----

----

**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 |
|---|-----------------------------------------------------------------------------------------------------------------|

**June      30, 2006**

|  ̈ | Transition                Report under Section 13 or 15(d) of the Securities Exchange Act of                1934  |
|--------|------------------------------------------------------------------------------------------------------------------------|

**Commission      File Number: 333-102971**

----

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

**3165      Maysville Road, Commerce, GA 30529 **

----

**(706)      423-2500 **

----

----

**August      14, 2006: 1,238,789 shares outstanding, $1.00 par      value**

----

----

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**FREEDOM      BANCSHARES, INC.**

**AND      SUBSIDIARY**

**Index**

|                                               |                                                                                                                                     | Page                                 |   |
|----------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------|--------|
|                                               |                                                                                                                                     |                                 |   |
| Part                I.  Financial Information |                                                                                                                                     |                                 |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                1.  Financial Statements                (unaudited)                                                             |                                 |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Consolidated                Balance Sheets - June 30, 2006 and December 31,                2005                                          | 2                                    |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Consolidated                Statements of Operations - Three and Six Months                Ended June 30, 2006 and 2005                  | 3                                    |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Consolidated                Statements of Comprehensive Income (Loss) - Three                and Six Months Ended June 30, 2006 and 2005 | 4                                    |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Consolidated                Statements of Cash Flows - Six Months Ended June                30, 2006 and 2005                            | 5                                    |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Notes                to Consolidated Financial Statements                                                                                | 6                -                10 |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                2. Management's Discussion and Analysis                                                                              | 11                - 18               |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                3. Controls and Procedures                                                                                           | 18                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               |                                                                                                                                     |                                 |   |
| Part                II.  Other Information    |                                                                                                                                     |                                 |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                1.  Legal Proceedings                                                                                           | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                2.  Unregistered Sales of Equity Securities and Use                of Proceeds                                  | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                3.  Defaults Upon Senior                Securities                                                              | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                4.  Submission of Matters to a Vote of Security                Holders                                          | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                5. Other Information                                                                                                 | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Item                6. Exhibits                                                                                                     | 19                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Signature                Page                                                                                                            | 20                                   |   |
|                                               |                                                                                                                                     |                                 |   |
|                                               | Exhibit                Index                                                                                                             |                                 |   |

----

*Index*

**PART      I - FINANCIAL INFORMATION**

**ITEM      I.     FINANCIAL      STATEMENTS**

**FREEDOM      BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED      BALANCE SHEETS**

**JUNE      30, 2006 AND DECEMBER 31, 2005**

**(Unaudited)**

| **Assets**                                                                                                                               |   | **2006** |            | 2005   |   |
|------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|-----------------|--------|--------|
|                                                                                                                                     |   |     |            |   |   |
| Cash                and due from banks                                                                                                   |   | **$**    | **2,440,074**   |   | $      | 1,462,439 |   |
| Interest                bearing deposits in banks                                                                                        |   |     | **75,074**      |   |   | 51,627 |   |
| Federal                funds sold                                                                                                        |   |     | **1,629,101**   |   |   | 193,258 |   |
| Securities                available for sale, at fair value                                                                              |   |     | **19,527,829**  |   |   | 16,119,530 |   |
| Loans,                less allowance for loan losses of $1,025,572 and $830,678,                respectively                             |   |     | **79,235,329**  |   |   | 59,947,329 |   |
| Property                and equipment, net                                                                                               |   |     | **2,931,809**   |   |   | 2,850,864 |   |
| Federal                Home Loan Bank stock                                                                                              |   |     | **412,600**     |   |   | 325,700 |   |
| Accrued                interest receivable                                                                                               |   |     | **876,478**     |   |   | 717,210 |   |
| Other                assets                                                                                                              |   |     | **1,157,983**   |   |   | 939,059 |   |
|                                                                                                                                     |   |     |            |   |   |   |   |
| **Total                assets**                                                                                                          |   | **$**    | **108,286,277** |   | $      | 82,607,016 |   |
|                                                                                                                                     |   |     |            |   |   |   |   |
| **Liabilities                and Stockholders' Equity**                                                                                  |   |     |            |   |   |   |   |
|                                                                                                                                     |   |     |            |   |   |   |   |
| Liabilities:                                                                                                                             |   |     |            |   |   |   |   |
| Deposits:                                                                                                                                |   |     |            |   |   |   |   |
| Noninterest-bearing                                                                                                                      |   | **$**    | **6,959,817**   |   | $      | 4,976,663 |   |
| Interest-bearing                                                                                                                         |   |     | **84,219,738**  |   |   | 61,549,630 |   |
| Total                deposits                                                                                                            |   |     | **91,179,555**  |   |   | 66,526,293 |   |
| Federal                funds purchased                                                                                                   |   |     | **-**           |   |   | 185,000 |   |
| Federal                Home Loan Bank advances                                                                                           |   |     | **5,500,000**   |   |   | 4,500,000 |   |
| Accrued                interest payable                                                                                                  |   |     | **299,225**     |   |   | 175,904 |   |
| Other                liabilities                                                                                                         |   |     | **203,991**     |   |   | 67,423 |   |
| **Total                liabilities**                                                                                                     |   |     | **97,182,771**  |   |   | 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                                                                                                |   |     | **11,481,743**  |   |   | 11,281,743 |   |
| Accumulated                deficit                                                                                                       |   |     | **(1,121,533**  | **)**  |   | (1,155,622 | ) |
| Accumulated                other comprehensive loss                                                                                      |   |     | **(495,493**    | **)**  |   | (212,514 | ) |
| **Total                stockholders' equity**                                                                                            |   |     | **11,103,506**  |   |   | 11,152,396 |   |
|                                                                                                                                     |   |     |                 |   |   |  |   |
| **Total                liabilities and stockholders' equity**                                                                            |   | $        | 108,286,277     |   |   | 82,607,016 |   |

**See      Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM      BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED      STATEMENTS OF OPERATIONS**

**THREE      AND SIX MONTHS ENDED JUNE 30, 2006 AND 2005**

**(Unaudited)**

|                                                                     |   | **Three**                     |          | Three                     |   | **Six**                       |   | Six                       |          |
|--------------------------------------------------------------------------|--------|-------------------------------|---------------|---------------------------|--------|-------------------------------|--------|---------------------------|---------------|
|                                                                     |   | **Months**                    |          | Months                    |   | **Months**                    |   | Months                    |          |
|                                                                     |   | **Ended**                     |          | Ended                     |   | **Ended**                     |   | Ended                     |          |
|                                                                     |   | **June                  30,** |          | June                  30, |   | **June                  30,** |   | June                  30, |          |
|                                                                     |   | **2006**                      |          | 2005                      |   | **2006**                      |   | 2005                      |          |
| **Interest                  income:**                                    |   |                          |          |                      |   |                          |   |                      |          |
| Loans                                                                    |   | **$**                         | **1,780,638** |                      | $      | 939,142                       |   | $                         | **3,232,303** |   | $ | 1,614,297 |   |
| Taxable                  securities                                      |   |                          | **199,393**   |                      |   | 136,768                       |   |                      | **376,890**   |   |   | 243,211 |   |
| Federal                  funds sold                                      |   |                          | **42,884**    |                      |   | 19,475                        |   |                      | **73,415**    |   |   | 30,440 |   |
| Other                                                                    |   |                          | **6,444**     |                      |   | -                             |   |                      | **11,609**    |   |   | - |   |
| **Total                  interest income**                               |   |                          | **2,029,359** |                      |   | 1,095,385                     |   |                      | **3,694,217** |   |   | 1,887,948 |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Interest                  expense:**                                   |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| Deposits                                                                 |   |                          | **858,631**   |                      |   | 433,983                       |   |                      | **1,519,867** |   |   | 724,992 |   |
| Other                  borrowings                                        |   |                          | **52,693**    |                      |   | 41,233                        |   |                      | **102,801**   |   |   | 72,988 |   |
| **Total                  interest expense**                              |   |                          | **911,324**   |                      |   | 475,216                       |   |                      | **1,622,668** |   |   | 797,980 |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Net                  interest income**                                 |   |                          | **1,118,035** |                      |   | 620,169                       |   |                      | **2,071,549** |   |   | 1,089,968 |   |
| **Provision                  for loan losses**                           |   |                          | **129,000**   |                      |   | 99,000                        |   |                      | **197,500**   |   |   | 194,000 |   |
| **Net                  interest income after provision for loan losses** |   |                          | **989,035**   |                      |   | 521,169                       |   |                      | **1,874,049** |   |   | 895,968 |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Other                  income:**                                       |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| Service                  charges on deposit accounts                     |   |                          | **27,183**    |                      |   | 16,602                        |   |                      | **50,094**    |   |   | 28,272 |   |
| Other                  operating income                                  |   |                          | **15,448**    |                      |   | 4,550                         |   |                      | **32,807**    |   |   | 16,666 |   |
| **Total                  other income**                                  |   |                          | **42,631**    |                      |   | 21,152                        |   |                      | **82,901**    |   |   | 44,938 |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Other                  expenses:**                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| Salaries                  and other employee benefits                    |   |                          | **481,964**   |                      |   | 300,925                       |   |                      | **954,960**   |   |   | 580,404 |   |
| Occupancy                  and equipment expenses                        |   |                          | **118,271**   |                      |   | 90,807                        |   |                      | **234,909**   |   |   | 156,998 |   |
| Other                  operating expenses                                |   |                          | **311,726**   |                      |   | 207,941                       |   |                      | **589,592**   |   |   | 357,744 |   |
| **Total                  other expenses**                                |   |                          | **911,961**   |                      |   | 599,673                       |   |                      | **1,779,461** |   |   | 1,095,146 |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Income                  (loss) before income taxes**                   |   |                          | **119,705**   |                      |   | (57,352                       | )      |                      | **177,489**   |   |   | (154,240 | ) |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Income                  tax expense**                                  |   |                          | **83,000**    |                      |   | -                             |   |                      | **143,400**   |   |   | - |   |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Net                  income (loss)**                                   |   | **$**                         | **36,705**    |                      | $      | (57,352                       | )      | $                         | **34,089**    |   | $ | (154,240 | ) |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Basic                  earnings (losses) per share**                   |   | **$**                         | **0.03**      |                      | $      | (0.06                         | )      | $                         | **0.03**      |   | $ | (0.16 | ) |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Diluted                  earnings (losses) per share**                 |   | **$**                         | **0.03**      |                      | $      | (0.06                         | )      | $                         | **0.03**      |   | $ | (0.16 | ) |
|                                                                     |   |                          |          |                      |   |                          |   |                      |          |   |   |   |   |
| **Cash                  dividends per share**                            |   | **$**                         | -             |                      | $      | -                             |   | $                         | -             |   | $ | - |   |

**See        Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM      BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED      STATEMENTS OF COMPREHENSIVE INCOME (LOSS)**

**THREE      AND SIX MONTHS ENDED JUNE 30, 2006 AND 2005**

**(Unaudited)**

|                                                                                  |   | **Three****Months****Ended****June                30,****2006** |         | Three                Months                Ended                June                30,2005 |   | **Six****Months****Ended****June                30,****2006** |   | Six                Months                Ended                June                30,2005 |         |
|---------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------|--------------|---------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------|--------------|
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |
| Net                imcome (loss)                                                      |   | **$**                                                           | **36,705**   |                                                                                        | $      | (57,352                                                       | )      | **$**                                                                                     | **34,089**   |   | $ | (154,240 | ) |
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
| Other                comprehensive income (loss)                                      |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
| Unrealized                gains (losses) on securities available for sale, net of tax |   |                                                            | **(162,554** | **)**                                                                                       |   | 124,404                                                       |   |                                                                                      | **(262,412** | **)** |   | (9,660 | ) |
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
| Unrealized                loss on interest rate floor, net of tax                     |   |                                                            | **(15,167**  | **)**                                                                                       |   | -                                                             |   |                                                                                      | **(20,567**  | **)** |   | - |   |
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
| Other                comprehensive income (loss)                                      |   |                                                            | **(177,721** | **)**                                                                                       |   | 124,404                                                       |   |                                                                                      | **(282,979** | **)** |   | (9,660 | ) |
|                                                                                  |   |                                                            |         |                                                                                        |   |                                                          |   |                                                                                      |         |   |   |   |   |
| Comprehensive                income (loss)                                            |   | **$**                                                           | **(141,016** | **)**                                                                                       | $      | 67,052                                                        |   | **$**                                                                                     | **(248,890** | **)** | $ | (163,900 | ) |

**See      Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM      BANCSHARES, INC. AND SUBSIDIARY**

**CONSOLIDATED      STATEMENTS OF CASH FLOWS**

**SIX      MONTHS ENDED JUNE 30, 2006 AND 2005**

**(Unaudited)**

|                                                                                                                   |   | **2006** |            | 2005   |   |
|------------------------------------------------------------------------------------------------------------------------|--------|----------|-----------------|--------|--------|
| **OPERATING                ACTIVITIES**                                                                                |   |     |            |   |   |
| Net                income (loss)                                                                                       |   | **$**    | **34,089**      |   | $      | (154,240 | ) |
| Adjustments                to reconcile net income (loss) to net cash provided by operating                activities: |   |     |            |   |   |   |   |
| Amortization                and accretion on securities                                                                |   |     | **113,174**     |   |   | 5,819 |   |
| Depreciation                                                                                                           |   |     | **138,632**     |   |   | 89,125 |   |
| Provision                for loan losses                                                                               |   |     | **197,500**     |   |   | 194,000 |   |
| Stock                compensation expense                                                                              |   |     | **200,000**     |   |   | - |   |
| Loss                on disposal of equipment                                                                           |   |     | **4,817**       |   |   | - |   |
| Increase                in interest receivable                                                                         |   |     | **(159,268**    | **)**  |   | (117,806 | ) |
| Increase                in interest payable                                                                            |   |     | **123,321**     |   |   | 71,628 |   |
| Increase                in other assets                                                                                |   |     | **(64,549**     | **)**  |   | (42,946 | ) |
| Increase                in other liabilities                                                                           |   |     | **136,568**     |   |   | 24,939 |   |
| Net                cash provided by operating activities                                                               |   |     | **724,284**     |   |   | 70,519 |   |
|                                                                                                                   |   |     |            |   |   |   |   |
| **INVESTING                ACTIVITIES**                                                                                |   |     |            |   |   |   |   |
| Purchases                of securities available for sale                                                              |   |     | **(5,355,645**  | **)**  |   | (5,375,792 | ) |
| Proceeds                from maturities and paydowns of securities available for                sale                   |   |     | **1,396,818**   |   |   | 1,210,337 |   |
| Purchase                of Federal Home Loan Bank stock                                                                |   |     | **(86,900**     | **)**  |   | (76,500 | ) |
| Net                increase in loans                                                                                   |   |     | **(19,485,500** | **)**  |   | (14,531,090 | ) |
| Purchases                of premises and equipment                                                                     |   |     | **(224,394**    | **)**  |   | (692,090 | ) |
| Net                cash used in investing activities                                                                   |   |     | **(23,755,621** | **)**  |   | (19,465,135 | ) |
|                                                                                                                   |   |     |            |   |   |   |   |
| **FINANCING                ACTIVITIES**                                                                                |   |     |            |   |   |   |   |
| Net                increase in deposits                                                                                |   |     | **24,653,262**  |   |   | 18,303,334 |   |
| Proceeds                from FHLB advances                                                                             |   |     | **1,000,000**   |   |   | 1,300,000 |   |
| Decrease                in federal funds purchased                                                                     |   |     | **(185,000**    | **)**  |   | - |   |
| Net                cash provided by financing activities                                                               |   |     | **25,468,262**  |   |   | 19,603,334 |   |
|                                                                                                                   |   |     |            |   |   |   |   |
| Net                increase in cash and cash equivalents                                                               |   |     | **2,436,925**   |   |   | 208,718 |   |
|                                                                                                                   |   |     |            |   |   |   |   |
| Cash                and cash equivalents at beginning of period                                                        |   |     | **1,707,324**   |   |   | 4,408,655 |   |
|                                                                                                                   |   |     |            |   |   |   |   |
| Cash                and cash equivalents at end of period                                                              |   | **$**    | **4,144,249**   |   | $      | 4,617,373 |   |
|                                                                                                                   |   |     |            |   |   |   |   |
| **SUPPLEMENTAL                DISCLOSURE OF CASH FLOW INFORMATION**                                                    |   |     |            |   |   |   |   |
| Cash                paid for:                                                                                          |   |     |            |   |   |   |   |
| Interest                                                                                                               |   | **$**    | **1,499,347**   |   | $      | 726,352 |   |

**See      Notes to Consolidated Financial Statements**

----

*Index*

**FREEDOM      BANCSHARES, INC.**

**AND      SUBSIDIARY**

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

**Item       1.   **
**Financial      Statements**

| 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                MonthsEndedJune                30, |    | Six                MonthsEndedJune                30, |   |
|----------------------------------------------------------------------------------------|--------|---------------------------------------------------------|---------|-------------------------------------------------------|--------|
|                                                                                   |   | 2005                                                    |    | 2005                                                  |   |
|                                                                                   |   |                                                    |    |                                                  |   |
| Net                loss, as reported                                                   |   | $                                                       | (57,352 | )                                                     | $      | (154,240 | ) |
|                                                                                   |   |                                                    |    |                                                  |   |   |   |
| Deduct: Total                stock-based employee compensation expense determined |   |                                                    |    |                                                  |   |   |   |
| under                fair value based method for all awards                            |   |                                                    | (1,072  | )                                                     |   | (121,018 | ) |
|                                                                                   |   |                                                    |    |                                                  |   |   |   |
| Pro                forma net loss                                                      |   | $                                                       | (58,424 | )                                                     | $      | (275,258 | ) |
|                                                                                   |   |                                                    |    |                                                  |   |   |   |
| Losses                per share:                                                       |   |                                                    |    |                                                  |   |   |   |
| Basic                - as reported                                                     |   | $                                                       | (0.06   | )                                                     | $      | (0.16 | ) |
| Basic                - pro forma                                                       |   | $                                                       | (0.06   | )                                                     | $      | (0.29 | ) |
| Diluted                - as reported                                                   |   | $                                                       | (0.06   | )                                                     | $      | (0.16 | ) |
| Diluted                - pro forma                                                     |   | $                                                       | (0.06   | )                                                     | $      | (0.29 | ) |

|                                                                               |   | **Six                Months Ended** |                          |
|------------------------------------------------------------------------------------|--------|-------------------------------------|-------------------------------|
|                                                                               |   | **June                30,**         |                          |
|                                                                               |   | **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 EndedJune                30, 2006 |    |
|--------------------------------------------------|--------|---------------------------------------------------------------|---------|
|                                             |   | Number                                                        |    | Weighted-averageExercisePrice |   | Weighted-averageRemainingContractualLife |   |
| Under                option, beginning of period |   |                                                          | 304,140 |   | $ | 10.16 |   |   |   |   |
| Granted                                          |   |                                                          | -       |   |   | - |   |   |   |   |
| Exercised                                        |   |                                                          | -       |   |   | - |   |   |   |   |
| Forfeited                                        |   |                                                          | (500    | ) |   | 11.50 |   |   |   |   |
| Under                option, end of period       |   |                                                          | 303,640 |   |   | 10.16 |   |   | 7.79                years |   |
| Exercisable                at end of period      |   |                                                          | 181,440 |   |   | 10.04 |   |   | 7.64                years |   |

|                                             |   | Six                Months EndedJune                30, 2006 |    |                          |
|--------------------------------------------------|--------|-------------------------------------------------------------|---------|-------------------------------|
|                                             |   | Number                                                      |    | Weighted-averageExercisePrice |   |   |
| Under                option, beginning of period |   |                                                        | 280,840 |                          | $ | 10.05 |   |   |
| Granted                                          |   |                                                        | 23,300  |                          |   | 11.50 |   |   |
| Exercised                                        |   |                                                        | -       |                          |   | - |   |   |
| Forfeited                                        |   |                                                        | (500    | )                             |   | 11.50 |   |   |
| Under                option, end of period       |   |                                                        | 303,640 |                          |   | 10.16 |   |   |
| Exercisable                at end of period      |   |                                                        | 181,440 |                          |   | 10.04 |   |   |

|                                          |   | Three                Months EndedJune                30, 2006 |    | Six                Months EndedJune                30, 2006 |   |
|-----------------------------------------------|--------|---------------------------------------------------------------|---------|-------------------------------------------------------------|--------|
|                                          |   | Number                                                        |    | Weighted-averageGrant-DateFair                Value         |   | Number |   | Weighted-averageGrant-DateFair                Value |   |
| Nonvested,                beginning of period |   |                                                          | 123,135 |                                                        | $      | 4.51 |   |   | 187,689 |   | $ | 4.56 |   |
| Granted                                       |   |                                                          | -       |                                                        |   | - |   |   | 23,300 |   |   | 4.27 |   |
| Vested                                        |   |                                                          | (435    | )                                                           |   | 4.67 |   |   | (88,289 | ) |   | 4.56 |   |
| Forfeited                                     |   |                                                          | (500    | )                                                           |   | 4.79 |   |   | (500 | ) |   | 4.79 |   |
| Nonvested,                end of period       |   |                                                          | 122,200 |                                                        |   | 4.51 |   |   | 122,200 |   |   | 4.51 |   |

----

*Index*

|                                         |   | Options                and WarrantsOutstanding |    | Options                and Warrants Exercisable         |   |
|----------------------------------------------|--------|------------------------------------------------|---------|---------------------------------------------------------|--------|
| Range                of Exercise Prices |   | Number                                         |    | Weighted-averageContractualLife                in Years |   | Weighted-AverageExercisePrice |   | Number |   | Weighted-AverageExercisePrice |   |
|                                         |   |                                           |    |                                                    |   |   |   |   |   |   |   |
| $10.00                - $11.50               |   |                                           | 303,640 |                                                    |   | 7.79                years |   | $ | 10.16 |   |   | 181,440 |   | $ | 10.04 |   |

*Statement      of Cash Flows. *

| NOTE              4. | EARNINGS                (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**

**June      30, 2006**

| Category                                 |   | Amount |       | Percent                ofTotal |   |
|------------------------------------------|--------|--------|------------|--------------------------------|--------|
|                                     |   |   |       |                           |   |
| Construction                loans        |   | $      | 34,390,000 |                           |   | 42.85 | % |
| Other                real estate loans   |   |   | 37,233,000 |                           |   | 46.39 | % |
| Commercial                loans          |   |   | 5,455,000  |                           |   | 6.80 | % |
| Other                loans               |   |   | 3,182,901  |                           |   | 3.96 | % |
|                                     |   |   | 80,260,901 |                           |   | 100.00 | % |
| Allowance                for loan losses |   |   | (1,025,572 | )                              |   |   |   |
|                                     |   | $      | 79,235,329 |                           |   |   |   |

**Results      of Operations for the Six Months Ended June 30, 2006 and      2005**

|   | a. | Interest                income, which represents interest received on interest earning assets,                was                $3,694,217 for the six month period ended June 30, 2006 and $1,887,948                for                the six month period ended June 30, 2005. The cost of funds, which                represents interest paid on deposits and borrowings, was $1,622,668                for                the six month period ended June 30, 2006 and $797,980 for the six                month                period ended June 30, 2005. |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

| Description                                |               | AvgAssets/Liabilities |   | InterestIncome/Expense |   | Yield/Cost |               |
|--------------------------------------------|--------------------|-----------------------|--------|------------------------|--------|------------|--------------------|
|                                       |               |                  |   |                   |   |       |               |
| Federal                funds sold          |     | $                     | 2,963  |         | $      | 73         |     |   | 4.96 | % |
| Securities                                 |               |                  | 17,579 |                   |   | 377        |               |   | 4.29 | % |
| Loans                                      |               |                  | 68,834 |                   |   | 3,232      |               |   | 9.39 | % |
| Other                                      |               |                  | 528    |                   |   | 12         |               |   | 4.39 | % |
| Total                                      |               | $                     | 89,904 |                   |   | 3,694      |               |   | 8.22 | % |
| Transactional                accounts      |               | $                     | 7,745  |                   |   | 80         |               |   | 2.07 | % |
| Savings                                    |               |                  | 815    |                   |   | 6          |               |   | 1.43 | % |
| CDs                                        |               |                  | 64,438 |                   |   | 1,434      |               |   | 4.45 | % |
| Other                borrowings            |               |                  | 5,533  |                   |   | 103        |               |   | 3.72 | % |
| Total                                      |               | $                     | 78,531 |                   |   | 1,623      |               |   | 4.13 | % |
|                                       |               |                  |   |                   |   |       |               |   |   |   |
| Net                interest income         |               |                  |   |                   | $      | 2,071      |               |   |   |   |
| Net                yield on earning assets |               |                  |   |                   |   |       |               |   | 4.61 | % |

| Description                                |               | AvgAssets/Liabilities |   | InterestIncome/Expense |   | Yield/Cost |               |
|--------------------------------------------|--------------------|-----------------------|--------|------------------------|--------|------------|--------------------|
|                                       |               |                  |   |                   |   |       |               |
| Federal                funds sold          |     | $                     | 2,000  |         | $      | 31         |     |   | 3.10 | % |
| Securities                                 |               |                  | 12,034 |                   |   | 243        |               |   | 4.04 | % |
| Loans                                      |               |                  | 42,089 |                   |   | 1,614      |               |   | 7.67 | % |
| Total                                      |               | $                     | 56,123 |                   |   | 1,888      |               |   | 6.73 | % |
| Transactional                accounts      |               | $                     | 1,731  |                   |   | 10         |               |   | 1.16 | % |
| Savings                                    |               |                  | 6,928  |                   |   | 68         |               |   | 1.96 | % |
| CDs                                        |               |                  | 37,411 |                   |   | 647        |               |   | 3.46 | % |
| Other                borrowings            |               |                  | 4,281  |                   |   | 73         |               |   | 3.41 | % |
| Total                                      |               | $                     | 50,351 |                   |   | 798        |               |   | 3.17 | % |
|                                       |               |                  |   |                   |   |       |               |   |   |   |
| Net                interest income         |               |                  |   |                   | $      | 1,090      |               |   |   |   |
| Net                yield on earning assets |               |                  |   |                   |   |       |               |   | 3.88 | % |

|   | b. | For                the six month period ended June 30, 2006, non-interest income amounted                to                $82,901 or .17 % of average assets. For the six month period ended                June                30, 2005, non-interest income amounted to $44,938 or .07% 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 six month period ended June 30, 2006, the provision for loan                losses                was $197,500. We had net charge-offs of $2,606 for the six months                ended                June 30, 2006. During the six month period ended June 30, 2005, the                provision for loan losses was $194,000. The allowance for loan losses                as a                percentage of gross loans was at 1.28% on June30, 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 six months                ended                June 30, 2006 by $200,000. 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 six months 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 June 30, 2006,                total                compensation cost related to nonvested awards not yet recognized                is                approximately $459,000 which is expected to be recognized over a                weighted                average period of 1.3 years. |
|--------|----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | e. | The                provision for income taxes for the six months ended June 30, 2006                was                $143,400. The amount provided takes into account $200,000 of stock                compensation expense for which an income tax benefit will not be                received. |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Results      of Operations for the Three Months Ended June 30, 2006 and      2005**

|   | a. | Interest                income, which represents interest received on interest earning assets,                was                $2,029,359 for the three month period ended June 30, 2006 and $1,095,385                for the three month period ended June 30, 2005. The cost of funds,                which                represents interest paid on deposits and borrowings, was $911,324                for the                three month period ended June 30, 2006 and $475,216 for the three                month                period ended June 30, 2005. |
|--------|----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

|   (Dollars                in thousands)  |
|---------------------------------------------------------|
|                                                    |   |   |   |   |   |
| Description                                             |   | AvgAssets/Liabilities |   | InterestIncome/Expense |   | Yield/Cost |   |
|                                                    |   |   |   |   |   |   |   |
| Federal                funds sold                       |     | $ | 3,318 |     | $ | 43 |     |   | 5.17 | % |
| Securities                                              |   |   | 18,378 |   |   | 199 |   |   | 4.34 | % |
| Loans                                                   |   |   | 73,713 |   |   | 1,781 |   |   | 9.66 | % |
| Other                                                   |   |   | 510 |   |   | 6 |   |   | 5.05 | % |
| Total                                                   |   | $ | 95,919 |   |   | 2,029 |   |   | 8.46 | % |
| Transactional                accounts                   |   | $ | 7,815 |   |   | 41 |   |   | 2.13 | % |
| Savings                                                 |   |   | 865 |   |   | 3 |   |   | 1.41 | % |
| CDs                                                     |   |   | 70,039 |   |   | 814 |   |   | 4.65 | % |
| Other                borrowings                         |   |   | 5,578 |   |   | 53 |   |   | 3.78 | % |
| Total                                                   |   | $ | 84,297 |   |   | 911 |   |   | 4.32 | % |
|                                                    |   |   |   |   |   |   |   |   |   |   |
| Net                interest income                      |   |   |   |   | $ | 1,118 |   |   |   |   |
| Net                yield on earning assets              |   |   |   |   |   |   |   |   | 4.66 | % |

|  (Dollars                in thousands) |
|---------------------------------------------|
|                                        |   |   |   |   |   |   |   |
| Description                                 |   | AvgAssets/Liabilities |   | InterestIncome/Expense |   | Yield/Cost |   |
|                                        |   |   |   |   |   |   |   |
| Federal                funds sold           |     | $ | 2,236 |     | $ | 19 |     |   | 3.40 | % |
| Securities                                  |   |   | 13,522 |   |   | 137 |   |   | 4.05 | % |
| Loans                                       |   |   | 44,613 |   |   | 939 |   |   | 8.42 | % |
| Total                                       |   | $ | 60,371 |   |   | 1,095 |   |   | 7.26 | % |
| Transactional                accounts       |   | $ | 2,017 |   |   | 6 |   |   | 1.19 | % |
| Savings                                     |   |   | 6,263 |   |   | 35 |   |   | 2.24 | % |
| CDs                                         |   |   | 41,380 |   |   | 393 |   |   | 3.80 | % |
| Other                borrowings             |   |   | 4,635 |   |   | 41 |   |   | 3.54 | % |
| Total                                       |   | $ | 54,295 |   |   | 475 |   |   | 3.50 | % |
|                                        |   |   |   |   |   |   |   |   |   |   |
| Net                interest income          |   |   |   |   | $ | 620 |   |   |   |   |
| Net                yield on earning assets  |   |   |   |   |   |   |   |   | 4.11 | % |

|   | b. | For                the three month period ended June 30, 2006, non-interest income amounted                to $42,631, or .18% of average assets. For the three month period                ended                June 30, 2005, non-interest income amounted to $21,152 or .13% of                average                assets. |
|--------|----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | c. | During                the three month period ended June 30, 2006, the provision for loan                losses                was $129,000. We had net charge-offs of $1,725 for the three months                ended                June 30, 2006. During the three month period ended June 30, 2005,                the                provision for loan losses was                $99,000. |
|--------|----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | 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                June 30, 2006 by $100,000. |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

*Index*

|   | e. | The                provision for income taxes for the three months ended June 30, 2006                was                $83,000. 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                BankJune                30, 2006 |   | FreedomBancshares,                Inc.June                30, 2006 |   | RegulatoryRequirement |                |
|------------------------------------|--------|---------------------------------------------------------|--------|--------------------------------------------------------------------|--------|-----------------------|---------------------|
|                               |   |                                                    |   |                                                               |   |                  |                |
| Leverage                ratio      |   |                                                    | 11.04  | %                                                   |   | 11.43                 | %    |   | 4.0 | % |
| Risk                weighted ratio |   |                                                    | 12.83  | %                                                                  |   | 13.29                 | %                   |   | 8.0 | % |

**Regulatory      Matters**

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

**Item      **
**3.**
**    Controls      and      Procedures**

----

*Index*

**FREEDOM      BANCSHARES, INC.**

**AND      SUBSIDIARY**

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

| **Item                1.** | **Legal                  Proceedings** |
|----------------------------|----------------------------------------|

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

| **Item                3.** | **Defaults                  Upon Senior Securities** |
|----------------------------|------------------------------------------------------|

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

|                                | FOR     |   | AGAINST |   | WITHHELD |
|-------------------------------------|---------|--------|---------|--------|----------|
|                                |    |   |    |   |     |
| Donald                S. Shubert    | 730,012 |   | 0       |   | 0        |
| Ronald                R. Silva, Jr. | 730,012 |   | 0       |   | 0        |
| Harold                L. Swindell   | 730,012 |   | 0       |   | 0        |

| **Item                5.** | **Other                  Information** |
|----------------------------|----------------------------------------|

| **Item                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)                                         |
|                           |                                                 |
|                           |                                                 |
| August                14, 2006 | /s/                Vincent D. Cater                  |
|                           | President                and Chief Executive Officer |
|                           | (Principal                Executive Officer)         |
|                           |                                                 |
|                           |                                                 |
| August                14, 2006 | /s/                Clyde A. McArthur                 |
|                           | Chief                Financial Officer               |
|                           | (Principal                Accounting Officer)        |

----