California Bank of Commerce 12 STATEMENT OF CHANGES IN SHAREHOLDER’S EQUITY AND COMPREHENSIVE INCOME (Continued) For the Y ears Ended December 31, 2011 and 2010 Accum- ulated Other Total Preferred Stock – Series A  Preferred Stock – Series B  Preferred Stock – Series C  Common Stock Accum- Compre- Share- ulated hensive holders’ Shares Amount Shares Amount Shares Amount Shares Amount Deficit  Income Equity Balance, December 31, 2010 4,000 $ 3,825,134 200 $ 193,970 $ 2,750,000 $ 29,804,008 $ (7,034,399) $ 169,919 $ 26,958,632 Amortization of discount on Series A and discount accretion on Series B preferred stock (Note 16)  120,636  6,030  (126,666) Redemption of Series A and B Preferred stock (Note 16)  (4,000)  (3,945,770)  (200)  (200,000)  (54,230)  (4,200,000) Issuance of Series C Preferred Stock, net of Offering costs of $50,557 (Note 16) 11,000 10,949,443 10,949,443 Share-based compensation expense (Note 11) 252,331 252,331 Preferred stock dividends (Note 16) (159,556) (159,556) Comprehensive earnings: Net income 793,148 793,148 Other Comprehensive income (loss): Net change in unrealized gains on available-for-sale investment securities, net of taxes  48,878  48,878 Balance, December 31, 2011   - $   -  - $   - 11,000  $10,949,443  2,750,000  $30,056,339  $  (6,581,703) $ 218,797  $34,642,876 December 31, 2011 2010 Comprehensive Income: Net income $ 793,148 $ 3,365,896 Net change in unrealized gains on available-for-sale investment securities, net of taxes  48,878  (54,231) $ 842,026  $ 3,311,665 The accompanying notes are an integral part of these financial statements