOANS-TROUBLED> 548,000
<LOANS-PROBLEM> 0
<ALLOWANCE-OPEN> 1,638,633
<CHARGE-OFFS> 15,492
<RECOVERIES> 24,390
<ALLOWANCE-CLOSE> 1,872,531
<ALLOWANCE-DOMESTIC> 1,872,531
<ALLOWANCE-FOREIGN> 0
<ALLOWANCE-UNALLOCATED> 0
<FN>
<F1>Information not calculated for interim reports
</FN>
</TABLE>
