Sterling Bank Names Michelle Mahfouz Executive Vice President - Personal Relationship & Business Banking

Sterling Bank, a subsidiary of Sterling Bancshares, Inc. (NASDAQ:SBIB) announced today that Michelle Mahfouz has been named Executive Vice President and Manager of Personal Relationship & Business Banking. In this position, she has responsibility for the operation of Sterling Bank's banking centers, its call center, its home equity and home mortgage programs, and small business banking.

'Michelle has a demonstrated expertise in serving the financial needs of the owners of small to medium-sized businesses and their families,' said J. Downey Bridgwater, Sterling Chairman, President and CEO. 'With her coaching and employee development experience, she'll be a great addition to our team. We're delighted she's chosen to join us.'

Prior to joining Sterling Bank, Mahfouz served as Senior Vice President of BBVA Compass' Business Banking Division in Houston. Her previous experience also includes executive positions with Bank of America.

Mahfouz earned a bachelor's degree from Texas A&M University and holds Life & Health Insurance, Series 6, and Series 63 Securities licenses. She is currently attending the Consumer Bankers Association's Graduate School of Retail Bank Management at Furman University in South Carolina.

About Sterling Bancshares, Inc.

Sterling Bancshares, Inc., is a Houston-based bank holding company with total assets of $5.1 billion that operates 60 banking centers in the greater metropolitan areas of Houston, Dallas, Fort Worth, and San Antonio. The Company's common stock is traded through the NASDAQ Global Select Market under the symbol 'SBIB.' For more information on Sterling Bancshares please visit the Company's web site at http://www.banksterling.com/.

For More Information Contact:

Chris Reid, Vice President

Investor Relations

(713)507-2873

Media:

Graham Painter, Executive Vice President Director of Corporate Communications

(713) 507-2770

Media, Graham Painter, Executive Vice President, Director

of Corporate Communications, +1-713-507-2770, both of Sterling Bancshares, Inc.