Union Bank of California, N.A. has announced its newest green initiative, a ?green loan? program offering consumer loan applicants who purchase environmentally-friendly products a 0.25% interest rate discount on vehicle and home equity loans. The loan discount program is in keeping with the bank's ongoing commitment to environmental protection.

?Preservation of the environment is an inherent part of Union Bank of California's philosophy and culture,? said Executive Vice President Robert A. McNeely, who heads the bank's corporate and community development efforts. ?The new loan program is the latest in a line of environmentally-conscious initiatives supported by the bank.?

According to Steve Glaser, executive vice president and head of retail banking, the ?green loan? program is the bank's most recent environmental initiative. The program offers the bank's retail clients and employees a 0.25% interest rate discount with the purchase of new or used vehicles that run on alternative power sources other than petroleum (hybrid or electric).

In addition, Glaser said the program offers the 0.25% interest rate discount on home equity fixed-rate loans to consumers purchasing energy-efficient upgrades for their homes. The fixed-rate loans must be secured by an owner-occupied property. Loan terms up to 30 years are available. Energy-friendly home upgrades may include: solar panels, HVAC appliances, energy star rate windows, ?green? heating, lighting and water use.

The ?green loan? interest rate discounts are now available at Union Bank's retail locations statewide. For additional information about the discount program, consumers may call 1-866-UB-LOANS or visit www.unionbank.com. Clients applying for the environmental rate incentive discount will be required to provide proof of a qualifying purchase.

According to McNeely, a committee of bank executives worked closely with the UnionBanCal Corporation board of directors and the Union Bank community advisory board to establish a broad environmental policy with a mission to help safeguard the environment. The Union Bank Foundation has also increased its level of giving to non profit organizations involved in activities benefiting the environment.

Recently, the bank provided funding for SOLARA in San Diego County, the first solar-powered apartment community in California to be fully powered by the sun. The green design of the affordable housing project prevents the emission of more than 1,800 tons of carbon dioxide each year, the equivalent of planting 5,446 trees or taking 300 cars off the road annually.

Earlier this year, the bank announced a five-year grant for $500,000 to the Trust for Public Land's Parks for People -- Bay Area Program to create and revitalize urban parks and to demonstrate an increased focus on environmental health.

Union Bank has supported the Parks for People Program in Los Angeles since 2001 and expanded its funding to include Bay Area projects such as the redevelopment of Potrero Hill Park and the Community Garden at Visitacion Valley. Serving San Francisco's urban core, these parks have tremendous potential as community resources.

Based in San Francisco, UnionBanCal Corporation (NYSE:UB) is a bank holding company with assets of $54.6 billion at March 31, 2007. Its primary subsidiary, Union Bank of California, N.A., had 321 banking offices in California, Oregon and Washington, and 2 international offices at March 31, 2007. The company's Web site is located at www.unionbank.com.

Union Bank
Sharon Woodson-Bryant, 213-236-4145
SharonW.Bryant@uboc.com
or
Orith Farago, 661-297-6659
Orith@OGF-PR.com