PRESS RELEASE
April 18, 2006

Contact
James F. Arneson, President
(360) 459-1100

Venture Financial Group Announces Record 1st Quarter Earnings & 1st Quarter Asset, Loan, & Deposit Growth

FIRST QUARTER HIGHLIGHTS

Record 1st Quarter Net Income of $2.3 million

Record 1st Quarter Asset Growth of $71.5 million

Record 1st Quarter Loan Growth of $24.4 million

Record 1st Quarter Deposit Growth of $70.4 million

Excellent Loan Portfolio Credit Quality

Olympia, Wash. - April 18, 2006 - Venture Financial Group, Inc. (“Venture” or “the Company”), parent company of Venture Bank, (www.venture-bank.com) today announced for the first quarter ended March 31, 2006, net income of $2.3 million, an increase of 13.8% or $281,000 as compared to $2.0 million for the first quarter of 2005. $2.3 million represents the highest first quarter earnings in Company history.

At March 31, 2006, total assets were $824.3 million which was an increase of 9.5% or $71.5 million for the first quarter as compared to $752.8 million in total assets at December 31, 2005. $71.5 million represents the highest first quarter asset growth in Company history.

“We are starting the year out very well,” said Ken F. Parsons Sr., Venture Financial Group Chairman and CEO. “The shareholders are being well served by our team.”

Total assets at March 31, 2006 were 42.6% or $246.1 million higher than at March 31, 2005 when total assets were $578.2 million. The acquisition of Redmond National Bank and its parent company, Washington Commercial Bancorp during the third quarter of 2005 contributed $131.8 million of the $246.1 million asset growth that has occurred since March 31, 2005.

Total loans at March 31, 2006 were $626.7 million which was a quarterly increase of 4.0% or $24.4 million as compared to $602.3 million in total loans at December 31, 2005. Total loans at March 31, 2006 increased $173.9 million or 38.4% from $452.8 million at March 31, 2005. Loans attributed to the acquisition of Redmond National Bank were $107.1 million.

Total deposits at March 31, 2006 were $584.5 million which was a quarterly increase of 13.7% or $70.4 million as compared to $514.0 million in total deposits at December 31, 2005. Total deposits at March 31, 2006 increased $225.0 million or 62.6% from $359.5 million at March 31, 2005. Deposits attributed to the acquisition of Redmond National Bank were $86.9 million.

The quality of the Company’s assets remains strong. Nonperforming assets as a percentage of total assets declined to 0.43% at March 31, 2006 from 0.92% at March 31, 2005. Nonperforming assets as a percentage of total assets increased slightly in the first quarter from the December 31, 2005 level of 0.36%.

“Much of our growth this quarter has come from broadening and deepening the relationships we gained last year in our entry into the east King County area,” said Jim Arneson, President and CEO of Venture Bank. “In spite of a real estate market that is beginning to show signs of softening, we’ve been able to maintain a healthy volume of quality loan transactions.”

Operating Results

Net Interest Income
Net interest income for the first quarter of 2006 increased 20.93% to $7.8 million, from $6.5 million for the first quarter of 2005. This increase is due to internal growth and the third quarter 2005 merger with Redmond National Bank. The net interest margin at March 31, 2006 was 4.58% and at March 31, 2005 was 5.13%. The narrowing of the net interest margin in the continuing rising rate environment is due to the repricing of liabilities at a faster rate than the repricing of assets during the period and a relatively flat treasury yield curve. The purposeful change to a more liquid mix of assets on the balance sheet also contributes to a reduced margin.

Non Interest Income
Non-interest income for the first quarter of 2006 was $2.0 million which is a reduction of 4.0% or $83,000 compared to $2.1 million in the first quarter of 2005. Excluding our one-time $300,000 gain on the sale of OREO in the first quarter of 2005, non-interest income increased in the first quarter of 2006 as compared to the first quarter of 2005 by $217,000 or 12.4%. The major components of non-interest income include salable mortgage loan fee income, service charge income, and other income. In spite of continued rising interest rates in the marketplace, residential mortgage volume remained strong providing fee income of $442,000 for the first quarter of 2006 as compared to $411,000 for the first quarter of 2005. Service charge income of $940,000 for the first quarter of 2006 compares to $735,000 for the first quarter 2005. This significant 27.9% increase is partially attributed to the purchase of Redmond National Bank and the related increase in deposit accounts. Other non-interest income for the first quarter of 2006 was $585,000, virtually unchanged in the first quarter of 2006 from the first quarter of 2005 level of $904,000 when excluding our one-time $300,000 gain on the sale of OREO.

Non Interest Expense
Total non-interest expense increased by $762,000 or 14.3% for the three months ended March 31, 2006 compared to the three months ended March 31, 2005. All of the components of non-interest expense (salaries and benefits, occupancy, and other expenses) increased comparing the three months ended March 31, 2006 to the same period ending March 31, 2005. The increases are primarily attributed to the costs associated with the new financial centers in Redmond and Lakewood.

Nonperforming Loans
Nonperforming loans as a percentage of total loans was reduced to 0.49% as of March 31, 2006 as compared to 1.10% as of March 31, 2005. The ratio of allowance for credit losses to nonperforming loans was reduced to 1.40% at March 31, 2006 from 1.59% at March 31, 2005.

Venture Financial Group, through its wholly owned subsidiary Venture Bank, has 17 offices in four western Washington counties and offers a full spectrum of financial services including commercial, construction, residential and consumer lending, deposit products and other banking services. Further information about Venture Bank may be found at www.venture-bank.com.

Note Regarding Forward-Looking Information
This press release includes forward-looking statements within the meaning of the "Safe-Harbor" provisions of the Private Securities Litigation Reform Act of 1995, which management believes are a benefit to shareholders. These statements are necessarily subject to risk and uncertainty and actual results could differ materially due to certain risk factors, including those set forth from time to time in the Company’s filings with the Securities and Exchange Commission. You should not place undue reliance on forward-looking statements and we undertake no obligation to update any such statements. Specific risks related to forward-looking statements in this press release include the Company’s ability to maintain growth and asset quality in the current interest rate environment.

Condensed Statements of Condition
Condensed Statements of Income

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