<PAGE>

Exhibit 10.14

              WRITTEN DESCRIPTION OF EXECUTIVE OFFICER COMPENSATION
              PURSUANT TO ITEM 601(b)(10)(iii)(A) OF REGULATION S-K

2005 Executive Officer Base Salaries

For 2005, the Board of Directors of Bank of Granite (the "Bank"), the community
banking subsidiary of Bank of Granite Corporation (the "Company"), approved
changes in the base salaries paid to the Bank's named executive officers, as
recommended by the Company's Compensation Committee. The base salaries are
$311,100 for the chief executive officer, $296,504 for the chairman, $160,000
for the chief operating officer and $135,600 for the chief financial officer.

The 2005 base salary for the chief executive officer of the Company's mortgage
banking subsidiary, Granite Mortgage, Inc. ("Granite Mortgage"), is $144,600 in
accordance with such officer's employment agreement.

2005 Executive Officer Incentive Compensation

For 2005, the Bank's Board of Directors approved changes in the Bank's executive
incentive compensation arrangements, as recommended by the Company's
Compensation Committee. The Board of Directors of the Company selected certain
executive officers of the Bank to participate in the 2005 incentive compensation
arrangement. The 2005 executive incentive compensation arrangement sets forth
five performance component targets, which are earnings, loan growth, deposit
growth, provisions for loan losses and return on average equity. The performance
components have weighting factors, which are 35% for the earnings component, 15%
for each of the loan growth, deposit growth and provisions for loan losses
components, and 20% for the return on average equity component. Each performance
component also has a performance tier below the target and a performance tier
above the target for which the executive's incentive is reduced to 75% of the
target-based incentive if the lower performance level is achieved and increased
to 125% of the target-based incentive if the higher performance level is
achieved. The Bank's selected executive officers may receive the performance
incentives based on a percentage of their base salaries, which percentages were
set by the Board of Directors of the Company at 25% of base salary for the chief
executive officer, 20% of base salary for the chief operating officer and the
chief financial officer and 15% of base salary for other selected executive
officers. Therefore, when applying the performance threshold percentages and the
performance component weightings to the performance achieved, the performance
incentive amounts could range from 18.75% to 31.25% of base salary for the chief
executive officer, from 15% to 25% of base salary for the chief operating
officer and the chief financial officer, and from 11.25% to 18.75% of base
salary for the other selected executive officers.

The executive incentive compensation arrangement for the chief executive officer
of Granite Mortgage remains at 5% of Granite Mortgage's first $500,000 in
earnings before income taxes, 10% of earnings before income taxes in excess of
$500,000 but less than or equal to $2,000,000 and 12% of earnings before income
taxes in excess of $2,000,000, in accordance with such officer's employment
agreement.