Oak Valley Bancorp to Pay Cash Dividend

OAKDALE, CA–(EMWNews – August 18, 2008) – Oak Valley Bancorp (OTCBB: OVLY), the bank

holding company for Oak Valley Community Bank, declares a cash dividend.

The payout marks the 13th consecutive year the Bank has paid a cash

dividend and reflects the dividend being paid for the first and second

quarters of 2008.

The Board of Directors of Oak Valley Bancorp, at their meeting on August 5,

2008, declared the payment of a cash dividend of five cents per share to

shareholders of record at the close of business on August 29, 2008, with a

corresponding payable date of September 12, 2008. Going forward, Oak

Valley Bancorp will adopt a quarterly dividend payout schedule and will

announce dividends, if declared, on a quarterly basis.

Oak Valley Community Bank, formerly traded under the ticker symbol OVYB,

recently adopted a bank holding company structure and as a result became a

wholly owned subsidiary of Oak Valley Bancorp. Oak Valley Bancorp now

trades under the OVLY ticker.

Established in 1991, Oak Valley Community Bank offers a variety of loan and

deposit products dedicated to serving the needs of individuals and small

businesses. The Bank currently operates through 12 conveniently located

branches: Oakdale, Sonora, Turlock, Stockton, Patterson, Ripon, Escalon,

two branches in Modesto, and three branches in their Eastern Sierra

Division, which includes Bridgeport, Mammoth Lakes and Bishop.