----

----

**U.        S. SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON,        D.C. 20549**

**FORM        10-QSB**

| x      | Quarterly                  Report Under Section 13 or 15(d) of the Securities Exchange Act                  of                  1934 |   |
|--------|--------------------------------------------------------------------------------------------------------------------------------------|--------|
|   | For                  the quarterly period ended **March                  31, 2006**                                                  |   |

|  ̈ | Transition                  Report under Section 13 or 15(d) of the Securities Exchange Act                  of                  1934 |   |
|--------|---------------------------------------------------------------------------------------------------------------------------------------|--------|
|   | For                  the transition period from __________ to __________                                                              |   |

**Commission        File Number: 333-102971 **

----

|   | **Georgia**                               |        | **06-1671382**                                     |   |
|--------|-------------------------------------------|--------|----------------------------------------------------|--------|
|   | (State                  of Incorporation) |   | (IRS                  Employer Identification No.) |   |

|   | **3165                  Maysville Road, Commerce, GA 30529** |   |
|--------|--------------------------------------------------------------|--------|
|   | (Address                  of principal executive offices)    |   |

|   | **(706)                  423-2500**                |   |
|--------|----------------------------------------------------|--------|
|   | (Issuer’s                  telephone number) |   |

|   | N/A |   |
|--------|-----|--------|

**May        13, 2006: 1,238,789 shares outstanding, $1.00 par        value**

----

**FREEDOM        BANCSHARES, INC.**

**AND        SUBSIDIARY**

**Index**

|                                           |   | Page                                                                                                                                   |
|------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------|
|                                           |   |                                                                                                                                   |
| Part                  I. Financial Information |   |                                                                                                                                   |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  1.   Financial Statements                  (unaudited)                                                 |   |   |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Consolidated                  Balance Sheets - March 31, 2006 and December 31,                  2005                                   |   | 2 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Consolidated                  Statements of Operations - Three months ended                  March 31, 2006 and March 31, 2005         |   | 3 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Consolidated                  Statements of Comprehensive Loss - Three months                  ended March 31, 2006 and March 31, 2005 |   | 4 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Consolidated                  Statements of Cash Flows - Three months ended                  March 31, 2006 and March 31, 2005         |   | 5 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Notes                  to Consolidated Financial                  Statements                                                           |   | 6                  -                  10 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  2.   Management's Discussion and                  Analysis                                             |   | 11                  - 16 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  3.   Controls and Procedures                                                                           |   | 16 |
|                                           |   |                                                                                                                                   |   |   |
| Part                  II. Other Information    |   |                                                                                                                                   |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  1.   Legal Proceedings                                                                                 |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  2.   Unregistered Sales of Equity Securities                  and Use of Proceeds                      |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  3.   Defaults Upon Senior                  Securities                                                  |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  4.   Submission of Matters to a Vote of                  Security Holders                              |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  5.   Other Information                                                                                 |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Item                  6.   Exhibits                                                                                          |   | 17 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Signature                  Page                                                                                                        |   | 18 |
|                                           |   |                                                                                                                                   |   |   |
|                                           |   | Exhibit                  Index                                                                                                         |   |   |

----

*Index*

**Part              I.****               Financial Information**

| **Item                  1.** | **Financial                  Statements** |
|------------------------------|-------------------------------------------|

**FREEDOM        BANCSHARES, INC. AND        SUBSIDIARY**

**CONSOLIDATED          BALANCE SHEETS**

**MARCH          31, 2006 AND DECEMBER 31, 2005**

**(Unaudited)**

|                                                                                                                                                          |   | **2006** |           | 2005   |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|----------------|--------|--------|
| **Assets**                                                                                                                                                    |   |     |           |   |   |
| Cash                    and due from banks                                                                                                                    |   | **$**    | **2,616,990**  |   | $      | 1,462,439 |   |
| Interest                    bearing deposits in banks                                                                                                         |   |     | **120,090**    |   |   | 51,627 |   |
| Federal                    funds sold                                                                                                                         |   |     | **4,011,716**  |   |   | 193,258 |   |
| Securities                    available for sale, at fair value                                                                                               |   |     | **16,276,451** |   |   | 16,119,530 |   |
| Loans,                    less allowance for loan losses of $898,297 and $830,678,                    respectively                                            |   |     | **66,677,884** |   |   | 59,947,329 |   |
| Property                    and equipment, net                                                                                                                |   |     | **2,985,473**  |   |   | 2,850,864 |   |
| Federal                    Home Loan Bank stock                                                                                                               |   |     | **412,600**    |   |   | 325,700 |   |
| Accrued                    interest receivable                                                                                                                |   |     | **825,849**    |   |   | 717,210 |   |
| Other                    assets                                                                                                                               |   |     | **1,107,634**  |   |   | 939,059 |   |
|                                                                                                                                                          |   |     |                |   |   |  |   |
| **Total                    assets**                                                                                                                           |   | **$**    | **95,034,687** |   | $      | 82,607,016 |   |
|                                                                                                                                                          |   |     |           |   |   |   |   |
| **Liabilities                    and Stockholders' Equity**                                                                                                   |   |     |           |   |   |   |   |
|                                                                                                                                                          |   |     |           |   |   |   |   |
| Liabilities:                                                                                                                                                  |   |     |           |   |   |   |   |
| Deposits:                                                                                                                                                     |   |     |           |   |   |   |   |
| Noninterest-bearing                                                                                                                                           |   | **$**    | **5,359,853**  |   | $      | 4,976,663 |   |
| Interest-bearing                                                                                                                                              |   |     | **72,648,004** |   |   | 61,549,630 |   |
| Total                    deposits                                                                                                                             |   |     | **78,007,857** |   |   | 66,526,293 |   |
| Federal                    funds purchased                                                                                                                    |   |     | **-**          |   |   | 185,000 |   |
| Federal                    Home Loan Bank advances                                                                                                            |   |     | **5,500,000**  |   |   | 4,500,000 |   |
| Accrued                    interest payable                                                                                                                   |   |     | **253,419**    |   |   | 175,904 |   |
| Other                    liabilities                                                                                                                          |   |     | **128,889**    |   |   | 67,423 |   |
| **Total                    liabilities**                                                                                                                      |   |     | **83,890,165** |   |   | 71,454,620 |   |
|                                                                                                                                                          |   |     |                |   |   |  |   |
| Commitments                    and contingencies                                                                                                              |   |     |           |   |   |   |   |
|                                                                                                                                                          |   |     |           |   |   |   |   |
| Stockholders'                    equity                                                                                                                       |   |     |           |   |   |   |   |
| Preferred                    stock, no par value; 2,000,000 shares authorized; no shares issued                    and                    outstanding         |   |     | **-**          |   |   | - |   |
| Common                    stock, $1.00 par value; 10,000,000 shares authorized; 1,238,789                    shares                    issued and outstanding |   |     | **1,238,789**  |   |   | 1,238,789 |   |
| Additional                    paid-in capital                                                                                                                 |   |     | **11,381,743** |   |   | 11,281,743 |   |
| Accumulated                    deficit                                                                                                                        |   |     | **(1,158,238** | **)**  |   | (1,155,622 | ) |
| Accumulated                    other comprehensive loss                                                                                                       |   |     | **(317,772**   | **)**  |   | (212,514 | ) |
| **Total                    stockholders' equity**                                                                                                             |   |     | **11,144,522** |   |   | 11,152,396 |   |
|                                                                                                                                                          |   |     |                |   |   |  |   |
| **Total                    liabilities and stockholders' equity**                                                                                             |   | **$**    | **95,034,687** |   | $      | 82,607,016 |   |

**See          Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM          BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED          STATEMENTS OF OPERATIONS**

**THREE          MONTHS ENDED MARCH 31, 2006 AND 2005**

**(Unaudited)**

|                                                                       |   | **Three                    Months Ended March 31, 2006** |          | Three                    Months Ended March 31, 2005 |   |
|----------------------------------------------------------------------------|--------|----------------------------------------------------------|---------------|------------------------------------------------------|--------|
| **Interest                    income:**                                    |   |                                                     |          |                                                 |   |
| Loans                                                                      |   | **$**                                                    | **1,451,665** |                                                 | $      | 675,155 |   |
| Taxable                    securities                                      |   |                                                     | **177,497**   |                                                 |   | 106,443 |   |
| Federal                    funds sold                                      |   |                                                     | **30,531**    |                                                 |   | 10,965 |   |
| Other                                                                      |   |                                                     | **5,165**     |                                                 |   | - |   |
| **Total                    interest income**                               |   |                                                     | **1,664,858** |                                                 |   | 792,563 |   |
|                                                                       |   |                                                     |          |                                                 |   |   |   |
| **Interest                    expense:**                                   |   |                                                     |          |                                                 |   |   |   |
| Deposits                                                                   |   |                                                     | **661,236**   |                                                 |   | 291,009 |   |
| Other                    borrowings                                        |   |                                                     | **50,108**    |                                                 |   | 31,897 |   |
| **Total                    interest expense**                              |   |                                                     | **711,344**   |                                                 |   | 322,906 |   |
|                                                                       |   |                                                     |          |                                                 |   |   |   |
| **Net                    interest income**                                 |   |                                                     | **953,514**   |                                                 |   | 469,657 |   |
| **Provision                    for loan losses**                           |   |                                                     | **68,500**    |                                                 |   | 95,000 |   |
| **Net                    interest income after provision for loan losses** |   |                                                     | **885,014**   |                                                 |   | 374,657 |   |
|                                                                       |   |                                                     |               |                                                 |   |  |   |
| **Other                    income:**                                       |   |                                                     |          |                                                 |   |   |   |
| Service                    charges on deposit accounts                     |   |                                                     | **22,911**    |                                                 |   | 11,670 |   |
| Other                    operating income                                  |   |                                                     | **17,359**    |                                                 |   | 12,116 |   |
| **Total                    other income**                                  |   |                                                     | **40,270**    |                                                 |   | 23,786 |   |
|                                                                       |   |                                                     |               |                                                 |   |  |   |
| **Other                    expenses:**                                     |   |                                                     |          |                                                 |   |   |   |
| Salaries                    and other employee benefits                    |   |                                                     | **472,996**   |                                                 |   | 279,479 |   |
| Occupancy                    and equipment expenses                        |   |                                                     | **116,638**   |                                                 |   | 66,193 |   |
| Other                    operating expenses                                |   |                                                     | **277,866**   |                                                 |   | 149,803 |   |
| **Total                    other expenses**                                |   |                                                     | **867,500**   |                                                 |   | 495,475 |   |
|                                                                       |   |                                                     |               |                                                 |   |  |   |
| **Income                    (loss) before income taxes**                   |   |                                                     | **57,784**    |                                                 |   | (97,032 | ) |
|                                                                       |   |                                                     |          |                                                 |   |   |   |
| **Income                    tax expense**                                  |   |                                                     | **60,400**    |                                                 |   | - |   |
|                                                                       |   |                                                     |          |                                                 |   |   |   |
| **Net                    loss**                                            |   | **$**                                                    | **(2,616**    | **)**                                                | $      | (97,032 | ) |
|                                                                       |   |                                                     |          |                                                 |   |   |   |
| **Basic                    losses per share**                              |   | **$**                                                    | -             |                                                 | $      | (0.10 | ) |
|                                                                       |   |                                                     |               |                                                 |   |  |   |
| **Diluted                    losses per share**                            |   | **$**                                                    | -             |                                                 | $      | (0.10 | ) |
|                                                                       |   |                                                     |               |                                                 |   |  |   |
| **Cash                    dividends per share**                            |   | **$**                                                    | -             |                                                 | $      | - |   |

**See          Notes to Consolidated Financial          Statements**

----

*Index*

**FREEDOM          BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED          STATEMENTS OF COMPREHENSIVE          LOSS**

**THREE          MONTHS ENDED MARCH 31, 2006 AND 2005**

**(Unaudited)**

|                                                                                |   | **Three                      Months Ended March 31, 2006** |         | Three                      Months Ended March 31, 2005 |   |
|-------------------------------------------------------------------------------------|--------|------------------------------------------------------------|--------------|--------------------------------------------------------|--------|
|                                                                                |   |                                                       |         |                                                   |   |
| Net                      loss                                                       |   | **$**                                                      | **(2,616**   | **)**                                                  | $      | (97,032 | ) |
|                                                                                |   |                                                       |         |                                                   |   |   |   |
| Other                      comprehensive loss                                       |   |                                                       |         |                                                   |   |   |   |
|                                                                                |   |                                                       |         |                                                   |   |   |   |
| Unrealized                      losses on securities available for sale, net of tax |   |                                                       | **(99,858**  | **)**                                                  |   | (134,064 | ) |
|                                                                                |   |                                                       |         |                                                   |   |   |   |
| Unrealized                      loss on interest rate floor, net of tax             |   |                                                       | **(5,400**   | **)**                                                  |   | - |   |
|                                                                                |   |                                                       |         |                                                   |   |   |   |
| Other                      comprehensive loss                                       |   |                                                       | **(105,258** | **)**                                                  |   | (134,064 | ) |
|                                                                                |   |                                                       |         |                                                   |   |   |   |
| Comprehensive                      loss                                             |   | **$**                                                      | **(107,874** | **)**                                                  | $      | (231,094 | ) |

**See          Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM          BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED          STATEMENTS OF CASH FLOWS**

**THREE          MONTHS ENDED MARCH 31, 2006 AND 2005**

**(Unaudited)**

|                                                                                                                            |   | **2006** |           | 2005   |   |
|---------------------------------------------------------------------------------------------------------------------------------|--------|----------|----------------|--------|--------|
| **OPERATING                    ACTIVITIES**                                                                                     |   |     |           |   |   |
| Net                    loss                                                                                                     |   | **$**    | **(2,616**     | **)**  | $      | (97,032 | ) |
| Adjustments                    to reconcile net loss to net cash provided by                    (used in) operating activities: |   |     |           |   |   |   |   |
| Amortization                    and accretion on securities                                                                     |   |     | **7,259**      |   |   | 3,098 |   |
| Depreciation                                                                                                                    |   |     | **67,816**     |   |   | 34,770 |   |
| Provision                    for loan losses                                                                                    |   |     | **68,500**     |   |   | 90,000 |   |
| Stock                    compensation expense                                                                                   |   |     | **100,000**    |   |   | - |   |
| Loss                    on disposal of equipment                                                                                |   |     | **4,817**      |   |   | - |   |
| Increase                    in interest receivable                                                                              |   |     | **(108,639**   | **)**  |   | (81,454 | ) |
| Increase                    in interest payable                                                                                 |   |     | **77,515**     |   |   | 38,315 |   |
| Increase                    in other assets                                                                                     |   |     | **(107,402**   | **)**  |   | (38,973 | ) |
| Increase                    in other liabilities                                                                                |   |     | **61,466**     |   |   | 40,414 |   |
| Net                    cash provided by (used in) operating activities                                                          |   |     | **168,716**    |   |   | (10,860 | ) |
|                                                                                                                            |   |     |           |   |   |   |   |
| **INVESTING                    ACTIVITIES**                                                                                     |   |     |           |   |   |   |   |
| Purchases                    of securities available for sale                                                                   |   |     | **(1,248,385** | **)**  |   | (4,375,792 | ) |
| Proceeds                    from maturities and paydowns of securities available for                    sale                    |   |     | **917,774**    |   |   | 261,267 |   |
| Purchase                    of Federal Home Loan Bank stock                                                                     |   |     | **(86,900**    | **)**  |   | (54,000 | ) |
| Net                    increase in loans                                                                                        |   |     | **(6,799,055** | **)**  |   | (6,947,778 | ) |
| Purchases                    of premises and equipment                                                                          |   |     | **(207,242**   | **)**  |   | (313,857 | ) |
| Net                    cash used in investing activities                                                                        |   |     | **(7,423,808** | **)**  |   | (11,430,160 | ) |
|                                                                                                                            |   |     |           |   |   |   |   |
| **FINANCING                    ACTIVITIES**                                                                                     |   |     |           |   |   |   |   |
| Net                    increase in deposits                                                                                     |   |     | **11,481,564** |   |   | 10,856,050 |   |
| Proceeds                    from FHLB advances                                                                                  |   |     | **1,000,000**  |   |   | 800,000 |   |
| Decrease                    in federal funds purchased                                                                          |   |     | **(185,000**   | **)**  |   | - |   |
| Net                    cash provided by financing activities                                                                    |   |     | **12,296,564** |   |   | 11,656,050 |   |
|                                                                                                                            |   |     |           |   |   |   |   |
| Net                    increase in cash and cash equivalents                                                                    |   |     | **5,041,472**  |   |   | 215,030 |   |
|                                                                                                                            |   |     |           |   |   |   |   |
| Cash                    and cash equivalents at beginning of period                                                             |   |     | **1,707,324**  |   |   | 4,408,655 |   |
|                                                                                                                            |   |     |                |   |   |  |   |
| Cash                    and cash equivalents at end of period                                                                   |   | **$**    | **6,748,796**  |   | $      | 4,623,685 |   |
|                                                                                                                            |   |     |           |   |   |   |   |
| **SUPPLEMENTAL                    DISCLOSURE OF CASH FLOW INFORMATION**                                                         |   |     |           |   |   |   |   |
| Cash                    paid for:                                                                                               |   |     |           |   |   |   |   |
| Interest                                                                                                                        |   | **$**    | **633,829**    |   | $      | 284,591 |   |

**See          Notes to Consolidated Financial Statements**

----

*Index*

NOT

| NOTE                  1. | BASIS                  OF PRESENTATION |
|--------------------------|----------------------------------------|

| NOTE                  2. | SUMMARY                  OF ORGANIZATION |
|--------------------------|------------------------------------------|

----

*Index*

| NOTE                  3. | SUMMARY                  OF SIGNIFICANT ACCOUNTING POLICIES |
|--------------------------|-------------------------------------------------------------|

*Basis        of Accounting. *

*Cash        and Cash Equivalents. *

*Property        and Equipment. *

*Income        Taxes. *

*Stock-Based        Compensation. *
*Accounting        for Stock Issued to Employees*
*Accounting        for Stock-Based Compensation*
*Share-Based        Payment*

----

*Index*

|                                                                                                                                                                          |   | Three                    Months Ended March 31, |     |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------|----------|
|                                                                                                                                                                          |   | 2005                                            |     |
|                                                                                                                                                                          |   |                                            |     |
| Net                    loss, as reported                                                                                                                                      |   | $                                               | (97,032  | ) |
|                                                                                                                                                                          |   |                                            |     |   |
| Deduct: Total                    stock-based employee compensation expense determined under fair                    value                    based method for all awards |   |                                            | (119,946 | ) |
|                                                                                                                                                                          |   |                                            |     |   |
| Pro                    forma net loss                                                                                                                                         |   | $                                               | (216,976 | ) |
|                                                                                                                                                                          |   |                                            |     |   |
| Losses                    per share:                                                                                                                                          |   |                                            |     |   |
| Basic                    - as reported                                                                                                                                        |   | $                                               | (0.10    | ) |
| Basic                    - pro forma                                                                                                                                          |   | $                                               | (0.21    | ) |
| Diluted                    - as reported                                                                                                                                      |   | $                                               | (0.10    | ) |
| Diluted                    - pro forma                                                                                                                                        |   | $                                               | (0.21    | ) |

|                                                                                 |   | **Three                  Months Ended****March                  31,** |                            |
|--------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------|---------------------------------|
|                                                                                 |   | **2006**                                                              |                            | 2005 |   |
| Risk-free                  interest rate                                             |   |                                                                  | **4.60**%****                   |   |   | 4.49% |   |
| Expected                  life of the options                                        |   |                                                                  | **6.93                  years** |   |   | 10                  years |   |
| Expected                  dividends (as a percentage of the fair value of the stock) |   |                                                                  | **0**%****                      |   |   | 0% |   |
| Expected                  volatility                                                 |   |                                                                  | **24**%****                     |   |   | 18% |   |
| Weighted-average                  grant date fair value                              |   |                                                                  | **$4.27**                       |   |   | $4.79 |   |

----

*Index*

|                                               |   | Three                  Months Ended March 31, 2006 |    |
|----------------------------------------------------|--------|----------------------------------------------------|---------|
|                                               |   | Number                                             |    | Weighted-                  average Exercise Price |   | Weighted-average                  Remaining Contractual Life |   |
| Under                  option, beginning of period |   |                                               | 280,840 |   | $ | 10.05 |   |   |   |   |
| Granted                                            |   |                                               | 23,300  |   |   | 11.50 |   |   |   |   |
| Exercised                                          |   |                                               | -       |   |   | - |   |   |   |   |
| Forfeited                                          |   |                                               | -       |   |   | - |   |   |   |   |
| Under                  option, end of period       |   |                                               | 304,140 |   |   | 10.16 |   |   | 8.04                  years |   |
| Exercisable                  at end of period      |   |                                               | 181,005 |   |   | 10.04 |   |   | 7.04                  years |   |

|                                            |   | Three                  Months Ended March                  31, 2006 |    |
|-------------------------------------------------|--------|---------------------------------------------------------------------|---------|
|                                            |   | Number                                                              |    | Weighted-                  average Grant-Date Fair Value |   |
| Nonvested,                  beginning of period |   |                                                                | 187,689 |   | $ | 4.56 |   |
| Granted                                         |   |                                                                | 23,300  |   |   | 4.27 |   |
| Vested                                          |   |                                                                | (87,854 | ) |   | 4.56 |   |
| Forfeited                                       |   |                                                                | -       |   |   | - |   |
| Nonvested,                  end of period       |   |                                                                | 123,135 |   |   | 4.51 |   |

|                                      |   | Options                  and Warrants Outstanding |    | Options                  and Warrants Exercisable                                                               |   |
|-------------------------------------------|--------|---------------------------------------------------|---------|-----------------------------------------------------------------------------------------------------------------|--------|
| Range                  of Exercise Prices |   | Number                                            |    | Weighted-                  average                  Contractual                  Life                  in Years |   | Weighted-                  Average                  Exercise                  Price |   | Number |   | Weighted-                  Average                  Exercise                  Price |   |
|                                      |   |                                              |    |                                                                                                            |   |    |   |   |   |    |   |
| $10.00                  - $11.50          |   |                                              | 304,140 |                                                                                                            |   | 8.04                  years |   | $ | 10.16 |   |   | 181,005 |   | $ | 10.04 |   |

*Statement        of Cash Flows. *

----

*Index*

| NOTE                  4. | LOSSES                  PER SHARE |
|--------------------------|-----------------------------------|

----

*Index*

| **Part                I.** | **Financial                  Information** |
|----------------------------|--------------------------------------------|

| **Item                2.** | **Management's                  Discussion and                  Analysis** |
|----------------------------|----------------------------------------------------------------------------|

**SPECIAL        CAUTIONARY NOTICE REGARDING FORWARD-LOOKING STATEMENTS**

|   | · | significant                  increases in competitive pressure in the banking and financial                  services                  industries; |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                  in the interest rate environment which could reduce anticipated                  or actual                  margins; |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                  in political conditions or the legislative or regulatory environment; |
|--------|--------|------------------------------------------------------------------------------------------------|

|   | · | general                  economic conditions, either nationally or regionally and especially                  in our                  primary service area, becoming less favorable than expected resulting                  in,                  among other things, a deterioration in credit                  quality; |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                  occurring in business conditions and                  inflation; |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | changes                  in technology; |
|--------|--------|-----------------------------------------|

|   | · | changes                  in monetary and tax policies; |
|--------|--------|--------------------------------------------------------|

|   | · | the                  level of allowance for loan loss; |
|--------|--------|--------------------------------------------------------|

|   | · | the                  rate of delinquencies and amounts of                  charge-offs; |
|--------|--------|-----------------------------------------------------------------------------------------|

|   | · | the                  rates of loan growth; |
|--------|--------|--------------------------------------------|

|   | · | adverse                  changes in asset quality and resulting credit risk-related losses                  and                  expenses; |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | changes                  in the securities markets; and |
|--------|--------|---------------------------------------------------------|

|   | · | other                  risks and uncertainties detailed from time to time in our filings                  with the                  Securities and Exchange Commission. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Critical        Accounting Policies**

----

*Index*

*Allowance        for Loan Losses*

*Deferred        Income Taxes*

**Overview**

**Financial        Condition**

----

*Index*

**Composition        of Loan Portfolio**

**March        31, 2006**

| Category                                     |   | Amount |       | Percent                    of Total |   |
|----------------------------------------------|--------|--------|------------|-------------------------------------|--------|
|                                         |   |   |       |                                |   |
| Construction                    loans        |   | $      | 22,865,000 |                                |   | 33.84 | % |
| Other                    real estate loans   |   |   | 37,258,000 |                                |   | 55.13 | % |
| Commercial                    loans          |   |   | 4,542,000  |                                |   | 6.72 | % |
| Other                    loans               |   |   | 2,911,181  |                                |   | 4.31 | % |
|                                         |   |   | 67,576,181 |                                |   | 100.00 | % |
| Allowance                    for loan losses |   |   | (898,297   | )                                   |   |   |   |
|                                         |   | $      | 66,677,884 |                                |   |   |   |

**Results        of Operations for the Three Months Ended March 31, 2006 and        2005**

|   | a. | Interest                  income, which represents interest received on interest earning                  assets, was                  $1,664,858 for the three-month period ended March 31, 2006 and                  $792,563                  for the three-month period ended March 31, 2005. The cost of funds,                  which                  represents interest paid on deposits and borrowings, was $711,344                  for the                  three-month period ended March 31, 2006 and $322,906 for the three-month                  period ended March 31, 2005. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| Description                                  |   | Avg                  Assets/Liabilities |   | Interest                  Income/Expense |   | Yield/Cost |   |
|----------------------------------------------|--------|-----------------------------------------|--------|------------------------------------------|--------|------------|--------|
|                                         |   |                                    |   |                                     |   |       |   |
| Federal                  funds sold          |   | $                                       | 2,605  |                                     | $      | 31         |   |   | 4.69 | % |
| Securities                                   |   |                                    | 16,771 |                                     |   | 177        |   |   | 4.23 | % |
| Loans                                        |   |                                    | 63,900 |                                     |   | 1,452      |   |   | 9.09 | % |
| Other                                        |   |                                    | 546    |                                     |   | 5          |   |   | 3.78 | % |
| Total                                        |   | $                                       | 83,822 |                                     |   | 1,665      |   |   | 7.94 | % |
| Transactional                  accounts      |   | $                                       | 7,674  |                                     |   | 38         |   |   | 2.01 | % |
| Savings                                      |   |                                    | 764    |                                     |   | 3          |   |   | 1.46 | % |
| CDs                                          |   |                                    | 58,775 |                                     |   | 620        |   |   | 4.22 | % |
| Other                  borrowings            |   |                                    | 5,487  |                                     |   | 50         |   |   | 3.65 | % |
| Total                                        |   | $                                       | 72,700 |                                     |   | 711        |   |   | 3.91 | % |
|                                         |   |                                    |   |                                     |   |       |   |   |   |   |
| Net                  interest income         |   |                                    |   |                                     | $      | 954        |   |   |   |   |
| Net                  yield on earning assets |   |                                    |   |                                     |   |       |   |   | 4.55 | % |

| Description                                  |   | AvgAssets/Liabilities |   | InterestIncome/Expense |   | Yield/Cost |   |
|----------------------------------------------|--------|-----------------------|--------|------------------------|--------|------------|--------|
|                                         |   |                  |   |                   |   |       |   |
| Federal                  funds sold          |   | $                     | 1,637  |                   | $      | 11         |   |   | 2.45 | % |
| Securities                                   |   |                  | 10,710 |                   |   | 107        |   |   | 4.07 | % |
| Loans                                        |   |                  | 38,107 |                   |   | 675        |   |   | 7.19 | % |
| Total                                        |   | $                     | 50,454 |                   |   | 793        |   |   | 6.37 | % |
| Transactional                  accounts      |   | $                     | 1,461  |                   |   | 5          |   |   | 1.22 | % |
| Savings                                      |   |                  | 7,211  |                   |   | 33         |   |   | 1.89 | % |
| CDs                                          |   |                  | 32,092 |                   |   | 253        |   |   | 3.20 | % |
| Other                  borrowings            |   |                  | 3,788  |                   |   | 32         |   |   | 3.41 | % |
| Total                                        |   | $                     | 44,552 |                   |   | 323        |   |   | 2.90 | % |
|                                         |   |                  |   |                   |   |       |   |   |   |   |
| Net                  interest income         |   |                  |   |                   | $      | 470        |   |   |   |   |
| Net                  yield on earning assets |   |                  |   |                   |   |       |   |   | 3.79 | % |

|   | b. | For                  the three-month period ended March 31, 2006, non-interest income                  amounted                  to $40,270, or .16% of average assets. For the three-month period                  ended                  March 31, 2005, non-interest income amounted to $23,786 or .16%                  of average                  assets. Because the Bank is in a growth mode, it prices its services                  very                  competitively in order to grow                  deposits. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | c. | During                  the three-month period ended March 31, 2006, the provision for                  loan losses                  was $68,500. We had net charge-offs of $881 for the period ended                  March 31,                  2006. During the three-month period ended March 31, 2005, the provision                  for loan losses was $95,000. The allowance for loan losses as a                  percentage                  of gross loans was at 1.33% on March 31, 2006. Management considers                  the allowance for loan losses to be adequate and sufficient to                  absorb                  possible future losses; however, there can be no assurance that                  charge-offs in future periods will not exceed the allowance for                  loan                  losses or that additional provisions to the allowance will not                  be                  required. |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

|   | d. | The                  Company adopted the fair value recognition provisions of FASB Statement                  No. 123 (R), *Share                  Based Payment*                  effective January 1, 2006, using the modified- prospective-transition                  method. For options and warrants outstanding as of December 31,                  2005, the                  impact upon adoption was to reduce net income for the three months                  ended                  March 31, 2006 by $100,000. Net income is anticipated to be approximately                  $400,000 lower for the year ended December 31, 2006 related to                  those                  options and warrants. The Company granted an additional 23,300                  options in                  the first quarter of 2006. In prior periods, the Company accounted                  for                  stock options and warrants under the provisions of APB No. 25,                  *Accounting                  for Stock Issued to Employees*.                  Because the options and warrants were granted at fair market value                  on the                  date of grant, no expense was recorded for stock options and warrant                  in                  prior periods. No modifications were made to outstanding options                  and                  warrants prior to the adoption of Statement 123R and there have                  been no                  significant changes to valuation methodologies or assumptions.                  There have                  not been any significant changes in the quantity, types or terms                  of                  instruments used in share-based payment programs. At March 31,                  2006, total                  compensation cost related to nonvested awards not yet recognized                  is                  approximately $562,000 which is expected to be recognized over                  a weighted                  average period of 1.4 years. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | e. | The                  provision for income taxes for the period ended March 31, 2006                  was                  $60,400. The amount provided takes into account $100,000 of stock                  compensation expense for which an income tax benefit will not be                  received. |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Liquidity        **

**Capital        Resources**

----

*Index*

|                                 |   | Freedom                  Bank March                  31, 2006 |   | Freedom                  Bancshares,                  Inc. March                  31, 2006 |   | Regulatory                  Requirement |   |
|--------------------------------------|--------|---------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------|--------|-----------------------------------------|--------|
|                                 |   |                                                          |   |                                                                                       |   |                                    |   |
| Leverage                  ratio      |   |                                                          | 12.44  | %                                                                                          |   | 12.89                                   | %      |   | 4.0 | % |
| Risk                  weighted ratio |   |                                                          | 15.34  | %                                                                                          |   | 15.89                                   | %      |   | 8.0 | % |

**Regulatory        Matters**
** **

| **Part                  I.** | **Financial                  Information** |
|------------------------------|--------------------------------------------|

| **Item****3.** | **Controls                  and                  Procedures** |
|----------------|---------------------------------------------------------------|

----

*Index*

**FREEDOM        BANCSHARES, INC.**

**AND        SUBSIDIARY**

| **Part                II.** | **Other                  Information** |
|-----------------------------|----------------------------------------|

| **I****tem****1.** | **Legal                  Proceedings** |
|--------------------|----------------------------------------|

| **I****tem****2.** | **Unregistered                  Sales of Equity Securities and Use of                  Proceeds** |
|--------------------|---------------------------------------------------------------------------------------------------|

| **I****tem****3.** | **Defaults                  Upon Senior                  Securities** |
|--------------------|-----------------------------------------------------------------------|

| **I****tem****4.** | **Submission                  of Matters to a Vote of Security                  Holders** |
|--------------------|-------------------------------------------------------------------------------------------|

| **I****tem****5.** | **Other                  Information** |
|--------------------|----------------------------------------|

| **I****tem****6.** | **Exhibits** |
|--------------------|--------------|

| Number |   | Description                                                                                                                                                                                                                        |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                               |
| 31.1   |   | Certification                  of the Chief Executive Officer, pursuant to Rule 15d-14(a) under                  the                  Securities Exchange Act of 1934.                                                             |
| 31.2   |   | Certification                  of the Chief Financial Officer, pursuant to Rule 15d-14(a) under                  the                  Securities Exchange Act of 1934.                                                             |
| 32.1   |   | Certification                  of Chief Executive Officer, pursuant to 18 U.S.C. Section 1350,                  as adopted                  pursuant to Rule 15d-14(b) under the Securities Exchange Act of                  1934. |
| 32.2   |   | Certification                  of Chief Financial Officer, pursuant to 18 U.S.C. Section 1350,                  as adopted                  pursuant to Rule 15d-14(b) under the Securities Exchange Act of                  1934. |

----

*Index*

**FREEDOM**
**        BANCSHARES, INC.**

**AND        SUBSIDIARY**

|                          |                                                   |
|-------------------------------|--------------------------------------------------------|
|                          | Freedom                  Bancshares, Inc.              |
|                          | (Registrant)                                           |
|                     |                                                   |
| May                  15, 2006 | /s/                  Vincent D. Cater                  |
|                          | President                  and Chief Executive Officer |
|                          | (Principal                  Executive Officer)         |
|                          |                                                   |
|                          |                                                   |
| May                  15, 2006 | /s/                  Clyde A. McArthur                 |
|                          | Chief                  Financial Officer               |
|                          | (Principal                  Accounting Officer)        |

----