June 3, 2003

For Information Contact:
Erica Vasek at State Bank (979) 968-7294
erica.vasek@statebanktx.com

TOMBALL - William C. (Chris) Croom has been named Vice President of the State Bank Working Capital Finance Group, President and Chief Executive Officer Don Stricklin announced today. Through Asset Based Lending and a receivables funding program called S.L.E.D. (Self Liquidating and Expandable Delivery), this unit enables small to medium-sized businesses across Texas to grow their companies without cash flow constraint.

Headquartered in State Bank's Tomball Banking Center, Croom served as Business Development Manager for 13 Texas community banks before holding the title of Director of Origination at Enron Industrial Markets. A native of Lubbock, Texas, he holds a B.S. degree in International Economics from Texas Tech University.

"Prospective customers who are exploring where they could take their companies if cash flow were not an issue, will want to sit down with Chris to see how State Bank can assist them," Stricklin said.

State Bank's Asset Based Lending lines range from $500,000 to $5 million and the S.L.E.D. credit lines run from $100,000 to $3 million.

Chris can be reached at 281-290-0404 or at chris.croom@statebanktx.com. His office is located at 620 W. Main, Tomball, Texas 77377.

State Bank is a wholly owned subsidiary of Texas United Bancshares, Inc., a registered financial holding company that is listed on the Nasdaq National Market under the symbol "TXUI." State Bank offers a complete range of banking services in the greater central and south central Texas area.

Headquartered in La Grange, State Bank operates 18 full-service banking centers located in the Texas counties of Fayette, Lee, Waller, Atascosa, Comal, Harris, Williamson, Travis, Colorado, Brazos and Gonzales.