| UNITED STATES                                                                                           |
|---------------------------------------------------------------------------------------------------------|
| SECURITIES AND EXCHANGE COMMISSION                                                                      |
| Washington, D.C.  20549                                                                       |
| FORM 10-K                                                                                               |
| (Mark One)                                                                                              |
| [X] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934                |
|                                                                                                    |
| For the fiscal year ended December 31, 2010                                                             |
|                                                                                                    |
| [  ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|                                                                                                    |
| Commission File Number:  001-33009                                                            |
|                                                                                          |
| Britton & Koontz Capital Corporation                                                                |
| (Exact name of registrant as specified in its charter)                                                  |
|                                                                                                    |

|                                                           |                                 |
|----------------------------------------------------------------|--------------------------------------|
| Mississippi                                                    | 64-0665423                           |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
|                                                           |                                 |

| 500 Main Street                                            |
|------------------------------------------------------------|
| Natchez, Mississippi 39120                                 |
| (Address of principal executive offices) (Zip Code)        |
|                                                       |
| (601) 445-5576                                             |
| (Registrant’s Telephone Number, Including Area Code) |

| Securities registered pursuant to Section 12(b) of the Exchange Act: |
|----------------------------------------------------------------------|

| Title of each class                       | Common Stock, $2.50 Par Value |
|-------------------------------------------|-------------------------------|
| Name of each exchange on which registered | The NASDAQ Capital Market     |

|                                                                 |
|----------------------------------------------------------------------|
| Securities registered pursuant to Section 12(g) of the Exchange Act: |
| None                                                                 |

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| Large accelerated filer [  ]                                                                   |  Accelerated filer                  [  ]  |
|----------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------|
| Non-accelerated filer   [  ] (Do not check if a smaller reporting company) | Smaller reporting company [X]                                                                                                                           |

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|                |   | PART I                                                                                                             | Page No. |
|---------------------|--------|--------------------------------------------------------------------------------------------------------------------|----------|
| ITEM  1.  | *      | BUSINESS                                                                                                           | 1        |
| ITEM 1A.            | *      | RISK FACTORS                                                                                                       | 7        |
| ITEM 1B.            | *      | UNRESOLVED STAFF COMMENTS                                                                                          | 7        |
| ITEM  2.  | *      | PROPERTIES                                                                                                         | 8        |
| ITEM  3.  | *      | LEGAL PROCEEDINGS                                                                                                  | 9        |
| ITEM  4.  | *      | RESERVED                                                                                                           | 9        |
|                |   |                                                                                                               |     |
|                |   | PART II                                                                                                            |     |
| ITEM  5.  | *      | MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES | 9        |
| ITEM  6.  | *      | SELECTED FINANCIAL DATA                                                                                            | 10       |
| ITEM  7.  | *      | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS                        | 10       |
| ITEM  7A. | *      | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK                                                         | 27       |
| ITEM  8.  | *      | FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA                                                                        | 27       |
| ITEM  9.  | *      | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE                               | 78       |
| ITEM 9A.            | *      | CONTROLS AND PROCEDURES                                                                                            | 78       |
| ITEM 9B.            | *      | OTHER INFORMATION                                                                                                  | 78       |
|                |   |                                                                                                               |     |
|                |   | PART III                                                                                                           |     |
| ITEM 10.            | **     | DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE                                                             | 79       |
| ITEM 11.            | **     | EXECUTIVE COMPENSATION                                                                                             | 80       |
| ITEM 12             | **     | SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS                     | 80       |
| ITEM 13             | **     | CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE                                          | 81       |
| ITEM 14.            | **     | PRINCIPAL ACCOUNTING FEES AND SERVICES                                                                             | 81       |
|                |   |                                                                                                               |     |
|                |   | PART IV                                                                                                            |     |
| ITEM 15             | *      | EXHIBITS, FINANCIAL STATEMENT SCHEDULES                                                                            | 82       |

SIGNATURES

EXHIBITS

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| ·   | Centralize responsibility for consumer financial protection by creating a new agency, the Consumer Financial Protection Bureau, responsible for implementing, examining and, for large financial institutions, enforcing compliance with federal consumer financial laws.  Banks with $10 billion or less in assets will be examined by their applicable bank regulators. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Weaken the federal preemption available for national banks and give state attorneys general the ability to enforce applicable federal consumer protection laws. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Require the Office of the Comptroller of the Currency to seek to make its capital requirements for national banks, such as the Bank, countercyclical so that capital requirements increase in times of economic expansion and decrease in times of economic contraction. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Broaden the assessment base for federal deposit insurance from the amount of insured deposits to consolidated assets less tangible capital, eliminate the ceiling on the size of the DIF and increase the floor of the size of the DIF. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In addition to the unlimited federal deposit insurance on non-interest bearing deposit accounts described above, make permanent the $250,000 limit for federal deposit insurance and increase the cash limit of Securities Investor Protection Corporation protection from $100,000 to $250,000. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Repeal the federal prohibitions on the payment of interest on demand deposits, thereby permitting depository institutions to pay interest on business transaction and other accounts. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Authorize the FDIC to assess the cost of examinations. |
|--------------------|--------------------------------------------------------|

| ·   | Direct the Federal Reserve to promulgate rules prohibiting excessive compensation paid to bank holding company executives, regardless of whether the company is publicly traded or not. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|  Location                                                      |  Own/Lease   |  Use                 | Approximate OfficeSpace (square feet) |
|---------------------------------------------------------------------|-------------------|---------------------------|---------------------------------------|
|  Natchez                                                       |              |                      |                                  |
| 500 Main StreetNatchez, Mississippi 39120                      |  Owned       |  Main Office         |  33,790                          |
| 411 Highway 61 N.Natchez, Mississippi 39120                         |  Owned       |  Branch Office       |  1,671                           |
|                                                                |              |                      |                                  |
| 55A Sgt. Prentiss DriveNatchez, Mississippi 39120                   |  Owned       |  Branch Office       |  10,720                          |
|  Vicksburg                                                     |              |                      |                                  |
| 2059 Highway 61 N.Vicksburg, Mississippi 39183                      |  Owned       |  Branch Office       |  3,050                           |
|                                                                |              |                      |                                  |
| 2150 S. Frontage RoadVicksburg, Mississippi 39180                   |  Owned       |  Branch Office       |  4,570                           |
|                                                                |              |                      |                                  |
| Baton Rouge                                                         |              |                      |                                  |
| 8810 BluebonnetSuites A & BBaton Rouge, Louisiana 70810         |   Lease |   Branch Office |   5,112                     |
|                                                                |              |                      |                                  |
| 4703 Bluebonnet BlvdBaton Rouge, Louisiana                          | Owned             | Branch Office             | 4,080                                 |
|                                                                |              |                      |                                  |
| 7415 Corporate BlvdSuite 935 Building HBaton Rouge, Louisiana 70809 | Lease             | Branch Office             | 1,256                                 |
|  17544 Greenwell Springs RoadCentral, Louisiana 70818          | Lease             | Loan Production Office    | 144                                   |
|                                                                |              |                      |                                  |

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|        |   | DividendsPer Share |   |   | High   |   |   | Low    |   |
|-------------|--------|--------------------|--------|--------|--------|--------|--------|--------|--------|
| 2010        |   |               |   |   |   |   |   |   |   |
| 4th Quarter |   | $                  | .18    |   |   | $      | 13.00  |   |   | $ | 10.53 |   |
| 3rd Quarter |   |               | .18    |   |   |   | 12.00  |   |   |   | 10.03 |   |
| 2nd Quarter |   |               | .18    |   |   |   | 14.48  |   |   |   | 11.00 |   |
| 1st Quarter |   |               | .18    |   |   |   | 13.50  |   |   |   | 11.40 |   |
|        |   |               |   |   |   |   |   |   |   |   |   |   |
|        |   | DividendsPer Share |   |   | High   |   |   | Low    |   |
| 2009        |   |               |   |   |   |   |   |   |   |   |   |   |
| 4th Quarter |   | $                  | .18    |   |   | $      | 12.28  |   |   | $ | 10.62 |   |
| 3rd Quarter |   |               | .18    |   |   |   | 12.75  |   |   |   | 10.94 |   |
| 2nd Quarter |   |               | .18    |   |   |   | 12.99  |   |   |   | 9.60 |   |
| 1st Quarter |   |               | .18    |   |   |   | 13.50  |   |   |   | 8.32 |   |
|        |   |               |   |   |   |   |   |   |   |   |   |   |

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|                                                                                           |   | 12/31/10 |        |   | 12/31/09 |   |        | 12/31/08 |   |
|------------------------------------------------------------------------------------------------|--------|----------|-------------|--------|----------|--------|-------------|----------|--------|
| Obligations of U.S. Government Agencies and Corporations, including mortgage-backed securities |   | $        | 94,897,993  |   |     | $      | 99,111,627  |     |   | $ | 123,834,755 |   |
| Obligations of State and Political Subdivisions                                                |   |     | 39,113,738  |   |     |   | 40,600,366  |     |   |   | 39,529,246 |   |
| Equity Securities                                                                              |   |     | 1,835,200   |   |     |   | 3,262,100   |     |   |   | 3,854,938 |   |
|              Total            |   | $        | 135,846,931 |   |     | $      | 142,974,093 |     |   | $ | 167,218,939 |   |

|                                        |   | 12/31/10 |        |   | 12/31/09 |   |        | 12/31/08 |   |   | 12/31/07    |   |   | 12/31/06 |        |
|---------------------------------------------|--------|----------|-------------|--------|----------|--------|-------------|----------|--------|--------|-------------|--------|--------|----------|-------------|
| Commercial, financial and agricultural |   | $        | 24,661,000  |   |     | $      | 25,606,000  |     |   | $      | 25,128,000  |   |   | $        | 25,884,000  |   |   | $ | 28,385,000 |   |
| Real estate-construction                    |   |     | 29,074,000  |   |     |   | 31,341,000  |     |   |   | 30,910,000  |   |   |     | 45,097,000  |   |   |   | 44,592,000 |   |
| Real estate-residential                     |   |     | 68,030,000  |   |     |   | 67,213,000  |     |   |   | 74,923,000  |   |   |     | 72,438,000  |   |   |   | 83,256,000 |   |
| Real Estate-other                           |   |     | 90,423,000  |   |     |   | 95,511,000  |     |   |   | 88,341,000  |   |   |     | 72,123,000  |   |   |   | 76,473,000 |   |
| Installment                                 |   |     | 4,204,000   |   |     |   | 4,806,000   |     |   |   | 6,038,000   |   |   |     | 7,550,000   |   |   |   | 10,680,000 |   |
| Other                                       |   |     | 247,000     |   |     |   | 124,000     |     |   |   | 171,000     |   |   |     | 261,000     |   |   |   | 203,000 |   |
| Total loans                                 |   | $        | 216,639,000 |   |     | $      | 224,601,000 |     |   | $      | 225,511,000 |   |   | $        | 223,353,000 |   |   | $ | 243,589,000 |   |

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|                                   |   |     |       |   | Due after  |   |       |       |   |   |    |   |
|----------------------------------------|--------|----------|------------|--------|------------|--------|------------|------------|--------|--------|---------|--------|
|                                   |   | Due in   |       |   | one year   |   |       |       |   |   |    |   |
|                                   |   | one year |       |   | through    |   |       | Due after  |   |   |    |   |
|                                   |   | or less  |       |   | five years |   |       | five years |   |   | Total   |   |
| Commercial, financial and agricultural |   | $        | 16,264,000 |   |       | $      | 8,398,000  |       |   | $      | -       |   |   | $ | 24,662,000 |   |
| Real estate-construction               |   |     | 25,725,000 |   |       |   | 3,110,000  |       |   |   | 238,000 |   |   |   | 29,073,000 |   |
| Total                                  |   | $        | 41,989,000 |   |       | $      | 11,508,000 |       |   | $      | 238,000 |   |   | $ | 53,735,000 |   |
|                                   |   |     |       |   |       |   |       |       |   |   |    |   |   |   |   |   |
| Predetermined interest rates           |   |     |       |   |       | $      | 11,476,000 |       |   | $      | 238,000 |   |   |   |   |   |
|                                   |   |     |       |   |       |   |       |       |   |   |    |   |   |   |   |   |
| Floating or adjustable interest rates  |   |     |       |   |       | $      | 32,000     |       |   | $      | -       |   |   |   |   |   |

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| (Dollars in thousands)              |   | 12/31/10 |   |   | 12/31/09 |   |   | 12/31/08 |   |   | 12/31/07 |   |   | 12/31/06 |   |
|-------------------------------------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|
| Non-accrual loans by type           |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |
| Real estate                         |   | $        | 7,122  |   |     | $      | 8,510  |     |   | $      | 3,364    |   |   | $        | 992    |   |   | $ | 829 |   |
| Installment                         |   |     | 24     |   |     |   | 12     |     |   |   | 86       |   |   |     | 87     |   |   |   | 13 |   |
| Commercial and all other loans      |   |     | 364    |   |     |   | 187    |     |   |   | 118      |   |   |     | 223    |   |   |   | 351 |   |
| Total non-accrual loans             |   |     | 7,510  |   |     |   | 8,709  |     |   |   | 3,568    |   |   |     | 1,302  |   |   |   | 1,193 |   |
| Loans past due 90 days or more      |   |     | 484    |   |     |   | 1,004  |     |   |   | 518      |   |   |     | 12     |   |   |   | 232 |   |
| Total nonperforming loans           |   |     | 7,994  |   |     |   | 9,713  |     |   |   | 4,086    |   |   |     | 1,314  |   |   |   | 1,425 |   |
| Other real estate owned (net)       |   |     | 3,303  |   |     |   | 815    |     |   |   | 919      |   |   |     | 747    |   |   |   | 1,257 |   |
| Total nonperforming assets          |   | $        | 11,297 |   |     | $      | 10,528 |     |   | $      | 5,005    |   |   | $        | 2,061  |   |   | $ | 2,682 |   |
| Nonperforming loans as a percent    |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| of loans, net of unearned interest  |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| and loans held for sale             |   |     | 3.80   | %      |     |   | 4.34   | %        |   |   | 1.81     | %      |   |     | .59    | % |   |   | .59 | % |
| Additional interest income foregone |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
|  on non-accrual loans          |   | $        | 373    |   |     | $      | 425    |     |   | $      | 191      |   |   | $        | 36     |   |   | $ | 31 |   |

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|  (Dollars in thousands)                  |   | 12/31/10 |   |   | 12/31/09 |   |   | 12/31/08 |   |   | 12/31/07 |   |   | 12/31/06 |   |
|-----------------------------------------------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|--------|----------|--------|
|  Balance at beginning of year            |   | $        | 3,879  |   |     | $      | 2,398  |     |   | $      | 2,431    |   |   | $        | 2,344  |   |   | $ | 2,378 |   |
| Charge-offs:                                  |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| Commercial, financial & agricultural      |   |     | (523   | )      |     |   | (140   | )        |   |   | (541     | )      |   |     | (87    | ) |   |   | (571 | ) |
| Real Estate-construction                      |   |     | (1,630 | )      |     |   | (276   | )        |   |   | (166     | )      |   |     | (25    | ) |   |   | (3 | ) |
| Real Estate-residential                       |   |     | (165   | )      |     |   | (138   | )        |   |   | (410     | )      |   |     | (257   | ) |   |   | (5 | ) |
| Real Estate-other                             |   |     | (867   | )      |     |   | (1,456 | )        |   |   | (7       | )      |   |     | (2     | ) |   |   | 0 |   |
| Installment and other                         |   |     | (24    | )      |     |   | (60    | )        |   |   | (39      | )      |   |     | (136   | ) |   |   | (64 | ) |
| Recoveries:                                   |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| Commercial, financial & agricultural      |   |     | 48     |   |     |   | 25     |     |   |   | 190      |   |   |     | 110    |   |   |   | 26 |   |
| Real Estate-construction                      |   |     | 6      |   |     |   | 10     |     |   |   | 6        |   |   |     | -      |   |   |   | - |   |
| Real Estate-residential                       |   |     | 17     |   |     |   | 89     |     |   |   | 83       |   |   |     | 5      |   |   |   | 26 |   |
| Real Estate-other                             |   |     | -      |   |     |   | -      |     |   |   | 34       |   |   |     | -      |   |   |   | 51 |   |
| Installment and other                         |   |     | 4      |   |     |   | 7      |     |   |   | 87       |   |   |     | 39     |   |   |   | 31 |   |
| Net (charge-offs) / recoveries                |   |     | (3,134 | )      |     |   | (1,939 | )        |   |   | (763     | )      |   |     | (353   | ) |   |   | (509 | ) |
| Provision charged to operations               |   |     | 1,675  |   |     |   | 3,420  |     |   |   | 730      |   |   |     | 440    |   |   |   | 475 |   |
| Balance at end of year                        |   | $        | 2,420  |   |     | $      | 3,879  |     |   | $      | 2,398    |   |   | $        | 2,431  |   |   | $ | 2,344 |   |
| Allowance for loan losses as a percent        |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| of loans, net of unearned interest and        |   |     |   |   |     |   |   |     |   |   |     |   |   |     |   |   |   |   |   |   |
| loans held for sale                           |   |     | 1.15   | %      |     |   | 1.73   | %        |   |   | 1.06     | %      |   |     | 1.09   | % |   |   | .96 | % |
| Net charge-offs as a percent of average loans |   |     | 1.42   | %      |     |   | .87    | %        |   |   | .34      | %      |   |     | .15    | % |   |   | .21 | % |

|                      |   | Amounts as of December 31,                             |   |
|---------------------------|--------|--------------------------------------------------------|--------|
|                      |   | 2010                                                   |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |   | 2006 |   |
| Commercial, financial and |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| agricultural              |   | $                                                      | 377    |   |   | $ | 631 |   |   | $ | 536 |   |   | $ | 473 |   |   | $ | 426 |   |
| Real estate-construction  |   |                                                   | 233    |   |   |   | 1,264 |   |   |   | 241 |   |   |   | 265 |   |   |   | 187 |   |
| Real estate-residential   |   |                                                   | 459    |   |   |   | 301 |   |   |   | 225 |   |   |   | 353 |   |   |   | 248 |   |
| Real Estate-other         |   |                                                   | 1,284  |   |   |   | 1,212 |   |   |   | 842 |   |   |   | 735 |   |   |   | 663 |   |
| Installment               |   |                                                   | 27     |   |   |   | 161 |   |   |   | 247 |   |   |   | 335 |   |   |   | 331 |   |
| Other                     |   |                                                   | 40     |   |   |   | 310 |   |   |   | 307 |   |   |   | 270 |   |   |   | 489 |   |
| Total loans               |   | $                                                      | 2,420  |   |   | $ | 3,879 |   |   | $ | 2,398 |   |   | $ | 2,431 |   |   | $ | 2,344 |   |
|                      |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                      |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                      |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                      |   |  Percent of loans in each category to total loans |   |
|                      |   |                                                   | 2010   |   |   |   | 2009 |   |   |   | 2008 |   |   |   | 2007 |   |   |   | 2006 |   |
| Commercial, financial and |   |                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  agricultural        |   |                                                   | 11.38  | % |   |   | 11.40 | % |   |   | 11.14 | % |   |   | 11.59 | % |   |   | 11.65 | % |
| Real estate-construction  |   |                                                   | 13.42  |   |   |   | 13.97 |   |   |   | 13.71 |   |   |   | 20.19 |   |   |   | 18.31 |   |
| Real estate-residential   |   |                                                   | 31.40  |   |   |   | 29.93 |   |   |   | 33.22 |   |   |   | 32.43 |   |   |   | 34.18 |   |
| Real Estate-other         |   |                                                   | 41.74  |   |   |   | 42.51 |   |   |   | 39.17 |   |   |   | 32.29 |   |   |   | 31.40 |   |
| Installment               |   |                                                   | 1.94   |   |   |   | 2.14 |   |   |   | 2.68 |   |   |   | 3.38 |   |   |   | 4.38 |   |
| Other                     |   |                                                   | .12    |   |   |   | .05 |   |   |   | .08 |   |   |   | .12 |   |   |   | .08 |   |
| Total loans               |   |                                                   | 100.00 | % |   |   | 100.00 | % |   |   | 100.00 | % |   |   | 100.00 | % |   |   | 100.00 | % |

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| Balance at December 31, 2009                                   |   |   |   |   | $      | 815    |   |
|----------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|
|    Write-downs/Reserves, net                    |   |   | (780   | )      |   |   |   |   |
|    Proceeds from sales, net of gains and losses |   |   | (1,350 | )      |   |   |   |   |
|    Gains/(losses) on sales of ORE               |   |   | 649    |   |   |   |   |   |
|    Foreclosures                                 |   |   | 3,969  |   |   |   | 2,488  |   |
| Balance at December 31, 2010                                   |   |   |   |   |   | $      | 3,303  |   |

|                                 |   | 12/31/10 |        |   | 12/31/09 |   |
|--------------------------------------|--------|----------|-------------|--------|----------|--------|
|                                 |   |     |        |   |     |   |
| Non-interest bearing demand deposits |   | $        | 45,634,123  |   |     | $      | 49,847,304 |   |
| NOW accounts                         |   |     | 66,650,551  |   |     |   | 57,815,246 |   |
| Money market deposit accounts        |   |     | 36,140,259  |   |     |   | 30,563,856 |   |
| Savings accounts                     |   |     | 19,098,254  |   |     |   | 18,259,388 |   |
| Certificates of deposit              |   |     | 91,019,343  |   |     |   | 94,456,326 |   |
|                                 |   | $        | 258,542,530 |   |     | $      | 250,942,120 |   |

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|                           |   | 12/31/10 |       |   | 12/31/09 |   |
|--------------------------------|--------|----------|------------|--------|----------|--------|
| Time remaining until maturity: |   |     |       |   |     |   |
| Three months or less           |   | $        | 8,916,553  |   |     | $      | 16,319,474 |   |
| Over three through six months  |   |     | 11,371,781 |   |     |   | 6,517,440 |   |
| Over six through twelve months |   |     | 16,876,882 |   |     |   | 14,213,515 |   |
| Over twelve months             |   |     | 3,784,489  |   |     |   | 3,628,905 |   |
|                           |   | $        | 40,949,705 |   |     | $      | 40,679,334 |   |

|                         |   | 2010   |       |   | 2009   |   |       | 2008   |   |
|------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
| Year-end balance             |   | $      | 19,823,000 |   |   | $      | 50,234,000 |   |   | $ | 71,563,000 |   |
| Maximum month-end balance    |   |   | 44,941,000 |   |   |   | 69,490,000 |   |   |   | 86,688,000 |   |
| Year to date average balance |   |   | 23,020,000 |   |   |   | 58,761,000 |   |   |   | 60,190,000 |   |
| Weighted average rate        |   |   | 1.23       | %      |   |   | .90        | %      |   |   | 2.39 | % |

|                         |   | 2010   |       |   | 2009   |   |       | 2008   |   |
|------------------------------|--------|--------|------------|--------|--------|--------|------------|--------|--------|
| Year-end balance             |   | $      | 8,457,000  |   |   | $      | 32,018,000 |   |   | $ | 54,929,000 |   |
| Maximum month-end balance    |   |   | 33,856,000 |   |   |   | 55,680,000 |   |   |   | 68,864,000 |   |
| Year to date average balance |   |   | 10,916,000 |   |   |   | 42,596,000 |   |   |   | 44,533,000 |   |
| Weighted average rate        |   |   | .16        | %      |   |   | .37        | %      |   |   | 1.98 | % |

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|                                            |   |    |    |   | 2010    |   |       |   |   |    |   | 2009    |   |       |   |   |    |   |   | 2008    |   |   |       |    |
|-------------------------------------------------|--------|---------|---------|--------|---------|--------|------------|--------|--------|---------|--------|---------|--------|------------|--------|--------|---------|--------|--------|---------|--------|--------|------------|---------|
|                                            |   |    |    |   |    |   | Average    |   |   |    |   |    |   | Average    |   |   |    |   |   |    |   |   | Average    |    |
|                                            |   | Average |    |   | Income/ |   | %          |   |   | Average |   | Income/ |   | %          |   |   | Average |   |   | Income/ |   |   | %          |    |
|                                            |   | Balance |    |   | Expense |   | Yield/Rate |   |   | Balance |   | Expense |   | Yield/Rate |   |   | Balance |   |   | Expense |   |   | Yield/Rate |    |
| ASSETS                                          |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |
| Loans                                           |   | $       | 220,272 |   |    | $      | 12,849     |   |   | 5.83    | %      |    | $      | 223,802    |   | $      | 13,296  |   |   | 5.94    | %      |   | $          | 225,633 |   |   | $ | 15,477 |   |   |   | 6.86 | % |
| Investment securities:                          |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |
| U.S. Government Sponsored Agencies              |   |    | 15,968  |   |    |   | 307        |   |   | 1.92    | %      |    |   | -          |   |   | -       |   |   | 0.00    | %      |   |       | -       |   |   |   | - |   |   |   | 0.00 | % |
| Mortgage Backed Securities                      |   |    | 78,206  |   |    |   | 3,853      |   |   | 4.93    | %      |    |   | 114,817    |   |   | 5,835   |   |   | 5.08    | %      |   |       | 98,987  |   |   |   | 5,234 |   |   |   | 5.29 | % |
| State & municipal-non taxable               |   |    | 38,947  |   |    |   | 1,664      |   |   | 4.27    | %      |    |   | 39,508     |   |   | 1,737   |   |   | 4.40    | %      |   |       | 37,341  |   |   |   | 1,668 |   |   |   | 4.47 | % |
| State & municipal-taxable                   |   |    | 949     |   |    |   | 57         |   |   | 6.00    | %      |    |   | 947        |   |   | 57      |   |   | 6.00    | %      |   |       | 945     |   |   |   | 57 |   |   |   | 6.00 | % |
| Other                                           |   |    | 2,075   |   |    |   | 40         |   |   | 1.91    | %      |    |   | 4,064      |   |   | 51      |   |   | 1.25    | %      |   |       | 3,086   |   |   |   | 94 |   |   |   | 3.05 | % |
| Total investment securities                     |   |    | 136,145 |   |    |   | 5,920      |   |   | 4.35    | %      |    |   | 159,336    |   |   | 7,679   |   |   | 4.82    | %      |   |       | 140,359 |   |   |   | 7,054 |   |   |   | 5.03 | % |
| Interest bearing bank balances                  |   |    | 558     |   |    |   | 4          |   |   | 0.69    | %      |    |   | 1,150      |   |   | 4       |   |   | 0.34    | %      |   |       | 1,026   |   |   |   | 27 |   |   |   | 2.62 | % |
| Federal funds sold                              |   |    | 76      |   |    |   | 1          |   |   | 0.66    | %      |    |   | 268        |   |   | 1       |   |   | 0.19    | %      |   |       | 218     |   |   |   | 5 |   |   |   | 2.17 | % |
| Total earning assets                            |   |    | 357,051 |   |    |   | 18,773     |   |   | 5.26    | %      |    |   | 384,556    |   |   | 20,980  |   |   | 5.46    | %      |   |       | 367,236 |   |   |   | 22,563 |   |   |   | 6.14 | % |
| Allowance for loan losses                       |   |    | (2,848  | )      |    |   |       |   |   |    |   |    |   | (2,799     | )      |   |    |   |   |    |   |   |       | (2,402  | ) |   |   |   |   |   |   |   |   |
| Cash & due from banks, non-interest bearing |   |    | 5,979   |   |    |   |       |   |   |    |   |    |   | 5,899      |   |   |    |   |   |    |   |   |       | 5,968   |   |   |   |   |   |   |   |   |   |
| Bank premises & equipment                   |   |    | 7,784   |   |    |   |       |   |   |    |   |    |   | 7,405      |   |   |    |   |   |    |   |   |       | 7,067   |   |   |   |   |   |   |   |   |   |
| Cash Value Life Insurance and other             |   |    | 1,124   |   |    |   |       |   |   |    |   |    |   | 1,080      |   |   |    |   |   |    |   |   |       | 1,037   |   |   |   |   |   |   |   |   |   |
| Other assets                                    |   |    | 7,105   |   |    |   |       |   |   |    |   |    |   | 4,985      |   |   |    |   |   |    |   |   |       | 4,257   |   |   |   |   |   |   |   |   |   |
| TOTAL ASSETS                                    |   | $       | 376,195 |   |    |   |       |   |   |    |   |    | $      | 401,126    |   |   |    |   |   |    |   |   | $          | 383,163 |   |   |   |   |   |   |   |   |   |
|                                            |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |
| LIABILITIES AND SHAREHOLDERS EQUITY             |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |
| Interest bearing deposits:                      |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |
| Savings                                         |   | $       | 18,728  |   |    | $      | 106        |   |   | 0.56    | %      |    | $      | 18,129     |   | $      | 128     |   |   | 0.71    | %      |   | $          | 17,778  |   |   | $ | 148 |   |   |   | 0.83 | % |
| Interest bearing checking                       |   |    | 66,839  |   |    |   | 1,391      |   |   | 2.08    | %      |    |   | 56,828     |   |   | 977     |   |   | 1.72    | %      |   |       | 27,744  |   |   |   | 270 |   |   |   | 0.97 | % |
| Money rate savings                              |   |    | 34,097  |   |    |   | 398        |   |   | 1.17    | %      |    |   | 32,084     |   |   | 471     |   |   | 1.47    | %      |   |       | 35,495  |   |   |   | 689 |   |   |   | 1.94 | % |
| Certificates of deposit and other time deposits |   |    | 91,615  |   |    |   | 1,359      |   |   | 1.48    | %      |    |   | 100,800    |   |   | 2,305   |   |   | 2.29    | %      |   |       | 112,731 |   |   |   | 4,228 |   |   |   | 3.75 | % |
| Total interest bearing deposits                 |   |    | 211,279 |   |    |   | 3,254      |   |   | 1.54    | %      |    |   | 207,841    |   |   | 3,881   |   |   | 1.87    | %      |   |       | 193,748 |   |   |   | 5,335 |   |   |   | 2.75 | % |
| Short term borrowed funds                       |   |    | 28,023  |   |    |   | 346        |   |   | 1.23    | %      |    |   | 58,761     |   |   | 529     |   |   | 0.90    | %      |   |       | 60,190  |   |   |   | 1,439 |   |   |   | 2.39 | % |
| Long term debt                                  |   |    | 49,000  |   |    |   | 2,105      |   |   | 4.30    | %      |    |   | 44,368     |   |   | 2,050   |   |   | 4.62    | %      |   |       | 40,989  |   |   |   | 1,980 |   |   |   | 4.83 | % |
| Total interest bearing liabilities              |   |    | 288,302 |   |    |   | 5,705      |   |   | 1.98    | %      |    |   | 310,970    |   |   | 6,460   |   |   | 2.08    | %      |   |       | 294,927 |   |   |   | 8,754 |   |   |   | 2.97 | % |
| Non-interest bearing deposits                   |   |    | 43,805  |   |    |   |       |   |   |    |   |    |   | 44,253     |   |   |    |   |   |    |   |   |       | 47,355  |   |   |   |   |   |   |   |   |   |
| Other liabilities                               |   |    | 3,910   |   |    |   |       |   |   |    |   |    |   | 5,456      |   |   |    |   |   |    |   |   |       | 4,262   |   |   |   |   |   |   |   |   |   |
| Shareholders' equity                            |   |    | 40,178  |   |    |   |       |   |   |    |   |    |   | 40,448     |   |   |    |   |   |    |   |   |       | 36,619  |   |   |   |   |   |   |   |   |   |
| TOTAL LIABILITIES & SHAREHOLDERS' EQUITY    |   | $       | 376,195 |   |    | $      | 5,705      |   |   |    |   |    | $      | 401,126    |   | $      | 6,460   |   |   |    |   |   | $          | 383,163 |   |   | $ | 8,754 |   |   |   |   |   |
| Interest income and rate earned                 |   |    |    |   |    | $      | 18,773     |   |   | 5.26    | %      |    |   |       |   | $      | 20,980  |   |   | 5.46    | %      |   |       |    |   |   | $ | 22,563 |   |   |   | 6.14 | % |
| Interest expense and rate paid                  |   |    |    |   |    |   | 5,705      |   |   | 1.98    | %      |    |   |       |   |   | 6,460   |   |   | 2.08    | %      |   |       |    |   |   |   | 8,754 |   |   |   | 2.97 | % |
| Interest rate spread                            |   |    |    |   |    |   |       |   |   | 3.28    | %      |    |   |       |   |   |    |   |   | 3.38    | %      |   |       |    |   |   |   |   |   |   |   | 3.18 | % |
| NET INTEREST INCOME & NET YIELD ON          |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |
| AVERAGE EARNING ASSETS                          |   |    |    |   |    | $      | 13,068     |   |   | 3.66    | %      |    |   |       |   | $      | 14,520  |   |   | 3.78    | %      |   |       |    |   |   | $ | 13,809 |   |   |   | 3.76 | % |
|                                            |   |    |    |   |    |   |       |   |   |    |   |    |   |       |   |   |    |   |   |    |   |   |       |    |   |   |   |   |   |   |   |   |   |

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|                         |   | December 31, 2010 |    |   | December 31, 2009 |   |
|------------------------------|--------|-------------------|---------|--------|-------------------|--------|
|                         |   | Company           |    |   | Bank              |   |   | Company |   |   | Bank |   |
| Risk-based capital:          |   |              |    |   |              |   |   |   |   |   |   |   |
| Total                        |   | $                 | 45,092  |   |              | $      | 42,323 |   |   | $ | 45,376 |   |   | $ | 42,118 |   |
| Tier 1                       |   |              | 42,672  |   |              |   | 39,903 |   |   |   | 42,123 |   |   |   | 38,867 |   |
| Leverage                     |   |              | 42,672  |   |              |   | 39,903 |   |   |   | 42,123 |   |   |   | 38,867 |   |
| Assets:                      |   |              |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Quarterly average assets (1) |   |              | 368,728 |   |              |   | 365,969 |   |   |   | 394,593 |   |   |   | 389,343 |   |
| Risk-weighted assets         |   |              | 252,696 |   |              |   | 252,463 |   |   |   | 259,644 |   |   |   | 259,415 |   |
| Ratios:                      |   |              |    |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Total risk-based capital     |   |              | 17.84   | %      |              |   | 16.76 | % |   |   | 17.48 | % |   |   | 16.24 | % |
| Tier 1 risk-based capital    |   |              | 16.89   | %      |              |   | 15.81 | % |   |   | 16.22 | % |   |   | 14.98 | % |
| Leverage                     |   |              | 11.57   | %      |              |   | 10.90 | % |   |   | 10.68 | % |   |   | 9.98 | % |

| (1)   | Excludes disallowed assets |
|-----------------|----------------------------|

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|                             |   | 2010   |   |   | 2009   |   |   | 2008   |   |
|----------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                             |   |   |   |   |   |   |   |   |   |
| Return on average assets         |   |   | .51    | %      |   |   | .40    | %      |   |   | .91 | % |
| Return on average equity         |   |   | 4.76   | %      |   |   | 4.01   | %      |   |   | 9.57 | % |
| Dividend payout ratio            |   |   | 80.38  | %      |   |   | 94.30  | %      |   |   | 43.54 | % |
| Average equity to average assets |   |   | 10.68  | %      |   |   | 10.08  | %      |   |   | 9.56 | % |
| Net interest margin              |   |   | 3.66   | %      |   |   | 3.78   | %      |   |   | 3.76 | % |
| Basic income per share           |   | $      | .90    |   |   | $      | .76    |   |   | $ | 1.65 |   |
| Diluted income per share         |   | $      | .90    |   |   | $      | .76    |   |   | $ | 1.65 |   |

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|                                            |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |
|-------------------------------------------------|--------|--------|--------|-----------------------|--------|--------|--------|--------|--------|--------|--------|--------|-----------------------|--------|--------|--------|--------|
|                                            |   |   |   | 2010 change from 2009 |   |   |   |   |   |   |   |   | 2009 change from 2008 |   |   |   |   |
|                                            | Total  |   |   | Volume                |   |   | Rate   |   |   | Total  |   |   | Volume                |   |   | Rate   |   |
| ASSETS                                          |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |
| Loans                                           | $      | (447   | )      |                  | $      | (207   | )      |   | $      | (240   | )      |   | $                     | (2,181 | )      |   | $      | (125 | ) |   | $ | (2,056 | ) |
| Investment securities:                          |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| U.S. GovernmentSponsored Agencies               |   | 307    |   |                  |   | 307    |   |   |   | -      |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Mortgage Backed Securities                      |   | (1,982 | )      |                  |   | (1,809 | )      |   |   | (173   | )      |   |                  | 600    |   |   |   | 811 |   |   |   | (211 | ) |
| State & municipal-non taxable               |   | (73    | )      |                  |   | (25    | )      |   |   | (48    | )      |   |                  | 68     |   |   |   | 96 |   |   |   | (28 | ) |
| State & municipal-taxable                   |   | (0     | )      |                  |   | -      |   |   |   | -      |   |   |                  | -      |   |   |   | - |   |   |   | - |   |
| Other                                           |   | (11    | )      |                  |   | (31    | )      |   |   | 20     |   |   |                  | (43    | )      |   |   | 24 |   |   |   | (67 | ) |
| Total investment securities                     |   | (1,759 | )      |                  |   | (1,558 | )      |   |   | (201   | )      |   |                  | 625    |   |   |   | 931 |   |   |   | (306 | ) |
| Interest bearing bank balances                  |   | (0     | )      |                  |   | (4     | )      |   |   | 3      |   |   |                  | (23    | )      |   |   | 3 |   |   |   | (26 | ) |
| Federal funds sold                              |   | (0     | )      |                  |   | -      |   |   |   | -      |   |   |                  | (4     | )      |   |   | 1 |   |   |   | (5 | ) |
| Total earning assets                            |   | (2,208 | )      |                  |   | (1,769 | )      |   |   | (438   | )      |   |                  | (1,583 | )      |   |   | 810 |   |   |   | (2,393 | ) |
|                                            |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES                                     |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| Interest bearing deposits:                      |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |   |   |   |   |   |   |
| Savings                                         | $      | (22    | )      |                  | $      | 4      |   |   | $      | (26    | )      |   | $                     | (20    | )      |   | $      | 3 |   |   | $ | (23 | ) |
| Interest bearing checking                       |   | 414    |   |                  |   | 189    |   |   |   | 225    |   |   |                  | 707    |   |   |   | 408 |   |   |   | 299 |   |
| Money rate savings                              |   | (73    | )      |                  |   | 28     |   |   |   | (101   | )      |   |                  | (218   | )      |   |   | (62 | ) |   |   | (156 | ) |
| Certificates of deposit and other time deposits |   | (946   | )      |                  |   | (195   | )      |   |   | (751   | )      |   |                  | (1,923 | )      |   |   | (410 | ) |   |   | (1,513 | ) |
| Total interest bearing deposits                 |   | (627   | )      |                  |   | 26     |   |   |   | (653   | )      |   |                  | (1,454 | )      |   |   | (61 | ) |   |   | (1,393 | ) |
| Short term borrowed funds                       |   | (183   | )      |                  |   | (337   | )      |   |   | 154    |   |   |                  | (910   | )      |   |   | (33 | ) |   |   | (877 | ) |
| Long term debt                                  |   | 55     |   |                  |   | 205    |   |   |   | (150   | )      |   |                  | 70     |   |   |   | 159 |   |   |   | (89 | ) |
| Total interest bearing liabilities              |   | (755   | )      |                  |   | (106   | )      |   |   | (649   | )      |   |                  | (2,294 | )      |   |   | 65 |   |   |   | (2,359 | ) |
| Change in Interest Earning Assets               | $      | (2,208 | )      |                  | $      | (1,769 | )      |   | $      | (438   | )      |   | $                     | (1,583 | )      |   | $      | 810 |   |   | $ | (2,393 | ) |
| Change in Interest Bearing Liabilities          |   | (755   | )      |                  |   | (106   | )      |   |   | (649   | )      |   |                  | (2,294 | )      |   |   | 65 |   |   |   | (2,359 | ) |
| Change in Net Interest Income                   | $      | (1,453 | )      |                  | $      | (1,663 | )      |   | $      | 211    |   |   | $                     | 711    |   |   | $      | 745 |   |   | $ | (34 | ) |
|                                            |   |   |   |                  |   |   |   |   |   |   |   |   |                  |   |   |   |   |   |   |   |   |   |   |

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|                                                                                                            |
|-----------------------------------------------------------------------------------------------------------------|
|                                                                                                            |
|                                                                                                            |
|                                                                                                            |
| Audited Financial Statements:                                                                                   |
|                                                                                                            |
| Management’s Annual Report on Internal Control over Financial Reporting                                   |
|                                                                                                            |
| Report of Independent Registered Public Accounting Firm                                                         |
|                                                                                                            |
| Consolidated Balance Sheets as of December 31, 2010 and 2009                                                    |
|                                                                                                            |
| Consolidated Statements of Income for the years ended December 31, 2010 and 2009                                |
|                                                                                                            |
| Consolidated Statements of Changes in Stockholders’ Equity for the years ended December 31, 2010 and 2009 |
|                                                                                                            |
| Consolidated Statements of Cash Flows for the years ended December 31, 2010 and 2009                            |
|                                                                                                            |
| Notes to the Consolidated Financial Statements                                                                  |
|                                                                                                            |
|                                                                                                            |
|                                                                                                            |

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BRITTON 

|                                                                                                           |   | 2010   |        |   | 2009   |   |
|----------------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|
| ASSETS:                                                                                                        |   |   |        |   |   |   |
| Cash and Due from Banks:                                                                                       |   |   |        |   |   |   |
| Non-interest bearing                                                                                           |   | $      | 4,827,021   |   |   | $      | 4,702,159 |   |
| Interest bearing                                                                                               |   |   | 991,832     |   |   |   | 5,601,482 |   |
| Total Cash and Due from Banks                                                                                  |   |   | 5,818,853   |   |   |   | 10,303,641 |   |
| Federal funds sold                                                                                             |   |   | 112,497     |   |   |   | 58,799 |   |
| Investment Securities:                                                                                         |   |   |        |   |   |   |   |   |
| Available-for-sale (amortized cost, in 2010 and 2009, of $94,250,976 and $94,684,079, respectively)            |   |   | 97,308,410  |   |   |   | 98,300,252 |   |
| Held-to-maturity (fair value, in 2010 and 2009, of   $40,609,763 and $45,996,945, respectively) |   |   | 39,760,756  |   |   |   | 45,027,914 |   |
| Equity securities                                                                                              |   |   | 1,835,200   |   |   |   | 3,262,100 |   |
| Loans, less allowance for loan losses of $2,420,143 in 2010 and $3,878,738 in 2009                             |   |   | 208,144,673 |   |   |   | 219,938,639 |   |
| Loans held for sale                                                                                            |   |   | 6,074,014   |   |   |   | 784,063 |   |
| Bank premises and equipment, net                                                                               |   |   | 7,599,077   |   |   |   | 8,030,900 |   |
| Other real estate                                                                                              |   |   | 3,303,189   |   |   |   | 815,207 |   |
| Accrued interest receivable                                                                                    |   |   | 1,781,242   |   |   |   | 2,002,259 |   |
| Cash surrender value of life insurance                                                                         |   |   | 1,145,016   |   |   |   | 1,099,395 |   |
| Core deposits, net                                                                                             |   |   | 342,810     |   |   |   | 450,426 |   |
| Other assets                                                                                                   |   |   | 2,193,946   |   |   |   | 3,036,554 |   |
| TOTAL ASSETS                                                                                                   |   | $      | 375,419,683 |   |   | $      | 393,110,149 |   |

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|                                                                                                                                                                                                        |   | 2010   |           |   | 2009   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------|--------|--------|--------|
| LIABILITIES:                                                                                                                                                                                                |   |   |           |   |   |   |
| Deposits:                                                                                                                                                                                                   |   |   |           |   |   |   |
| Non-interest bearing                                                                                                                                                                                        |   | $      | 45,634,123     |   |   | $      | 49,847,304 |   |
| Interest bearing                                                                                                                                                                                            |   |   | 212,908,407    |   |   |   | 201,094,816 |   |
| Total Deposits                                                                                                                                                                                              |   |   | 258,542,530    |   |   |   | 250,942,120 |   |
|                                                                                                                                                                                                        |   |   |           |   |   |   |   |   |
| Securities sold under repurchase agreements                                                                                                                                                                 |   |   | 51,365,895     |   |   |   | 53,211,325 |   |
| Federal Home Loan Bank advances                                                                                                                                                                             |   |   | 17,457,000     |   |   |   | 41,022,754 |   |
| Junior subordinated debentures                                                                                                                                                                              |   |   | 5,155,000      |   |   |   | 5,155,000 |   |
| Accrued interest payable (includes $272,656 and $264,879 on securities sold  under repurchase agreements at December 31, 2010 and 2009, respectively)                                             |   |   |   657,984 |   |   |   |   793,141 |   |
| Advances from borrowers for taxes and insurance                                                                                                                                                             |   |   | 245,943        |   |   |   | 259,315 |   |
| Accrued taxes and other liabilities                                                                                                                                                                         |   |   | 2,063,358      |   |   |   | 1,885,605 |   |
| Total Liabilities                                                                                                                                                                                           |   |   | 335,487,710    |   |   |   | 353,269,260 |   |
|                                                                                                                                                                                                        |   |   |           |   |   |   |   |   |
| STOCKHOLDERS’ EQUITY:                                                                                                                                                                                 |   |   |           |   |   |   |   |   |
| Common stock, $2.50 par value per share; 12,000,000 shares authorized; 2,149,966 and 2,140,966 issued and 2,135,466 and 2,126,466 outstanding, as of December 31, 2010, and December 31, 2009, respectively |   |   | 5,374,915      |   |   |   | 5,352,415 |   |
| Additional paid-in capital                                                                                                                                                                                  |   |   | 7,379,891      |   |   |   | 7,396,211 |   |
| Retained earnings                                                                                                                                                                                           |   |   | 25,517,531     |   |   |   | 25,082,298 |   |
| Accumulated other comprehensive income/(loss)                                                                                                                                                               |   |   | 1,917,011      |   |   |   | 2,267,340 |   |
| Less:  Treasury stock, 14,500 shares, at cost                                                                                                                                                     |   |   | (257,375       | )      |   |   | (257,375 | ) |
| Total Stockholders’ Equity                                                                                                                                                                            |   |   | 39,931,973     |   |   |   | 39,840,889 |   |
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                                                                                            |   | $      | 375,419,683    |   |   | $      | 393,110,149 |   |

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|                                                    |   | 2010   |       |   | 2009   |   |
|---------------------------------------------------------|--------|--------|------------|--------|--------|--------|
| INTEREST INCOME:                                        |   |   |       |   |   |   |
| Interest and fees on loans                              |   | $      | 12,848,506 |   |   | $      | 13,296,099 |   |
| Interest on investment securities:                      |   |   |       |   |   |   |   |   |
| Taxable interest income                                 |   |   | 4,259,345  |   |   |   | 5,946,440 |   |
| Exempt from federal income taxes                        |   |   | 1,664,133  |   |   |   | 1,736,504 |   |
| Other interest income                                   |   |   | 136        |   |   |   | 416 |   |
|                                                    |   |   |       |   |   |   |   |   |
| Total Interest Income                                   |   |   | 18,772,120 |   |   |   | 20,979,459 |   |
|                                                    |   |   |       |   |   |   |   |   |
| INTEREST EXPENSE:                                       |   |   |       |   |   |   |   |   |
| Interest on deposits                                    |   |   | 3,253,727  |   |   |   | 3,880,690 |   |
| Interest on Federal Home Loan Bank advances             |   |   | 293,272    |   |   |   | 273,640 |   |
| Interest on trust preferred securities                  |   |   | 177,027    |   |   |   | 203,940 |   |
| Interest on securities sold under repurchase agreements |   |   | 1,980,710  |   |   |   | 2,101,661 |   |
|                                                    |   |   |       |   |   |   |   |   |
| Total Interest Expense                                  |   |   | 5,704,736  |   |   |   | 6,459,931 |   |
|                                                    |   |   |       |   |   |   |   |   |
| NET INTEREST INCOME                                     |   |   | 13,067,384 |   |   |   | 14,519,528 |   |
|                                                    |   |   |       |   |   |   |   |   |
| PROVISION FOR LOAN LOSSES                               |   |   | 1,675,000  |   |   |   | 3,420,000 |   |
|                                                    |   |   |       |   |   |   |   |   |
| NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES     |   |   | 11,392,384 |   |   |   | 11,099,528 |   |
|                                                    |   |   |       |   |   |   |   |   |
| OTHER INCOME:                                           |   |   |       |   |   |   |   |   |
| Service charges on deposit accounts                     |   |   | 1,463,397  |   |   |   | 1,677,300 |   |
| Income from fiduciary activities                        |   |   | 3,150      |   |   |   | 2,236 |   |
| Income from networking arrangements                     |   |   | -          |   |   |   | 62,766 |   |
| Net gain on sales of ORE                                |   |   | 648,469    |   |   |   | - |   |
| Net gain on sales of mortgage loans                     |   |   | 275,114    |   |   |   | 205,946 |   |
| Fees and commissions on mortgage loans                  |   |   | 842,096    |   |   |   | 284,720 |   |
| Net gain on sale/matured securities                     |   |   | 465,465    |   |   |   | 92,432 |   |
| Other                                                   |   |   | 597,276    |   |   |   | 494,968 |   |
|                                                    |   |   |       |   |   |   |   |   |
| Total Other Income                                      |   |   | 4,294,967  |   |   |   | 2,820,368 |   |
| Income before Other Expenses                            |   |   | 15,687,351 |   |   |   | 13,919,896 |   |

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|                                |   | 2010   |       |   | 2009   |   |
|-------------------------------------|--------|--------|------------|--------|--------|--------|
| OTHER EXPENSES:                     |   |   |       |   |   |   |
| Salaries                            |   |   | 6,017,061  |   |   |   | 5,456,291 |   |
| Employee benefits                   |   |   | 869,572    |   |   |   | 764,393 |   |
| Director fees                       |   |   | 153,380    |   |   |   | 146,545 |   |
| Net occupancy expense               |   |   | 1,079,056  |   |   |   | 958,517 |   |
| Equipment expense                   |   |   | 1,247,260  |   |   |   | 1,243,036 |   |
| Other real estate, net              |   |   | 607,516    |   |   |   | 353,030 |   |
| FDIC assessment                     |   |   | 432,290    |   |   |   | 719,405 |   |
| Advertising                         |   |   | 179,450    |   |   |   | 236,492 |   |
| Stationery and supplies             |   |   | 157,814    |   |   |   | 174,917 |   |
| Amortization                        |   |   | 107,616    |   |   |   | 107,616 |   |
| Audit expense                       |   |   | 253,911    |   |   |   | 252,847 |   |
| Other                               |   |   | 2,436,534  |   |   |   | 1,952,851 |   |
|                                |   |   |       |   |   |   |   |   |
| Total Other Expenses                |   |   | 13,541,460 |   |   |   | 12,365,940 |   |
|                                |   |   |       |   |   |   |   |   |
| INCOME BEFORE INCOME TAX EXPENSE    |   |   | 2,145,891  |   |   |   | 1,553,956 |   |
|                                |   |   |       |   |   |   |   |   |
| INCOME TAX EXPENSE/(BENEFIT)        |   |   | 233,146    |   |   |   | (69,673 | ) |
|                                |   |   |       |   |   |   |   |   |
| NET INCOME                          |   | $      | 1,912,745  |   |   | $      | 1,623,629 |   |
|                                |   |   |       |   |   |   |   |   |
| PER SHARE DATA:                     |   |   |       |   |   |   |   |   |
|                                |   |   |       |   |   |   |   |   |
| Basic earnings per share            |   | $      | 0.90       |   |   | $      | 0.76 |   |
|                                |   |   |       |   |   |   |   |   |
| Basic weighted shares outstanding   |   |   | 2,134,332  |   |   |   | 2,125,371 |   |
|                                |   |   |       |   |   |   |   |   |
| Diluted earnings per share          |   | $      | 0.90       |   |   | $      | 0.76 |   |
|                                |   |   |       |   |   |   |   |   |
| Diluted weighted shares outstanding |   |   | 2,134,941  |   |   |   | 2,125,799 |   |
|                                |   |   |       |   |   |   |   |   |
| Cash dividends per share            |   | $      | 0.72       |   |   | $      | 0.72 |   |

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|                                                                           |   |         |      |   |    |   |      |       |   |   |          |   |   | Accumulated   |       |   |   |   |      |   |   |
|--------------------------------------------------------------------------------|--------|--------------|-----------|--------|---------|--------|-----------|------------|--------|--------|---------------|--------|--------|---------------|------------|--------|--------|--------|-----------|--------|--------|
|                                                                           |   |         |      |   |    |   |      | Additional |   |   |          |   |   | Other         |       |   |   |   |      |   |   |
|                                                                           |   | Common Stock |      |   | Paid-In |   |      | Retained   |   |   | Comprehensive |   |   | Treasury      |       |   |   |   |
|                                                                           |   | Shares       |      |   | Amount  |   |      | Capital    |   |   | Earnings      |   |   | Income/(loss) |       |   | Stock  |   |      | Total  |   |
| BALANCE, December 31, 2008                                                     |   |         | 2,117,966 |   |    | $      | 5,331,165 |       |   | $      | 7,319,282     |   |   | $             | 25,049,749 |   |   | $      | 2,098,248 |   |   | $ | (257,375 | ) |   | $ | 39,541,069 |   |
| Comprehensive income:                                                          |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
|        Net Income                           |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | 1,623,629  |   |   |   | -         |   |   |   | - |   |   |   | 1,623,629 |   |
| Other comprehensive income, net of tax:                                        |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
|  Change in fair value of                                                  |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
|         available for sale securities, |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
|         net of taxes of $100,592       |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | -          |   |   |   | 169,092   |   |   |   | - |   |   |   | 169,092 |   |
| Total Comprehensive Income                                                     |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 1,792,721 |   |
| Common stock issued                                                            |   |         | 8,500     |   |    |   | 21,250    |       |   |   | 65,450        |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 86,700 |   |
| Unearned compensation                                                          |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | (60,023    | )      |   |   | -         |   |   |   | - |   |   |   | (60,023 | ) |
| Fair value of unexercised stock options                                        |   |         | -         |   |    |   | -         |       |   |   | 11,479        |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 11,479 |   |
| Cash Dividends ($0.72 per share)                                               |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | (1,531,057 | )      |   |   | -         |   |   |   | - |   |   |   | (1,531,057 | ) |
| BALANCE at December 31, 2009                                                   |   |         | 2,126,466 |   |    | $      | 5,352,415 |       |   | $      | 7,396,211     |   |   | $             | 25,082,298 |   |   | $      | 2,267,340 |   |   | $ | (257,375 | ) |   | $ | 39,840,889 |   |
|                                                                           |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
| Comprehensive income:                                                          |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
|        Net Income                           |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | 1,912,745  |   |   |   | -         |   |   |   | - |   |   |   | 1,912,745 |   |
| Other comprehensive income, net of tax:                                        |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
| Change in fair value of                                                        |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
| available for sale securities,                                                 |   |         |      |   |    |   |      |       |   |   |          |   |   |          |       |   |   |   |      |   |   |   |   |   |   |   |   |   |
| net of taxes of $208,409                                                       |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | -          |   |   |   | (350,329  | )      |   |   | - |   |   |   | (350,329 | ) |
| Total Comprehensive Income                                                     |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 1,562,416 |   |
| Common Stock issued                                                            |   |         | 9,000     |   |    |   | 22,500    |       |   |   | 84,600        |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 107,100 |   |
| Unearned Compensation                                                          |   |         | -         |   |    |   | -         |       |   |   | (107,492      | )      |   |          | 60,023     |   |   |   | -         |   |   |   | - |   |   |   | (47,469 | ) |
| Fair value of unexercised stock options                                        |   |         | -         |   |    |   | -         |       |   |   | 6,572         |   |   |          | -          |   |   |   | -         |   |   |   | - |   |   |   | 6,572 |   |
| Cash Dividends ($0.72 per share)                                               |   |         | -         |   |    |   | -         |       |   |   | -             |   |   |          | (1,537,535 | )      |   |   | -         |   |   |   | - |   |   |   | (1,537,535 | ) |
| BALANCE at December 31, 2010                                                   |   |         | 2,135,466 |   |    | $      | 5,374,915 |       |   | $      | 7,379,891     |   |   | $             | 25,517,531 |   |   | $      | 1,917,011 |   |   | $ | (257,375 | ) |   | $ | 39,931,973 |   |

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|                                                                                                                                                                                                                                                                                |   | 2010   |             |   | 2009   |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|------------------|--------|--------|--------|
| CASH FLOWS FROM OPERATING ACTIVITIES:                                                                                                                                                                                                                                               |   |   |             |   |   |   |
| Net income                                                                                                                                                                                                                                                                          |   | $      | 1,912,745        |   |   | $      | 1,623,629 |   |
| Adjustments to reconcile net income to                                                                                                                                                                                                                                              |   |   |             |   |   |   |   |   |
| net cash provided by operating activities:                                                                                                                                                                                                                                          |   |   |             |   |   |   |   |   |
| Deferred taxes                                                                                                                                                                                                                                                                      |   |   | 485,249          |   |   |   | (444,865 | ) |
| Provision for loan losses                                                                                                                                                                                                                                                           |   |   | 1,675,000        |   |   |   | 3,420,000 |   |
| Provision for depreciation                                                                                                                                                                                                                                                          |   |   | 756,295          |   |   |   | 798,158 |   |
| Provision for losses on foreclosed real estate                                                                                                                                                                                                                                      |   |   | -                |   |   |   | 216,700 |   |
| Stock dividends received                                                                                                                                                                                                                                                            |   |   | (7,100           | )      |   |   | (7,200 | ) |
| Write-down of other real estate                                                                                                                                                                                                                                                     |   |   | 780,168          |   |   |   | 194,723 |   |
| (Gain) on sale of loans                                                                                                                                                                                                                                                             |   |   | (275,114         | )      |   |   | (205,946 | ) |
| (Gain) Loss on sale of securities                                                                                                                                                                                                                                                   |   |   | (465,465         | )      |   |   | (92,432 | ) |
| (Gain) Loss on sale of other real estate                                                                                                                                                                                                                                            |   |   | (648,469         | )      |   |   | 79,642 |   |
| (Gain) Loss on sale of other securities                                                                                                                                                                                                                                             |   |   | -                |   |   |   | (1,262 | ) |
| Net amortization (accretion) of securities                                                                                                                                                                                                                                          |   |   | 111,412          |   |   |   | 25,667 |   |
| Amortization of acquisition premium                                                                                                                                                                                                                                                 |   |   | 107,616          |   |   |   | 107,616 |   |
| Unearned compensation                                                                                                                                                                                                                                                               |   |   | (47,469          | )      |   |   | (60,023 | ) |
| Net change in:                                                                                                                                                                                                                                                                      |   |   |             |   |   |   |   |   |
| Loans held for sale                                                                                                                                                                                                                                                                 |   |   | (5,289,951       | )      |   |   | 784,063 |   |
| Accrued interest receivable                                                                                                                                                                                                                                                         |   |   | 221,018          |   |   |   | 78,434 |   |
| Cash surrender value of life insurance                                                                                                                                                                                                                                              |   |   | (45,621          | )      |   |   | (43,768 | ) |
| Other assets                                                                                                                                                                                                                                                                        |   |   | 779,807          |   |   |   | (2,281,594 | ) |
| Accrued interest payable                                                                                                                                                                                                                                                            |   |   | (135,157         | )      |   |   | (374,384 | ) |
| Accrued taxes and other liabilities                                         |   |   | (36,287          | ))     |   |   | (881,356 | ) |
|  Net Cash Provided by (Used in) Operating Activities                                                                                                                                                                                                                      |   |   | (121,323         | )      |   |   |  2,935,802 |   |
|                                                                                                                                                                                                                                                                                |   |   |             |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                                                                                                                                                                                                                               |   |   |             |   |   |   |   |   |
| (Increase) decrease in federal funds sold                                                                                                                                                                                                                                           |   |   | (53,698          | )      |   |   | (58,799 | ) |
| Proceeds from sales, principal pay-downs and maturities                                                                                                                                                                                                                             |   |   |             |   |   |   |   |   |
| of investment securities held-to-maturity                                                                                                                                                                                                                                           |   |   | 5,264,312        |   |   |   | 14,003,991 |   |
| Proceeds from sales, principal pay-downs and maturities                                                                                                                                                                                                                             |   |   |             |   |   |   |   |   |
| of investment securities available-for-sale                                                                                                                                                                                                                                         |   |   | 45,240,358       |   |   |   | 33,108,600 |   |
| Proceeds from redemption of Federal Home Loan                                                                                                                                                                                                                                       |   |   |             |   |   |   |   |   |
| Bank stock                                                                                                                                                                                                                                                                          |   |   | 2,094,000        |   |   |   | 756,300 |   |
| Purchases of investment securities held-to-maturity                                                                                                                                                                                                                                 |   |   | -                |   |   |   | (4,131,731 | ) |
| Purchases of investment securities available-for-sale                                                                                                                                                                                                                               |   |   | (44,450,355      | )      |   |   | (19,262,088 | ) |
| Purchase of other equity securities                                                                                                                                                                                                                                                 |   |   | (660,000         | )      |   |   | - |   |
| Net (increase)/decrease in loans                                                                                                                                                                                                                                                    |   |   | 6,424,360        |   |   |   | (2,735,776 | ) |
| Proceeds from sale of other real estate                                                                                                                                                                                                                                             |   |   | 1,350,037        |   |   |   | 741,383 |   |
| Purchases of premises and equipment                                                                                                                                                                                                                                                 |   |   | (324,472         | )      |   |   | (1,906,223 | ) |
|                       Net Cash provided by (Used in) Investing Activities                                                                                             |   |   |  14,884,542 |   |   |   | 20,515,657 |   |

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|                                                                                                                                                                                    |   | 2010   |        |   | 2009   |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-------------|--------|--------|--------|
| CASH FLOWS FROM FINANCING ACTIVITIES:                                                                                                                                                   |   |   |        |   |   |   |
| Net increase (decrease) in customer deposits                                                                                                                                            |   |   | 7,103,364   |   |   |   | (6,468,182 | ) |
| Net increase (decrease) in brokered deposits                                                                                                                                            |   |   | 497,047     |   |   |   | 195,881 |   |
| Net increase (decrease) in Federal Home Loan Bank                                                                                                                                       |   |   |        |   |   |   |   |   |
| advances                                                                                                                                                                                |   |   | (23,565,752 | )      |   |   | (13,917,177 | ) |
| Net increase (decrease) in securities sold under                                                                                                                                        |   |   |        |   |   |   |   |   |
| repurchase agreements                                                                                                                                                                   |   |   | (1,845,430  | )      |   |   | 1,577,490 |   |
| Increase (decrease) in advances from borrowers                                                                                                                                          |   |   |        |   |   |   |   |   |
| for taxes and insurance                                                                                                                                                                 |   |   | (13,372     | )      |   |   | (54,495 | ) |
| Cash dividends paid                                                                                                                                                                     |   |   | (1,537,536  | )      |   |   | (1,531,057 | ) |
| Common stock issued                                                                                                                                                                     |   |   | 107,100     |   |   |   | 86,700 |   |
| Fair value of unexercised stock options                                                                                                                                                 |   |   | 6,572       |   |   |   | 11,479 |   |
|                      Net Cash Provided by (Used in)  Financing Activities |   |   | (19,248,007 | )      |   |   | (20,099,361 | ) |
|                                                                                                                                                                                    |   |   |        |   |   |   |   |   |
| NET INCREASE/(DECREASE) IN CASH AND DUE FROM BANKS                                                                                                                                      |   |   | (4,484,788  | )      |   |   | 3,352,098 |   |
|  CASH AND DUE FROM BANKS AT BEGINNING OF YEAR                                                                                                                                      |   |   | 10,303,641  |   |   |   | 6,951,543 |   |
|  CASH AND DUE FROM BANKS AT END OF YEAR                                                                                                                                            |   | $      | 5,818,853   |   |   | $      | 10,303,641 |   |
|  SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION                                                                                                                                 |   |   |        |   |   |   |   |   |
| Cash payments for:                                                                                                                                                                      |   |   |        |   |   |   |   |   |
| Income taxes                                                                                                                                                                            |   | $      | (74,320     | )      |   | $      | 1,254,865 |   |
|  Interest on deposits and borrowings                                                                                                                                               |   | $      | 5,839,893   |   |   | $      | 6,834,315 |   |
|                                                                                                                                                                                    |   |   |        |   |   |   |   |   |
| SCHEDULE OF NONCASH INVESTING AND FINANCING ACTIVITIES:                                                                                                                                 |   |   |        |   |   |   |   |   |
| Transfers to other real estate/other repossessed assets                                                                                                                                 |   | $      | 3,969,718   |   |   | $      | 1,128,452 |   |
|                                                                                                                                                                                    |   |   |        |   |   |   |   |   |
| Change in unrealized (gains) losses on                                                                                                                                                  |   |   |        |   |   |   |   |   |
| securities available-for-sale                                                                                                                                                           |   | $      | (558,738    | )      |   | $      | 269,684 |   |
|                                                                                                                                                                                    |   |   |        |   |   |   |   |   |
| Change in the deferred tax effect in unrealized                                                                                                                                         |   |   |        |   |   |   |   |   |
| gains (losses) on securities available-for-sale                                                                                                                                         |   | $      | (208,409    | )      |   | $      | 100,592 |   |
|                                                                                                                                                                                    |   |   |        |   |   |   |   |   |

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|                                               | 2010   |      |   | 2009   |   |
|----------------------------------------------------|--------|-----------|--------|--------|--------|
| Basic weighted average shares outstanding          |   | 2,134,332 |   |   |   | 2,125,371 |   |
| Dilutive effect of stock options                   |   | 609       |   |   |   | 428 |   |
|  Dilutive weighted average shares outstanding |   | 2,134,941 |   |   |   | 2,125,799 |   |
| Net income                                         | $      | 1,912,745 |   |   | $      | 1,623,629 |   |
| Net income per share-basic                         | $      | 0.90      |   |   | $      | 0.76 |   |
| Net income per share-dilutive                      | $      | 0.90      |   |   | $      | 0.76 |   |

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|                                                                                                                                                        |   |      |       |   | Gross      |   |      | Gross      |   |   |     |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|------------|--------|------------|--------|-----------|------------|--------|--------|----------|--------|
|                                                                                                                                                        |   | Amortized |       |   | Unrealized |   |      | Unrealized |   |   | Fair     |   |
|                                                                                                                                                        |   | Cost      |       |   | Gains      |   |      | Losses     |   |   | Value    |   |
| Obligations of State and                                                                                                                                    |   |      |       |   |       |   |      |       |   |   |     |   |
| Political Subdivisions                                                                                                                                      |   | $         | 31,747,346 |   |       | $      | 558,246   |       |   | $      | (200,170 | )      |   | $ | 32,105,422 |   |
| Mortgage-Backed Securities                                                                                                                                  |   |      | 8,013,410  |   |       |   | 490,931   |       |   |   | -        |   |   |   | 8,504,341 |   |
|                          Total |   | $         | 39,760,756 |   |       | $      | 1,049,177 |       |   | $      | (200,170 | )      |   | $ | 40,609,763 |   |

|                                                                                                                                                        |   |      |       |   | Gross      |   |      | Gross      |   |   |     |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|------------|--------|------------|--------|-----------|------------|--------|--------|----------|--------|
|                                                                                                                                                        |   | Amortized |       |   | Unrealized |   |      | Unrealized |   |   | Fair     |   |
|                                                                                                                                                        |   | Cost      |       |   | Gains      |   |      | Losses     |   |   | Value    |   |
| Obligations of State and                                                                                                                                    |   |      |       |   |       |   |      |       |   |   |     |   |
| Political Subdivisions                                                                                                                                      |   | $         | 7,366,392  |   |       | $      | 95,289    |       |   | $      | (289,191 | )      |   | $ | 7,172,490 |   |
| Mortgage-Backed Securities                                                                                                                                  |   |      | 62,346,074 |   |       |   | 3,421,198 |       |   |   | (60,622  | )      |   |   | 65,706,650 |   |
| Obligations of Other U.S.                                                                                                                                   |   |      |       |   |       |   |      |       |   |   |     |   |   |   |   |   |
| Government Sponsored Agencies                                                                                                                               |   |      | 24,538,510 |   |       |   | 42,797    |       |   |   | (152,037 | )      |   |   | 24,429,270 |   |
|                          Total |   | $         | 94,250,976 |   |       | $      | 3,559,284 |       |   | $      | (501,850 | )      |   | $ | 97,308,410 |   |

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|                                                                                                                                                        |   |      |       |   | Gross      |   |      | Gross      |   |   |     |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|------------|--------|------------|--------|-----------|------------|--------|--------|----------|--------|
|                                                                                                                                                        |   | Amortized |       |   | Unrealized |   |      | Unrealized |   |   | Fair     |   |
|                                                                                                                                                        |   | Cost      |       |   | Gains      |   |      | Losses     |   |   | Value    |   |
| Obligations of State and                                                                                                                                    |   |      |       |   |       |   |      |       |   |   |     |   |
| Political Subdivisions                                                                                                                                      |   | $         | 33,621,558 |   |       | $      | 758,162   |       |   | $      | (253,581 | )      |   | $ | 34,126,138 |   |
| Mortgage-Backed Securities                                                                                                                                  |   |      | 11,406,356 |   |       |   | 464,451   |       |   |   | -        |   |   |   | 11,870,807 |   |
|                          Total |   | $         | 45,027,914 |   |       | $      | 1,222,613 |       |   | $      | (253,581 | )      |   | $ | 45,996,945 |   |

|                                                                                                                                                        |   |      |       |   | Gross      |   |      | Gross      |   |   |     |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|------------|--------|------------|--------|-----------|------------|--------|--------|----------|--------|
|                                                                                                                                                        |   | Amortized |       |   | Unrealized |   |      | Unrealized |   |   | Fair     |   |
|                                                                                                                                                        |   | Cost      |       |   | Gains      |   |      | Losses     |   |   | Value    |   |
| Obligations of State and                                                                                                                                    |   |      |       |   |       |   |      |       |   |   |     |   |
| Political Subdivisions                                                                                                                                      |   | $         | 6,978,808  |   |       | $      | 171,975   |       |   | $      | (317,748 | )      |   | $ | 6,833,035 |   |
| Mortgage-Backed Securities                                                                                                                                  |   |      | 84,105,117 |   |       |   | 3,899,723 |       |   |   | (12,283  | )      |   |   | 87,992,557 |   |
| Obligations of Other U.S.                                                                                                                                   |   |      |       |   |       |   |      |       |   |   |     |   |   |   |   |   |
| Government Sponsored Agencies                                                                                                                               |   |      | 3,600,154  |   |       |   | -         |       |   |   | (125,494 | )      |   |   | 3,474,660 |   |
|                          Total |   | $         | 94,684,079 |   |       | $      | 4,071,698 |       |   | $      | (455,525 | )      |   | $ | 98,300,252 |   |

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|                                                             |   | Less than 12 Months |       |   | 12 Months or More |   |          | Total   |   |
|------------------------------------------------------------------|--------|---------------------|------------|--------|-------------------|--------|---------------|---------|--------|
|                                                             |   | Fair                |       |   | Unrealized        |   |          | Fair    |   |   | Unrealized |   |   | Fair |   |   | Unrealized |   |
|                                                             |   | Value               |       |   | Loss              |   |          | Value   |   |   | Loss |   |   | Value |   |   | Loss |   |
| Held-to-Maturity:                                                |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
|  Obligations of                                             |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
| State and Political                                              |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
| Subdivisions (21)                                                |   | $                   | 8,828,777  |   |              | $      | (168,632      | )       |   | $ | 468,462 |   |   | $ | (31,538 | ) |   | $ | 9,297,239 |   |   | $ | (200,170 | ) |
| Total                                                            |   | $                   | 8,828,777  |   |              | $      | (168,632      | )       |   | $ | 468,462 |   |   | $ | (31,538 | ) |   | $ | 9,297,239 |   |   | $ | (200,170 | ) |
|                                                             |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Available for Sale:                                              |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Obligations of                                             |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| State and Political                                              |   |                |       |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Subdivisions (12)                                                |   | $                   | 1,038,994  |   |              | $      | (19,365       | )       |   | $ | 2,637,651 |   |   | $ | (269,826 | ) |   | $ | 3,676,645 |   |   | $ | (289,191 | ) |
| Mortgaged-backed Securities (4)                                  |   |                | 9,440,517  |   |              |   |  (60,622 | )  |   |   |  - |   |   |   |  - |   |   |   | 9,440,517 |   |   |   | (60,622 | )  |
| Obligations of Other U.S. Government Sponsored Agencies (7) |   |                | 17,857,740 |   |              |   | (152,037      | )       |   |   | - |   |   |   | - |   |   |   | 17,857,740 |   |   |   | (152,037 | ) |
| Total                                                            |   | $                   | 28,337,251 |   |              | $      | (232,024      | )       |   | $ | 2,637,651 |   |   | $ | (269,826 | ) |   | $ | 30,974,902 |   |   | $ | (501,850 | ) |

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|                                                             |   | Less than 12 Months |          |   | 12 Months or More |   |          | Total   |   |
|------------------------------------------------------------------|--------|---------------------|---------------|--------|-------------------|--------|---------------|---------|--------|
|                                                             |   | Fair                |          |   | Unrealized        |   |          | Fair    |   |   | Unrealized |   |   | Fair |   |   | Unrealized |   |
|                                                             |   | Value               |          |   | Loss              |   |          | Value   |   |   | Loss |   |   | Value |   |   | Loss |   |
| Held-to-Maturity:                                                |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
|  Obligations of                                             |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
| State and Political                                              |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |
| Subdivisions (25)                                                |   | $                   | 5,753,701     |   |              | $      | (39,094       | )       |   | $ | 4,466,850 |   |   | $ | (214,487 | ) |   | $ | 10,220,551 |   |   | $ | (253,581 | ) |
| Total                                                            |   | $                   | 5,753,701     |   |              | $      | (39,094       | )       |   | $ | 4,466,850 |   |   | $ | (214,487 | ) |   | $ | 10,220,551 |   |   | $ | (253,581 | ) |
|                                                             |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Available for Sale:                                              |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|  Obligations of                                             |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| State and Political                                              |   |                |          |   |              |   |          |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Subdivisions (12)                                                |   | $                   | 3,647,027     |   |              | $      | (317,748      | )       |   | $  | - |   |   | $  | - |   |   | $ | 3,647,027 |   |   | $ | (317,748 | ) |
| Mortgaged-backed Securities (1)                                  |   |                |  924,524 |   |              |   |  (12,283 | )  |   |   |  - |   |   |   |  - |   |   |   |  924,524 |   |   |   |  (12,283 | )  |
| Obligations of Other U.S. Government Sponsored Agencies (2) |   |                | 3,474,660     |   |              |   | (125,494      | )       |   |   | - |   |   |   | - |   |   |   | 3,474,660 |   |   |   | (125,494 | ) |
| Total                                                            |   | $                   | 8,046,211     |   |              | $      | (455,526      | )       |   | $  | - |   |   | $  | - |   |   | $ | 8,046,211 |   |   | $ | (455,526 | ) |

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|                         |   | Mortgage Backed Securities |   |
|------------------------------|--------|----------------------------|--------|
|                         |   | Held-to-Maturity           |   |   | Available-for-Sale |   |
|                         |   | Weighted Average Yield     |   |   | Amortized Cost |   |   | Fair Value |   |   | Weighted Average Yield |   |   | Amortized Cost |   |   | Fair Value |   |
| Due after 5 years through 10 |   |                       | 5.301  | % |   | $ | 684,034 |   |   | $ | 734,804 |   |   |   | 4.206 | % |   | $ | 730,389 |   |   | $ | 764,952 |   |
| Due after 10 years           |   |                       | 5.249  | % |   |   | 7,329,376 |   |   |   | 7,769,537 |   |   |   | 4.914 | % |   |   | 61,615,685 |   |   |   | 64,941,698 |   |
| Total                        |   |                       | 5.253  | % |   | $ | 8,013,410 |   |   | $ | 8,504,341 |   |   |   | 4.906 | % |   | $ | 62,346,074 |   |   | $ | 65,706,650 |   |

|                       |   | Obligations of Other U.S. Government Sponsored Entities |   |
|----------------------------|--------|---------------------------------------------------------|--------|
|                       |   | Held-to-Maturity                                        |   |   | Available-for-Sale |   |
|                       |   | Weighted Average Yield                                  |   |   | Amortized Cost |   |   | Fair Value |   |   | Weighted Average Yield |   |   | Amortized Cost |   |   | Fair Value |   |
| Due after 1 year through 5 |   |                                                    | -      |   |   | $ | - |   |   | $ | - |   |   |   | 1.119 | % |   | $ | 21,009,777 |   |   | $ | 20,876,580 |   |
| Due after 10 years         |   |                                                    | -      |   |   |   | - |   |   |   | - |   |   |   | 2.929 | % |   |   | 3,528,733 |   |   |   | 3,552,690 |   |
| Total                      |   |                                                    | -      |   |   | $ | - |   |   | $ | - |   |   |   | 1.379 | % |   | $ | 24,538,510 |   |   | $ | 24,429,270 |   |

|                         |   | Obligations of State and Political Subdivisions |   |
|------------------------------|--------|-------------------------------------------------|--------|
|                         |   | Held-to-Maturity                                |   |   | Available-for-Sale |   |
|                         |   | Weighted Average Yield                          |   |   | Amortized Cost |   |   | Fair Value |   |   | Weighted Average Yield |   |   | Amortized Cost |   |   | Fair Value |   |
| Due in 1 year or less        |   |                                            | -      |   |   | $ | - |   |   | $ | - |   |   |   | - |   |   | $ | - |   |   | $ | - |   |
| Due after 1 year through 5   |   |                                            | 6.762  | % |   |   | 6,646,658 |   |   |   | 6,834,857 |   |   |   | 2.662 | % |   |   | 388,974 |   |   |   | 391,260 |   |
| Due after 5 years through 10 |   |                                            | 7.061  | % |   |   | 10,339,943 |   |   |   | 10,651,510 |   |   |   | 5.147 | % |   |   | 955,327 |   |   |   | 955,759 |   |
| Due after ten years          |   |                                            | 6.322  | % |   |   | 14,760,745 |   |   |   | 14,619,056 |   |   |   | 7.035 | % |   |   | 6,022,090 |   |   |   | 5,825,471 |   |
| Total                        |   |                                            | 6.655  | % |   | $ | 31,747,346 |   |   | $ | 32,105,422 |   |   |   | 6.559 | % |   | $ | 7,366,392 |   |   | $ | 7,172,490 |   |

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|                                   |   | 2010   |        |   | 2009   |   |
|----------------------------------------|--------|--------|-------------|--------|--------|--------|
| Commercial, Financial and Agricultural |   | $      | 24,661,000  |   |   | $      | 25,606,000 |   |
| Commercial Real Estate                 |   |   | 108,856,000 |   |   |   | 120,983,000 |   |
| Residential                            |   |   | 78,671,000  |   |   |   | 73,082,000 |   |
| Consumer                               |   |   | 4,204,000   |   |   |   | 4,806,000 |   |
| Overdrafts                             |   |   | 247,000     |   |   |   | 124,000 |   |
|  Total loans                      |   | $      | 216,639,000 |   |   | $      | 224,601,000 |   |

|   |
|--------|

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|                   |   | 2010   |     |   | 2009   |   |
|------------------------|--------|--------|----------|--------|--------|--------|
| Balance at January 1   |   | $      | 957,807  |   |   | $      | 1,394,093 |   |
| New Loans              |   |   | 146,003  |   |   |   | 418,645 |   |
| Repayments             |   |   | (552,869 | )      |   |   | (854,931 | ) |
| Transfers out          |   |   | (142,832 | )      |   |   | - |   |
| Balance at December 31 |   | $      | 408,109  |   |   | $      | 957,807 |   |

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|                                      |   |       |       |    | Commercial  |    |        |     |   |    |        |    |   |        |       |    |   |   |
|-------------------------------------------|--------|------------|------------|---------|-------------|---------|-------------|----------|--------|---------|-------------|---------|--------|-------------|------------|---------|--------|--------|
|                                      |   | Commercial |       |    | Real Estate |    |        | Consumer |   |    | Residential |    |   | Unallocated |       |    | Total  |   |
| Allowance for credit losses:              |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |
| Beginning balance                         |   | $          | 631,065    |    |        | $       | 2,476,025   |     |   | $       | 161,172     |    |   | $           | 300,750    |    |   | $      | 309,726 |   |   | $ | 3,878,738 |   |
|      Charge-offs |   |       | (523,284   | )  |        |    | (2,496,345  | )   |   |    | (24,381     | )  |   |        | (165,350   | )  |   |   | - |   |   |   | (3,209,360 | )  |
|      Recoveries  |   |       | 48,477     |    |        |    | 6,336       |     |   |    | 4,427       |    |   |        | 16,521     |    |   |   | - |   |   |   | 75,761 |   |
|      Provision   |   |       | 220,688    |    |        |    | 1,484,676   |     |   |    | (114,628    | )  |   |        | 353,594    |    |   |   | (269,326 | )   |   |   | 1,675,004 |   |
| Ending balance                            |   | $     | 376,946    |    |        | $  | 1,470,692   |     |   | $  | 26,590      |    |   | $      | 505,515    |    |   | $      | 40,400 |   |   | $  | 2,420,143 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending balance:  individually   |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| evaluated for impairment                  |   | $     | 131,663    |    |        | $  | 784,382     |     |   | $  | -           |    |   | $      | 139,819    |    |   | $      | - |   |   | $  | 1,055,864 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending Balance: collectively              |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| evaluated for impairment                  |   | $     | 245,283    |    |        | $  | 686,310     |     |   | $  | 26,590      |    |   | $      | 365,696    |    |   | $      | 40,400 |   |   | $  | 1,364,279 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending Balance: loans acquired with       |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| deteriorated credit quality               |   | $     | -          |    |        | $  | -           |     |   | $  | -           |    |   | $      | -          |    |   | $      | - |   |   | $  | - |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Financing receivables:               |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending balance                            |   | $          | 24,661,000 |    |        | $       | 108,856,000 |     |   | $       | 4,451,000   |    |   | $           | 78,671,000 |    |   | $      | - |   |   | $ | 216,639,000 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending balance: individually              |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| evaluated for impairment                  |   | $     | 364,163    |    |        | $  | 6,862,175   |     |   | $  | 24,028      |    |   | $      | 259,406    |    |   | $      | - |   |   | $  | 7,509,772 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending balance: collectively              |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| evaluated for impairment                  |   | $     | 24,296,837 |    |        | $  | 101,993,825 |     |   | $  | 4,426,972   |    |   | $      | 78,411,594 |    |   | $      | - |   |   | $  | 209,129,228 |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| Ending balance: loans acquired with       |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
| deteriorated credit quality               |   | $     | -          |    |        | $  | -           |     |   | $  | -           |    |   | $      | -          |    |   | $      | - |   |   | $  | - |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |   |   |
|                                      |   |       |       |    |        |    |        |     |   |    |        |    |   |        |       |    |   |   |   |   |   |   |

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Table of Contents

|                                   | 2009   |       |
|----------------------------------------|--------|------------|
| Balance at January 1                   | $      | 2,397,802  |   |
| Credits charged off:                   |   |       |   |
| Commercial, Financial and Agricultural |   | (139,581   | )  |
| Real Estate – Construction       |   | (275,364   | )  |
| Real Estate – Residential        |   | (138,421   | )  |
| Real Estate – Other              |   | (1,456,360 | )  |
| Installment Loans                      |   | (59,873    | )  |
| Total Charge-Offs                      |   | (2,069,599 | )  |
| Recoveries:                            |   |       |   |
| Commercial, Financial and Agricultural |   | 25,159     |   |
| Real Estate – Construction       |   | 10,033     |   |
| Real Estate – Residential        |   | 88,490     |   |
| Real Estate - Other                    |   | -          |   |
| Installment Loans                      |   | 6,853      |   |
| Total Recoveries                       |   | 130,535    |   |
| Net Credits Charged Off                |   | (1,939,064 | )  |
| Provision for Loan Losses              |   | 3,420,000  |   |
| Balance at December 31                 | $      | 3,878,738  |   |

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Table of Contents

|                                                                                                 |   | Performing |        |   | Non-Performing |   |      | Total  |   |
|------------------------------------------------------------------------------------------------------|--------|------------|-------------|--------|----------------|--------|-----------|--------|--------|
|                                                                                                 |   |       |        |   |           |   |      |   |   |
|                                                                                                 |   |       |        |   |           |   |      |   |   |
| Commercial                                                                                           |   | $          | 24,296,837  |   |           | $      | 364,163   |   |   | $ | 24,661,000 |   |
| Consumer                                                                                             |   |       | 4,426,783   |   |           |   | 24,217    |   |   |   | 4,451,000 |   |
|                                                                                                 |   |       |        |   |           |   |      |   |   |   |   |   |
| Real Estate                                                                                          |   |       |        |   |           |   |      |   |   |   |   |   |
|      Construction and Development                                           |   |       |        |   |           |   |      |   |   |   |   |   |
|            1-4 family residential             |   |       | 10,641,000  |   |           |   | -         |   |   |   | 10,641,000 |   |
|            Other construction loans           |   |       | 17,521,218  |   |           |   | 911,782   |   |   |   | 18,433,000 |   |
|     Commercial Real Estate                                                       |   |       |        |   |           |   |      |   |   |   |   |   |
|             Owner occupied               |   |       | 37,311,142  |   |           |   | 2,777,858 |   |   |   | 40,089,000 |   |
|             Non-owner occupied           |   |       | 46,759,883  |   |           |   | 3,574,117 |   |   |   | 50,334,000 |   |
|     Residential                                                                  |   |       |        |   |           |   |      |   |   |   |   |   |
|              1-4 family residential |   |       | 54,622,211  |   |           |   | 341,789   |   |   |   | 54,964,000 |   |
|              Multi-family           |   |       | 13,066,000  |   |           |   | -         |   |   |   | 13,066,000 |   |
|                                                                                                 |   |       |        |   |           |   |      |   |   |   |   |   |
| Total                                                                                                |   | $          | 208,645,074 |   |           | $      | 7,993,926 |   |   | $ | 216,639,000 |

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|                                                                                                                                                                                      |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                                                                                      |   |
|                                                                                                                                                                                      |   | 30-89 Days Past Due |   |   | Greater Than 90 Days Past Due |   |   | Total Past Due |   |   | Current Loans |   |   | Total Financing Recievable |   |   | Recorded Investment > 90 Days and Accruing |   |
| Commercial                                                                                                                                                                                |   | $ | 67,563 |   |   | $ | 188,594 |   |   | $ | 256,157 |   |   | $ | 24,404,843 |   |   | $ | 24,661,000 |   |   | $ | - |   |
| Consumer                                                                                                                                                                                  |   |   | 52,579 |   |   |   | 24,217 |   |   |   | 76,796 |   |   |   | 4,374,204 |   |   |   | 4,451,000 |   |   |   | 189 |   |
|                                                                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Real Estate:                                                                                                                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|      Construction & Development:                                                                                                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|           1-4 Family Residential                                                                                                        |   |   | 833,395 |   |   |   | - |   |   |   | 833,395 |   |   |   | 9,807,605 |   |   |   | 10,641,000 |   |   |   | - |   |
|           Other Construction Loan                                                                                                       |   |   | 190,430 |   |   |   | 911,782 |   |   |   | 1,102,212 |   |   |   | 17,330,788 |   |   |   | 18,433,000 |   |   |   | 483,965 |   |
|     Commercial Real Estate:                                                                                                                                           |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|           Owner Occupied                                                                                                                |   |   | 1,548,589 |   |   |   | 3,574,117 |   |   |   | 5,122,706 |   |   |   | 34,966,294 |   |   |   | 40,089,000 |   |   |   | - |   |
|            Non-Owner Occupied                                                                                                      |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 50,334,000 |   |   |   | 50,334,000 |   |   |   | - |   |
|     Residential:                                                                                                                                                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|            1-4 Family Residential                                                                                                  |   |   | 700,210 |   |   |   | 140,467 |   |   |   | 840,677 |   |   |   | 54,123,323 |   |   |   | 54,964,000 |   |   |   | - |   |
|            Multi-family                                                                                                            |   |   | - |   |   |   | - |   |   |   | - |   |   |   | 13,066,000 |   |   |   | 13,066,000 |   |   |   | - |   |
|                               Total |   | $ | 3,392,766 |   |   | $ | 4,839,177 |   |   | $ | 8,231,943 |   |   | $ | 208,407,057 |   |   | $ | 216,639,000 |   |   | $ | 484,154 |   |

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|                                                                                                                                       | 2010   |      |
|--------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------|
|                                                                                                                                       |   |      |
|      Commercial                                                                                                   | $      | 364,163   |   |
|      Consumer                                                                                                     |   | 24,028    |   |
|      Real Estate:                                                                                                 |   |      |   |
|            Construction and Development:                                            |   |      |   |
|                   1-4 Family Residential         |   | -         |   |
|                    Other Construction Loans |   | 427,817   |   |
|            Commercial Real Estate                                                   |   |      |   |
|                    Owner Occupied           |   | 2,777,858 |   |
|                    Non-owner Occupied       |   | 3,574,117 |   |
|            Residential                                                              |   |      |   |
|                    1-4 Family Residential   |   | 341,789   |   |
|                    Multi-family             |   | -         |   |
| Total                                                                                                                                      | $      | 7,509,772 |   |

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|                                                                                                                     |   | Recorded Investment |      |   | Unpaid Principal Balance |   |      | Related Allowance |   |   | Average Recorded Investment |   |   | Interest Income Recognized |      |
|--------------------------------------------------------------------------------------------------------------------------|--------|---------------------|-----------|--------|--------------------------|--------|-----------|-------------------|--------|--------|-----------------------------|--------|--------|----------------------------|-----------|
| With No Related Allowance Recorded:                                                                                      |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |
|      Commercial                                                                                 |   | $                   | -         |   |                     | $      | -         |              |   | $      | -                           |   |   | $                          | -         |   |   | $ | - |   |
|      Consumer                                                                                   |   |                | 26,370    |   |                     |   | -         |              |   |   | -                           |   |   |                       | 26,498    |   |   |   | - |   |
|      Real Estate:                                                                               |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|            Construction and Development:                          |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                 Other Construction Loans |   |                | 330,703   |   |                     |   | 556,817   |              |   |   | -                           |   |   |                       | 590,120   |   |   |   | - |   |
|            Commercial Real Estate:                                |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 Owner Occupied           |   |                | 1,398,337 |   |                     |   | 1,273,530 |              |   |   | -                           |   |   |                       | 1,302,045 |   |   |   | 21,113 |   |
|                 Non-Owner Occupied       |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|            Residential:                                           |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | 202,904   |   |                     |   | 128,219   |              |   |   | -                           |   |   |                       | 213,837   |   |   |   | 7,533 |   |
|                 Multifamily              |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                                                                                                                     |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
| With Related Allowance Recorded:                                                                                         |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|      Commercial                                                                                 |   |                | 387,464   |   |                     |   | 364,163   |              |   |   | 131,663                     |   |   |                       | 373,183   |   |   |   | 2,898 |   |
|      Consumer                                                                                   |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|      Real Estate:                                                                               |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|            Construction and Development:                          |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                 Other Construction Loans |   |                | 170,968   |   |                     |   | 454,000   |              |   |   | 45,500                      |   |   |                       | 171,396   |   |   |   | - |   |
|            Commercial Real Estate:                                |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 Owner Occupied           |   |                | 1,612,482 |   |                     |   | 1,731,769 |              |   |   | 179,765                     |   |   |                       | 1,569,355 |   |   |   | 17,482 |   |
|                 Non-Owner Occupied       |   |                | 3,707,323 |   |                     |   | 3,574,117 |              |   |   | 559,117                     |   |   |                       | 3,707,323 |   |   |   | - |   |
|            Residential:                                           |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | 203,813   |   |                     |   | 192,467   |              |   |   | 139,819                     |   |   |                       | 222,159   |   |   |   | 2,504 |   |
|                 Multifamily              |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                                                                                                                     |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
| Total                                                                                                                    |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|      Commercial                                                                                 |   |                | 387,464   |   |                     |   | 364,163   |              |   |   | 131,663                     |   |   |                       | 373,183   |   |   |   | 2,898 |   |
|      Consumer                                                                                   |   |                | 26,370    |   |                     |   | -         |              |   |   | -                           |   |   |                       | 26,498    |   |   |   | - |   |
|      Real Estate:                                                                               |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|            Construction and Development:                          |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                 Other Construction Loans |   |                | 501,671   |   |                     |   | 1,010,817 |              |   |   | 45,500                      |   |   |                       | 761,516   |   |   |   | - |   |
|            Commercial Real Estate:                                |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 Owner Occupied           |   |                | 3,010,819 |   |                     |   | 3,005,299 |              |   |   | 179,765                     |   |   |                       | 2,871,400 |   |   |   | 38,595 |   |
|                 Non-Owner Occupied       |   |                | 3,707,323 |   |                     |   | 3,574,117 |              |   |   | 559,117                     |   |   |                       | 3,707,323 |   |   |   | - |   |
|            Residential:                                           |   |                |      |   |                     |   |      |              |   |   |                        |   |   |                       |      |   |   |   |   |   |
|                 1-4 Family Residential   |   |                | 406,717   |   |                     |   | 320,686   |              |   |   | 139,819                     |   |   |                       | 435,996   |   |   |   | 10,037 |   |
|                 Multifamily              |   |                | -         |   |                     |   | -         |              |   |   | -                           |   |   |                       | -         |   |   |   | - |   |
|                                                                                                                     |   | $                   | 8,040,364 |   |                     | $      | 8,275,082 |              |   | $      | 1,055,864                   |   |   | $                          | 8,175,916 |   |   | $ | 51,530 |   |

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Table of Contents

|                             |   | 2010   |       |   | 2009   |   |
|----------------------------------|--------|--------|------------|--------|--------|--------|
| Buildings and Improvements       |   | $      | 8,165,338  |   |   | $      | 8,124,305 |   |
| Furniture and Equipment          |   |   | 6,251,420  |   |   |   | 6,149,909 |   |
|                             |   |   | 14,416,758 |   |   |   | 14,274,214 |   |
| Less: Accumulated Depreciation   |   |   | (8,369,162 | )      |   |   | (7,612,867 | ) |
| Land                             |   |   | 1,551,481  |   |   |   | 1,369,553 |   |
| Bank Premises and Equipment, Net |   | $      | 7,599,077  |   |   | $      | 8,030,900 |   |

|                                 |   | 2010   |        |   | 2009   |   |
|--------------------------------------|--------|--------|-------------|--------|--------|--------|
| Non-Interest Bearing Demand Deposits |   | $      | 45,634,123  |   |   | $      | 49,847,304 |   |
| NOW Accounts                         |   |   | 66,650,551  |   |   |   | 57,815,246 |   |
| Money Market Deposit Accounts        |   |   | 36,140,259  |   |   |   | 30,563,856 |   |
| Savings Accounts                     |   |   | 19,098,255  |   |   |   | 18,259,388 |   |
| Certificates of Deposit              |   |   | 91,019,342  |   |   |   | 94,456,326 |   |
|                       |   | $      | 258,542,530 |   |   | $      | 250,942,120 |   |

----

Table of Contents

|                           |   | 2010   |       |   | 2009   |   |
|--------------------------------|--------|--------|------------|--------|--------|--------|
| Time Remaining Until Maturity: |   |   |       |   |   |   |
| Three Months or Less           |   | $      | 8,916,552  |   |   | $      | 16,319,474 |   |
| Over Three Through Six Months  |   |   | 11,371,781 |   |   |   | 6,517,440 |   |
| Over Six Through Twelve Months |   |   | 16,876,882 |   |   |   | 14,213,515 |   |
| Over Twelve Months             |   |   | 3,784,489  |   |   |   | 3,628,905 |   |
|            |   | $      | 40,949,704 |   |   | $      | 40,679,334 |   |

| 2011                           |   | $      | 79,514,477 |   |
|--------------------------------|--------|--------|------------|--------|
| 2012                           |   |   | 6,522,938  |   |
| 2013                           |   |   | 2,563,660  |   |
| 2014                           |   |   | 1,870,595  |   |
| 2015                           |   |   | 547,673    |   |
|       |   | $      | 91,019,343 |   |

----

Table of Contents

| 2011                     |   | $      | 8,457,000  |   |
|--------------------------|--------|--------|------------|--------|
| 2012                     |   |   | 2,000,000  |   |
| 2013                     |   |   | -          |   |
| 2014                     |   |   | 7,000,000  |   |
| 2015                     |   |   | -          |   |
|      |   | $      | 17,457,000 |   |

----

Table of Contents

|                    | OptionsOutstanding |   |  WeightedAverageExercise Price |   |
|-------------------------|--------------------|--------|-------------------------------------|--------|
| December 31, 2008       |               | 27,120 |                                | $      | 17.48 |   |
| Options granted         |               | 5,000  |                                |   | 10.20 |   |
| Options expired         |               | -      |                                |   | - |   |
| Options forfeited       |               | -      |                                |   | - |   |
| December 31, 2009       |               | 32,120 |                                | $      | 16.35 |   |
| Options granted         |               | -      |                                |   | - |   |
| Options expired         |               | (5,000 | )                                   |   | 18.00 |   |
| Options forfeited       |               | -      |                                |   | - |   |
| December 31, 2010  |               | 27,120 |                                | $      | 16.04 |   |

| Exercise Price          | Options Outstanding | Remaining Contractual Life |
|-------------------------|---------------------|----------------------------|
| $ 10.20                 | 5,000               | 1.1 years                  |
|    19.02 |  14,000        | 1.4 years                  |
|    14.50 |  8,120         | 0.9 years                  |

| Assumption          |   | 2010      | 2009        |
|---------------------|--------|-----------|-------------|
| Dividend yield      |   | 6.34%     |  5.45% |
| Risk free rate      |   | 1.40%     | 1.33%       |
| Expected life       |   | 2.5 years | 2.5 years   |
| Expected volatility |   | 57.85%    | 72.94%      |

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Table of Contents

| 2011   |   | $      | 142,761 |   |
|--------|--------|--------|---------|--------|
| 2012   |   |   | 142,761 |   |
| 2013   |   |   | 120,813 |   |
| 2014   |   |   | 35,065  |   |
|   |   | $      | 441,400 |   |

----

Table of Contents

|     |   | 2010   |     |   | 2009   |   |
|----------|--------|--------|----------|--------|--------|--------|
| Current  |   | $      | (252,103 | )      |   | $      | 375,192 |   |
| Deferred |   |   | 485,249  |   |   |   | (444,865 | ) |
|     |   | $      | 233,146  |   |   | $      | (69,673 | ) |

|                        |   | 2010   |     |   | 2009   |   |
|-----------------------------|--------|--------|----------|--------|--------|--------|
| Tax Based on Statutory Rate |   | $      | 729,603  |   |   | $      | 528,345 |   |
| State Taxes                 |   |   | (32,255  | )      |   |   | 30,328 |   |
| Effect of Tax-Exempt Income |   |   | (573,870 | )      |   |   | (599,389 | ) |
| Other                       |   |   | 109,668  |   |   |   | (28,957 | ) |
|                        |   | $      | 233,146  |   |   | $      | (69,673 | ) |

|                                             |   | 2010   |       |   | 2009   |   |
|--------------------------------------------------|--------|--------|------------|--------|--------|--------|
| Deferred Tax Liabilities:                        |   |   |       |   |   |   |
| Unrealized gain on available-for-sale securities |   | $      | (1,140,423 | )      |   | $      | (1,348,832 | ) |
| Depreciation                                     |   |   | (849,097   | )      |   |   | (948,554 | ) |
| Federal Home Loan Bank dividends                 |   |   | (20,252    | )      |   |   | (100,809 | ) |
|                                             |   |   | (2,009,772 | )      |   |   | (2,398,195 | ) |
| Deferred Tax Assets:                             |   |   |       |   |   |   |   |   |
| Provision for loan losses                        |   |   | 482,785    |   |   |   | 1,156,968 |   |
| Deferred Compensation                            |   |   | 145,670    |   |   |   | 136,751 |   |
| Other                                            |   |   | 51,752     |   |   |   | 51,751 |   |
|                                             |   |   | 680,207    |   |   |   | 1,345,470 |   |
|  Net Deferred Tax Liability                 |   | $      | (1,329,565 | )      |   | $      | (1,052,725 | ) |

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|                                          |   | 2010   |       |   | 2009   |   |
|-----------------------------------------------|--------|--------|------------|--------|--------|--------|
| Balance at beginning of year                  |   | $      | (1,052,725 | )      |   | $      | (1,396,998 | ) |
| Deferred tax expense, charged to operations   |   |   | (485,249   | )      |   |   | 444,865 |   |
| Other comprehensive income, charged to equity |   |   | 208,409    |   |   |   | (100,592 | ) |
| Balance at end of year                        |   | $      | (1,329,565 | )      |   | $      | (1,052,725 | ) |

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|                           |   | Actual                 |   |   | Minimum Capital Requirement |   |   | Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions |   |
|--------------------------------|--------|------------------------|--------|--------|-----------------------------|--------|--------|-------------------------------------------------------------------------------|--------|
|                           |   | Amount                 |   |   | Ratio                       |   |   | Amount                                                                        |   |   | Ratio |   |   | Amount |   |   | Ratio |   |
|                           |   | (dollars in thousands) |   |
| As of December 31, 2010        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
| Total Capital (to Risk-        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
| Weighted Assets)               |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 45,092 |   |                        |   | 17.84  | %                                                                             |   | $ | 20,216 |   |   |   | 8.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 42,323 |   |                        |   | 16.76  | %                                                                             |   | $ | 20,197 |   |   |   | 8.00 | % |   | $ | 25,246 |   |   |   | 10.00 | % |
| Tier I Capital (to Risk-       |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted Assets)               |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 42,672 |   |                        |   | 16.89  | %                                                                             |   | $ | 10,108 |   |   |   | 4.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 39,903 |   |                        |   | 15.81  | %                                                                             |   | $ | 10,099 |   |   |   | 4.00 | % |   | $ | 15,148 |   |   |   | 6.00 | % |
| Tier I Capital (to Average     |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Assets)                        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 42,672 |   |                        |   | 11.57  | %                                                                             |   | $ | 14,749 |   |   |   | 4.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 39,903 |   |                        |   | 10.90  | %                                                                             |   | $ | 14,639 |   |   |   | 4.00 | % |   | $ | 18,298 |   |   |   | 5.00 | % |

|                           |   | Actual                 |   |   | Minimum Capital Requirement |   |   | Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions |   |
|--------------------------------|--------|------------------------|--------|--------|-----------------------------|--------|--------|-------------------------------------------------------------------------------|--------|
|                           |   | Amount                 |   |   | Ratio                       |   |   | Amount                                                                        |   |   | Ratio |   |   | Amount |   |   | Ratio |   |
|                           |   | (dollars in thousands) |   |
| As of December 31, 2009        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
| Total Capital (to Risk-        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
| Weighted Assets)               |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 45,376 |   |                        |   | 17.48  | %                                                                             |   | $ | 20,772 |   |   |   | 8.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 42,118 |   |                        |   | 16.24  | %                                                                             |   | $ | 20,753 |   |   |   | 8.00 | % |   | $ | 25,942 |   |   |   | 10.00 | % |
| Tier I Capital (to Risk-       |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted Assets)               |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 42,123 |   |                        |   | 16.22  | %                                                                             |   | $ | 10,386 |   |   |   | 4.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 38,867 |   |                        |   | 14.98  | %                                                                             |   | $ | 10,377 |   |   |   | 4.00 | % |   | $ | 15,565 |   |   |   | 6.00 | % |
| Tier I Capital (to Average     |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Assets)                        |   |                   |   |   |                        |   |   |                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Consolidated |   | $                      | 42,123 |   |                        |   | 10.68  | %                                                                             |   | $ | 15,784 |   |   |   | 4.00 | % |   |   | N/A |   |   |   | N/A |   |
|    The Bank     |   | $                      | 38,867 |   |                        |   | 9.98   | %                                                                             |   | $ | 15,574 |   |   |   | 4.00 | % |   | $ | 19,467 |   |   |   | 5.00 | % |

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| ·   | Level 1 - Includes the most reliable sources, and includes quoted prices in active markets for identical assets or liabilities. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------|

| ·   | Level 2 - Includes observable inputs.  Observable inputs include inputs other than quoted prices that are observable for the asset or liability (for example, interest rates and yield curves at commonly quoted intervals, volatilities, prepayment speeds, loss severities, credit risks, and default rates) as well as inputs that are derived principally from or corroborated by observable market data by correlation or other means (market-corroborated inputs). |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Level 3 - Includes unobservable inputs and should be used only when observable inputs are unavailable. |
|--------------------|--------------------------------------------------------------------------------------------------------|

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|                                     |   | 2010     |    |   | 2009                   |   |
|------------------------------------------|--------|----------|---------|--------|------------------------|--------|
|                                     |   | Carrying |    |   | Fair                   |   |   | Carrying |   |   | Fair |   |
|                                     |   | Amount   |    |   | Value                  |   |   | Amount |   |   | Value |   |
|                                     |   |     |    |   | (dollars in Thousands) |   |   |   |   |
| Financial Assets:                        |   |     |    |   |                   |   |   |   |   |   |   |   |
| Cash and due from banks                  |   | $        | 5,819   |   |                   | $      | 5,819 |   |   | $ | 10,304 |   |   | $ | 10,304 |   |
| Federal funds sold                       |   |     | 112     |   |                   |   | 112 |   |   |   | 59 |   |   |   | 59 |   |
| Investment securities:                   |   |     |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|    Held-to-maturity       |   |     | 39,761  |   |                   |   | 40,610 |   |   |   | 45,028 |   |   |   | 45,997 |   |
|    Available-for-sale     |   |     | 97,308  |   |                   |   | 97,308 |   |   |   | 98,300 |   |   |   | 98,300 |   |
|    Equity securities      |   |     | 1,835   |   |                   |   | 1,835 |   |   |   | 3,262 |   |   |   | 3,262 |   |
| Cash surrender value of life insurance   |   |     | 1,145   |   |                   |   | 1,145 |   |   |   | 1,099 |   |   |   | 1,099 |   |
| Loans, net                               |   |     | 214,219 |   |                   |   | 218,739 |   |   |   | 220,723 |   |   |   | 223,095 |   |
|                                     |   |     |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Financial Liabilities:                   |   |     |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Deposits                                 |   |     | 258,543 |   |                   |   | 259,192 |   |   |   | 250,942 |   |   |   | 251,628 |   |
| Short-term borrowings                    |   |     | 8,457   |   |                   |   | 8,456 |   |   |   | 32,023 |   |   |   | 32,019 |   |
| Long-term borrowings                     |   |     | 9,000   |   |                   |   | 9,368 |   |   |   | 9,000 |   |   |   | 9,074 |   |
| Securities sold under                    |   |     |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
|    repurchase agreements: |   |     |    |   |                   |   |   |   |   |   |   |   |   |   |   |   |
| Retail                                   |   |     | 11,366  |   |                   |   | 11,364 |   |   |   | 13,211 |   |   |   | 13,210 |   |
| Structured                               |   |     | 40,000  |   |                   |   | 43,506 |   |   |   | 40,000 |   |   |   | 43,348 |   |
| Junior subordinated debentures           |   |     | 5,155   |   |                   |   | 5,155 |   |   |   | 5,155 |   |   |   | 5,155 |   |

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| Description                                             |   | Fair Value |       |   | Quoted Prices in Active Markets for Identical Assets (Level 1) |   |   | Significant Other Observable Inputs (Level 2) |   |   | Significant Unobservable Inputs (Level 3) |   |
|---------------------------------------------------------|--------|------------|------------|--------|----------------------------------------------------------------|--------|--------|-----------------------------------------------|--------|--------|-------------------------------------------|--------|
| December 31, 2010:                                      |   |       |       |   |                                                           |   |   |                                          |   |   |                                      |   |
| Mortgage Backed Securities                              |   | $          | 65,706,650 |   |                                                           | $      | 0.00   |                                          |   | $      | 65,706,650                                |   |   | $ | 0.00 |   |
| Obligation of State and Political Subdivision           |   |       | 7,172,490  |   |                                                           |   | 0.00   |                                          |   |   | 7,172,490                                 |   |   |   | 0.00 |   |
| Obligations of Other U.S. Government Sponsored Agencies |   |       | 24,429,270 |   |                                                           |   | 0.00   |                                          |   |   | 24,429,270                                |   |   |   | 0.00 |   |
| Total                                                   |   | $          | 97,308,410 |   |                                                           | $      | 0.00   |                                          |   | $      | 97,308,410                                |   |   | $ | 0.00 |   |
| December 31, 2009:                                      |   |       |       |   |                                                           |   |   |                                          |   |   |                                      |   |   |   |   |   |
| Mortgage Backed Securities                              |   | $          | 87,992,557 |   |                                                           | $      | 0.00   |                                          |   | $      | 87,992,557                                |   |   | $ | 0.00 |   |
| Obligation of State and Political Subdivision           |   |       | 6,833,035  |   |                                                           |   | 0.00   |                                          |   |   | 6,833,035                                 |   |   |   | 0.00 |   |
| Obligations of Other U.S. Government Sponsored Agencies |   |       | 3,474,660  |   |                                                           |   | 0.00   |                                          |   |   | 3,474,660                                 |   |   |   | 0.00 |   |
| Total                                                   |   | $          | 98,300,252 |   |                                                           | $      | 0.00   |                                          |   | $      | 98,300,252                                |   |   | $ | 0.00 |   |

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| Description              |   | Fair Value |      |   | Quoted Prices in Active Markets for Identical Assets (Level 1) |   |   | Significant Other Observable Inputs (Level 2) |   |   | Significant Unobservable Inputs (Level 3) |   |
|--------------------------|--------|------------|-----------|--------|----------------------------------------------------------------|--------|--------|-----------------------------------------------|--------|--------|-------------------------------------------|--------|
|  December 31, 2010: |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |
| Assets:                  |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |
| Impaired Loans           |   | $          | 6,453,908 |   |                                                           | $      | 0.00   |                                          |   | $      | 6,453,908                                 |   |   | $ | 0.00 |   |
| Repossessed Assets       |   |       | 3,303,189 |   |                                                           |   | 0.00   |                                          |   |   | 3,303,189                                 |   |   |   | 0.00 |   |
| Total                    |   | $          | 9,757,097 |   |                                                           | $      | 0.00   |                                          |   | $      | 9,757,097                                 |   |   | $ | 0.00 |   |
|                     |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |   |   |   |   |
| December 31, 2009:       |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |   |   |   |   |
| Assets:                  |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |   |   |   |   |
| Impaired Loans           |   | $          | 6,596,222 |   |                                                           | $      | 0.00   |                                          |   | $      | 6,596,222                                 |   |   | $ | 0.00 |   |
| Repossessed Assets       |   |       | 815,207   |   |                                                           |   | 0.00   |                                          |   |   | 815,207                                   |   |   |   | 0.00 |   |
| Total                    |   | $          | 7,411,429 |   |                                                           | $      | 0.00   |                                          |   | $      | 7,411,429                                 |   |   | $ | 0.00 |   |
|                     |   |       |      |   |                                                           |   |   |                                          |   |   |                                      |   |   |   |   |   |

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| NOTE S. | CONDENSED FINANCIAL INFORMATION OF |
|---------|------------------------------------|

|   | BRITTON & KOONTZ CAPITAL CORPORATION |
|--------|------------------------------------------|

|                                      |   | December 31 |       |
|-------------------------------------------|--------|-------------|------------|
|                                      |   | 2010        |       |   | 2009 |   |
| ASSETS:                                   |   |        |       |   |   |   |
| Cash                                      |   | $           | 2,408,344  |   |   | $ | 3,010,844 |   |
| Investment in subsidiaries                |   |        | 42,474,012 |   |   |   | 41,894,066 |   |
| Other assets                              |   |        | 207,584    |   |   |   | 93,901 |   |
| TOTAL ASSETS                              |   | $           | 45,089,940 |   |   | $ | 44,998,811 |   |
| LIABILITIES:                              |   |        |       |   |   |   |   |   |
| Junior subordinated debentures            |   | $           | 5,155,000  |   |   | $ | 5,155,000 |   |
| Other liabilities                         |   |        | 2,967      |   |   |   | 2,922 |   |
| TOTAL LIABILITIES                         |   |        | 5,157,967  |   |   |   | 5,157,922 |   |
| STOCKHOLDERS’ EQUITY                |   |        | 39,931,973 |   |   |   | 39,840,889 |   |
| TOTAL LIABILITIES AND STOCKHOLDERS’ |   |        |       |   |   |   |   |   |
| EQUITY                                    |   | $           | 45,089,940 |   |   | $ | 44,998,811 |   |

|                                 |   | Years Ended December 31, |      |
|--------------------------------------|--------|--------------------------|-----------|
|                                 |   | 2010                     |      |   | 2009 |   |
| REVENUE:                             |   |                     |      |   |   |   |
| Dividend Received:                   |   |                     |      |   |   |   |
| Britton & Koontz Bank, N.A.      |   | $                        | 1,200,000 |   |   | $ | - |   |
| Other income                         |   |                     | 2,766     |   |   |   | 3,383 |   |
|                                 |   |                     | 1,202,766 |   |   |   | 3,383 |   |
| EXPENSES                             |   |                     | 349,704   |   |   |   | 319,993 |   |
|                                 |   |                     | 853,062   |   |   |   | (316,610 | ) |
| INCOME TAX EXPENSE (BENEFIT)         |   |                     | (129,408  | ) |   |   | (118,989 | ) |
|                                 |   |                     | 982,470   |   |   |   | (197,621 | ) |
| EQUITY IN UNDISTRIBUTED EARNINGS:    |   |                     |      |   |   |   |   |   |
| Britton & Koontz Bank, N.A.      |   |                     | 928,937   |   |   |   | 1,821,699 |   |
| B&K Title Insurance Agency, Inc. |   |                     | 1,338     |   |   |   | (449 | ) |
| NET INCOME                           |   | $                        | 1,912,745 |   |   | $ | 1,623,629 |   |

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| NOTE S. | CONDENSED FINANCIAL INFORMATION OF |
|---------|------------------------------------|

|   | BRITTON & KOONTZ CAPITAL CORPORATION (Continued) |
|--------|------------------------------------------------------|

|                                                |   | Years Ended December 31, |       |
|-----------------------------------------------------|--------|--------------------------|------------|
|                                                |   | 2010                     |       |   | 2009 |   |
| CASH FLOWS FROM OPERATING ACTIVITIES:               |   |                     |       |   |   |   |
| Net Income                                          |   | $                        | 1,912,745  |   |   | $ | 1,623,629 |   |
| Adjustments to reconcile net income to net          |   |                     |       |   |   |   |   |   |
| cash provided by operating activities:              |   |                     |       |   |   |   |   |   |
| Equity on undistributed earnings                    |   |                     |       |   |   |   |   |   |
| and losses of subsidiaries                          |   |                     | (930,275   | ) |   |   | (1,821,250 | ) |
| (Increase)/decrease in other assets                 |   |                     | (113,683   | ) |   |   | 42,948 |   |
| Increase/(decrease) in other liabilities            |   |                     | 45         |   |   |   | (1,045 | ) |
| Net Cash Provided by (Used in) Operating Activities |   |                     | 868,832    |   |   |   | (155,718 | ) |
| CASH FLOWS FROM FINANCING ACTIVITIES:               |   |                     |       |   |   |   |   |   |
| Cash dividends paid                                 |   |                     | (1,537,535 | ) |   |   | (1,531,057 | ) |
| Fair value of stock options                         |   |                     | 6,572      |   |   |   | 11,479 |   |
| Common stock issued                                 |   |                     | 107,100    |   |   |   | 86,700 |   |
| Unearned Compensation                               |   |                     | (47,469    | ) |   |   | (60,023 | ) |
| Net Cash (Used in) Financing Activities             |   |                     | (1,471,332 | ) |   |   | (1,492,901 | ) |
| NET INCREASE (DECREASE) IN CASH                     |   |                     | (602,500   | ) |   |   | (1,648,619 | ) |
| CASH AT BEGINNING OF YEAR                           |   |                     | 3,010,844  |   |   |   | 4,659,463 |   |
| CASH AT END OF YEAR                                 |   | $                        | 2,408,344  |   |   | $ | 3,010,844 |   |

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| DIRECTORS                                                                                                                                   |
|---------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                        |
| Robert R. PunchesPartner, Gwin, Lewis & Punches, LLPChairman, Britton & Koontz Capital Corporation                                  |
|                                                                                                                                        |
|                                                                                                                                        |
| W. W. Allen, Jr.President, Allen Petroleum Services, IncVice Chairman, Britton & Koontz Capital Corporation                             |
|                                                                                                                                        |
|                                                                                                                                        |
| W. Page OgdenPresident & Chief Executive OfficerBritton & Koontz Capital CorporationBritton & Koontz Bank, National Association |
|                                                                                                                                        |
|                                                                                                                                        |
| Craig A. Bradford, D.M.D.Pediatric Dentist                                                                                                  |
|                                                                                                                                        |
|                                                                                                                                        |
| George R. KurzPrincipal, Kurz & Hebert                                                                                                  |
|                                                                                                                                        |
|                                                                                                                                        |
| Gordon S. LeBlanc, Jr.Managing Director-Stonehenge Capital Company, LLC                                                                     |
|                                                                                                                                        |
|                                                                                                                                        |
| Vinod K. Thukral, Ph.D.Chairman, Global Bancorp and Global Trust Bank                                                                       |

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| EXECUTIVE OFFICERS                                                                                                                                            |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                          |
| W. Page OgdenPresident & Chief Executive OfficerBritton & Koontz Capital CorporationBritton & Koontz Bank, National Association                   |
|                                                                                                                                                          |
|                                                                                                                                                          |
| William M. SaltersTreasurer, Chief Financial & Accounting OfficerBritton & Koontz Capital CorporationBritton & Koontz Bank, National Association  |
|                                                                                                                                                          |
|                                                                                                                                                          |
| Jarrett E. NicholsonCredit Policy Officer and Chief Operations OfficerBritton & Koontz Capital CorporationBritton & Koontz Bank, National Association |

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| Plan category                                              |   | Number of securities to be issued upon exercise of outstanding options, warrants and rights |    |   | Weighted-average exercise price of outstanding options, warrants and rights |   |    | Number of securities remaining availablefor future issuance |   |
|------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------|---------|--------|-----------------------------------------------------------------------------|--------|---------|-------------------------------------------------------------|--------|
| Equity compensation plans approved by security holders(1)  |   |                                                                                        | 27,120  |   |                                                                        | $      | 16.04   |                                                        |   |   | 70,380 |   |
| Equity compensation plans not approved by security holders |   |                                                                                        | — |   |                                                                        |   | — |                                                        |   |   | — |   |
| Total                                                      |   |                                                                                        | 27,120  |   |                                                                        | $      | 16.04   |                                                        |   |   | 70,380 |   |

| (1)   | An aggregate of 115,000 shares of common stock are authorized for issuance under the 2007 LTIP in the form of stock options and restricted stock. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

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| 1.   | Consolidated Financial Statements and Supplementary Information for Years Ended December 31, 2010 and 2009, which include the following: |
|----------------|------------------------------------------------------------------------------------------------------------------------------------------|

| (a)   | Management’s Annual Report on Internal Control over Financial Reporting |
|-----------------|-------------------------------------------------------------------------------|

| (b)   | Report of Independent Registered Public Accounting Firm |
|-----------------|---------------------------------------------------------|

| (c)   | Consolidated Balance Sheets |
|-----------------|-----------------------------|

| (d)   | Consolidated Statements of Income |
|-----------------|-----------------------------------|

| (e)   | Consolidated Statements of Changes in Stockholders’ Equity |
|-----------------|------------------------------------------------------------------|

| (f)   | Consolidated Statement of Cash Flows |
|-----------------|--------------------------------------|

| (g)   | Notes to the Consolidated Financial Statements |
|-----------------|------------------------------------------------|

| 2.   | Financial Statement Schedules |
|----------------|-------------------------------|

| 3.   | Exhibits required by Item 601 of Regulation S-K |
|----------------|-------------------------------------------------|

| Exhibit |     | Description of Exhibit                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
|---------|----------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 3.1     | *        | Amended and Restated Articles of Incorporation of Britton & Koontz Capital Corporation, incorporated by reference to Exhibit 3.01 to the Registrant’s Current Report on Form 8-K filed with the Securities and Exchange Commission (the “Commission”) on February 20, 2009.                                                                                                                                                                                                                                                                    |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 3.2     | *        | By-Laws of Britton & Koontz Capital Corporation, as amended, incorporated by reference to Exhibit 3.2 to Registrant’s Current Report on Form 8-K filed with the Commission on October 22, 2008.                                                                                                                                                                                                                                                                                                                                                            |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 4.1     | *        | Shareholder Rights Agreement dated June 1, 1996 between Britton & Koontz Capital Corporation and Britton & Koontz First National Bank, as Rights Agent, incorporated by reference to Exhibit 4.3 to Registrant’s Registration Statement on Form S-8, Registration No. 333-20631, filed with the Commission on January 29, 1997, as amended by Amendment No. 1 to Rights Agreement dated as of August 15, 2006, incorporated by reference to Exhibit 4.2 to Registrant’s Current Report on Form 8-K filed with the Commission on August 17, 2006. |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.01   | *† | Employment Agreement dated February 17, 2009, between Britton & Koontz Capital Corporation and W. Page Ogden, incorporated by reference to Exhibit 10.01 to Registrant’s Current Report on Form 8-K filed with the Commission on February 20, 2009.                                                                                                                                                                                                                                                                                                        |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.02   | *† | Britton & Koontz Capital Corporation Long-Term Incentive Compensation Plan and Amendment, incorporated by reference to Exhibit 4.4 to Registrant’s Registration Statement on Form S-8, Registration No. 333-20631, filed with the Commission on January 29, 1997.                                                                                                                                                                                                                                                                                          |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.03   | *† | Britton & Koontz Capital Corporation 2007 Long-Term Incentive Compensation Plan, incorporated by reference to Appendix B to Registrant’s Definitive Proxy Statement filed with the Commission on March 21, 2007.                                                                                                                                                                                                                                                                                                                                           |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 10.04   | *† | Salary Continuation Agreement dated December 18, 2007, between Britton & Koontz Bank, N.A. and W. Page Ogden, incorporated by reference to Exhibit 10.04 to Registrant’s Current Report on Form 8-K filed with the Commission on February 27, 2008.                                                                                                                                                                                                                                                                                                        |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 21      |     | Subsidiaries of Britton & Koontz Capital Corporation                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 23      |     | Consent of Independent Registered Public Accountants                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 31.1    |     | Certification of Chief Executive Officer as required pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 31.2    |     | Certification of Chief Financial Officer as required pursuant to Section 302 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 32.1    |     | Certification of Chief Executive Officer as required pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|    |     |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| 32.2    |     | Certification of Chief Financial Officer as required pursuant to Section 906 of the Sarbanes-Oxley Act of 2002                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

| * | As indicated in the column entitled “Description of Exhibit,” this exhibit is incorporated by reference to another filing or document. |
|---|----------------------------------------------------------------------------------------------------------------------------------------------------|

| † | Management contract or compensatory plan or arrangement required to be filed as an exhibit to this Annual Report on Form 10-K pursuant to Item 15(b) of Form 10-K. |
|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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Table of Contents

SI

| Signature                   |   | Title                                                                  |   | Date           |
|-----------------------------|--------|------------------------------------------------------------------------|--------|----------------|
|                        |   |                                                                   |   |           |
| /s/ Robert R. Punches       |   |                                                                   |   |           |
| Robert R. Punches           |   | Chairman and Director                                                  |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ W. W. Allen, Jr.        |   |                                                                   |   |           |
| W. W. Allen, Jr.            |   | Vice Chairman and Director                                             |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ W. Page Ogden           |   |                                                                   |   |           |
| W. Page Ogden               |   | Principal Executive Officer and Director                               |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ Craig A. Bradford, DMD  |   |                                                                   |   |           |
| Craig A. Bradford, DMD      |   | Director                                                               |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ George R. Kurz          |   |                                                                   |   |           |
| George R. Kurz              |   | Director                                                               |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ Vinod K. Thukral, Ph.D. |   |                                                                   |   |           |
| Vinod K. Thukral, Ph.D.     |   | Director                                                               |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ Gordon S. LeBlanc, Jr.  |   |                                                                   |   |           |
| Gordon S. LeBlanc, Jr.      |   | Director                                                               |   | March 15, 2011 |
|                        |   |                                                                   |   |           |
| /s/ William M. Salters      |   |                                                                   |   |           |
| William M. Salters          |   | Treasurer, Principal Financial Officer andPrincipal Accounting Officer |   | March 15, 2011 |

----

Table of Contents

| EXHIBIT INDEX |
|---------------|

| Exhibit |   | Description of Exhibit                                                                                          |
|---------|--------|-----------------------------------------------------------------------------------------------------------------|
|    |   |                                                                                                            |
| 21      |   | Subsidiaries of Britton & Koontz Capital Corporation                                                        |
|    |   |                                                                                                            |
| 23      |   | Consent of Independent Registered Public Accountants                                                            |
|    |   |                                                                                                            |
| 31.1    |   | Certification of Chief Executive Officer as required pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
|    |   |                                                                                                            |
| 31.2    |   | Certification of Chief Financial Officer as required pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. |
|    |   |                                                                                                            |
| 32.1    |   | Certification of Chief Executive Officer as required pursuant to Section 906 of the Sarbanes-Oxley Act of 2002  |
|    |   |                                                                                                            |
| 32.2    |   | Certification of Chief Financial Officer as required pursuant to Section 906 of the Sarbanes-Oxley Act of 2002  |