SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

____________________

FORM 10-QSB

QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2005
Commission File No. 333-71773

HORIZON BANCORPORATION, INC.
(Exact name of small business issuer as specified in its charter)

|Florida
(State of Incorporation) | 65-0840565
(I.R.S. Employer Identification No.)
|-------------------------------- | -----------------------------------------------

900 53rd Avenue East, Bradenton, Florida 34203(Address of Principal Executive Offices)

(941) 753-2265(Issuer's Telephone Number, Including Area Code)

N/A

(Former Name, Former Address and Former Fiscal Year, if Changed Since Last Report)Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes X   No  ___

Indicate the number of shares outstanding of each of the issuer's classes of common equity as of the latest practicable date.

Common Stock Issued and Outstanding as of April 30, 2005

Common stock, $0.01 Par value

1,520,841 Shares





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Index

|Part I   | Financial Information                                                                                              
|-------- | -------------------------------------------------------------------------------------------------------------------
|Item 1.  | Financail Statements (unaudited)                                                                                   
|         | Consolidated Balance Sheets as of March 31, 2005 and December 31, 2004                                             
|         | Consolidated Statements of Income and Comprehensive Income for the Three Months Ended March 31, 2005 and 2004      
|         | Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2005 and 2004                           
|         | Consolidated Statements of Changes in Shareholders Equity for the Three Month Periods Ended March 31, 2004 and 2005
|         | Notes to Consolidated Financial Statements                                                                         
|Item 2.  | Management's Discussion and Analysis of Financial Condition and Results of Operations                              
|Item 3.  | Controls and Procedures                                                                                            
|         |                                                                                                                    
|Part II. | Other Information                                                                                                  
|Item 1.  | Legal Proceedings                                                                                                  
|Item 2.  | Changes in Securities and Use of Proceeds                                                                          
|Item 3.  | Defaults Upon Senior Securities                                                                                    
|Item 4.  | Submission of Matters to a Vote of Shareholders                                                                    
|Item 5.  | Other Information                                                                                                  
|Item 6.  | Exhibits and Reports on Form 8-K                                                                                   



----------------------------------------------------------------------------------



PART I - FINANCIAL INFORMATION

Item 1.  Financial Statements

Horizon Bancorporation, Inc.
Bradenton, Florida
Balance Sheets

|ASSETS                                                                                                                                                                                           
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                                                                                                                                                                                                 
|Cash and due from banks
Federal funds sold
  Total cash and cash equivalents                                                                                                                     
|Securities
   Available for sale, at fair value 
Loans, net
Property and equipment, net
Other assets
       Total Assets                                                                         
|LIABILITIES AND STOCKHOLDERS' EQUITY                                                                                                                                                             
|Liabilities:
Deposits:
   Non-interest bearing deposits
   Interest bearing deposits
     Total deposits
Federal Home Loan Bank  Borrowings
Note payable
Other liabilities
     Total Liabilities
|Commitments and contingencies                                                                                                                                                                    
|Stockholders' Equity:
Preferred stock, $.01 par value,
  1.0 million shares authorized;
  zero shares issued and outstanding                                                                     
|Common stock, $.01 par value
  25,000,000 shares authorized;
  1m520m841 shares issued and outstanding
  at March 31m, 2005 and 1,505,857 shares
  issued and outstanding at December 31, 2004   
|Paid-in-capital                                                                                                                                                                                  
|Retained (deficit)                                                                                                                                                                               
|Accumulated other comprehensive income,
NET OF TAX                                                                                                                                               
|Total Stockholders' Equity                                                                                                                                                                       
|Total Liabilities and Stockholders' Equity                                                                                                                                                       



(Refer to notes to the consolidated financial statements)



Horizon Bancorporation, Inc.
Bradenton, Florida
Consolidated Statements of Income/Operations
(Unaudited)

|                                                                                                                                                       | For the three months ended March 31,       
|------------------------------------------------------------------------------------------------------------------------------------------------------ | -------------------------------------------
|Interest Income:                                                                                                                                       | 2005                                       
|Interest and fees on loans                                                                                                                             | $1,720,932                                 
|Interest on investment securities                                                                                                                      | 179,391                                    
|Interest on federal funds sold                                                                                                                         | 9,304                                      
|Total interest income                                                                                                                                  | $1,909,627                                 
|Interest Expense:                                                                                                                                      |                                            
|Interest on deposits                                                                                                                                   | 636,067                                    
|Interest on borrowings                                                                                                                                 | 32,391                                     
|Total interest expense                                                                                                                                 | 668,458                                    
|Net interest income                                                                                                                                    | 1,241,169                                  
|Provision for possible loan losses                                                                                                                     | 110,000                                    
|Net interest income after provision for
  possible loan losses                                                                                         | $1,131,169                                 
|                                                                                                                                                       |                                            
|Other income:                                                                                                                                          |                                            
|Gain/(Loss) on sale of assets                                                                                                                          | $ 102,374                                  
|Service fees on deposit accounts                                                                                                                       | 31,327                                     
|Miscellaneous, other                                                                                                                                   | 24,581                                     
|Total other income                                                                                                                                     | $158,282                                   
|                                                                                                                                                       |                                            
|Other Expenses:
 Salaries and wages
 Professional fees
 Depreciation and amortization
 Data processing
 Repairs, maintenance
 Other operating expenses | $379,291
32,567
29,232
71,527
11,490223,148
|Total other expenses                                                                                                                                   | $747,255                                   
|Income before income taxes                                                                                                                             | $542,196                                   
|Income tax                                                                                                                                             | 230,075                                    
|Net income                                                                                                                                             | $312,121                                   
|Basic income per share                                                                                                                                 | $.21                                       
|Diluted income per share                                                                                                                               | $.19                                       

Refer to notes to the consolidated financial statements.



Horizon Bancorporation, Inc.
Bradenton, Florida
Consolidated Statements of Cash Flows (Unaudited)

|                                                                                   | For the three months ended March 31,
|---------------------------------------------------------------------------------- | ------------------------------------
|                                                                                   | 2005                                
|Net cash provided (used) by operating activities                                   | $453,924                            
|Cash flows from investing activities                                               |                                     
|Available for sale securities:                                                     |                                     
|Loan originations, net                                                             | (6,475,982)                         
|Property and equipment expenditures, net                                           | (16,286)                            
|Purchase of securities available for sale                                          | (8,376)                             
|Proceeds from maturities and principal repayments of Securities available for sale | 276,250                             
|Sale/(Purchase)of Federal Home Loan Bank stock                                     | 135,000                             
|Net cash provided (used) by investing activities                                   | $(6,089,394)                        
|Cash flows from financing activities                                               |                                     
|Increase in deposits                                                               | 10,482,105                          
|Increase/(Decrease) in borrowings                                                  | (3,000,000)                         
|Proceeds from exercise of stock options/warrants                                   | 93,328                              
|Net cash provided by financing activities                                          | $ 7,575,433                         
|Net change in cash and cash equivalents                                            | 1,939,962                           
|Cash and cash equivalents at beginning of period                                   | 5,242,270                           
|Cash and cash equivalents at end of period                                         | $ 7,182,233                         

See accompanying notes to consolidated financial statements





Horizon Bancorporation, Inc.
Bradenton, Florida
Consolidated Statements of Changes in Shareholders' Equity (Unaudited)
for the three month periods ended March 31, 2005 and 2004

|                                                                            | Common Stock | Paid inCapital | RetainedEarnings | Accumulated
Other
ComprehensiveIncome |           
|--------------------------------------------------------------------------- | ------------ | -------------- | ---------------- | ------------------------------------- | ----------
|                                                                            | Shares       | Par Value      | Total           
|Balance, December 31, 2003                                                  | 1,493,448    | $14,934        | $8,039,148       | $(1,474,364)                          | $(39,477) 
|Comprehensive Income:Net income, three-month period 
  ended March 31, 2004 | -  -         | $  - 0 -       | $  - 0 -         | $ 106,964                             | -  -      
|Unrealized (loss), securities
  Net of Tax                                  | -  -         | $  - 0 -       | $- 0 -           | $  - 0 -                              | $  41,251 
|Total comprehensive income
  Net of tax                                     | -  -         | $  - 0 -       | $  - 0 -         | $106,964                              | $ 41,251  
|Sale of Stock                                                               | -  -         | $  - 0 -       | $  - 0 -         | $  - 0 -                              | $  - 0 -  
|Balance, March 31, 2004                                                     | 1,493,448    | $ 14,934       | $8,039,148       | $(1,367,400)                          | $  1,774  
|Balance, December 31, 2004                                                  | 1,505,857    | $15,058        | $8,122,988       | $(623,076)                            | $(79,544) 
|Comprehensive Income:Net income, three-month period ended March 31, 2005    | -  -         | $  - 0 -       | $  - 0 -         | $312,121                              | $  - 0 -  
|Unrealized (loss), securities
  Net of tax                                  | -  -         | $  - 0 -       | $  - 0 -         | $  - 0 -                              | $(87,859) 
|Total comprehensive income
  Net of tax                                     | -  -         | $  - 0 -       | $  - 0 -         | $312,121                              | $(87,859) 
|Sale of Stock                                                               | 14,984       | $  150         | $ 93,178         | $ -0-                                 | $ -0-     
|Balance, March 31, 2005                                                     | 1,520,841    | $15,208        | $8,216,166       | $(310,955)                            | $(167,403)



Refer to notes to the consolidated financial statements.



Horizon Bancorporation, Inc.
Notes to Consolidated Financial Statements (Unaudited)

NOTE 1 - BASIS OF PRESENTATION

The accompanying financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-QSB. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three-month period ended March 31, 2005 are not necessarily indicative of the results that may be expected for the year ending December 31, 2005. These statements should be read in conjunction with the consolidated financial statements and footnotes thereto included in Form 10-KSB for the year ended December 31, 2004.

Note 2 - Summary of Organization

Horizon Bancorporation, Inc., Bradenton, Florida (the "Company"), is a one-bank holding company with respect to Horizon Bank, Bradenton, Florida (the "Bank"). The Company commenced banking operations on October 25, 1999 when the Bank commenced operations. The Bank is primarily engaged in the business of obtaining deposits and providing commercial, consumer and real estate loans to the general public. The Bank's depositors are each insured up to $100,000 by the Federal Deposit Insurance Corporation (the "FDIC") subject to certain limitations imposed by the FDIC.

The Company is authorized to issue up to 25.0 million shares of its $.01 par value per share common stock. Each share is entitled to one vote and shareholders have no preemptive or conversion rights. As of March 31, 2005, and December 31, 2004, there were 1,520,841 and 1,505,857 shares of the Company's common stock issued and outstanding. Additionally, the Company has authorized the issuance of up to 1.0 million shares of its $.01 par value per share preferred stock. The Company's Board of Directors may, without further action by the shareholders, direct the issuance of preferred stock for any proper corporate purpose with preferences, voting powers, conversion rights, qualifications, special or relative rights and privileges which could adversely affect the voting power or other rights of shareholders of common stock. As of March 31, 2005 and December 31, 2004, there were no shares of the Company's preferred stock issued or outstanding.

Note 3 -Recent Accounting Pronouncements

Exchanges of Nonmonetary Assets:  In December 2004, the FASB issued SFAS 153, "Exchanges of Nonmonetary Assets", an amendment to APB Opinion No. 29, "Accounting for Nonmonetary Transactions."  This statement amends the principle that exchanges of nonmonetary assets should be measured based on the fair value of the assets exchanged and more broadly provides for exceptions regarding exchanges of nonmonetary assets that do not have commercial substance.  This Statement is effective for nonmonetary asset exchanges occurring in fiscal periods beginning after June 15, 2005.  The adoption of this standard is not expected to have a material impact on the Company's financial condition, results of operations, or liquidity.

Share-Based Payment:  In December 2004, the FASB issued Statement No. 123(R), "Share-Based Payment."  Statement No. 123(R) requires companies to recognize in the income statement the grant-date fair value of stock options and other equity-based compensation issued to employees.  The revised Statement generally requires that companies account for these share-based transaction using the fair-value-based method, and eliminates a company's ability to account for these transactions using the intrinsic value method of accounting in APB Opinion No. 25.  For small business issuers, Statement No. 123(R) is effective as of the beginning of the first interim or annual reporting period that begins after December 15, 2005.  The Company has not yet determined the exact impact the new standard will have on its consolidated financial statements.  The above disclosures, as required by FASB Statement No. 148, "Accounting for Stock-Based Compensation-Transition and Disclosure-an amendment of FASB Statement No. 123," provide detail as to its results of operations as if it had applied the fair value based method and recognition provisions of Statement No. 148 to stock-based employee compensation to the current reporting periods.

Meaning of Other Than Temporary Impairment:  In March 2004, the Financial Accounting Standards Board (FASB) Emerging Issues Task Force (EITF) released Issue 03-01, "Meaning of Other Than Temporary Impairment," which addressed other-than-temporary impairment for certain debt and equity investments.  The recognition and measurement requirements of Issue 03-01, and other disclosure requirements not already implemented, were effective for periods beginning after June 15, 2004.  In September 2004, the FASB staff issued FASB Staff Position (FSP) EITF 03-1-1, which delayed the effective date for certain measurement and recognition guidance contained in Issue 03-01.  The FSP requires the application of pre-existing other-than-temporary guidance during the period of delay until a final consensus is reached.  Management does not anticipate the issuance of the final consensus will have a material impact on the Company's financial condition, results of operations, or liquidity.

Loan Commitments:  On March 9, 2004, the SEC issued Staff Accounting Bulletin 105 (SAB 105), "Application of Accounting Principles to Loan Commitment" stating that the fair value of loan commitments is to be accounted for as a derivative instrument under SFAS 133, but the valuation of such commitment should not consider expected future cash flows related to servicing of the future loan.

The Company adopted the provisions of SAB 105 as of January 1, 2004.  Adoption of SAB 105 did not result in a material impact on the Company's financial condition, results of operations, or liquidity.

Accounting for Certain Loans or Debt Securities Acquired in a Transfer:  In December 2003, the American Institute of Certified Public Accountants issued Statement of Position (SOP) 03-3, "Accounting for Certain Loans or Debt Securities Acquired in a Transfer."  SOP 03-3 requires acquired loans, including debt securities, to be recorded at the amount of the purchaser's initial investment and prohibits carrying over valuation allowances from the seller for those individually-evaluated loans that have evidence of deterioration in credit quality since origination, and it is probable all contractual cash flows on the loan will be unable to be collected.  SOP 03-3 also requires the excess of all undiscounted cash flows expected to be collected at acquisition over the purchaser's initial investment to be recognized as interest income on a level-yield basis over the life of the loan.  Subsequent increases in cash flows expected to be collected are recognized as impairment.  Loans carried at fair value, mortgage loans held for sale, and loans to borrowers in good standing under revolving credit agreements are excluded from the scope of SOP 03-3.  The guidance is effective for loans acquired in fiscal years beginning after December 15, 2004 and is not expected to have a material impact on the Company's financial condition, results of operations, or liquidity.

Accounting for Certain Financial Instruments with Characteristics of Both Liabilities and Equity:  In May 2003, the FASB issued SFAS 150, "Accounting for Certain Financial Instruments with Characteristics of Both Liabilities and Equity."  This statement establishes standards for classifying and measuring certain financial instruments that embody obligations of the issuer and have characteristics of both liabilities and equity.    The provisions of SFAS 150 became effective June 1, 2003, for all financial instruments created or modified after May 31, 2003, and otherwise became effective as of July 1, 2003.  The adoption of this standard did not have a material impact on the Company's financial condition, results of operations, or liquidity.

In December 2003, the FASB deferred for an indefinite period the application of the guidance in SFAS 150 to noncontrolling interest that are classified as equity in the financial statement of a subsidiary but would be classified as a liability in the parent's financial statements under SFAS 150.  The deferral is limited to mandatorily redeemable noncontrolling interest associated with finite-lived subsidiaries.  Management does not believe any such applicable entities exist as of  December 31, 2004, but will continue to evaluate the applicability of this deferral to entities which may be consolidated as a result of

Consolidation of Variable Interest Entities:  In January 2003, the FASB issued FIN 46, which provides guidance on how to identify a  variable interest entity (VIE) and determine when the assets, liabilities, noncontrolling interests, and the results of operations of a VIE are to be included in an entity's consolidated financial statements.  A VIE exists when either the total equity investment is at risk is not sufficient to permit the entity to finance its activities itself, or the equity investors lack one of three characteristics associated with owning a controlling financial interest.  Those characteristics include the direct and indirect ability to make decisions about the entity's activities through voting rights or similar rights, the obligation to absorb the expected losses of an entity if they occur, or the right to receive the expected residual returns of the entity if they occur.

In December 2003, the FASB reissued FIN 46 with certain modifications and clarifications.  Application of this guidance was effective for interests in certain VIEs commonly referred

Note 4 - Securities Available-for-Sale

The amortized costs and estimated market values of securities available-for-sale as of March 31, 2005 follow:

|Description                           | Gross
AmortizedCosts | Unrealized | EstimatedMarket Values
|------------------------------------- | -------------------- | ---------- | ----------------------
|Gains                                 | Losses              
|U.S. Agency                           | $ 2,110,000          | $- 0 -     | $(72,858)             
|Collateralized Mortgage
  Obligations | 4,024,038            | -0-        | (175,901)             
|Mortgage-Backed Securities            | 549,043              | 3,217      | (12,813)              
|Trust-Preferred Securities            | 5,500,000            | -  -       | -  -                  
|Other Securities                      | 646,261              | -  -       | -  -                  
|Total Securities                      | $12,829,342          | $ 3,217    | $(261,572)            

Other securities include equity investments in other banks whose sole owners are other financial institutions.  None of the above equity investments are available to the general public.

The amortized costs and estimated market values of securities available-for-sale as of December 31, 2004 follow:

|Description                           | AmortizedCosts | Unrealized | EstimatedMarket Values
|------------------------------------- | -------------- | ---------- | ----------------------
|Gains                                 | Losses        
|U.S. Agency                           | $ 2,110,000    | $ 4,107    | $(56,000)             
|Collateralized Mortgage
  Obligations | 4,243,760      | 3,936      | (80,849)              
|Mortgage-Backed Securities            | 602,487        | 7,543      | (6,272)               
|Trust-Preferred Securities            | 5,500,000      | -  -       | -  -                  
|Other Securities                      | 772,885        | -  -       | -  -                  
|Total Securities                      | $13,2 29,132   | $15,586    | $(143,121)            

The amortized costs and estimated market values of securities available-for-sale at March 31, 2005 by contractual maturity, are shown in the following chart. Expected maturities may differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties.



|                                 | AmortizedCosts | EstimatedMarket Values
|-------------------------------- | -------------- | ----------------------
|Due after five through ten years | $ 1,110,000    | $ 1,101,342           
|Due after ten years              | 11,073,081     | 10,823,384            
|No maturity (equity securities)  | 646,261        | 646,261               
|Total securities                 | $12,829,342    | $12,570,987           

At March 31, 2005 and December 31, 2004, none of the securities were pledged to secure public funds, repurchase agreements, and for other purposes required or permitted by law.  No securities were sold during the first three months of 2005 and calendar year 2004.

Information pertaining to securities with gross unrealized losses at March 31, 2005, aggregated by investment category and further segregated by the length of time (less than or over twelve months) that the securities have been in a continuous loss position follows:

|                                    | Less Than     | Over            |           
|----------------------------------- | ------------- | --------------- | ----------
|                                    | Twelve Months | Twelve Months   | Total     
|                                    | FairValue     | Unrealized Loss | Fair Value
|Collateralized Mortgage obligations | $2,379,325    | $(99,184)       | $  830,870
|Mortgage backed 
   securities      | -  -          | -  -            | 374,504   
|U.S. Agency securities              | $1,101,342    | $( 8,658)       | 935,800   
|Total                               | $3,480,667    | $(107,842)      | $2,141,174

At March 31, 2005, unrealized losses in the securities portfolio amounted to $261,572 representing 2.08% of the total portfolio.  All of the unrealized losses relate to U.S. Agency securities and U.S. government corporations.  These unrealized losses were caused by fluctuations in market interest rates, rather than concerns over the credit quality of the issuers.  The Company believes that the U.S. Agencies and government corporations will continue to honor their interest payments on time as well as the full debt at maturity.  Because the unrealized losses are due to fluctuations in the interest rate, and no credit-worthiness factors exist, the Company believes that the investments are not considered other-than-temporarily impaired.

Item 2 - Management's Discussion and Analysis of Financial Condition and Results of Operations.

Critical accounting policies are defined as those that were reflective of significant judgments and uncertainties and could potentially result in materially different results under different assumptions and conditions. Management believes that the most critical accounting policies upon which its financial condition depends, and which involve the most complex or subjective decisions or assessments are as follows:

Allowance for Loan Losses: Arriving at an appropriate level of allowance for loan losses involves a high degree of judgment. The Company's allowance for loan losses provides for probable losses based upon evaluations of known and inherent risks in the loan portfolio. Management uses historical information to assess the adequacy of the allowance for loan losses as well as the prevailing business environment as it is affected by changing economic conditions and various external factors, which may impact the portfolio in ways currently unforeseen. The allowance is increased by provisions for loan losses and by recoveries of loans previously charge-off, and is reduced by loans charged-off.

Income Taxes: The Company estimates income tax expense based on the amount it expects to owe various tax authorities. Accrued taxes represent the net estimated amount either due to or receivable from taxing authorities. In estimating accrued taxes, management assesses the relative merits and risks of the appropriate tax treatments taking into account statutory, judicial and regulatory guidance in the context of its tax position. Although the Company uses available information to record accrued income taxes, underlying estimates and assumptions can change over time as a result of unanticipated events or circumstances, such as changes in tax laws influencing the Company's overall tax position.

Overview

The Company's results of operations are largely dependent on interest income, which is the difference between interest earned on both loans and securities and interest paid on deposits and borrowings. The results of operations are also affected by the level of income/fees from loans, deposits, borrowings, as well as operating expenses, the provision for loan losses, the impact of federal and state income taxes, and the relative levels of interest rates and economic activity.

For calendar year 2005, the Company expects general rates to increase.  The net yield on earning assets at 4.16% is healthy.  The strategy for 2005 is to keep the net yield at or above 4%, but expand the earning asset base while providing competitive products to our deposit clients.  In addition, expense control and growth in non-interest income are also desirable objectives for 2005.  Additionally, there are a number of initiatives that are expected to contribute to 2005 and beyond.  These initiatives include:

- the Bank identified a branch location in downtown Palmetto, and plans to open the branch during the latter part of 2005; and
- investment in additional new business development capabilities and process improvements within the lending area.

Results of Operations

Net income for the three-month period ended March 31, 2005 amounted to $312,121, or $.19 per diluted share. For the three-month period ended March 31, 2004, net income amounted to $106,964, or $.07 per diluted share. Following is a brief discussion concerning the Company's operational results for the three-month period ended March 31, 2005 as compared to the three-month period ended March 31, 2004.

1. Interest income, which represents interest received on interest earning assets, increased from $1,413,450 for the three-month period ended March 31, 2004, to $1,909,627 for the three-month period ended March 31, 2005 an increase of $496,177, or 35%. The cost of funds, which represents interest paid on deposits and borrowings, increased from $496,663 for the three-month period ended March 31, 2004 to $668,458 for the three-month period ended March 31, 2005, an increase of $171,795, or 34.6%. For the three-month period ended March 31, 2005, the growth in interest income outpaced the growth in the cost of funds resulting in an increase in net interest income, from $916,787 for the three-month period ended March 31, 2004, to $1,241,169 for the three-month period ended March 31, 2005.

Net interest yield, defined as net interest income divided by average interest earning assets, increased from 4.09% during the three-month period ended March 31, 2004 to 4.16% during the three-month period ended March 31, 2005. This increase of 7 basis points is indicative of management's philosophy to keep the margin at or above 4% while expanding the earning asset base and providing competitive products for deposit clients.  Below is pertinent information concerning the yield on earning assets and the cost of funds for the three-month period ended March 31, 2005.

|Description                 | Avg./AssetsLiabilities | InterestIncome/Expense | Yield/Cost
|--------------------------- | ---------------------- | ---------------------- | ----------
|Federal funds               | 1,536                  | 9                      | 1.10%     
|Securities                  | 12,962                 | 179                    | 4.71%     
|Loans                       | 104,951                | 1,721                  | 6.57%     
|Total                       | $119,449               | $ 1,909                | 6.30%     
|Borrowings                  | $  4,478               | $    32                | 2.86%     
|Transactional accounts      | 38,040                 | 157                    | 1.65%     
|Savings                     | 5,300                  | 15                     | 1.13%     
|Time Deposits               | 61,042                 | 464                    | 3.04%     
|Total                       | $108,860               | $   668                | 2.45%     
|Net interest income         |                        | $ 1,241                |           
|Net yield on earning assets |                        | 4.16%                 

1. For the three-month period ended March 31, 2005, non-interest income amounted to $158,282 or .12% of average assets. By comparison, non interest income for three-month period ended March 31, 2004 amounted to $43,355, or .05% of average assets. The primary reason for the increase in non-interest income as a percent of average assets is due to the fact that the Bank realized a gain on sale of loans of $102,374 for the three month period ended March 31, 2005 as compared to a loss on the sale of other assets of ($15,703) for the three month period ended March 31, 2004.
2. For the three-month period ended March 31, 2005, non-interest expense amounted to $747,255, or .59% of average assets. By comparison, for the three-month period ended March 31, 2004, non interest expense amounted to $732,634, or .77% of average assets. This decline in operating expense as a percent of average assets is due primarily to the improvement of operational efficiencies.

During the three-month period ended March 31, 2005, the allowance for loan losses increased by $136,000, to $1,076,000. The allowance for loan losses as a percentage of gross loans increased from .92% at December 31, 2004 to .99% at March 31, 2005. Management considers the allowance for loan losses to be adequate and sufficient to absorb possible future losses; however, there can be no assurance that charge-offs in future periods will not exceed the allowance for loan losses or that additional provisions to the allowance will not be required.

Total assets increased by $7.8 million, to $130.6 million during the three-month period ended March 31, 2005. More specifically, cash and cash equivalents increased by $1.9 million, to $7.1 million; securities decreased by $.5 million, to $12.6 million; gross loans increased by $6.5 million, to $109.2 million; and all other assets decreased by $.4 million, to $2.7 million. To fund the $7.8 million increase in assets, customer deposits were increased by $10.5 million, to $119.2 million, borrowings were reduced by $3.0 million, to $3.3 million, and the capital accounts were increased by $.3 million, to $7.7 million.

Liquidity and Sources of Capital

Liquidity is the Company's ability to meet all deposit withdrawals immediately, while also providing for the credit needs of customers. The March 31, 2005 financial statements evidence a satisfactory liquidity position as total cash and cash equivalents amounted to $7.2 million, representing 5.5% of total assets. Investment securities, which amounted to $12.6 million or 9.7% of total assets, provide a secondary source of liquidity because they can be converted into cash in a timely manner. The Bank is a member of the Federal Reserve System and maintains relationships with several correspondent banks and, thus, could obtain funds from those banks on short notice. The Company's management closely monitors and maintains appropriate levels of interest earning assets and interest bearing liabilities, so that maturities of assets can provide adequate funds to meet customer withdrawals and loan demand. The Company knows of no trends, demands, commitments, events or uncertainties that will result in or are reasonably likely to result in its liquidity increasing or decreasing in any material way. The Bank maintains an adequate level of capitalization as measured by the following capital ratios and the respective minimum capital:

|                                   | Bank'sMarch 31, 2005 | Minimum RegulatoryRequirement
|---------------------------------- | -------------------- | -----------------------------
|Leverage ratio
Risk weighted ratio | 7.1%
10.6%           | 4.0%
8.0%                    

With respect to the leverage ratio, the regulators expect a minimum of 5.0% to 6.0% ratio for banks that are not rated CAMELS 1. The Bank's leverage ratio of 7.1% and risk weighted ratio of 10.7% are above the required minimum.

The Company is not aware of any current recommendation by the regulatory authorities which, if implemented, would have a material effect on the Company's liquidity, capital resources, or results of operations.

The Company cautions readers of this report that any forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. Although the Company's management believes that its expectations of future performance are based on reasonable assumptions within the bounds of its knowledge of the Company's business and operations, there can be no assurance that actual results will not differ materially from their expectations.

Item 3 - Controls and Procedures

The Company, with the participation of its management, including its Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of the design and operation of its disclosure controls and procedures (as defined in Rules 13a-15 and 15d-15 under the Securities Exchange Act of 1934) as of the end of the period covered by this report. Based upon that evaluation and as of the end of the period covered by this report, the Company's Chief Executive Officer and Chief Financial Officer concluded that the Company's disclosure controls and procedures are effective in timely alerting them to information required to be disclosed in its reports that the Company files or submits to the Securities and Exchange Commission under the Securities Exchange Act of 1934. There have been no changes in the Company's internal control over financial reporting that occurred during the period covered by this report that have materially affected, or are reasonably likely to materially affect, the Company's internal control over financial reporting.

PART II - OTHER INFORMATION

|Item 1. | Legal Proceedings.                                                                                                                             
|------- | -----------------------------------------------------------------------------------------------------------------------------------------------
|        | There are no material pending legal proceedings to which the Company or the Bank is a party, or of which any of their property is the subject. 
|Item 2. | Changes in Securities.                                                                                                                         
|(a)
(b) | None.
None.                                                                                                                                    
|Item 3. | Defaults Upon Senior Securities.                                                                                                               
|        | None.                                                                                                                                          
|Item 4. | Submission of Matters to a Vote of Security Holders.                                                                                           
|        | None.                                                                                                                                          
|Item 5. | Other Information.                                                                                                                             
|        | None.                                                                                                                                          
|Item 6. | Exhibits and Reports on Form 8-K.                                                                                                              
|(a)     | Exhibits:                                                                                                                                      
|        | 31.1 - Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.                                     
|        | 31.2 - Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.                                     
|        | 32.1 - Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350 as adopted by Section 906 of the Sarbanes-Oxley Act of 2002.
|        | 32.2 - Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350 as adopted by Section 906 of the Sarbanes-Oxley Act of 2002.
|(b)     | During the quarter ended March 30, 2005, the registrant filed the following reports on Form 8K:                                                
|        | Date                                                                                                                                           
|        | February 24, 2005                                                                                                                              
|        |                                                                                                                                                
|        | April 18, 2005                                                                                                                                 



SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

|                  | HORIZON BANCORPORATION, INC.
(Registrant)
By: /S/ Charles S. Conoley
       Charles S. Conoley
       President and Chief Executive Officer
        (Principal Executive Officer)
|----------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                  | By: /S/ Kathleen M. Jepson       Kathleen M. Jepson
       Senior Vice President and Chief
       Financial Officer (Principal Financial
and Accounting Officer)                 
|Date: May 6, 2005 |