Shareholder's Report
| Assets (In thousands) | March 31, 2009 | March 31, 2010 |
| Cash and due from banks | $12,329 | $11,778 |
| Interest bearing deposits in banks | $21,515 | $25,153 |
| Federal funds sold | $20,586 | $12,917 |
| Total cash and cash equivalents | $54,430 | $49,848 |
| Securities - available for sale | $185,389 | $226,962 |
| Loans, net | $549,618 | $548,818 |
| Premises and equipment | $16,559 | $15,975 |
| Goodwill | $4,074 | $4,074 |
| Other assets | $20,592 | $25,228 |
| Total Assets | $830,662 | $870,905 |
| Liabilities (In thousands) | March 31, 2009 | March 31, 2010 |
| Deposits | | |
| Non-interest bearing | $57,918 | $58,859 |
| Interest bearing | $586,528 | $624,441 |
| Total deposits | $644,446 | $683,300 |
| Securities - sold under agreement to repurchase | $43,036 | $45,291 |
| Long term debt | $45,559 | $43,133 |
| Accrued expenses and other liabilities | $6,355 | $5,501 |
| Total Liabilities | $739,396 | $777,225 |
| Stockholder's Equity | March 31, 2009 | March 31, 2010 |
| Common Stock, no par value - 6,500,000 shares authorized; 5,200,000 shares issued. | $12,677 | $12,677 |
| Treasury stock - 437,601 shares for year 2010: 427,277 shares for year 2009. | ($8,899) | ($9,083) |
| Unearned stock awards - 27,675 for year 2010; 23,575 for year 2009. | ($503) | ($571) |
| Retained earnings | $85,739 | $88,452 |
| Accumulated other comprehensive income | $2,252 | $2,205 |
| Total Stockholder's Equity | $91,266 | $93,680 |
| Total Liabilities and Stockholder's Equity | $830,662 | $870,905 |
| Income Statement | June 30, 2009 | Sept. 30, 2009 | Dec. 31, 2009 | March 31, 2010 |
Summary of Income Interest Income | $10,459 | $10,081 | $10,198 | $10,325 |
Interest Expense Net Interest Income | $3,427
$7,032 | $3,220
$6,861 | $3,099 $7,099 | $2,920 $7,405 |
| Provision for loan losses | $1,079 | $1,432 | $388 | $1,690 |
| Net interest income after provision for loan losses | $5,953 | $5,429 | $6,711 | $5,715 |
| Other Income (expense) | ($4,016) | ($3,739) | ($3,621) | ($4,128) |
| Income before Federal Income Taxes | $1,937 | $1,690 | $3,090 | $1,587 |
| Income Taxes | $536 | $414 | $892 | $331 |
| Net Income | $1,401 | $1,276 | $2,198 | $1,256 |
| Earnings per common share | $0.30 | $0.27 | $0.46 | $0.27 |
| Average common shares outstanding | 4,742,910 | 4,731,841 | 4,734,674 | 4,734,674 |
This statement has not been reviewed or confirmed for accuracy or relevance by the Federal Deposit Insurance Corporation