**UNITED      STATES**

**SECURITIES      AND EXCHANGE COMMISSION**

**WASHINGTON,      DC 20549**

**Form      10-Q**

| x      | Quarterly                report under section 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF                1934 |
|--------|-----------------------------------------------------------------------------------------------------------------|
|   |                                                                                                            |
|   | For                the quarterly period ended September 30, 2008                                                |
|   |                                                                                                            |
|  ̈ | TRANSITION                REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE ACT                                  |
|   |                                                                                                            |
|   | For                the transition period from ______ to                ______                                   |

| Florida(State                or Other Jurisdiction ofIncorporation                or Organization) | 65-0840545(IRS                EmployerIdentification                No.) |
|----------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------|

| Large                Accelerated Filer  ̈ | Accelerated                Filer  ̈         |
|-----------------------------------------------|-------------------------------------------------|
| Non-Accelerated                Filer  ̈   | Smaller                reporting company  ̈ |

----

| Part                I. Financial Information                                                                                                                  |   |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|
|                                                                                                                                                          |   |   |
| Item                1. Financial Statements (unaudited)                                                                                                       |   |   |
|                                                                                                                                                          |   |   |
| Consolidated                Balance Sheets as of September 30, 2008 and December 31,                2007                                                      |   | 3      |
|                                                                                                                                                          |   |   |
| Consolidated                Statements of Income for the Three and Nine Months Ended September                30,                2008 and 2007                |   | 4      |
|                                                                                                                                                          |   |   |
| Consolidated                Statements of Cash Flows for the Nine Months Ended September 30,                2008 and                2007                      |   | 5      |
|                                                                                                                                                          |   |   |
| Consolidated                Statements of Changes in Shareholders' Equity for the Nine Months                Ended                September 30, 2008 and 2007 |   | 6      |
|                                                                                                                                                          |   |   |
| Notes                to Consolidated Financial Statements                                                                                                     |   | 7      |
|                                                                                                                                                          |   |   |
| Item                2. Management's Discussion and Analysis of Financial Conditions and                Results of Operations                                  |   | 13     |
|                                                                                                                                                          |   |   |
| Item                3. Quantitative and Qualitative Disclosure about Market                Risk                                                               |   | 22     |
|                                                                                                                                                          |   |   |
| Item                4T. Controls and Procedures                                                                                                               |   | 22     |
|                                                                                                                                                          |   |   |
| Part                II. Other Information                                                                                                                     |   |   |
|                                                                                                                                                          |   |   |
| Item                1. Legal Proceedings                                                                                                                      |   | 23     |
|                                                                                                                                                          |   |   |
| Item                1A. Risk Factors                                                                                                                          |   | 23     |
|                                                                                                                                                          |   |   |
| Item                2. Unregistered Sales of Equity Securities and Use of                Proceeds                                                             |   | 23     |
|                                                                                                                                                          |   |   |
| Item                3. Defaults Upon Senior Securities                                                                                                        |   | 23     |
|                                                                                                                                                          |   |   |
| Item                4. Submission of Matters to a Vote of Security Holders                                                                                    |   | 23     |
|                                                                                                                                                          |   |   |
| Item                5. Other Information                                                                                                                      |   | 23     |
|                                                                                                                                                          |   |   |
| Item                6. Exhibits                                                                                                                               |   | 23     |

----

**PART      I - FINANCIAL INFORMATION**

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

**HORIZON      BANCORPORATION, INC.**

|                                                                                                                                                                                                                                                                       |   | September 30,2008(Unaudited) |         | December 31,2007 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------|--------------|-----------------------|--------|
| **ASSETS**                                                                                                                                                                                                                                                                 |   |                              |         |                  |   |
| Cash                and cash equivalents                                                                                                                                                                                                                                   |   |                              |         |                  |   |
| Cash                and due from banks                                                                                                                                                                                                                                     |   | $                                 | 2,653,076    |                  | $      | 2,391,201 |   |
| Federal                funds sold                                                                                                                                                                                                                                          |   |                              | 1,355,000    |                  |   | 618,000 |   |
| Total                cash and cash equivalents                                                                                                                                                                                                                             |   |                              | 4,008,076    |                  |   | 3,009,201 |   |
| Securities:                                                                                                                                                                                                                                                                |   |                              |         |                  |   |   |   |
| Held                to maturity, at amortized cost                                                                                                                                                                                                                         |   |                              | 13,087,966   |                  |   | 13,090,921 |   |
| Available-for-sale                at fair value                                                                                                                                                                                                                            |   |                              | 19,361,736   |                  |   | 19,800,961 |   |
| Loans                held for sale                                                                                                                                                                                                                                         |   |                              | 4,000,000    |                  |   | ------0----- |   |
| Loans                receivable, net                                                                                                                                                                                                                                       |   |                              | 162,971,304  |                  |   | 153,514,193 |   |
| Property                and equipment, net                                                                                                                                                                                                                                 |   |                              | 2,032,947    |                  |   | 2,030,744 |   |
| Other                real estate owned                                                                                                                                                                                                                                     |   |                              | 2,590,386    |                  |   | 1,119,411 |   |
| Other                assets                                                                                                                                                                                                                                                |   |                              | 3,130,669    |                  |   | 2,263,963 |   |
|                                                                                                                                                                                                                                                                       |   |                              |         |                  |   |   |   |
|                                                                                                                                                                                                                                                                       |   | $                                 | 211,183,084  |                  | $      | 194,829,394 |   |
|                                                                                                                                                                                                                                                                       |   |                              |         |                  |   |   |   |
| Liabilities                                                                                                                                                                                                                                                                |   |                              |         |                  |   |   |   |
| Deposits                                                                                                                                                                                                                                                                   |   |                              |         |                  |   |   |   |
| Noninterest-bearing                                                                                                                                                                                                                                                        |   | $                                 | 9,130,838    |                  | $      | 8,884,651 |   |
| Interest-bearing                                                                                                                                                                                                                                                           |   |                              | 158,351,640  |                  |   | 137,670,717 |   |
| Total                deposits                                                                                                                                                                                                                                              |   |                              | 167,482,478  |                  |   | 146,555,368 |   |
| Federal                Home Loan Bank borrowings                                                                                                                                                                                                                           |   |                              | 30,162,500   |                  |   | 29,700,000 |   |
| Federal                funds purchased                                                                                                                                                                                                                                     |   |                              | ------0----- |                  |   | 5,028,000 |   |
| Dividends                Payable                                                                                                                                                                                                                                           |   |                              | -----0-----  |                  |   | 196,729 |   |
| Note                Payable                                                                                                                                                                                                                                                |   |                              | 300,000      |                  |   | ------0----- |   |
| Other                liabilities                                                                                                                                                                                                                                           |   |                              | 386,495      |                  |   | 195,772 |   |
| Total                liabilities                                                                                                                                                                                                                                           |   |                              | 198,331,473  |                  |   | 181,675,869 |   |
|                                                                                                                                                                                                                                                                       |   |                              |         |                  |   |   |   |
| Shareholders'                equity                                                                                                                                                                                                                                        |   |                              |         |                  |   |   |   |
| Preferred                stock, $.01 par value 1,000,000 shares authorized; none                outstanding                                                                                                                                                                |   |                              | -            |                  |   | - |   |
| Treasury                stock outstanding 39,733 shares at September 30, 2008 and 19,773                shares at                December 31, 2007                                                                                                                         |   |                              | (479,393     | )                     |   | (232,393 | ) |
| Common                stock, $.01 par value 25,000,000 shares authorized; 1,808,219 Issued                and                1,768,446 outstanding at September 30, 2008 and 1,808,219 issued                and                1,788,446 outstanding at December 31, 2007 |   |                              | 18,082       |                  |   | 18,082 |   |
| Additional                paid in capital                                                                                                                                                                                                                                  |   |                              | 10,360,582   |                  |   | 10,288,581 |   |
| Retained                earnings                                                                                                                                                                                                                                           |   |                              | 4,439,066    |                  |   | 3,727,722 |   |
| Accumulated                other comprehensive income (loss), net of tax                                                                                                                                                                                                   |   |                              | (1,486,726   | )                     |   | (648,467 | ) |
| Total                shareholders' equity                                                                                                                                                                                                                                  |   |                              | 12,851,611   |                  |   | 13,153,525 |   |
|                                                                                                                                                                                                                                                                       |   |                              |         |                  |   |   |   |
|                                                                                                                                                                                                                                                                       |   | $                                 | 211,183,084  |                  | $      | 194,829,394 |   |

----

**HORIZON      BANCORPORATION, INC.**

|                                                                   |   | Three Months EndedSeptember 30, |                      | Nine Months Ended September 30, |   |
|------------------------------------------------------------------------|--------|------------------------------------------------|---------------------------|-----------------------------------------------------|--------|
|                                                                   |   | 2008                                           |                      | 2007                                                |   | 2008 |   | 2007 |   |
| **Interest                income**                                     |   |                                           |                      |                                                |   |   |   |   |   |
| Interest                and fees on loans                              |   | $                                              | 2                ,871,753 |                                                | $      | 2                ,881,525 |   | $ | 8,492,312 |   | $ | 8,315,482 |   |
| Interest                on investment securities                       |   |                                           | 483,811                   |                                                |   | 427,884 |   |   | 1,418,478 |   |   | 1,208,541 |   |
| Interest                on federal funds                               |   |                                           | 4,358                     |                                                |   | 6,244 |   |   | 30,754 |   |   | 41,555 |   |
| Total                interest income                                   |   |                                           | 3,359,922                 |                                                |   | 3,315,653 |   |   | 9,941,544 |   |   | 9,565,578 |   |
| **Interest                expense**                                    |   |                                           |                      |                                                |   |   |   |   |   |   |   |   |   |
| Interest                on deposits                                    |   |                                           | 1,440,780                 |                                                |   | 1,565,729 |   |   | 4,568,804 |   |   | 4,596,029 |   |
| Interest                on borrowings                                  |   |                                           | 275,624                   |                                                |   | 255,356 |   |   | 803,134 |   |   | 599,561 |   |
| Total                interest expense                                  |   |                                           | 1,716,404                 |                                                |   | 1,821,085 |   |   | 5,371,938 |   |   | 5,195,590 |   |
| **Net                interest income**                                 |   |                                           | 1,643,518                 |                                                |   | 1,494,568 |   |   | 4,569,606 |   |   | 4,369,988 |   |
| Provision                for loan losses                               |   |                                           | 145,000                   |                                                |   | 30,000 |   |   | 360,000 |   |   | 90,000 |   |
| **Net                interest income after provision for loan losses** |   |                                           | 1,498,518                 |                                                |   | 1,464,568 |   |   | 4,209,606 |   |   | 4,279,988 |   |
| Noninterest                income                                      |   |                                           |                      |                                                |   |   |   |   |   |   |   |   |   |
| Gain/(loss)                on security                                 |   |                                           | (451,228                  | )                                                   |   | ----0----- |   |   | (451,228 | ) |   | ----0---- |   |
| Gain                on sales of loans                                  |   |                                           | ----0----                 |                                                |   | ----0----- |   |   | ----0---- |   |   | 46,125 |   |
| Gain                on sale of servicing                               |   |                                           | 266,947                   |                                                |   | ----0----- |   |   | 379,367 |   |   | 54,447 |   |
| Gain/(loss)                on sale of foreclosed assets                |   |                                           | ----0---                  |                                                |   | ----0----- |   |   | ----0---- |   |   | (2,591 | ) |
| Gain                on sale of other assets, net                       |   |                                           | 585                       |                                                |   | ----0----- |   |   | 168,085 |   |   | (271 | ) |
| Service                charges on deposit accounts                     |   |                                           | 23,118                    |                                                |   | 22,547 |   |   | 69,108 |   |   | 68,487 |   |
| Miscellaneous                , other                                   |   |                                           | 19,416                    |                                                |   | 22,197 |   |   | 117,727 |   |   | 71,359 |   |
| Total                noninterest income                                |   |                                           | (141,162                  | )                                                   |   | 44,744 |   |   | 283,059 |   |   | 237,556 |   |
| Noninterest                expense                                     |   |                                           |                      |                                                |   |   |   |   |   |   |   |   |   |
| Salaries                and benefits                                   |   |                                           | 599,194                   |                                                |   | 529,764 |   |   | 1,786,240 |   |   | 1,586,069 |   |
| Building                and equipment expense                          |   |                                           | 180,966                   |                                                |   | 177,922 |   |   | 543,107 |   |   | 518,561 |   |
| Professional                fees                                       |   |                                           | 60,160                    |                                                |   | 41,547 |   |   | 191,605 |   |   | 211,510 |   |
| Data                processing and software expense                    |   |                                           | 84,527                    |                                                |   | 89,042 |   |   | 266,760 |   |   | 263,888 |   |
| Other                noninterest expense                               |   |                                           | 198,539                   |                                                |   | 182,221 |   |   | 635,788 |   |   | 503,090 |   |
| Total                noninterest expense                               |   |                                           | 1,123,386                 |                                                |   | 1,020,496 |   |   | 3,423,500 |   |   | 3,083,118 |   |
| **Income                before income taxes**                          |   |                                           | 233,970                   |                                                |   | 488,816 |   |   | 1,069,165 |   |   | 1,434,426 |   |
| Income                tax expense                                      |   |                                           | 61,262                    |                                                |   | 131,399 |   |   | 357,821 |   |   | 364,593 |   |
| **Net                Income**                                          |   | $                                              | 172,708                   |                                                | $      | 357,417 |   | $ | 711,344 |   | $ | 1,069,833 |   |
| Basic                earnings per share                                |   | $                                              | 0.10                      |                                                | $      | 0.20 |   | $ | 0.40 |   | $ | 0.59 |   |
| Diluted                earnings per share                              |   | $                                              | 0.10                      |                                                | $      | 0.19 |   | $ | 0.39 |   | $ | 0.56 |   |

----

**HORIZON      BANCORPORATION, INC.**

|                                                                                                                            |   | For the Nine monthsended September 30,2008 |        | For the Nine monthsended September 30,2007 |   |
|---------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------|-------------|---------------------------------------------------------------------|--------|
| **Cash                flows from operating activities**                                                                         |   |                                                                |        |                                                                |   |
| Net                cash provided by operating activities                                                                        |   | $                                                                   | 781,846     |                                                                | $      | 594,901 |   |
| **Cash                flows from investing activities**                                                                         |   |                                                                |        |                                                                |   |   |   |
| Proceeds                from sale of other assets                                                                               |   |                                                                | 190,000     |                                                                |   | 12,500 |   |
| Proceeds                from sale of loan servicing                                                                             |   |                                                                | 5,176,384   |                                                                |   | 1,579,000 |   |
| Purchase                of securities held to maturity                                                                          |   |                                                                | ----0----   |                                                                |   | (6,554,643 | ) |
| Purchase                of securities available for sale                                                                        |   |                                                                | (4,661,437  | )                                                                   |   | (4,739,631 | ) |
| Proceeds                from maturities and principal repayments of securities available                for                sale |   |                                                                | 3,459,828   |                                                                |   | 2,685,191 |   |
| Purchase                of Federal Home Loan Bank Stock                                                                         |   |                                                                | (115,212    |                                                                |   | (610,592 | ) |
| Increase                in other real estate owned                                                                              |   |                                                                | (1,470,975  | )                                                                   |   | (1,119,411 | ) |
| Increase                in funded loans held for sale                                                                           |   |                                                                | (8,797,017  | )                                                                   |   | ------0----- |   |
| Loan                originations, net                                                                                           |   |                                                                | (9,817,111  | )                                                         |   | (10,561,196 | ) |
| Property                and equipment expenditures, net                                                                         |   |                                                                | (162,041    | )                                                                   |   | (85,482 | ) |
| Net                cash provided (used) by investing activities                                                                 |   |                                                                | (16,197,581 | )                                                                   |   | (19,394,264 | ) |
| **Cash                flows from financing activities**                                                                         |   |                                                                |        |                                                                |   |   |   |
| Exercise                of warrants and options                                                                                 |   |                                                                | ----0-----  |                                                                |   | 804 |   |
| Increase                in deposits                                                                                             |   |                                                                | 20,927,110  |                                                                |   | 2,991,752 |   |
| Increase/(decrease)                in fed funds purchased                                                                       |   |                                                                | (5,028,000  | )                                                                   |   | 1,000,000 |   |
| Increase/(decrease)                in borrowings, net                                                                           |   |                                                                | 462,500     |                                                                |   | 13,600,000 |   |
| Increase                in Note Payable by Parent                                                                               |   |                                                                | 300,000     |                                                                |   | -----0----- |   |
| Purchase                of treasury stock                                                                                       |   |                                                                | (247,000    | )                                                                   |   | -----0----- |   |
| Net                cash provided by financing activities                                                                        |   |                                                                | 16,414,610  |                                                                |   | 17,592,556 |   |
| Net                change in cash and cash equivalents                                                                          |   |                                                                | 998,875     |                                                                |   | (1,206,807 | ) |
| Cash                and cash equivalents at beginning of period                                                                 |   |                                                                | 3,009,201   |                                                                |   | 4,672,956 |   |
| **Cash                and cash equivalents at end of period**                                                                   |   | $                                                                   | 4,008,076   |                                                                | $      | 3,466,149 |   |

----

**HORIZON      BANCORPORATION, INC**
**.**
** **

|                                                                                                                  |   |                        |               |           |   |                     |   |          |         |          |   | Accumulated |   |   |         |
|----------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------|--------------------|----------------|--------|--------------------------|--------|----------|--------------|---------------|--------|-------------|--------|--------|--------------|
|                                                                                                                  |   | Common                Stock |               | Treasury       |   | Paid                  in |   | Retained |         | Other         |   |        |   |
|                                                                                                                  |   | Shares                      |               | Par Value |   | Stock                    |   | Capital  |         | Earnings      |   | Income      |   | Total  |         |
| Balance,                December 31, 2006                                                                                  |   |                        | 1,808,152          |           | $      | 18,082                   |   |     |    |          | $      | 10,223,103  |   | $      | 2,468,651    |   | $ | (140,219 | ) | $ | 12,569,617 |   |
| Comprehensive                Income:                                                                                       |   |                        |               |           |   |                     |   |     |         |          |   |        |   |   |         |   |   |   |   |   |   |   |
| Net                income, Nine-month period ended September 30, 2007                                                      |   |                        | —            |           |   | —                  |   |     |         |          |   | —     |   |   | 1,069,833    |   |   | — |   |   | 1,069,833 |   |
| Net                unrealized loss on securities, Nine-month period ended September                30,                2007 |   |                        | —            |           |   | —                  |   |     |    |          |   | —     |   |   |         |   |   | (133,425 | ) |   | (133,425 | ) |
| Total                comprehensive income net of tax                                                                       |   |                        | —            |           |   | —                  |   |     |    |          |   | —     |   |   | —      |   |   |    |   |   | 936,408 |   |
|                                                                                                                       |   |                        |               |           |   |                     |   |     |         |          |   |        |   |   |    |   |   |   |   |   |   |   |
| Exercise                of warrants & Stock options                                                                    |   |                        | 67                 |           |   | -                        |   |     |         |          |   | 804         |   |   |         |   |   |    |   |   | 804 |   |
| Stock                based Compensation                                                                                    |   |                        |     |           |   |                     |   |     |         |          |   | 46,472      |   |   |         |   |   |    |   |   | 46,472 |   |
| Balance,                September 30, 2007                                                                                 |   |                        | 1,808,219          |           | $      | 18,082                   |   |     |    |          | $      | 10,270,379  |   | $      | 3,538,484    |   | $ | (273,644 | ) | $ | 13,553,301 |   |
| Balance,                December 31, 2007                                                                                  |   |                        | 1,788,446          |           | $      | 18,082                   |   | $        | (232,393     | )             | $      | 10,288,581  |   | $      | 3,727,722    |   | $ | (648,467 | ) | $ | 13,153,525 |   |
| Comprehensive                Income:                                                                                       |   |                        |               |           |   |                     |   |     |         |          |   |        |   |   |         |   |   |   |   |   |   |   |
| Net                income, Nine-month period ended September 30, 2008                                                      |   |                        | —            |           |   | —                  |   |     |         |          |   | —     |   |   | 711,344      |   |   | — |   |   | 711,344 |   |
| Net                unrealized loss on securities, Nine-month period ended September                30,                2008 |   |                        | —            |           |   | —                  |   |     |         |          |   | —     |   |   |         |   |   | (838,259 | ) |   | (838,259 | ) |
| Total                comprehensive income/(loss) net of tax                                                                |   |                        | —            |           |   | —                  |   |     |         |          |   | —     |   |   | —      |   |   |    |   |   | (126,915 | ) |
|                                                                                                                       |   |                        |               |           |   |                     |   |     |         |          |   |        |   |   |    |   |   |   |   |   |   |   |
| Repurchase                of common stock                                                                                  |   |                        | (20,000            | )    |   | -                        |   |     | (247,000     | )             |   | -           |   |   |         |   |   |    |   |   | (247,000 | ) |
| Stock                based Compensation                                                                                    |   |                        |          |           |   |                     |   |     |         |          |   | 72,001      |   |   |         |   |   |    |   |   | 72,001 |   |
| Balance,                September 30, 2008                                                                                 |   |                        | 1,768,446          |           | $      | 18,082                   |   | $        | (479,393     | )   | $      | 10,360,582  |   | $      | 4,439,066    |   | $ | (1,486,726 | )   | $ | 12,851,611 |   |

----

**HORIZON      BANCORPORATION, INC.**

**NOTE      1 – BASIS OF PRESENTATION**

**NOTE      2 – SUMMARY OF ORGANIZATION**

----

**HORIZON      BANCORPORATION, INC.**

**NOTE      3 – LOANS RECEIVABLE**

|                                            |   | September 30,2008 |        | December 31,2007 |   |
|-------------------------------------------------|--------|------------------------|-------------|-----------------------|--------|
| Real                estate – commercial   |   | $                      | 92,827,100  |                  | $      | 84,089,484 |   |
| Real                estate – construction |   |                   | 1,726,229   |                  |   | 4,467,425 |   |
| Real                estate – residential  |   |                   | 34,615,143  |                  |   | 32,125,396 |   |
| Commercial                                      |   |                   | 32,584,710  |                  |   | 30,743,834 |   |
| Consumer                                        |   |                   | 2,734,819   |                  |   | 3,490,897 |   |
| Loans,                gross                     |   |                   | 164,488,001 |                  |   | 154,917,036 |   |
| Deduct                allowance for loan losses |   |                   | (1,516,697  | )                     |   | (1,402,843 | ) |
| Loans,                net                       |   | $                      | 162,971,304 |                  | $      | 153,514,193 |   |

|                                          |   | 2008   |      | 2007   |   |
|-----------------------------------------------|--------|--------|-----------|--------|--------|
|                                          |   |   |      |   |   |
| Balance                at beginning of period |   | $      | 1,468,279 |   | $      | 1,539,823 |   |
| Provision                for loan losses      |   |   | 145,000   |   |   | 30,000 |   |
| Loans                charged-off              |   |   | (98,282   | )      |   | (242,874 | ) |
| Recoveries                                    |   |   | 1,700     |   |   | -----0----- |   |
|                                          |   |   |      |   |   |   |   |
| Balance                at end of period       |   | $      | 1,516,697 |   | $      | 1,326,949 |   |

|                                          |   | 2008   |      | 2007   |   |
|-----------------------------------------------|--------|--------|-----------|--------|--------|
|                                          |   |   |      |   |   |
| Balance                at beginning of period |   | $      | 1,402,843 |   | $      | 1,570,844 |   |
| Provision                for loan losses      |   |   | 360,000   |   |   | 90,000 |   |
| Loans                charged-off              |   |   | (259,177  | )      |   | (365,447 | ) |
| Recoveries                                    |   |   | 13,031    |   |   | 31,552 |   |
|                                          |   |   |      |   |   |   |   |
| Balance                at end of period       |   | $      | 1,516,697 |   | $      | 1,326,949 |   |

----

**HORIZON      BANCORPORATION, INC.**

**NOTE      4 – SECURITIES HELD-TO-MATURITY**

|                                                      |   | Less Than     |      | Over               |   |            |          |
|-----------------------------------------------------------|--------|--------------------|-----------|--------------------|--------|-----------------|---------------|
|                                                      |   | Twelve Months |      | Twelve Months |   | Total           |          |
|                                                      |   | FairValue          |      | UnrealizedLoss     |   | Fair Value |          | Unrealized Loss |   | Fair Value |   | UnrealizedLoss |   |
| State,                County and                Municipal |   | $                  | 7,919,238 |     | $      | (677,550        | )   | $ | 2,927,853 |     | $ | (563,024 | )   | $ | 10,847,091 |     | $ | (1,240,574 | ) |
| Corporate                Securities                       |   |               | ----0---- |               |   | ----0----       |          |   | 580,000 |   |   | (420,000 | ) |   | 580,000 |   |   | (420,000 | ) |
|      Total                       |   | $                  | 7,919,238 |               | $      | (677,550        | )             | $ | 3,507,853 |   | $ | (983,024 | ) | $ | 11,427,091 |   | $ | (1,660,574 | ) |

**NOTE      5 – SECURITIES AVAILABLE FOR SALE**

|                                                                    |   | Less thanTwelve Months |      | Greater thanTwelve Months |   | Total           |          |
|-------------------------------------------------------------------------|--------|----------------------------------|-----------|-------------------------------------|--------|-----------------|---------------|
|                                                                    |   | FairValue                        |      | UnrealizedLoss                      |   | Fair Value |          | UnrealizedLoss |   | Fair Value |   | UnrealizedLoss |   |
| U.S.                  Agency                                            |   | $                                | 937,050   |                                | $      | (55,587         | )             | $ | ----0---- |   | $ | ----0---- |   | $ | 937,050 |   | $ | (55,587 | ) |
| Collateralized                  Mortgage obligations                    |   |                             | 3,043,291 |                                |   | (104,760        | )             |   | 708,779 |   |   | (59,351 | ) |   | 3,752,070 |   |   | (164,111 | ) |
| Mortgage                  backed securities                             |   |                             | 1,302,633 |                                |   | (100,105        | )             |   | 428,650 |   |   | (1,711,381 | ) |   | 1,731,283 |   |   | (1,811,486 | ) |
| Trust                  preferred securities & other corporate notes |   |                             | 1,060,200 |                      |   | (77,550         | )   |   | 3,345,780 |     |   | (162,038 | )   |   | 4,405,980 |     |   | (239,588 | ) |
|      Total                                     |   | $                                | 6,343,174 |                                | $      | (338,002        | )             | $ | 4,483,209 |   | $ | (1,932,770 | ) | $ | 10,826,383 |   | $ | (2,270,772 | ) |

----

**HORIZON      BANCORPORATION, INC.**

**NOTE      6 - EARNINGS PER SHARE**

|                                                                         |         | Three Months Ended September 30,2008 |      | Three Months Ended September 30,2007 |   |
|------------------------------------------------------------------------------|--------------|----------------------------------------------------------|-----------|----------------------------------------------------------|--------|
| Basic                earnings per share                                      |         |                                                     |      |                                                     |   |
| Net                income applicable to common stock                         |         | $                                                        | 172,708   |                                           | $      | 357,417 |   |
| Weighted                average shares outstanding                           |         |                                                     | 1,768,446 |                                                     |   | 1,808,219 |   |
| Basic                earnings per share                                      |         | $                                                        | 0.10      |                                                     | $      | 0.20 |   |
|                                                                         |         |                                                     |      |                                                     |   |   |   |
| Diluted                earnings per share                                    |         |                                                     |      |                                                     |   |   |   |
| Net                income applicable to common stock                         |         | $                                                        | 172,708   |                                                     | $      | 357,417 |   |
|                                                                         |    |                                                     |      |                                                     |   |   |   |
| Weighted                average shares outstanding                           |         |                                                     | 1,768,446 |                                                     |   | 1,808,219 |   |
| Dilutive                effect of assumed exercise of stock options/warrants |         |                                                     | 59,282    |                                                     |   | 105,404 |   |
| Diluted                average shares outstanding                            |         |                                                     | 1,827,728 |                                                     |   | 1,913,623 |   |
|                                                                         |         |                                                     |      |                                                     |   |   |   |
| Diluted                earnings per share                                    |         | $                                                        | 0.10      |                                                     | $      | 0.19 |   |

|                                                                         |   | Nine Months Ended September 30,2008 |      | Nine Months Ended September 30,2007 |   |
|------------------------------------------------------------------------------|--------|---------------------------------------------------------|-----------|---------------------------------------------------------|--------|
| Basic                earnings per share                                      |   |                                                    |      |                                                    |   |
| Net                income applicable to common stock                         |   | $                                                       | 711,344   |                                          | $      | 1,069,833 |   |
| Weighted                average shares outstanding                           |   |                                                    | 1,769,823 |                                                    |   | 1,808,200 |   |
| Basic                earnings per share                                      |   | $                                                       | 0.40      |                                                    | $      | 0.59 |   |
|                                                                         |   |                                                    |      |                                                    |   |   |   |
| Diluted                earnings per share                                    |   |                                                    |      |                                                    |   |   |   |
| Net                income applicable to common stock                         |   | $                                                       | 711,344   |                                                    | $      | 1,069,833 |   |
|                                                                         |   |                                                    |      |                                                    |   |   |   |
| Weighted                average shares outstanding                           |   |                                                    | 1,769,823 |                                                    |   | 1,808,200 |   |
| Dilutive                effect of assumed exercise of stock options/warrants |   |                                                    | 76,247    |                                                    |   | 109,327 |   |
| Diluted                average shares outstanding                            |   |                                                    | 1,846,070 |                                                    |   | 1,917,527 |   |
|                                                                         |   |                                                    |      |                                                    |   |   |   |
| Diluted                earnings per share                                    |   | $                                                       | 0.39      |                                                    | $      | 0.56 |   |

**NOTE      7 - RECENT ACCOUNTING PRONOUNCEMENTS**

----

**HORIZON      BANCORPORATION, INC.**

| **Fair                Value Measurements Using** |   |
|--------------------------------------------------|--------|
|                                             |   |   |   | **Quoted Prices in****Active Markets****for Identical****Assets** |   | **Significant Other****Observable Input** |   | **Significant****Unobservable****Inputs** |   |
| **Descriptions**                                 |   | **9/30/2008** |   | **(Level                1)** |   | **(Level                2)** |   | **(Level                3)** |   |
| Held                to maturity securities       |   | $ | 13,089 |     |   |   |     | $ | 13,089 |     |   |   |   |
| Available-for-sale                securities     |   | $ | 19,362 |   | $ | 937 |   | $ | 18,425 |   |   |  |   |
| Impaired                Loans                    |   | $ | 1,066 |   |   |   |   |   |   |   | $ | 1,066 |   |
| Total                                            |   | $ | 33,517 |   | $ | 937 |   | $ | 31,514 |   | $ | 1,066 |   |

----

**HORIZON      BANCORPORATION, INC.**

*Business      Combinations*

*Noncontrolling      Interests in Consolidated Financial Statements - An Amendment of ARB No      51*

----

**Item      2: Management's Discussion and Analysis of Financial Condition and      Operations**

**Forward      Looking Statements**

**Overview**

**Results      of Operations **

----

|                                         |   | Three months ended September 30,2008Compared with Three months ended September 30,2007 |   | Nine months ended September 30,2008Compared with Nine months ended September 30,2007 |   |
|----------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                         |   | (in thousands)                                                                                                                      |   | (in thousands)                                                                                                                    |   |
|                                         |   | Increase (decrease) due to:                                                                                               |   | Increase (decrease) due to:                                                                                             |   |
|                                         |   | Volume                                                                                                                                   |   | Rate                                                                                                                                   |   | Total |   | Volume |   | Rate |   | Total |   |
| Interest                earned on:           |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Taxable/Nontaxable                securities |   |                                                                                                                                     | 20     |                                                                                                                                   |   | 36 |   |   | 56 |   |   | 147 |   |   | 63 |   |   | 210 |   |
| Federal                funds sold            |   |                                                                                                                                     | (13    | )                                                                                                                            |   | 11 |     |   | (2 | )   |   | (255 | )   |   | 244 |   |   | (11 | ) |
| Net                loans                     |   |                                                                                                                                     | (123   | )                                                                                                                                      |   | 113 |   |   | (10 | ) |   | 666 |   |   | (489 | )   |   | 177 |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                Interest Income         |   |                                                                                                                                     | (116   | )                                                                                                                                      |   | 160 |   |   | 44 |   |   | 558 |   |   | (182 | ) |   | 376 |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                paid on:             |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NOW                and money market deposits |   |                                                                                                                                     | (11    | )                                                                                                                                      |   | 9 |   |   | (2 | ) |   | (165 | ) |   | (190 | ) |   | (355 | ) |
| Savings                deposits              |   |                                                                                                                                     | 37     |                                                                                                                                   |   | (80 | ) |   | (43 | ) |   | (35 | ) |   | 27 |   |   | (8 | ) |
| Time                deposits                 |   |                                                                                                                                     | (83    | )                                                                                                                                      |   | 3 |   |   | (80 | ) |   | 677 |   |   | (341 | ) |   | 336 |   |
| Other                borrowings              |   |                                                                                                                                     | 12     |                                                                                                                                   |   | 9 |   |   | 21 |   |   | 188 |   |   | 15 |   |   | 203 |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total                interest Expense        |   |                                                                                                                                     | (45    | )                                                                                                                                      |   | (59 | ) |   | (104 | ) |   | 665 |   |   | (489 | ) |   | 176 |   |
|                                         |   |                                                                                                                                     |   |                                                                                                                                   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Change                in net interest income |   | $                                                                                                                                        | (71    | )                                                                                                                                      | $      | 219 |   | $ | 148 |   | $ | (107 | ) | $ | 307 |   | $ | 200 |   |

----

|                                                       |   | Three months ended September 30, |    |
|------------------------------------------------------------|--------|------------------------------------------------------|---------|
|                                                       |   | 2008                                                 |    | 2007 |   |
|                                                       |   | AverageVolume                                        |    | Interest |   | Yield/Cost |   | AverageVolume |   | Interest |   | Yield/Cost |   |
|                                                       |   |                                                 |    |
| ASSETS                                                     |   |                                                 |    |   |   |   |   |   |   |   |   |   |   |
| Interest-earning                assets:                    |   |                                                 |    |   |   |   |   |   |   |   |   |   |   |
| Federal                funds sold                          |   | $                                                    | 791     |     | $ | 4 |     |   | 2.02 | %   | $ | 457 |     | $ | 6 |     |   | 5.25 | % |
| Securities                                                 |   |                                                 | 32,419  |   |   | 484 |   |   | 5.97 |   |   | 31,038 |   |   | 428 |   |   | 5.52 |   |
| Loans                receivable                            |   |                                                 | 165,395 |   |   | 2,872 |   |   | 6.95 |   |   | 147,649 |   |   | 2,882 |   |   | 7.81 |   |
| Total                interest-earning assets               |   | $                                                    | 198,605 |   |   | 3,360 |   |   | 6.77 |   | $ | 179,144 |   |   | 3,316 |   |   | 7.40 |   |
|                                                       |   |                                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES                                                |   |                                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest-bearing                liabilities:               |   |                                                 |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Transactional                accounts                      |   | $                                                    | 26,443  |   |   | 131 |   |   | 1.98 |   | $ | 28,282 |   |   | 133 |   |   | 1.88 |   |
| Savings                deposits                            |   |                                                 | 16,494  |   |   | 116 |   |   | 2.81 |   |   | 14,045 |   |   | 159 |   |   | 4.53 |   |
| Time                deposits                               |   |                                                 | 113,211 |   |   | 1,194 |   |   | 4.22 |   |   | 90,413 |   |   | 1,274 |   |   | 5.64 |   |
| Other                borrowings                            |   |                                                 | 27,865  |   |   | 276 |   |   | 3.96 |   |   | 26,677 |   |   | 255 |   |   | 3.82 |   |
| Total                interest-bearing liabilities          |   | $                                                    | 184,013 |   |   | 1,717 |   |   | 3.73 |   |   | 159,417 |   |   | 1,821 |   |   | 4.57 |   |
| Interest                rate spread                        |   |                                                 |    |   |   |   |   |   | 3.03 | % |   |   |   |   |   |   |   | 2.83 | % |
| Net                interest income and net interest Margin |   |                                                 |    |   | $ | 1,643 |   |   | 3.31 | % |   |   |   | $ | 1,495 |   |   | 3.34 | % |

|                                                       |   | Nine months ended September 30, |    |
|------------------------------------------------------------|--------|-----------------------------------------------------|---------|
|                                                       |   | 2008                                                |    | 2007 |   |
|                                                       |   | AverageVolume                                       |    | Interest |   | Yield/Cost |   | AverageVolume |   | Interest |   | Yield/Cost |   |
|                                                       |   |                                                |    |
| ASSETS                                                     |   |                                                |    |   |   |   |   |   |   |   |   |   |   |
| Interest-earning                assets:                    |   |                                                |    |   |   |   |   |   |   |   |   |   |   |
| Federal                funds sold                          |   | $                                                   | 1,390   |   | $ | 31 |   |   | 2.97 | %   | $ | 899 |   | $ | 42 |   |   | 6.23 | % |
| Securities                                                 |   |                                                | 32,111  |   |   | 1,419 |   |   | 5.89 |   |   | 28,740 |   |   | 1,209 |   |   | 5.61 |   |
| Loans                receivable                            |   |                                                | 160,287 |   |   | 8,492 |   |   | 7.06 |   |   | 143,119 |   |   | 8,315 |   |   | 7.75 |   |
| Total                interest-earning assets               |   | $                                                   | 193,788 |   |   | 9,942 |   |   | 6.84 |   |   | 172,758 |   |   | 9,566 |   |   | 7.38 |   |
|                                                       |   |                                                |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| LIABILITIES                                                |   |                                                |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest-bearing                liabilities:               |   |                                                |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Transactional                accounts                      |   | $                                                   | 24,642  |   |   | 378 |   |   | 2.05 |   | $ | 33,408 |   |   | 733 |   |   | 2.93 |   |
| Savings                deposits                            |   |                                                | 15,647  |   |   | 354 |   |   | 3.02 |   |   | 11,433 |   |   | 362 |   |   | 4.22 |   |
| Time                deposits                               |   |                                                | 112,479 |   |   | 3,837 |   |   | 4.55 |   |   | 88,932 |   |   | 3,501 |   |   | 5.25 |   |
| Other                borrowings                            |   |                                                | 25,891  |   |   | 803 |   |   | 4.14 |   |   | 19,825 |   |   | 600 |   |   | 4.04 |   |
| Total                interest-bearing liabilities          |   | $                                                   | 178,659 |   |   | 5,372 |   |   | 4.01 |   | $ | 153,598 |   |   | 5,196 |   |   | 4.51 |   |
| Interest                rate spread                        |   |                                                |    |   |   |   |   |   | 2.83 | % |   |   |   |   |   |   |   | 2.87 | % |
| Net                interest income and net interest Margin |   |                                                |         |   | $ | 4,570 |   |   | 3.14 | % |   |  |   | $ | 4,370 |   |   | 3.37 | % |

----

----

**Balance      Sheet Analysis**

|                                                            |   | September 30,2008 |   | December 31,2007 |   |
|-----------------------------------------------------------------|--------|------------------------|--------|-----------------------|--------|
|                                                            |   |                   |   |                  |   |
| Available-for-Sale:                                             |   |                   |   |                  |   |
|                                                            |   |                   |   |                  |   |
| U.S.                Agency Bonds                                |   | $                      | 937    |                  | $      | 2,106 |   |
| Collateralized                mortgage obligations              |   |                   | 4,652  |                  |   | 5,004 |   |
| Mortgage-backed                securities**                     |   |                   | 2,661  |                  |   | 2,526 |   |
| Trust                Preferred & Other Corporate Securities |   |                   | 8,971  |                  |   | 8,139 |   |
| Equity                securities                                |   |                   | 2,141  |                  |   | 2,026 |   |
|   Total                Available-for-Sale Securities  |   | $                      | 19,362 |                  | $      | 19,801 |   |
|                                                            |   |                   |   |                  |   |   |   |
| Held-to-Maturity                Securities:                     |   |                   |   |                  |   |   |   |
|                                                            |   |                   |   |                  |   |   |   |
| Corporate                Securities                             |   | $                      | 580    |                  | $      | 812 |   |
| General                obligation bonds of municipalities       |   |                   | 6,337  |                  |   | 6,649 |   |
| Revenue                bonds of municipalities                  |   |                   | 4,511  |                  |   | 5,096 |   |
|                                                            |   |                   |   |                  |   |   |   |
|   Total                Held-to-Maturity Securities    |   | $                      | 11,428 |                  | $      | 12,557 |   |
|                                                            |   |                   |   |                  |   |   |   |
| Total                Portfolio                                  |   | $                      | 30,790 |                  | $      | 32,358 |   |

----

| Type                of Loan              |   | September 30, 2008 |    | December 31, 2007 |   |
|------------------------------------------|--------|------------------------------|---------|-----------------------------|--------|
| Commercial                real estate    |   | $                            | 92,827  |                        | $      | 84,090 |   |
| Residential                real estate   |   |                         | 34,615  |                        |   | 32,125 |   |
| Construction                loans        |   |                         | 1,726   |                        |   | 4,467 |   |
| Commercial                loans          |   |                         | 32,585  |                        |   | 30,744 |   |
| Consumer                loans            |   |                         | 2,735   |                        |   | 3,491 |   |
| Subtotal                                 |   |                         | 164,488 |                        |   | 154,917 |   |
| Allowance                for loan losses |   |                         | (1,517  | )                 |   | (1,403 | ) |
| Total                (net of allowance)  |   | $                            | 162,971 |                        | $      | 153,514 |   |

**Asset      Quality**

----

|                                                                                                                                                                                                                      |   | September 30, 2008 |         | December 31, 2007 |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------------|--------------|-----------------------------|--------|
|                                                                                                                                                                                                                      |   |                         |         |                        |   |
| Loans                accounted for on a non-accrual basis:                                                                                                                                                                |   |                         |         |                        |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |
| Number:                                                                                                                                                                                                                   |   |                         | Twenty-five* |                        |   | twelve |   |
| Amount:                                                                                                                                                                                                                   |   | $                            | 4,405        |                        | $      | 2,084 |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Accruing                loans which are contractually past due 90 days or more as to principal                and                interest payments:                                                                       |   |                         |         |                        |   |   |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Number:                                                                                                                                                                                                                   |   |                         | four         |                        |   | one |   |
| Amount:                                                                                                                                                                                                                   |   | $                            | 2,195        |                        | $      | 2 |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Loans                which were renegotiated to provide a reduction or deferral of interest                or                principal because of deterioration in the financial position of the                borrower: |   |                         |         |                        |   |   |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Number:                                                                                                                                                                                                                   |   |                         | none         |                        |   | none |   |
| Amount                                                                                                                                                                                                                    |   | $                            | 0            |                        | $      | 0 |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Loans                for which there are serious doubts as to the borrower's ability to                comply                with existing terms:                                                                         |   |                         |         |                        |   |   |   |
|                                                                                                                                                                                                                      |   |                         |         |                        |   |   |   |
| Number:                                                                                                                                                                                                                   |   |                         | thirteen     |              |   | twelve |   |
| Amount:                                                                                                                                                                                                                   |   | $                            | 5,456        |                        | $      | 4,363 |   |

----

|                                                                                          |   | **September 30,** |    | **December, 31** |   |
|-----------------------------------------------------------------------------------------------|--------|------------------------|---------|-----------------------|--------|
|                                                                                          |   | **2008**               |    | **2007**              |   | **2007** |   |
| End                of period loans (net of deferred fees)                                     |   | $                      | 164,488 |                  | $      | 146,549 |   | $ | 154,917 |   |
| End                of period allowance for loan losses                                        |   | $                      | 1,517   |                  | $      | 1,327 |   | $ | 1,403 |   |
| Percentage                of allowance for loan losses to total loans                         |   |                   | 0.92    | %                     |   | 0.91 | % |   | .91 | % |
| Average                loans for the period                                                   |   | $                      | 161,395 |                  | $      | 143,118 |   | $ | 144,393 |   |
| Net                charge-offs as a percentage of average loans for the                period |   |                   | .15     | %                     |   | .23 | % |   | .22 | % |
| Nonperforming                assets                                                           |   |                   |    |                  |   |   |   |   |   |   |
| Nonaccrual                loans                                                               |   | $                      | 4,405   |                  | $      | 3,134 |   | $ | 2,084 |   |
| Loans                past due 90 days or more and still accruing**                            |   | $                      | 2,195   |                  | $      | 4 |   | $ | 2 |   |
| Other                real estate                                                              |   | $                      | 2,590   |                  | $      | 1,120 |   | $ | 1,119 |   |
|                                                                                          |   | $                      | 9,190   |                  | $      | 4,258 |   | $ | 3,205 |   |
| Nonperforming                assets to period end loans                                       |   |                   | 5.59    | %                     |   | 2.91 | % |   | 2.07 | % |
| Nonperforming                assets to period end total assets                                |   |                   | 4.35    | %                     |   | 2.28 | % |   | 1.65 | % |

******

**Liquidity      and Capital Resources**

|                                     |   | Bank's                       |   | Minimum Regulatory |   |
|------------------------------------------|--------|------------------------------|--------|-------------------------|--------|
|                                     |   | September 30, 2008 |   | Requirement             |   |
| Leverage                Ratio            |   |                         | 7.05   | %                       |   | 4.0 | % |
| Total                Risk Weighted ratio |   |                         | 10.03  | %                       |   | 8.0 | % |

----

**Recent      Developments**

----

**Item      3: Quantitative and Qualitative Disclosure About Market      Risk**

**Item      4T. Controls and Procedures**

----

**PART      II. OTHER INFORMATION**

**Item      1. Legal Proceedings**

**Item      1A.  Risk Factors**

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

**Item      3. Defaults Upon Senior Securities**

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

**Item      5. Other Information**

**Item      6. Exhibits**

| 31.1   | Certification                of Chief Executive Officer                                                                                                                                                           |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                              |
| 31.2   | Certification                of Chief Financial Officer                                                                                                                                                           |
|   |                                                                                                                                                                                                              |
| 32.1   | Certification                Pursuant to 18 U.S.C. Section 1350 as Adopted Pursuant to Section                906 of                the Sarbanes-Oxley Act of 2002                                                |
|   |                                                                                                                                                                                                              |
| 32.2   | Certification                of the Chief Financial Officer pursuant to 18 U.S.C. Section 1350,                as                adopted pursuant to Section 906 of the Sarbanes-Oxley Act of                2002 |

----

**SIGNATURES**

|   | /s/                Charles S. Conoley                            |
|--------|------------------------------------------------------------------|
|   | Charles                S. Conoley                                |
|   | President                and Chief Executive Officer             |
|   | (Principal                Executive Officer)                     |
|   |                                                             |
|   | /s/                Kathleen M. Jepson                            |
|   | Kathleen                M. Jepson                                |
|   | Senior                Vice President and Chief Financial Officer |
|   | (Principal                Financial and Accounting Officer)      |

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