Local community banks are announcing second quarter earnings and while many are in the black, the IndyMac Bancorp meltdown has some seeing red.

The events surrounding the Pasadena-based bank drew comparisons to the Crash of 1929 that kicked off the Great Depression and bank officials believe it has taken an unjust toll on the stock prices of their institutions.

"There is no line outside our bank whatsoever," said CVB Financial Corp. (Nasdaq: CVBF) President Chris Myers. "We're actually doing very well financially."

The Ontario-based institution is one of several local banks to boast a strong loan portfolio, only to have its efforts hindered by a nervous market.

While CVB's second quarter earnings have yet to be released, the bank's first quarter earnings were up from the same quarter in 2007, something few banks can boast, Myers said.

Yet CVB's shares continue to slip, down almost 10% in the week through July 15.

"A lot of the situational investors aren't differentiating between what we do and what other banks do and they need to," Myers said. "I find it very disconcerting when our stock is down, yet our income is up."

CVB shares slipped 9% during the beginning of the IndyMac fiasco last week, closing at $7.89 per share on volume of 1.6 million shares July 14; about half again its average over the past three months.

Other banks feel frustration over falling stock prices.

"We believe people should react to news we provide about ourselves and not paint all banks with the same brush," said Dennis Saunders, president chief financial officer of First Mountain Bancorp (OTC: FMBP) in Big Bear Lake.

"We naturally don't like to see our stock price decline, but our customer base seems to be weathering the storm well," he said.

PFF said July 15 that it will move trading of its common stock from the New York Stock Exchange to the Over-The-Counter Bulletin Board, anticipating that it will not meet New York Stock Exchange listing standards.

PFF agreed to be bought by FBOP Corp., parent company of California National Bank, for about $30.5 million, amounting to $1.35 per share on June 16. A shareholder has filed suit challenging the sale, claiming the price is too low.

IndyMac, Vineyard and PFF were "very heavy in the real estate side of things," said Gary Votapka, president and chief executive officer of Mission Oaks Bancorp (OTC: MOKB) in Temecula.

"Those banks that had a significant exposure are the ones that are getting hammered the most," he said.

“Not that many banks out there did that type of lending, just a handful,” he said. “Those are the ones that are very notably showing up on people’s radar screens.”

Despite the turmoil stigma placed on the banking industry by real estate lending banks and the frustrating dip in stock prices, bank officials remained confident about the future.

“We can’t worry about what our stock price is day to day and we don’t,” said Craig Blunden, president, chairman and chief executive officer of Provident Bancorp (Nasdaq: PROV) in Riverside. “We look at the long term and over the long term our stock price has done very well and it will again when we get through this cyclical downturn we are in.”

Provident Bank’s shares dipped to $8.50 July 14, a 5.2% drop.

“This IndyMac thing is bad for the industry,” said Jim Robinson, chairman and chief executive officer of Security Bank of California (OTC: SBOC). “We don’t like it, but we don’t have a problem with our loan portfolio.”

The Riverside-based bank recently reported a net income of $213,170 for the most recent quarter ended June 30, an increase of $144,195 or 209% over the $68,975 earned during the same quarter last year.

In an effort to quell the negative image the local banking industry has suffered, many institutions are taking proactive steps to increase public awareness.

“One of things we’re working on is a marketing campaign to show everyone how successful we are as a bank,” Myers said. “I think the best proof we can give to our customer base and the market out there is by continually showing our numbers.”