##### Table of Contents





UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549





FORM 10-Q



|x | QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT of 1934
|- | ---------------------------------------------------------------------------------------

For the Quarterly Period Ended March 31, 2009



| ̈ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|- | ----------------------------------------------------------------------------------------

For the transition period from  to .

Commission File No. 1-13652





First West Virginia Bancorp,
Inc.

(Exact name of registrant as specified in its charter)



|                                                              |  |                                    
|------------------------------------------------------------- |  | -----------------------------------
|West Virginia                                                 |  | 55-6051901                         
|(State or other jurisdiction ofincorporation or organization) |  | (I.R.S. EmployerIdentification No.)

1701 Warwood Avenue

Wheeling, West Virginia 26003

(Address of principal executive offices)

Registrants telephone number, including area code: (304) 277-1100

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 report(s), and (2) has been subject to such filing requirements for the past 90
days.  x  Yes     ̈  No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405
of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes   ̈    No   ̈

Indicate by check mark whether
the registrant is a large accelerated filer, an accelerated filer or a non-accelerated filer as defined by Rule 12b-2 of the Exchange Act.



|                           |  |                      |  |                          |  |                             
|-------------------------- |  | -------------------- |  | ------------------------ |  | ----------------------------
|Large Accelerated Filer   ̈ |  | Accelerated Filer   ̈ |  | Non-accelerated filer   ̈ |  | Smaller Reporting Company  x

Indicate by check mark whether the Registrant is a shell company as defined by Rule 12b-2 of the
Exchange Act.     ̈  Yes    x  No

APPLICABLE ONLY TO ISSUERS INVOLVED IN BANKRUPTCY

PROCEEDINGS DURING THE PRECEDING FIVE YEARS:

Indicate by check mark whether the registrant has filed all documents and reports required to be filed by Sections 12, 13 or 15(d) of
the Securities Exchange Act of 1934 subsequent to the distribution of securities under a plan confirmed by a court.     ̈  Yes     ̈  No    x  N/A

APPLICABLE ONLY
TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuers classes of common stock, as of the latest
practible date.

The number of shares outstanding of the issuers common stock as of May 8, 2009: Common Stock, $5.00 Par Value, shares
outstanding: 1,589,411 shares









---

##### Table of Contents

FORM 10-Q INDEX







|                               |  |                                                                                       |  |      
|------------------------------ |  | ------------------------------------------------------------------------------------- |  | -----
|                               | 
|PART I - Financial Information |  |                                                                                      
|                               |  |                                                                                      
|Item 1                         |  | Financial Statements and Accompanying Notes                                           |  | 3-13 
|                               |  |                                                                                      
|Item 2                         |  | Managements Discussion and Analysis of Financial Condition and Results of Operations |  | 14-28
|                               |  |                                                                                      
|Item 3                         |  | Quantitative and Qualitative Disclosures About Market Risk                            |  | 29   
|                               |  |                                                                                      
|Item 4                         |  | Controls and Procedures                                                               |  | 29   
|                               | 
|PART II - Other Information    |  |                                                                                      
|                               |  |                                                                                      
|Item 1                         |  | Legal Proceedings                                                                     |  | 30   
|                               |  |                                                                                      
|Item 1A                        |  | Risk Factors                                                                          |  | 30   
|                               |  |                                                                                      
|Item 2                         |  | Unregistered Sales of Equity Securities and Use of Proceeds                           |  | 30   
|                               |  |                                                                                      
|Item 3                         |  | Defaults upon Senior Securities                                                       |  | 30   
|                               |  |                                                                                      
|Item 4                         |  | Submission of matters to a Vote of Security Holders                                   |  | 30   
|                               |  |                                                                                      
|Item 5                         |  | Other Information                                                                     |  | 30   
|                               |  |                                                                                      
|Item 6                         |  | Exhibits and Reports on Form 8-K                                                      |  | 30   
|                               |  |                                                                                      
|                               |  | Reports on Form 8-K                                                                   |  | 30   
|                               |  |                                                                                      
|                               |  | Signatures                                                                            |  | 31   
|                               |  |                                                                                      
|                               |  | Exhibit Index                                                                         |  | 32   



PAGE 2



---

##### Table of Contents

FIRST WEST VIRGINIA BANCORP, INC.

PART I

FINANCIAL INFORMATION



PAGE 3



---

##### Table of Contents

First West Virginia Bancorp, Inc.

CONSOLIDATED BALANCE SHEETS



|                                                                           |  |               |             |   |                  |   |             |  
|-------------------------------------------------------------------------- |  | ------------- | ----------- | - | ---------------- | - | ----------- | -
|                                                                           |  | March 31,2009 |             |   | December 31,2008 |  
|ASSETS                                                                     |  |               |             |   |                  |   |             |  
|                                                                           |  | (Unaudited)   |             |   |                  |  
|Cash and due from banks                                                    |  | $             | 5,262,616   |   |                  | $ | 5,992,400   |  
|Due from banks - interest bearing                                          |  |               | 5,696,736   |   |                  |   | 360,334     |  
|Federal funds sold                                                         |  |               | 2,447,000   |   |                  |   | 2,748,000   |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total cash and cash equivalents                                            |  |               | 13,406,352  |   |                  |   | 9,100,734   |  
|Investment securities:                                                     |  |               |             |   |                  |   |             |  
|Available-for-sale (at fair value)                                         |  |               | 114,693,714 |   |                  |   | 112,046,054 |  
|Held-to-maturity (fair value of $102,184 and $323,716, respectively)       |  |               | 100,565     |   |                  |   | 320,256     |  
|Loans                                                                      |  |               | 127,509,291 |   |                  |   | 124,634,785 |  
|Less allowance for loan losses                                             |  |               | (1,889,202  | ) |                  |   | (1,923,455  | )
|                                                                           |  |               |             |   |                  |   |             |  
|Net loans                                                                  |  |               | 125,620,089 |   |                  |   | 122,711,330 |  
|Premises and equipment, net                                                |  |               | 4,764,485   |   |                  |   | 4,713,897   |  
|Accrued income receivable                                                  |  |               | 1,333,177   |   |                  |   | 1,252,753   |  
|Goodwill                                                                   |  |               | 1,644,119   |   |                  |   | 1,644,119   |  
|Bank owned life insurance                                                  |  |               | 3,583,029   |   |                  |   | 3,553,984   |  
|Other assets                                                               |  |               | 2,593,750   |   |                  |   | 2,820,510   |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total assets                                                               |  | $             | 267,739,280 |   |                  | $ | 258,163,637 |  
|                                                                           |  |               |             |   |                  |   |             |  
|LIABILITIES                                                                |  |               |             |   |                  |   |             |  
|Noninterest bearing deposits:                                              |  |               |             |   |                  |   |             |  
|Demand                                                                     |  | $             | 24,168,470  |   |                  | $ | 24,108,459  |  
|Interest bearing deposits:                                                 |  |               |             |   |                  |   |             |  
|Demand                                                                     |  |               | 37,681,239  |   |                  |   | 33,782,737  |  
|Savings                                                                    |  |               | 58,939,146  |   |                  |   | 55,716,792  |  
|Time                                                                       |  |               | 94,025,395  |   |                  |   | 92,777,279  |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total deposits                                                             |  |               | 214,814,250 |   |                  |   | 206,385,267 |  
|Federal funds purchased and securities sold under agreements to repurchase |  |               | 11,555,347  |   |                  |   | 11,013,195  |  
|Federal Home Loan Bank borrowings                                          |  |               | 10,910,938  |   |                  |   | 10,929,369  |  
|Accrued interest payable                                                   |  |               | 497,187     |   |                  |   | 566,590     |  
|Other liabilities                                                          |  |               | 562,286     |   |                  |   | 532,658     |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total liabilities                                                          |  |               | 238,340,008 |   |                  |   | 229,427,079 |  
|                                                                           |  |               |             |   |                  |   |             |  
|STOCKHOLDERS EQUITY                                                       |  |               |             |   |                  |   |             |  
|Common stock - 2,000,000 shares authorized at $5 par value:                |  |               |             |   |                  |   |             |  
|1,599,411 shares issued at March 31, 2009 and December 31, 2008            |  |               | 7,997,055   |   |                  |   | 7,997,055   |  
|Treasury stock - 10,000 shares at cost:                                    |  |               | (228,100    | ) |                  |   | (228,100    | )
|Surplus                                                                    |  |               | 5,609,357   |   |                  |   | 5,609,357   |  
|Retained earnings                                                          |  |               | 14,714,342  |   |                  |   | 14,492,736  |  
|Accumulated other comprehensive income                                     |  |               | 1,306,618   |   |                  |   | 865,510     |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total stockholders equity                                                 |  |               | 29,399,272  |   |                  |   | 28,736,558  |  
|                                                                           |  |               |             |   |                  |   |             |  
|Total liabilities and stockholders equity                                 |  | $             | 267,739,280 |   |                  | $ | 258,163,637 |  
|                                                                           |  |               |             |   |                  |   |             |  

The accompanying notes are an integral part of the unaudited consolidated financial statements.



PAGE 4



---

##### Table of Contents

First West Virginia Bancorp, Inc.

CONSOLIDATED STATEMENTS OF INCOME



|                                                    |  |                              |           |   |      |   |          
|--------------------------------------------------- |  | ---------------------------- | --------- | - | ---- | - | ---------
|                                                    |  | Three Months Ended,March 31,
|                                                    |  | 2009                         |           |   | 2008
|                                                    |  | (Unaudited)                 
|INTEREST AND DIVIDEND INCOME                        |  |                              |           |   |      |   |          
|Loans, including fees:                              |  |                              |           |   |      |   |          
|Taxable                                             |  | $                            | 1,781,557 |   |      | $ | 1,931,800
|Tax-exempt                                          |  |                              | 141,136   |   |      |   | 136,487  
|Debt securities:                                    |  |                              |           |   |      |   |          
|Taxable                                             |  |                              | 1,205,653 |   |      |   | 1,103,790
|Tax-exempt                                          |  |                              | 171,374   |   |      |   | 201,093  
|Dividends                                           |  |                              |          |   |      |   | 12,114   
|Other interest income                               |  |                              | 4,234     |   |      |   | 36,380   
|Federal funds sold                                  |  |                              | 144       |   |      |   | 61,122   
|                                                    |  |                              |           |   |      |   |          
|Total interest and dividend income                  |  |                              | 3,304,098 |   |      |   | 3,482,786
|                                                    |  |                              |           |   |      |   |          
|INTEREST EXPENSE                                    |  |                              |           |   |      |   |          
|Deposits                                            |  |                              | 1,030,218 |   |      |   | 1,178,756
|Federal funds purchased and repurchase agreements   |  |                              | 27,635    |   |      |   | 57,092   
|FHLB and other long-term borrowings                 |  |                              | 135,677   |   |      |   | 117,092  
|                                                    |  |                              |           |   |      |   |          
|Total interest expense                              |  |                              | 1,193,530 |   |      |   | 1,352,940
|                                                    |  |                              |           |   |      |   |          
|Net interest income                                 |  |                              | 2,110,568 |   |      |   | 2,129,846
|PROVISION FOR LOAN LOSSES                           |  |                              |          |   |      |   |         
|                                                    |  |                              |           |   |      |   |          
|Net interest income after provision for loan losses |  |                              | 2,110,568 |   |      |   | 2,129,846
|                                                    |  |                              |           |   |      |   |          
|NONINTEREST INCOME                                  |  |                              |           |   |      |   |          
|Service charges and other fees                      |  |                              | 158,460   |   |      |   | 204,593  
|Net gains (losses) on available for sale securities |  |                              | (7,393    | ) |      |   | 112,501  
|Other operating income                              |  |                              | 138,441   |   |      |   | 143,391  
|                                                    |  |                              |           |   |      |   |          
|Total noninterest income                            |  |                              | 289,508   |   |      |   | 460,485  
|                                                    |  |                              |           |   |      |   |          
|NONINTEREST EXPENSE                                 |  |                              |           |   |      |   |          
|Salary and employee benefits                        |  |                              | 910,019   |   |      |   | 959,754  
|Net occupancy expense of premises                   |  |                              | 333,774   |   |      |   | 304,349  
|Other operating expenses                            |  |                              | 493,232   |   |      |   | 498,381  
|                                                    |  |                              |           |   |      |   |          
|Total noninterest expense                           |  |                              | 1,737,025 |   |      |   | 1,762,484
|                                                    |  |                              |           |   |      |   |          
|Income before income taxes                          |  |                              | 663,051   |   |      |   | 827,847  
|INCOME TAXES                                        |  |                              | 139,457   |   |      |   | 191,506  
|                                                    |  |                              |           |   |      |   |          
|Net income                                          |  | $                            | 523,594   |   |      | $ | 636,341  
|                                                    |  |                              |           |   |      |   |          
|WEIGHTED AVERAGE SHARES OUTSTANDING                 |  |                              | 1,589,411 |   |      |   | 1,589,411
|                                                    |  |                              |           |   |      |   |          
|EARNINGS PER COMMON SHARE                           |  | $                            | 0.33      |   |      | $ | 0.40     
|                                                    |  |                              |           |   |      |   |          
|DIVIDENDS PER COMMON SHARE                          |  | $                            | 0.19      |   |      | $ | 0.18     
|                                                    |  |                              |           |   |      |   |          

The accompanying notes are an integral part of the unaudited consolidated financial statements.



PAGE 5



---

##### Table of Contents

First West Virginia Bancorp, Inc.

CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS EQUITY

(Unaudited)



|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|---------------------------------------------------------------------------------- |  | ------------ |  | ------- | --------- | ----------------------------------- | ---------------- | --------- | -------------------- | ------------- | ------------- | ---------- | ------------------------ |  | ------- | -------- | ----- |  | - | --------- |  | - | --------- |  | - | ---------- | -
|                                                                                   |  | Common Stock |  | Surplus |           |                                     | RetainedEarnings |           |                      | TreasuryStock |               |            | AccumulatedOther Compre- |  | Compre- |          | Total | 
|                                                                                   |  | Shares       |  | Amount  |           |                                     |                  |           | hensiveIncome (loss) |               | hensiveIncome |           
|BALANCE, DECEMBER 31, 2008                                                         |  | 1,599,411    |  | $       | 7,997,055 |                                     | $                | 5,609,357 |                      |               | $             | 14,492,736 |                          |  | $       | (228,100 | )     |  | $ | 865,510   |  |   |           |  | $ | 28,736,558 |  
|Comprehensive income:                                                              |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Net income                                                                         |  |             |  |         |          |                                     |                  |          |                      |               |               | 523,594    |                          |  |         |         |       |  |   |          |  | $ | 523,594   |  |   | 523,594    |  
|Other comprehensive income, net of tax                                             |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Unrealized gains on securities net of reclassification adjustment (see disclosure) |  |             |  |         |          |                                     |                  |          |                      |               |               |           |                          |  |         |         |       |  |   | 441,108   |  |   | 441,108   |  |   | 441,108    |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Comprehensive income                                                               |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  | $ | 964,702   |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Cash dividend ($.19 per share)                                                     |  |             |  |         |          |                                     |                  |          |                      |               |               | (301,988   | )                        |  |         |         |       |  |   |          |  |   |           |  |   | (301,988   | )
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|BALANCE, MARCH 31, 2009                                                            |  | 1,599,411    |  | $       | 7,997,055 |                                     | $                | 5,609,357 |                      |               | $             | 14,714,342 |                          |  | $       | (228,100 | )     |  | $ | 1,306,618 |  |   |           |  | $ | 29,399,272 |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                 
|                                                                                   |  | Common Stock |  | Surplus |           |                                     | RetainedEarnings |           |                      | TreasuryStock |               |            | AccumulatedOther Compre- |  | Compre- |          | Total | 
|                                                                                   |  | Shares       |  | Amount  |           |                                     |                  |           | hensiveIncome (loss) |               | hensiveIncome |           
|BALANCE, DECEMBER 31, 2007                                                         |  | 1,538,443    |  | $       | 7,692,215 |                                     | $                | 4,982,606 |                      |               | $             | 14,394,610 |                          |  | $       | (228,100 | )     |  | $ | 373,268   |  |   |           |  | $ | 27,214,599 |  
|Comprehensive income:                                                              |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Net income                                                                         |  |             |  |         |          |                                     |                  |          |                      |               |               | 636,341    |                          |  |         |         |       |  |   |          |  | $ | 636,341   |  |   | 636,341    |  
|Other comprehensive income, net of tax                                             |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Unrealized gains on securities net of reclassification adjustment (see disclosure) |  |             |  |         |          |                                     |                  |          |                      |               |               |           |                          |  |         |         |       |  |   | 629,434   |  |   | 629,434   |  |   | 629,434    |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Comprehensive income                                                               |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  | $ | 1,265,775 |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Cash dividend ($.18 per share)                                                     |  |             |  |         |          |                                     |                  |          |                      |               |               | (290,404   | )                        |  |         |         |       |  |   |          |  |   |           |  |   | (290,404   | )
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|BALANCE, MARCH 31, 2008                                                            |  | 1,538,443    |  | $       | 7,692,215 |                                     | $                | 4,982,606 |                      |               | $             | 14,740,547 |                          |  | $       | (228,100 | )     |  | $ | 1,002,702 |  |   |           |  | $ | 28,189,970 |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                 
|                                                                                   |  |              |  |         |           | For the Three Months EndedMarch 31, |                  |           |                      |               |               |            |                          |  |         |          |      
|                                                                                   |  |              |  |         |           | 2009                                |                  |           | 2008                 |               |               |            |                          |  |         |          |       |  |   |          
|Disclosure of reclassification amount, net of tax:                                 |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Unrealized holding gains arising during the period                                 |  |              |  |         |           |                                     | $                | 436,497   |                      |               | $             | 699,601    |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Less reclassification adjustment for gains (losses) included in net income         |  |              |  |         |           |                                     |                  | (4,611    | )                    |               |               | 70,167     |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|Net unrealized gains on securities                                                 |  |              |  |         |           |                                     | $                | 441,108   |                      |               | $             | 629,434    |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  
|                                                                                   |  |              |  |         |           |                                     |                  |           |                      |               |               |            |                          |  |         |          |       |  |   |           |  |   |           |  |   |            |  

The accompanying notes are an integral part of the unaudited consolidated financial statements.



PAGE 6



---

##### Table of Contents

First West Virginia Bancorp, Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)



|                                                                                  |  |                                     |             |   |      |   |             |  
|--------------------------------------------------------------------------------- |  | ----------------------------------- | ----------- | - | ---- | - | ----------- | -
|                                                                                  |  | For the Three Months EndedMarch 31, |            
|                                                                                  |  | 2009                                |             |   | 2008 |  
|OPERATING ACTIVITIES                                                              |  |                                     |             |   |      |   |             |  
|Net income                                                                        |  | $                                   | 523,594     |   |      | $ | 636,341     |  
|Adjustments to reconcile net income to net cash provided by operating activities: |  |                                     |             |   |      |   |             |  
|Depreciation and amortization                                                     |  |                                     | 106,727     |   |      |   | 119,252     |  
|Accretion of investment securities, net                                           |  |                                     | (45,986     | ) |      |   | (177,475    | )
|Investment security (gains) losses                                                |  |                                     | 7,393       |   |      |   | (112,501    | )
|Increase in cash surrender value of bank-owned life insurance                     |  |                                     | (29,045     | ) |      |   | (30,965     | )
|Decrease (increase) in interest receivable                                        |  |                                     | (80,424     | ) |      |   | 110,051     |  
|Increase (decrease) in interest payable                                           |  |                                     | (69,403     | ) |      |   | 1,007       |  
|Other, net                                                                        |  |                                     | (9,749      | ) |      |   | 96,636      |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|Net cash provided by operating activities                                         |  |                                     | 403,107     |   |      |   | 642,346     |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|INVESTING ACTIVITIES                                                              |  |                                     |             |   |      |   |             |  
|Net (increase) decrease in loans, net of charge-offs                              |  |                                     | (2,911,760  | ) |      |   | 777,044     |  
|Proceeds from sales of securities available-for-sale                              |  |                                     | 14,733      |   |      |   | 6,995,487   |  
|Proceeds from maturities of securities available-for-sale                         |  |                                     | 8,483,018   |   |      |   | 31,361,847  |  
|Proceeds from maturities of securities held-to-maturity                           |  |                                     | 220,000     |   |      |   |            |  
|Principal collected on mortgage-backed securities                                 |  |                                     | 3,207,825   |   |      |   | 2,538,882   |  
|Purchases of securities available-for-sale                                        |  |                                     | (13,607,709 | ) |      |   | (38,035,487 | )
|Recoveries on loans previously charged-off                                        |  |                                     | 3,002       |   |      |   | 3,367       |  
|Purchases of premises and equipment                                               |  |                                     | (157,315    | ) |      |   | (136,906    | )
|                                                                                  |  |                                     |             |   |      |   |             |  
|Net cash provided by (used in) investing activities                               |  |                                     | (4,748,206  | ) |      |   | 3,504,234   |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|FINANCING ACTIVITIES                                                              |  |                                     |             |   |      |   |             |  
|Net increase in deposits                                                          |  |                                     | 8,428,984   |   |      |   | 4,723,299   |  
|Dividends paid                                                                    |  |                                     | (301,988    | ) |      |   | (290,404    | )
|Increase (decrease) in short-term borrowings                                      |  |                                     | 542,152     |   |      |   | (368,096    | )
|Principal payments on FHLB and other long-term borrowings                         |  |                                     | (18,431     | ) |      |   | (11,389     | )
|                                                                                  |  |                                     |             |   |      |   |             |  
|Net cash provided by financing activities                                         |  |                                     | 8,650,717   |   |      |   | 4,053,410   |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|INCREASE IN CASH AND CASH EQUIVALENTS                                             |  |                                     | 4,305,618   |   |      |   | 8,199,990   |  
|CASH AND CASH EQUIVALENTS,                                                        |  |                                     |             |   |      |   |             |  
|BEGINNING OF YEAR                                                                 |  |                                     | 9,100,734   |   |      |   | 12,925,180  |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|CASH AND CASH EQUIVALENTS,                                                        |  |                                     |             |   |      |   |             |  
|END OF PERIOD                                                                     |  | $                                   | 13,406,352  |   |      | $ | 21,125,170  |  
|                                                                                  |  |                                     |             |   |      |   |             |  
|Supplemental Disclosures:                                                         |  |                                     |             |   |      |   |             |  
|Cash Paid for Interest                                                            |  | $                                   | 1,262,933   |   |      | $ | 1,351,933   |  
|Cash Paid for Income Taxes                                                        |  | $                                   |            |   |      | $ | 120,000     |  

The accompanying notes are an integral part of the unaudited consolidated financial statements.



PAGE 7



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

Note 1 - Summary of
Significant Accounting Policies

The accounting and reporting policies of First West Virginia Bancorp, Inc. ( the Company) and its
subsidiary were prepared in accordance with accounting principles generally accepted in the United States of America, (US GAAP) and to general practices within the financial services industry. The preparation of financial statements in
conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Management has identified the
accounting policies described below as those that, due to the judgments, estimates and assumptions inherent in those policies, are critical to an understanding of the Companys consolidated financial statements and managements discussion
and analysis. A summary of the significant accounting and reporting policies applied in the presentation of the accompanying financial statements follows.

Nature of Operations and Basis of Presentation: First West Virginia Bancorp, Inc. (the Company) is a West Virginia Company. The Company provides a variety of banking services to individuals and businesses through the
branch network of its affiliate bank (the Bank). The Bank operates nine full service branches located in Wheeling (3), Wellsburg, Moundsville, New Martinsville, Buckhannon, and Weston, West Virginia and Bellaire, Ohio. Primary deposit
products consist of checking accounts, savings accounts, and certificates of deposit. Primary lending products consist of commercial and residential real estate loans, consumer loans, and business loans.

Principles of Consolidation: The consolidated financial statements of the Company include the financial statements of the parent and its wholly-owned subsidiary,
Progressive Bank, N.A. All significant intercompany transactions and accounts have been eliminated in consolidation.

Use of Estimates: The
preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities,
disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are
particularly susceptible to material change in the near term relate to the determination of the allowance for loan losses and the valuation of deferred tax assets.

Cash and Cash equivalents: Cash and cash equivalents consist of cash on hand and amounts due from banks and federal funds sold.

Investment Securities: Investment securities are classified at the time of purchase, based on managements intention and ability, as securities available for sale or held to maturity. Debt securities classified as held to
maturity are stated at cost adjusted for amortization of premium and accretion of discount which are computed using the interest method and recognized as adjustments of interest income. Certain other debt and equity securities have been classified
as available for sale to serve principally as a source of liquidity. Unrealized holding gains and losses for available-for-sale securities are reported as a separate component of stockholders equity, net of tax, until realized. Realized
securities gains and losses are computed using the specific identification method. Interest and dividends on investment securities are recognized as income when earned.

While temporary changes in the market value of available-for-sale securities are not recognized in earnings, a decline in fair value below amortized cost deemed to be other-than-temporary results in an adjustment to
the cost basis of the investment, with a corresponding loss charged against earnings. Management evaluates the investment securities for other-than-temporary declines in estimated fair value on a quarterly basis. This analysis requires management to
consider various factors in order to determine if a decline in estimated fair value is temporary or other-than-temporary. These factors include duration and magnitude of the decline in value, the financial condition of the issuer, and the
companys ability and intent to continue holding the investment for a period of time sufficient to allow for any anticipated recovery in market value. At March 31, 2009 there were no investment securities identified by management to be
other-than-temporarily impaired. If investments decline in fair value due to adverse changes in the financial markets, charges to income could occur in future periods.

Common stock of the Federal Home Loan Bank (FHLB) and Federal Reserve Bank represents ownership interest in institutions that are wholly owned by other financial institutions. These equity securities are
accounted for at cost and are classified with other assets.

Loans and Loans Held for Sale: Loans are generally reported at the principal balance
outstanding, net of unearned income. Interest income on loans is accrued based on the principal outstanding. It is the Companys policy to discontinue the accrual of interest when either the principal or interest is past due 90 days or more,
unless the loan is both well secured and in the process of collection. The Company accounts for impaired loans in accordance with the provisions of Statement of Financial Accounting Standards (SFAS) No. 114 and No. 118,
Accounting for Creditors for Impairment of a Loan. It is the Companys policy not to recognize interest income on specific impaired loans unless the likelihood of future loss is remote. Interest payments received on such loans are
applied as a reduction of the loan principal balance. Loan origination and commitment fees and certain direct loan origination costs are deferred and the net amount amortized over the contractual life of the related loans or commitments as an
adjustment of the related loans yield. Loans held for sale are carried at the lower of cost or estimated market value in the aggregate. There were no loans held for sale as of March 31, 2009 and December 31, 2008 respectively.

The Company has entered into an agreement with the Federal Home Loan Bank of Pittsburgh (FHLB) under which the bank may sell
conforming one-to-four family residential mortgage loans to the FHLB. The agreement provides for a maximum commitment of $5,000,000. Loans sold to the FHLB are sold with limited recourse or credit risk up to a maximum amount of $125,000 based upon
utilization of the original commitment. The bank also maintains the servicing of these loans, for which it is paid a servicing fee. The total amount of loans sold under this agreement is $2,159,755 as of March 31, 2009 which are subject to
recourse obligation or credit risk in the amount of $64,768. As of December 31, 2008 the loans sold under this agreement amounted to $1,817,036 and were subject to a recourse obligation or credit risk in the amount of $41,635. The amount of
income recognized as of a result of this agreement was $3,086 and $1,724 for the period ending March 31, 2009 and 2008, respectively.



PAGE 8



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

NOTE 1 - SUMMARY OF
SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Allowance for Loan Losses: The allowance for loan losses represents the amount which management
estimates is adequate to provide for probable losses inherent in its loan portfolio. The allowance method is used in providing for loan losses. Accordingly, all loan losses are charged to the allowance, and all recoveries are credited to it. The
allowance for loan losses is established through a provision for loan losses that is charged to operations. The provision is based on managements evaluation of the adequacy of the allowance for loan losses which encompasses the overall risk
characteristics of the various portfolio segments, past experience with losses, the impact of economic conditions on borrowers, and other relevant factors. The estimates used in determining the adequacy of the allowance for loan losses, including
the amounts and timing of future cash flows expected on impaired loans, are particularly susceptible to significant changes in the near term.

Mortgage loans secured by one-to-four family properties and all consumer loans are large groups of smaller-balance homogeneous loans and are measured for impairment collectively. Loans that experience insignificant payment delays, which are
defined as 90 days or less, generally are not classified as impaired. Management determines the significance of payment delays on a case-by-case basis taking into consideration all circumstances concerning the loan, the credit worthiness and payment
history of the borrower, the length of the payment delay, and the amount of shortfall in relation to the principal and interest owed.

Impaired loans are commercial and commercial real estate loans for which it is probable the Company will not be able to collect all amounts due according to the contractual terms of the loan agreement. The Company individually evaluates
such loans for impairment and does not aggregate loans by major risk classifications. The definition of impaired loans is not the same as the definition of nonaccrual loans, although the two categories overlap. The Company
may choose to place a loan on nonaccrual status due to payment delinquency or uncertain collectibility while not classifying the loan as impaired, provided the loan is not a commercial or commercial real estate classification. Factors considered by
management in determining impairment include payment status and collateral value. The amount of impairment for these types of loans is determined by the difference between the present value of the expected cash flows related to the loan, using the
original interest rate, and its recorded value, or as a practical expedient in the case of collateralized loans, the difference between the fair value of the collateral and the recorded amount of the loans. When foreclosure is probable, impairment
is measured based on the fair value of the collateral.

Individual loan reviews are based upon specific quantitative and qualitative
criteria, including the size of the loan, loan quality ratings, value of collateral, repayment ability of borrowers, and historical experience factors. The historical experience factors utilized for individual loan reviews are based upon past loss
experience, known trends in losses and delinquencies, the growth of loans in particular markets and industries, and known changes in economic conditions in the particular lending markets. Allowances for homogeneous loans (such as residential
mortgage loans, personal loans, etc.) are evaluated based upon -historical loss experience, trends in losses and delinquencies, growth of loans in particular markets, and known changes in economic conditions in each lending market. There can be no
assurance the allowance for loan losses will be adequate to cover all losses, but management believes the allowance for loan losses in the amount of $1,889,202 at March 31, 2009, was adequate to provide for probable losses from existing loans
based on information currently available. While management uses available information to provide for loan losses, the ultimate collectibility of a substantial portion of the loan portfolio, and the need for future additions to the allowance, will be
based on changes in economic conditions and other relevant factors. As such, an adverse change in economic activity could reduce cash flows for both commercial and individual borrowers, which would likely cause the Company to experience increases in
problem assets, delinquencies and losses on loans.

Premises and Equipment: Premises and equipment are stated at cost, less accumulated depreciation
and amortization. Provisions for depreciation and amortization are computed generally using the straight-line method over the estimated useful lives of the assets. When units of property are disposed of, the premises and equipment accounts are
relieved of the cost and the accumulated depreciation related to such units. Any resulting gains or losses are credited to or charged against income. Cost of repairs and maintenance is charged to expense as incurred. Additions and improvements are
capitalized at cost.

Other Real Estate Owned: Other real estate owned are carried at the lower of cost or their estimated current fair value, less
estimated costs to sell and are included in other assets. Other real estate owned consist primarily of properties acquired through, or in lieu of foreclosures. Any subsequent declines in fair value, and gains or losses on the disposition of these
assets are credited to or charged against income.

Goodwill and Other Intangible Assets: Goodwill resulted from the Companys purchase of a
less-than-whole financial institution (the branch). The goodwill value of $1.6 million is supported ultimately by revenue that is driven by the volume of business transacted. A decline in earnings as a result of a lack of growth or the
inability to deliver cost effective services over sustained periods can lead to impairment of goodwill that could adversely impact earnings in future periods.

An identifiable intangible asset resulted from the purchase of the core deposits of another financial institution in 2001 and, as such, are amortized into noninterest expense on the straight-line basis over the period
the Company expects to benefit from such assets (7 years). The Company recognized amortization expense of $-0- and $14,792 in the three month periods ended March 31, 2009 and 2008, respectively. The unamortized balance from the purchase of
these core deposit intangible assets was $-0- at March 31, 2009 and December 31, 2008, respectively. While management feels the assumptions and variables used to value the acquisition were reasonable, the use of different, but still
reasonable, assumptions could produce different results.

Goodwill and other intangibles are periodically reviewed for impairment. No
impairment losses were recognized. Additionally, future events could cause management to conclude that impairment indicators exist and that the goodwill is impaired, which would result in the Company recording an impairment loss. Any resulting
impairment loss could have a material, adverse impact on the Companys financial condition and results of operations.



PAGE 9



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

NOTE 1 - SUMMARY OF
SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Bank-owned Life Insurance Bank owned life insurance consists of investments in life insurance
policies on executive officers and other members of the banks management. The policies are carried at their net cash surrender value. Changes in the policy value are recorded as an adjustment to the carrying value with the corresponding amount
recognized as non-interest income or expense. Earnings on these policies are based on the net earnings on the cash surrender value of the policies. The net cash surrender value of bank-owned life insurance was $3,583,029 and $3,553,984 at
March 31, 2009 and December 31, 2008, respectively. The face value of the bank-owned life insurance at March 31, 2009 was approximately $9.4 million. An agreement has been executed with all officers whereby a $40,000 death benefit is
payable upon the participants death while employed by the Company to their designated beneficiary.

Income Taxes: The Company and its
subsidiary file a consolidated federal income tax return. Deferred tax assets and liabilities are reflected at currently enacted income tax rates applicable to the period in which the deferred tax assets and liabilities are expected to be realized
or settled. As changes in tax laws or rates are enacted, deferred tax assets and liabilities are adjusted through the provision for income taxes. Deferred income tax expenses or benefits are based on the changes in the deferred tax asset or
liability from period to period.

Advertising Costs: Advertising costs are expensed as the costs are incurred. Advertising expenses amounted to
$8,849 and $7,853 for the three month periods ended March 31, 2009 and 2008, respectively.

Earnings Per Common Share: Earnings per common
share are calculated by dividing net income by the weighted-average number of shares of common stock outstanding during the year. The Company has no securities which would be considered potential common stock.

Comprehensive Income: The Company is required to present comprehensive income in a full set of general-purpose financial statements for all periods presented. The
following represents comprehensive income for the three month periods ended March 31, 2009 and 2008, respectively. Other comprehensive income comprises unrealized holding gains (losses) on the available-for-sale securities portfolio. The
Company has elected to report the effects of other comprehensive income as part of the Consolidated Statement of Changes in Stockholders Equity.

The
following table represents other comprehensive income before tax and net of tax:



|                           |  |                                     |          |   |      |   |           |  
|-------------------------- |  | ----------------------------------- | -------- | - | ---- | - | --------- | -
|                           |  | For the three months endedMarch 31, |         
|                           |  | 2009                                |          |   | 2008 |  
|Before-tax amount          |  | $                                   | 707,244  |   |      | $ | 1,009,194 |  
|Tax effect                 |  |                                     | (266,136 | ) |      |   | (379,760  | )
|                           |  |                                     |          |   |      |   |           |  
|Net of tax effect          |  |                                     | 441,108  |   |      |   | 629,434   |  
|Net income as reported     |  |                                     | 523,594  |   |      |   | 636,341   |  
|                           |  |                                     |          |   |      |   |           |  
|Total comprehensive income |  | $                                   | 964,702  |   |      | $ | 1,265,775 |  
|                           |  |                                     |          |   |      |   |           |  

Fair Value Measurements:In September 2006, the FASB issued FASB No. 157, Fair Value
Measurements, to provide consistency and comparability in determining fair value measurements and to provide for expanded disclosures about fair value measurements. The definition of fair value maintains the exchange price notion in earlier
definitions of fair value but focuses on the exit price of the asset or liability. The exit price is the price that would be received to sell the asset or paid to transfer the liability adjusted for certain inherent risks and restrictions. Expanded
disclosures are also required about the use of fair value to measure assets and liabilities.

As required by FASB No. 157, each financial asset and
liability must be identified as having been valued according to specified level of input, 1, 2 or 3. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access at
the measurement date. Fair values determined by Level 2 inputs utilize inputs other than quoted prices included in Level 1 that are observable for the asset, either directly or indirectly. Level 2 inputs include quoted prices for similar assets in
active markets, and inputs other than quoted prices that are observable for the asset or liability. Level 3 inputs are unobservable inputs for the asset, and include situations where there is little, if any, market activity for the asset or
liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy, within which the fair value measurement in its entirety falls, has
been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Companys assessment of the significance of a particular input to the fair value measurement in its entirety requires
judgment, and considers factors specific to the asset.



PAGE 10



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

NOTE 1 - SUMMARY OF
SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

As of March 31, 2009, the Company did not have any assets measured at fair value on a nonrecurring
basis. The measurement of fair value should be consistent with one of the following valuation techniques: market approach, income approach, and/or cost approach. The market approach uses prices and other relevant information generated by market
transactions involving identical or comparable assets or liabilities (including a business). For example, valuation techniques consistent with the market approach often use market multiples derived from a set of comparables. Multiples might lie in
ranges with a different multiple for each comparable. The selection of where within the range the appropriate multiple falls requires judgment, considering factors specific to the measurement (qualitative and quantitative). Valuation techniques
consistent with the market approach include matrix pricing. Matrix pricing is a mathematical technique used principally to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the
securities relationship to other benchmark quoted securities. As of March 31, 2009, all of the financial assets measured at fair value utilized the market approach.

The following table presents the assets and liabilities reported on the consolidated statements of financial condition at their fair value as of March 31, 2009 by level within the fair value hierarchy. As
required by SFAS No. 157, financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement.



|                              |  |                |     |          |   |           |  |       |   |  |   |        
|----------------------------- |  | -------------- | --- | -------- | - | --------- |  | ----- | - |  | - | -------
|                              |  | March 31, 2009
|                              |  | Level I        |     | Level II |   | Level III |  | Total
|                              |  | (In thousands)
|Assets:                       |  |                |     |          |   |           |  |       |   |  |   |        
|Securities available for sale |  | $              | 231 |          | $ | 114,463   |  | $     |  |  | $ | 114,694
|Impaired loans                |  | $              |    |          | $ | 3,881     |  | $     |  |  | $ | 3,881  

Recent Accounting Pronouncements: In December 2007,
the FASB issued FAS No. 141 (revised 2007), Business Combinations (FAS 141(R)), which establishes principles and requirements for how an acquirer recognizes and measures in its financial statements the identifiable assets acquired,
the liabilities assumed, and any noncontrolling interest in an acquiree, including the recognition and measurement of goodwill acquired in a business combination. FAS No. 141®) is
effective for fiscal years beginning on or after December 15, 2008. Earlier adoption is prohibited. The adoption of this standard did not have a material effect on the Companys results of operations or financial position.

In September 2006, the FASB issued FAS No. 157, Fair Value Measurements, which provides enhanced guidance for using fair value to measure assets and
liabilities. The standard applies whenever other standards require or permit assets or liabilities to be measured at fair value. The Standard does not expand the use of fair value in any new circumstances. FAS No. 157 is effective for financial
statements issued for fiscal years beginning after November 15, 2007 and interim periods within those fiscal years. In February 2008, the FASB issued Staff Position No. 157-1, Application of FASB Statement No. 157 to FASB Statement
No. 13 and Other Accounting Pronouncements That Address Fair Value Measurements for Purposes of Lease Classification or Measurement under Statement 13, which removed leasing transactions accounted for under FAS No. 13 and related
guidance from the scope of FAS No. 157. Also in February 2008, the FASB issued Staff Position No.157-2, Partial Deferral of the Effective Date of Statement 157, which deferred the effective date of FAS No. 157 for all nonfinancial
assets and nonfinancial liabilities to fiscal years beginning after November 15, 2008. The adoption of this standard did not have a material effect on the Companys results of operations or financial position.

In December 2007, the FASB issued FAS No. 160, Noncontrolling Interests in Consolidated Financial Statements  an amendment of ARB No. 51. FAS
No. 160 amends ARB No. 51 to establish accounting and reporting standards for the noncontrolling interest in a subsidiary and for the deconsolidation of a subsidiary. It clarifies that a noncontrolling interest in a subsidiary, which is
sometimes referred to as minority interest, is an ownership interest in the consolidated entity that should be reported as equity in the consolidated financial statements. Among other requirements, this statement requires consolidated net income to
be reported at amounts that include the amounts attributable to both the parent and the noncontrolling interest. It also requires disclosure, on the face of the consolidated income statement, of the amounts of consolidated net income attributable to
the parent and to the noncontrolling interest. FAS No. 160 is effective for fiscal years beginning on or after December 15, 2008. Earlier adoption is prohibited. The adoption of this standard did not have a material effect on the
Companys results of operations or financial position.



PAGE 11



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

NOTE 1 - SUMMARY OF
SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Recent Accounting Pronouncements (Continued)

In March 2008, the FASB issued FAS No. 161, Disclosures about Derivative Instruments and Hedging Activities, to require enhanced disclosures about derivative
instruments and hedging activities. The new standard has revised financial reporting for derivative instruments and hedging activities by requiring more transparency about how and why an entity uses derivative instruments, how derivative instruments
and related hedged items are accounted for under FAS No. 133, Accounting for Derivative Instruments and Hedging Activities; and how derivative instruments and related hedged items affect an entitys financial position, financial
performance, and cash flows. FAS No. 161 requires disclosure of the fair values of derivative instruments and their gains and losses in a tabular format. It also requires entities to provide more information about their liquidity by requiring
disclosure of derivative features that are credit risk-related. Further, it requires cross-referencing within footnotes to enable financial statement users to locate important information about derivative instruments. FAS No. 161 is effective
for financial statements issued for fiscal years and interim periods beginning after November 15, 2008, with early application encourage. The adoption of this standard did not have a material effect on the Companys results of operations
or financial position.

In June 2008, the FASB ratified EITF Issue No. 08-4, Accounting for Convertible Securities with Beneficial Conversion
Features or Contingently Adjusted Conversion Ratios. This Issue provides transition guidance for conforming changes made to EITF Issue No. 98-5, Accounting for Convertible Securities with Beneficial Conversion Features or Contingently
Adjusted Conversion Ratios, that resulted from EITF Issue No. 00-27, Application of Issue No. 98-5 to Certain Convertible Instruments,and FAS No. 150, Accounting for Certain Financial Instruments with Characteristics of both
Liability and Equity. The conforming changes are effective for financial statements issued for fiscal years ending after December 15, 2008, with earlier application permitted. The adoption of this FSP did not have a material effect on the
Companys results of operations or financial position.

In February 2008, the FASB issued FSP No. FAS 140-3, Accounting for Transfers of Financial
Assets and Repurchase Financing Transactions. This FSP concludes that a transferor and transferee should not separately account for a transfer of a financial asset and a related repurchase financing unless (a) the two transactions have a
valid and distinct business or economic purpose for being entered into separately and (b) the repurchase financing does not result in the initial transferor regaining control over the financial asset. The FSP is effective for financial
statements issued for fiscal years beginning on or after November 15, 2008, and interim periods within those fiscal years. The adoption of this FSP did not have a material effect on the Companys results of operations or financial
position.

In April 2008, the FASB issued FASB Staff Position No. 142-3, Determination of the Useful Life of Intangible Assets(FSP
142-3). FSP 142-3 amends the factors that should be considered in developing assumptions about renewal or extension used in estimating the useful life of a recognized intangible asset under FAS No. 142, Goodwill and Other Intangible
Assets. This standard is intended to improve the consistency between the useful life of a recognized intangible asset under FAS No. 142 and the period of expected cash flows used to measure the fair value of the asset under FAS
No. 141R and other GAAP. FSP 142-3 is effective for financial statements issued for fiscal years beginning after December 15, 2008. The measurement provisions of this standard will apply only to intangible assets of the Company acquired
after the effective date.

In May 2008, the FASB issued FSP No. APB 14-1, Accounting for Convertible Debt Instruments That May Be Settled in Cash upon
Conversion (Including Partial Cash Settlement. This FSP provides guidance on the accounting for certain types of convertible debt instruments that may be settled in cash upon conversion. Additionally, this FSP specifies that issuers of such
instruments should separately account for the liability and equity components in a manner that will reflect the entitys nonconvertible debt borrowing rate when interest cost is recognized in subsequent periods. The FSP is effective for
financial statements issued for fiscal years beginning after December 15, 2008, and interim periods within those fiscalyears. The adoption of this FSP did not have a material effect on the Companys results of operations or financial
position.

In June 2008, the FASB issued FASB Staff Position (FSP) No. EITF 03-6-1, Determining Whether Instruments Granted in Share-Based Payment
Transactions Are Participating Securities, to clarify that instruments granted in share-based payment transactions can be participating securities prior to the requisite service having been rendered. A basic principle of the FSP is that unvested
share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and are to be included in the computation of EPS pursuant to the two-class method. The
provisions of this FSP are effective for financial statements issued for fiscal years beginning after December 15, 2008, and interim periods within those years. All prior-period EPS data presented (including interim financial statements,
summaries of earnings, and selected financial data) are required to be adjusted retrospectively to conform with the provisions of the FSP. The adoption of this FSP did not have a material effect on the Companys results of operations or
financial position.

In December 2008, the FASB issued FASB Staff Position (FSP) No. FAS 132(R)-1, Employers Disclosures about Postretirement
Benefit Plan Assets. This FSP amends FASB Statement No. 132 (revised 2003), Employers Disclosures about Pensions and Other Postretirement Benefits, to improve an employers disclosures about plan assets of a defined
benefit pension or other postretirement plan. The disclosures about plan assets required by the FSP are to be provided for fiscal years ending after December 15, 2009. The Company is currently evaluating the impact the adoption of the FSP will
have on the Companys results of operations.



PAGE 12



---

##### Table of Contents

First West Virginia Bancorp, Inc.

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

March 31, 2009 AND 2008

(Unaudited)

NOTE 1 - SUMMARY OF
SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

Recent Accounting Pronouncements (Continued)

In April 2009, the FASB issued FSP No. FAS 141(R)-1, Accounting for Assets Acquired and Liabilities Assumed in a Business Combination That Arise from Contingencies.This FSP requires companies acquiring contingent assets or assuming contingent liabilities in business combination to either (a) if the assets or liabilities fair value can be determined, recognize them at fair value, at the
acquisition date, or (b) if the assets or liabilities fair value cannot be determined, but (I) it is probable that an asset existed or that a liability had been incurred at the acquisition date and (ii)the amount of the asset
or liability can be reasonably estimated, recognize them at their estimated amount, at the acquisition date. If the fair value of these contingencies cannot be determined and they are not probable or cannot be reasonably estimated, then companies
should not recognize these contingencies as of the acquisition date and instead should account for them in subsequent periods by following other applicable GAAP. This FSP also eliminates the FAS 141R requirement of disclosing in the footnotes to the
financial statements the range of expected outcomes for a recognized contingency. This FSP shall be effective for assets or liabilities arising from contingencies in business combinations for which the acquisition date is on or after the beginning
of the first annual reporting period beginning on or after December 15, 2008. The Company is currently evaluating the impact the adoption of the FSP will have on the Companys results of operations.

In April 2009, the FASB issued FSP No. FAS 157-4, Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased
and Identifying Transactions That Are Not Orderly. This FSP relates to determining fair values when there is no active market or where the price inputs being used represent distressed sales. It reaffirms the need to use judgment to ascertain if
a formerly active market has become inactive and in determining fair values when markets have become inactive. FSP No. FAS 157-4 is effective for interim and annual periods ending after June 15, 2009, but entities may early adopt this FSP for
the interim and annual periods ending after March 15, 2009. The adoption of this FSP is not expected to have a material effect on the Companys results of operations or financial position.

In April 2009, the FASB issued FSP No. FAS 107-1 and APB 28-1, Interim Disclosures about Fair Value of Financial Instruments, which relates to fair value
disclosures for any financial instruments that are not currently reflected on the balance sheet of companies at fair value. Prior to issuing this FSP, fair values for these assets and liabilities were only disclosed once a year. The FSP now requires
these disclosures on a quarterly basis, providing qualitative and quantitative information about fair value estimates for all those financial instruments not measured on the balance sheet at fair value. FSP No. FAS 107-1 and APB 28-1 is effective
for interim and annual periods ending after June 15, 2009, but entities may early adopt this FSP for the interim and annual periods ending after March 15, 2009. The adoption of this FSP is not expected to have a material effect on the
Companys results of operations or financial position.

In April 2009, the FASB issued FSP No. FAS 115-2 and FAS 124-2, Recognition and
Presentation of Other-Than-Temporary Impairments, which provides additional guidance designed to create greater clarity and consistency in accounting for and presenting impairment losses on securities. FSP No. FAS 115-2 and FAS 124-2 is
effective for interim and annual periods ending after June 15, 2009, but entities may early adopt this FSP for the interim and annual periods ending after March 15, 2009. The adoption of this FSP is not expected to have a material effect
on the Companys results of operations or financial position.



PAGE 13



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Table One

SELECTED FINANCIAL DATA(Dollars in
thousands, except per share data)



|                                                  |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|------------------------------------------------- |  | -------------------------------------- | ------- | - | ----------------------- | - | ------- | ---- |  | - | ------- | - |  | ---- | ------- | - | ---- | - | ------- | - |  | - | ------- | -
|                                                  |  | (Unaudited)Three Months
EndedMarch 31, |         |   | Years endedDecember 31, |  
|                                                  |  | 2009                                   |         |   | 2008                    |   |         | 2008 |  |   | 2007    |   |  | 2006 |         |   | 2005 |  
|SUMMARY OF OPERATIONS                             |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Total interest income                             |  | $                                      | 3,304   |   |                         | $ | 3,483   |      |  | $ | 13,514  |   |  | $    | 13,708  |   |      | $ | 13,772  |   |  | $ | 13,128  |  
|Total interest expense                            |  |                                        | 1,194   |   |                         |   | 1,353   |      |  |   | 5,275   |   |  |      | 5,431   |   |      |   | 4,943   |   |  |   | 4,070   |  
|Net interest income                               |  |                                        | 2,110   |   |                         |   | 2,130   |      |  |   | 8,239   |   |  |      | 8,277   |   |      |   | 8,829   |   |  |   | 9,058   |  
|Provision for loan losses                         |  |                                        |        |   |                         |   |        |      |  |   |        |   |  |      | (100    | ) |      |   |        |   |  |   | 180     |  
|Total other income                                |  |                                        | 290     |   |                         |   | 460     |      |  |   | 1,488   |   |  |      | 1,410   |   |      |   | 1,433   |   |  |   | 1,378   |  
|Total other expenses                              |  |                                        | 1,737   |   |                         |   | 1,762   |      |  |   | 7,009   |   |  |      | 7,272   |   |      |   | 7,614   |   |  |   | 7,451   |  
|Income before income taxes                        |  |                                        | 663     |   |                         |   | 828     |      |  |   | 2,718   |   |  |      | 2,515   |   |      |   | 2,648   |   |  |   | 2,804   |  
|Net income                                        |  |                                        | 524     |   |                         |   | 636     |      |  |   | 2,206   |   |  |      | 2,036   |   |      |   | 2,144   |   |  |   | 2,262   |  
|PER SHARE DATA (1)                                |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Net income                                        |  | $                                      | 0.33    |   |                         | $ | 0.40    |      |  | $ | 1.39    |   |  | $    | 1.28    |   |      | $ | 1.35    |   |  | $ | 1.42    |  
|Cash dividends declared                           |  |                                        | 0.19    |   |                         |   | 0.18    |      |  |   | 0.74    |   |  |      | 0.73    |   |      |   | 0.73    |   |  |   | 0.73    |  
|Book value per share                              |  |                                        | 18.50   |   |                         |   | 17.74   |      |  |   | 18.08   |   |  |      | 17.12   |   |      |   | 15.90   |   |  |   | 15.07   |  
|AVERAGE BALANCE SHEET SUMMARY                     |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Total loans, net                                  |  | $                                      | 126,147 |   |                         | $ | 120,667 |      |  | $ | 120,722 |   |  | $    | 120,409 |   |      | $ | 129,997 |   |  | $ | 144,528 |  
|Investment securities                             |  |                                        | 109,658 |   |                         |   | 103,279 |      |  |   | 108,114 |   |  |      | 109,278 |   |      |   | 109,533 |   |  |   | 102,882 |  
|Deposits - interest bearing                       |  |                                        | 186,922 |   |                         |   | 180,264 |      |  |   | 182,450 |   |  |      | 182,682 |   |      |   | 190,160 |   |  |   | 200,902 |  
|Stockholders equity                              |  |                                        | 28,961  |   |                         |   | 26,926  |      |  |   | 27,295  |   |  |      | 26,223  |   |      |   | 25,416  |   |  |   | 24,409  |  
|Total assets                                      |  |                                        | 262,290 |   |                         |   | 254,260 |      |  |   | 258,275 |   |  |      | 253,930 |   |      |   | 262,946 |   |  |   | 270,500 |  
|BALANCE SHEET                                     |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Investments                                       |  | $                                      | 114,794 |   |                         | $ | 105,086 |      |  | $ | 112,366 |   |  | $    | 106,647 |   |      | $ | 110,894 |   |  | $ | 107,998 |  
|Loans                                             |  |                                        | 127,509 |   |                         |   | 120,954 |      |  |   | 124,635 |   |  |      | 121,739 |   |      |   | 120,709 |   |  |   | 135,214 |  
|Allowance for loan losses                         |  |                                        | (1,889  | ) |                         |   | (2,038  | )    |  |   | (1,923  | ) |  |      | (2,043  | ) |      |   | (2,297  | ) |  |   | (2,320  | )
|Other assets                                      |  |                                        | 27,325  |   |                         |   | 34,694  |      |  |   | 23,086  |   |  |      | 26,844  |   |      |   | 25,132  |   |  |   | 25,321  |  
|                                                  |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Total Assets                                      |  | $                                      | 267,739 |   |                         | $ | 258,696 |      |  | $ | 258,164 |   |  | $    | 253,187 |   |      | $ | 254,438 |   |  | $ | 266,213 |  
|                                                  |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Deposits                                          |  | $                                      | 214,814 |   |                         | $ | 207,850 |      |  | $ | 206,385 |   |  | $    | 203,127 |   |      | $ | 210,409 |   |  | $ | 218,817 |  
|Federal funds purchased and repurchase agreements |  |                                        | 11,555  |   |                         |   | 11,828  |      |  |   | 11,013  |   |  |      | 12,196  |   |      |   | 15,240  |   |  |   | 19,084  |  
|FHLB borrowings                                   |  |                                        | 10,911  |   |                         |   | 9,287   |      |  |   | 10,929  |   |  |      | 9,298   |   |      |   | 2,343   |   |  |   | 2,385   |  
|Other long term borrowings                        |  |                                        |        |   |                         |   |        |      |  |   |        |   |  |      |        |   |      |   |        |   |  |   | 1,000   |  
|Other liabilities                                 |  |                                        | 1,060   |   |                         |   | 1,541   |      |  |   | 1,100   |   |  |      | 1,351   |   |      |   | 1,169   |   |  |   | 968     |  
|Stockholders equity                              |  |                                        | 29,399  |   |                         |   | 28,190  |      |  |   | 28,737  |   |  |      | 27,215  |   |      |   | 25,277  |   |  |   | 23,959  |  
|                                                  |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Total Liabilities and Stockholders equity        |  | $                                      | 267,739 |   |                         | $ | 258,696 |      |  | $ | 258,164 |   |  | $    | 253,187 |   |      | $ | 254,438 |   |  | $ | 266,213 |  
|                                                  |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|SELECTED RATIOS                                   |  |                                        |         |   |                         |   |         |      |  |   |         |   |  |      |         |   |      |   |         |   |  |   |         |  
|Return on average assets                          |  |                                        | 0.81    | % |                         |   | 1.01    | %    |  |   | 0.85    | % |  |      | 0.80    | % |      |   | 0.82    | % |  |   | 0.84    | %
|Return on average equity                          |  |                                        | 7.34    | % |                         |   | 9.50    | %    |  |   | 8.08    | % |  |      | 7.76    | % |      |   | 8.44    | % |  |   | 9.27    | %
|Average equity to average assets                  |  |                                        | 11.04   | % |                         |   | 10.59   | %    |  |   | 10.57   | % |  |      | 10.33   | % |      |   | 9.67    | % |  |   | 9.02    | %
|Dividend payout ratio (1)                         |  |                                        | 57.58   | % |                         |   | 45.00   | %    |  |   | 53.24   | % |  |      | 57.03   | % |      |   | 54.07   | % |  |   | 51.41   | %
|Loan to Deposit ratio                             |  |                                        | 59.36   | % |                         |   | 58.19   | %    |  |   | 60.39   | % |  |      | 59.93   | % |      |   | 57.37   | % |  |   | 61.79   | %



|(1) | Adjusted for the 4 percent common stock dividend to stockholders of record as of October 1, 2008.
|--- | -------------------------------------------------------------------------------------------------



PAGE 14



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Forward-Looking Information: Certain information contained in this report, which are not historical facts, may be forward-looking statements that involve risks
and uncertainties. These statements are subject to important factors that could cause action results to differ materially from those contemplated by such statements, including without limitation, the effect of changing economic conditions, changes
in interest rates, changes in lending activities, changes in state and federal regulations, and other external factors which may materially impact the Companys operational and financial performance.

Critical Accounting Policies: The Companys accounting policies are integral to understanding the results reported. The accounting policies are
described in detail in Note 1 of the Consolidated Financial Statements. Our most complex accounting policies require managements judgment to ascertain the valuation of assets, liabilities, commitments and contingencies. Detailed policies and
control procedures have been established and are intended to ensure valuation methods are well controlled and applied consistently from period to period. In addition, the policies and procedures are intended to ensure that the process for changing
methodologies occurs in an appropriate manner. The following is a brief description of our current accounting policies involving significant management valuation judgments.

Other Than Temporary Impairment of Equity Securities: Equity securities are evaluated periodically to determine whether a decline in their value
is other than temporary. Management utilizes criteria such as the magnitude and duration of the decline, in addition to the reasons underlying the decline, to determine whether the loss in value is other than temporary. The term other than
temporary is not intended to indicate that the decline is permanent. It indicates that the prospects for a near term recovery of value are not necessarily favorable, or that there is a lack of evidence to support fair values equal to, or
greater than, the carrying value of the investment. Once a decline in value is determined to be other than temporary, the value of the security is reduced and a corresponding charge to earnings is recognized.

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 charged-off and reduced by loans charged-off. For a full discussion of the Companys methodology of assessing the adequacy of the reserve for loan losses, refer to Note 1 of the Consolidated Financial Statements.

Goodwill and Other Intangible Assets: As discussed in Note 1 of the notes to the Consolidated Financial Statements, the Company must assess
goodwill and other intangible assets each year for impairment. This assessment involves estimating cash flows for future periods. If the future cash flows were less than the recorded goodwill and other intangible assets balances, we would be
required to take a charge against earnings to write down the assets to the lower value.

Deferred Tax Assets: The Company uses an
estimate of future earnings to support its position that the benefit of the deferred tax assets will be realized. If future income should prove non-existent or less than the amount of the deferred tax assets within the tax years to which they may be
applied, the asset may not be realized and our net income will be reduced. The deferred tax assets are described further in Note 1 of the Consolidated Financial Statements.

OVERVIEW

The Company reported net income of $523,594 or $.33 per share for the three months ended March 31,
2009 as compared to $636,341 or $.40 per share for the same period during 2008. The decline in net income for the three months ended March 31, 2009 as compared to the same period in 2008 of $112,747 or 17.7% was primarily the result of the
decrease in net interest income and noninterest income, offset in part by the decrease in noninterest expenses and the decrease in income tax expense. As compared to the prior year, noninterest income declined $170,977 or 37.1% primarily due to
decreases in the net gains (losses) on sales of investment securities, service charges and other fee income and in other operating income. Net interest income decreased $19,278 or .9%, primarily due to the decrease in the interest and fees earned on
loans, offset in part by the increase in the income earned on investment securities combined with the decrease in the interest paid on interest bearing liabilities. Noninterest expenses decreased $25,459 or 1.4% during the first quarter of 2009 as
compared to 2008 primarily due to decreases in salary and employee benefits expenses and other operating expenses, offset in part by increases in occupancy expenses.

The ROA was .81% for the three months ended March 31, 2009 as compared to 1.01% for the same period of the prior year. For the three months ended March 31, 2009 compared to March 31, 2008, the ROE was
7.34% and 9.50%, respectively.

Table One is a summary of Selected Financial Data of the Company. The sections that follow discuss in more detail the
information summarized in Table One.



PAGE 15



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

EARNINGS ANALYSIS - For the three months ended March 31, 2009

Net Interest Income

Net interest income, which is the primary source of earnings for the Company, is the difference between interest earned on loans and investments and interest paid on
deposits and other liabilities. Changes in the volume and mix of earning assets and interest bearing liabilities combined with changes in market rates of interest greatly effect net interest income. Table Two presents the average balance sheets and
an interest rate analysis for the three months ended March 31, 2009 and 2008 and the year ended December 31, 2008.

For the three months ended
March 31, 2009, net interest income fell $19,278 or .9%, from the same period in 2008. The decrease in net interest income was primarily due to the decline in the interest earned on loans, offset in part by the increase in the interest earned
on investment securities and the decrease in the interest paid on interest bearing liabilities. The changes in the volume and mix of earning assets and interest bearing liabilities combined with the changes in market rates of interest resulted in
taxable equivalent net yield on average earning assets of 3.83% at March 31, 2009 as compared to 3.97% at March 31, 2008. The average earning assets increased $6.4 million or 2.7% from March 31, 2008 to 2009.

Interest and fees on loans decreased $145,594 or 7.0%, from the same period in 2008 due to the decrease in the yield earned on loans, offset in part by the increase in
the average loan volume. The taxable equivalent yield on loans fell 72 basis points, to 6.48% at March 31, 2009 from 7.20% at March 31, 2008. The average balance on loans increased $5.4 million or 4.5% since December 31, 2008. The
increase in loan volume was primarily due to an increased demand for commercial and commercial real estate loans.

During the first quarter of 2009,
interest income on investment securities increased $72,144 or 5.5% as compared to the same period of the prior year. The increase in interest income on investment securities was due to the rise in the yields earned combined with the increase in the
average volume. The taxable equivalent yield on investment securities rose 12 basis points, to 5.51% at March 31, 2009 from 5.39% at December 31, 2008 and fell 9 basis points from March 31, 2008. The activity of the investment
portfolio increased with the average volume increasing approximately $1.5 million or 1.4% since December 31, 2008 and $6.4 million or 6.2% since March 31, 2008.

Interest expense decreased $159,410 or 11.8% during the three months ended March 31, 2009 as compared to the same period in 2008. The decrease in interest expense was primarily due to decreases in the average
interest rates paid on interest bearing liabilities which were offset in part by an increase in the average balances of interest bearing liabilities. The average yield on interest bearing liabilities fell 37 basis points, from 2.69% at
March 31, 2008 to 2.32% at March 31, 2009, while the average volume grew $6.3 million or 3.1% during this same period. The decline in the average yield on interest bearing liabilities was primarily due to the decline in the interest rates
on certificates of deposit accounts. The yield paid on certificate of deposit accounts fell 45 basis points, to 3.75% at March 31, 2009 from 4.20% at December 31, 2008 and fell 64 basis points from March 31, 2008. The increase in the
average volume was primarily in savings and interest bearing demand deposits.

Noninterest Income

Noninterest income decreased $170,977 or 37.1% for the three months ended March 31, 2009 as compared to same period of the prior year. The decrease in noninterest
income was primarily due to the change in the net gains (losses) on sales of investment securities combined with the decline in service charges and other fee income and the decrease in other operating income.

The net gains (losses) on investment securities decreased $119,894 or 106.6% for the three month period ended March 31, 2009 as compared to the same period in 2008.
The decrease in net gains (losses) on sales of investment securities was primarily attributable to sales recorded by the Company and its subsidiary bank in 2008. During the first quarter of 2008 the Companys subsidiary bank sold approximately
$6.9 million of investment securities to take advantage of reinvestment opportunities within the current market interest rate environment. A net gain was recorded related to those sales of investment securities and amounted to $112,713. The Company
accounted for securities losses of $7,393 during the three month period ended March 31, 2009 and securities gains of $114,253 and securities losses of $1,752 during the three month period ended March 31, 2008.

Service charges and other fees represent the major component of noninterest income. These charges are earned from assessments made on checking and savings accounts.
Service charges and other fee income fell $46,133 in the first three months of 2009 as compared to the same period in 2008, down 22.6%, from 2008. The decrease was primarily due to a decline in overdraft charges of approximately $41,800. Also
service charges on deposit accounts declined.

Other operating income represents fees from safe deposit box rentals, sales of checkbooks, sales of
cashiers checks and money orders, utility collections, ATM charges and card fees, credit life commissions, credit card fees and commissions, income earned on bank owned life insurance and various other charges and fees related to normal
customer banking relationships. Other operating income decreased $4,950 or 3.5% in the three month period ended March 31, 2009 as compared to the same period in 2008. During the first quarter of 2009, the decline in other operating income was
primarily due to decreases in credit card fees, checkbook sales, other miscellaneous income and a decrease in the earnings related to the cash surrender value of the bank owned life insurance on its key officers, offset in part by increases in ATM
fees and FHLB fee income.



PAGE 16



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Table Two Average Balance Sheets and Interest Rate Analysis(dollars in thousands)

The following table
presents an average balance sheet, interest earned on interest bearing assets, interest paid on interest bearing liabilities, average interest rates and interest differentials for the three months ended March 31, 2009 and 2008 and the year
ended December 31, 2008. Average balance sheet information for the periods ended March 31, 2009 and 2008 and December 31, 2008 was compiled using the daily averages. Total loans are gross of the allowance for loan losses, net of
unearned income and include loans held for sale. Non-accrual loans were included in the average balance computations; however, no interest was included in income subsequent to the non-accrual status classification. Loan fees and unearned discounts
were included in income for average rate calculation purposes. Average yields on investment securities available for sale have been calculated based on amortized cost.



|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|------------------------------------------------- |  | -------------- | ------- | - | ----------------- | - | ----------- | -------------- | ---- | ------------- |  | - | ----------- | - | ----------- | - | ------ | ------------- | ---- | - | -------- | - | ----------- | - |  | - | ----- |  | ---- | -
|                                                  |  | (Unaudited)    |         |   |                   |   |             |                |      |               |  |   | (Unaudited) |  
|                                                  |  | March 31, 2009 |         |   | December 31, 2008 |   |             | March 31, 2008 |     
|                                                  |  | AverageVolume  |         |   | Interest          |   | AverageRate |                |      | AverageVolume |  |   | Interest    |   | AverageRate |   |        | AverageVolume |      |   | Interest |   | AverageRate |  
|ASSETS:                                           |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Investment securities:                            |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|U.S. Treasury and U. S. Government agencies       |  | $              | 26,750  |   |                   | $ | 335         |                | 5.08 | %             |  | $ | 23,179      |   |             | $ | 1,169  |               | 5.04 | % |          | $ | 22,902      |   |  | $ | 338   |  | 5.94 | %
|Mortgage backed securities                        |  |                | 62,188  |   |                   |   | 833         |                | 5.43 | %             |  |   | 63,200      |   |             |   | 3,296  |               | 5.22 | % |          |   | 57,785      |   |  |   | 746   |  | 5.19 | %
|States and political subdivisions                 |  |                | 18,933  |   |                   |   | 185         |                | 3.96 | %             |  |   | 20,412      |   |             |   | 797    |               | 3.90 | % |          |   | 22,258      |   |  |   | 216   |  | 3.90 | %
|Other securities                                  |  |                | 1,787   |   |                   |   | 24          |                | 5.45 | %             |  |   | 1,323       |   |             |   | 73     |               | 5.52 | % |          |   | 334         |   |  |   | 5     |  | 6.02 | %
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total Investment securities:                      |  |                | 109,658 |   |                   |   | 1,377       |                | 5.09 | %             |  |   | 108,114     |   |             |   | 5,335  |               | 4.93 | % |          |   | 103,279     |   |  |   | 1,305 |  | 5.08 | %
|Interest bearing deposits                         |  |                | 2,359   |   |                   |   |            |                | 0.00 | %             |  |   | 3,631       |   |             |   | 69     |               | 1.90 | % |          |   | 4,827       |   |  |   | 33    |  | 2.75 | %
|Federal funds sold                                |  |                | 5,533   |   |                   |   |            |                | 0.00 | %             |  |   | 8,566       |   |             |   | 141    |               | 1.65 | % |          |   | 8,793       |   |  |   | 61    |  | 2.79 | %
|Loans, net of unearned income                     |  |                | 126,147 |   |                   |   | 1,923       |                | 6.18 | %             |  |   | 120,722     |   |             |   | 7,917  |               | 6.56 | % |          |   | 120,667     |   |  |   | 2,068 |  | 6.89 | %
|Other earning assets                              |  |                | 1,450   |   |                   |   | 4           |                | 1.12 | %             |  |   | 1,349       |   |             |   | 52     |               | 3.85 | % |          |   | 1,199       |   |  |   | 16    |  | 5.37 | %
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total earning assets                              |  |                | 245,147 |   |                   |   | 3,304       |                | 5.47 | %             |  |   | 242,382     |   |             |   | 13,514 |               | 5.58 | % |          |   | 238,765     |   |  |   | 3,483 |  | 5.87 | %
|Other assets                                      |  |                | 19,052  |   |                   |   |             |                |      |               |  |   | 17,816      |   |             |   |        |               |      |   |          |   | 17,538      |   |  |   |       |  |      |  
|Allowance for loan losses                         |  |                | (1,909  | ) |                   |   |             |                |      |               |  |   | (1,923      | ) |             |   |        |               |      |   |          |   | (2,043      | ) |  |   |       |  |      |  
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total Assets                                      |  | $              | 262,290 |   |                   |   |             |                |      |               |  | $ | 258,275     |   |             |   |        |               |      |   |          | $ | 254,260     |   |  |   |       |  |      |  
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|LIABILITIES                                       |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Time deposits                                     |  | $              | 94,427  |   |                   | $ | 874         |                | 3.75 | %             |  | $ | 94,845      |   |             | $ | 3,979  |               | 4.20 | % |          | $ | 95,725      |   |  | $ | 1,044 |  | 4.39 | %
|Savings deposits                                  |  |                | 56,659  |   |                   |   | 121         |                | 0.87 | %             |  |   | 52,738      |   |             |   | 458    |               | 0.87 | % |          |   | 50,865      |   |  |   | 101   |  | 0.80 | %
|Interest bearing demand deposits                  |  |                | 35,836  |   |                   |   | 35          |                | 0.40 | %             |  |   | 34,867      |   |             |   | 151    |               | 0.43 | % |          |   | 33,674      |   |  |   | 34    |  | 0.41 | %
|Federal funds purchased and repurchase agreements |  |                | 10,722  |   |                   |   | 28          |                | 1.06 | %             |  |   | 12,090      |   |             |   | 173    |               | 1.43 | % |          |   | 12,670      |   |  |   | 57    |  | 1.81 | %
|FHLB and other long-term borrowings               |  |                | 10,920  |   |                   |   | 136         |                | 5.05 | %             |  |   | 10,209      |   |             |   | 514    |               | 5.03 | % |          |   | 9,293       |   |  |   | 117   |  | 5.06 | %
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total interest bearing liabilities                |  |                | 208,564 |   |                   |   | 1,194       |                | 2.32 | %             |  |   | 204,749     |   |             |   | 5,275  |               | 2.58 | % |          |   | 202,227     |   |  |   | 1,353 |  | 2.69 | %
|Demand deposits                                   |  |                | 23,783  |   |                   |   |             |                |      |               |  |   | 24,839      |   |             |   |        |               |      |   |          |   | 23,614      |   |  |   |       |  |      |  
|Other liabilities                                 |  |                | 982     |   |                   |   |             |                |      |               |  |   | 1,392       |   |             |   |        |               |      |   |          |   | 1,493       |   |  |   |       |  |      |  
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total Liabilities                                 |  |                | 233,329 |   |                   |   |             |                |      |               |  |   | 230,980     |   |             |   |        |               |      |   |          |   | 227,334     |   |  |   |       |  |      |  
|STOCKHOLDERS EQUITY                              |  |                | 28,961  |   |                   |   |             |                |      |               |  |   | 27,295      |   |             |   |        |               |      |   |          |   | 26,926      |   |  |   |       |  |      |  
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Total Liabilities and Stockholders Equity        |  | $              | 262,290 |   |                   |   |             |                |      |               |  | $ | 258,275     |   |             |   |        |               |      |   |          | $ | 254,260     |   |  |   |       |  |      |  
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  
|Net yield on earning assets                       |  |                |         |   |                   | $ | 2,110       |                | 3.49 | %             |  |   |             |   |             | $ | 8,239  |               | 3.40 | % |          |   |             |   |  | $ | 2,130 |  | 3.59 | %
|                                                  |  |                |         |   |                   |   |             |                |      |               |  |   |             |   |             |   |        |               |      |   |          |   |             |   |  |   |       |  |      |  

The fully taxable equivalent basis of interest income from obligations of states and political subdivisions has
been determined using a combined Federal and State corporate income tax rate of 40% for the three months ended March 31, 2009 and 2008, and the year ended December 31, 2008, respectively. The effect of this adjustment is presented below.



|                                               |  |   |         |  |   |       |  |      |   |  |   |         |  |   |        |  |      |   |  |   |         |  |   |       |  |      |  
|---------------------------------------------- |  | - | ------- |  | - | ----- |  | ---- | - |  | - | ------- |  | - | ------ |  | ---- | - |  | - | ------- |  | - | ----- |  | ---- | -
|Investment securities                          |  | $ | 109,658 |  | $ | 1,491 |  | 5.51 | % |  | $ | 108,114 |  | $ | 5,829  |  | 5.39 | % |  | $ | 103,279 |  | $ | 1,439 |  | 5.60 | %
|Loans                                          |  |   | 126,147 |  |   | 2,017 |  | 6.48 | % |  |   | 120,722 |  |   | 8,289  |  | 6.87 | % |  |   | 120,667 |  |   | 2,159 |  | 7.20 | %
|                                               |  |   |         |  |   |       |  |      |   |  |   |         |  |   |        |  |      |   |  |   |         |  |   |       |  |      |  
|Total earning assets                           |  | $ | 245,147 |  | $ | 3,512 |  | 5.81 | % |  | $ | 242,382 |  | $ | 14,380 |  | 5.93 | % |  | $ | 238,765 |  | $ | 3,708 |  | 6.25 | %
|                                               |  |   |         |  |   |       |  |      |   |  |   |         |  |   |        |  |      |   |  |   |         |  |   |       |  |      |  
|Taxable equivalent net yield on earning assets |  |   |         |  | $ | 2,318 |  | 3.83 | % |  |   |         |  | $ | 9,105  |  | 3.76 | % |  |   |         |  | $ | 2,355 |  | 3.97 | %
|                                               |  |   |         |  |   |       |  |      |   |  |   |         |  |   |        |  |      |   |  |   |         |  |   |       |  |      |  



PAGE 17



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

EARNINGS ANALYSIS - For the three months ended March 31, 2009 (Continued)

Noninterest Expense

Noninterest expense decreased $25,459 or 1.4% for the three months ended March 31, 2009 as compared to same period of the prior year. Noninterest
expense declined primarily due to decreased salary and employee benefits expenses and other operating expenses, offset in part by an increase in occupancy expenses.

Salary and employee benefits decreased $49,735 or 5.2% during the three months ended March 31, 2009 over the same period in 2008. Salary and employee benefit expense in 2009 compared to 2008 decreased primarily
as a result of the decline in salary expenses, offset in part by an increase in employee benefits expense and payroll taxes.

Other operating expenses
decreased $5,149, or 1.0%, compared to the same period of the prior year. The decline in other operating expenses was attributable primarily to a decrease in stationery and supplies expense, service expenses, postage and transportation expenses,
directors fees and other taxes, offset in part by increased regulatory assessments, other expenses and advertising expenses.

Other operating
expenses for the three months ended March 31 included the following:



|                                            |  |      |         |      |   |        
|------------------------------------------- |  | ---- | ------- | ---- | - | -------
|Unaudited                                   |  | 2009 |         | 2008
|Directors fees                             |  | $    | 27,050  |      |   | 32,875 
|Stationery and supplies                     |  |      | 26,051  |      |   | 45,993 
|Regulatory assessment and deposit insurance |  |      | 56,444  |      |   | 25,576 
|Advertising                                 |  |      | 8,849   |      |   | 7,853  
|Postage and transportation                  |  |      | 35,886  |      |   | 44,993 
|Other taxes                                 |  |      | 50,563  |      |   | 51,386 
|Service expense                             |  |      | 92,306  |      |   | 103,944
|Other                                       |  |      | 196,083 |      |   | 185,761
|                                            |  |      |         |      |   |        
|Total                                       |  | $    | 493,232 |      | $ | 498,381
|                                            |  |      |         |      |   |        

Income Taxes

Income tax expense for the three month period ended March 31, 2009 was $139,457, decreasing 27.2% compared to the same period in 2008. Income tax expense decreased primarily due to the decline in pre-taxable income of $164,796 combined
with the decrease in tax-exempt income of $25,070 during the first three months of 2009 over the same period in 2008. Components of the income tax expense for March 31, 2009 were $113,052 for federal taxes and $26,405 for West Virginia
corporate net income taxes.

Federal income tax rates and West Virginia corporate net income tax rates remain consistent at 34% and 9%, respectively, for
the three months ended March 31, 2009 and 2008 and for the year ended December 31, 2008.

Balance Sheet Analysis

Investments

Investment securities increased approximately $2.4
million or 2.2% from December 31, 2008 to March 31, 2009. The investment portfolio is managed to attempt to achieve an optimum mix of asset quality, liquidity and maximum yield on investment. The investment portfolio consists of U.S.
Treasury securities, U.S. Government agency and corporation securities, obligations of states and political subdivisions, corporate debt securities, mortgage-backed securities and equity securities. Taxable securities comprised 84.7% of total
securities at March 31, 2009, as compared to 84.1% at December 31, 2008. Other than the normal risks inherent in purchasing U.S. Treasury securities, U.S. Government agency and corporation securities, corporate debt securities,
mortgage-backed securities and obligations of states and political subdivisions, i.e., interest rate risk, management has no knowledge of other market or credit risk involved in these investments. The Company does not have any high risk
hybrid/derivative instruments.

Investment securities that are classified available for sale are available for sale at any time based upon
managements assessment of changes in economic or financial market conditions. These securities are carried at fair value and the unrealized holding gains and losses, net of taxes, are reflected as a separate component of stockholders
equity until realized. As the investment portfolio consists primarily of fixed rate debt securities, changes in the market rates of interest will effect the carrying value of securities available for sale, adjusted upward or downward under the
requirements of FAS 115 and represent temporary adjustments in values. The carrying value of securities available for sale was above book value by $2,094,945 and $1,387,702 at March 31, 2009 and December 31, 2008, respectively. The fair
value of securities classified as held to maturity was above book value by $1,619 and $3,460 at March 31, 2009 and December 31, 2008, respectively.



PAGE 18



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Investments - Continued

Table Three - Investment Portfolio

The following table presents the book values of investment securities.



|                                                                                      |  |               |         |                  |   |        
|------------------------------------------------------------------------------------- |  | ------------- | ------- | ---------------- | - | -------
|                                                                                      |  | (Unaudited)   |         |                 
|(dollars in thousands)                                                                |  | March 31,2009 |         | December 31,2008
|Securities held-to-maturity:                                                          |  |               |         |                  |   |        
|Obligations of states and political subdivisions                                      |  | $             | 100     |                  | $ | 320    
|                                                                                      |  |               |         |                  |   |        
|Total held-to-maturity                                                                |  |               | 100     |                  |   | 320    
|                                                                                      |  |               |         |                  |   |        
|Securities available-for-sale:                                                        |  |               |         |                  |   |        
|U.S. Treasury securities and obligations of U.S. Government corporations and agencies |  |               | 28,935  |                  |   | 26,888 
|Obligations of states and political subdivisions                                      |  |               | 18,423  |                  |   | 18,523 
|Corporate debt securities                                                             |  |               | 1,136   |                  |   | 1,322  
|Mortgage-backed securities                                                            |  |               | 65,991  |                  |   | 65,076 
|Equity securities                                                                     |  |               | 209     |                  |   | 237    
|                                                                                      |  |               |         |                  |   |        
|Total available-for-sale                                                              |  |               | 114,694 |                  |   | 112,046
|                                                                                      |  |               |         |                  |   |        
|Total                                                                                 |  | $             | 114,794 |                  | $ | 112,366
|                                                                                      |  |               |         |                  |   |        

Table Four - Information on unrealized losses of investment securities

The following tables show the Companys gross unrealized losses and fair value, aggregated by investment category and length of time, that the individual securities
have been in a continuous unrealized loss position, at March 31, 2009:



|                                                                       |  |                          |        |                       |                         |      |           |       |                       |     |  |           |     |                       |  |   |        |  |   |      |  
|---------------------------------------------------------------------- |  | ------------------------ | ------ | --------------------- | ----------------------- | ---- | --------- | ----- | --------------------- | --- |  | --------- | --- | --------------------- |  | - | ------ |  | - | ---- | -
|                                                                       |  | (Expressed in thousands) |       
|                                                                       |  | March 31, 2009           |       
|                                                                       |  | Less than TwelveMonths   |        |                       | Twelve Months orGreater |      |           | Total |                      
|                                                                       |  | FairValue                |        | GrossUnrealizedLosses |                         |      | FairValue |       | GrossUnrealizedLosses |     |  | FairValue |     | GrossUnrealizedLosses | 
|U.S. Treasury securities and U.S. Government corporations and agencies |  | $                        | 7,878  |                       | $                       | (23  | )         |       | $                     |    |  | $         |    |                       |  | $ | 7,878  |  | $ | (23  | )
|Obligations of states and political subdivisions                       |  |                          | 4,785  |                       |                         | (103 | )         |       |                       |    |  |           |    |                       |  |   | 4,785  |  |   | (103 | )
|Corporate debt securities                                              |  |                          | 1,136  |                       |                         | (368 | )         |       |                       |    |  |           |    |                       |  |   | 1,136  |  |   | (368 | )
|Mortgage-backed securities                                             |  |                          | 457    |                       |                         | (1   | )         |       |                       | 332 |  |           | (10 | )                     |  |   | 789    |  |   | (11  | )
|                                                                       |  |                          |        |                       |                         |      |           |       |                       |     |  |           |     |                       |  |   |        |  |   |      |  
|Total debt securities                                                  |  |                          | 14,256 |                       |                         | (495 | )         |       |                       | 332 |  |           | (10 | )                     |  |   | 14,588 |  |   | (505 | )
|Equity securities                                                      |  |                          | 109    |                       |                         | (30  | )         |       |                       | 44  |  |           | (37 | )                     |  |   | 153    |  |   | (67  | )
|                                                                       |  |                          |        |                       |                         |      |           |       |                       |     |  |           |     |                       |  |   |        |  |   |      |  
|Total                                                                  |  | $                        | 14,365 |                       | $                       | (525 | )         |       | $                     | 376 |  | $         | (47 | )                     |  | $ | 14,741 |  | $ | (572 | )
|                                                                       |  |                          |        |                       |                         |      |           |       |                       |     |  |           |     |                       |  |   |        |  |   |      |  

The Companys investment securities portfolio contains unrealized losses of direct obligations of the U.S.
Treasury and U.S. Government agency securities, including mortgage-related instruments issued or backed by the full faith and credit of the United States government or are generally viewed as having the implied guarantee of the U.S. government, and
debt obligations of a U.S. state or political subdivision.

On a monthly basis, the Company evaluates the severity and duration of impairment for its
investment securities portfolio unless the company has the ability to hold the security to maturity without incurring a loss. Generally, impairment is considered other than temporary when an investment security has sustained a decline in market
value of ten percent or more for a period of six months. The Company has concluded that any impairment of its investment securities portfolio is not other than temporary but is the result of interest rate changes that are not expected to result in
the noncollection of principal and interest during the period. There are 32 positions that are temporarily impaired at March 31, 2009.



PAGE 19



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Table Five - Maturity distribution of Investment Portfolio

The maturity distribution using book value including
accretion of discounts and amortization of premiums and approximate yield of investment securities at March 31, 2009 and December 31, 2008 are presented in the following table. Tax equivalent yield basis was used on tax exempt obligations.
Approximate yield was calculated using a weighted average of yield to maturities. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment
penalties.



|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|------------------------------------------------- |  | -------------------------- | --- | ----- | ---------------------------- | - | ------ | -------------------------- | ------- |  | ---------------------------- | ------ |  | ----- | --- |  | ------ | - | ----- | - | ------- |  | ---- | -
|                                                  |  | (Unaudited)                |     |       |                              |  
|                                                  |  | March 31, 2009             |     |       | December 31, 2008            |  
|                                                  |  | Securities Held toMaturity |     |       | SecuritiesAvailable for Sale |   |        | Securities Held toMaturity |         |  | SecuritiesAvailable for Sale |       
|(dollars in thousands)                            |  | Amount                     |     | Yield |                              |   | Amount |                            | Yield   |  |                              | Amount |  | Yield |     |  | Amount |   | Yield |  
|U. S. Treasury and other U.S. Government Agencies |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|Within One Year                                   |  | $                          |    |       |                             | % |        | $                          | 3,081   |  | 4.53                         | %      |  | $     |    |  |       | % |       | $ | 2,066   |  | 4.35 | %
|After One But Within Five Years                   |  |                            |    |       |                             |   |        |                            | 48      |  | 0.99                         |        |  |       |    |  |       |   |       |   | 1,591   |  | 4.42 |  
|After Five But Within Ten Years                   |  |                            |    |       |                             |   |        |                            | 25,802  |  | 4.75                         |        |  |       |    |  |       |   |       |   | 23,228  |  | 5.14 |  
|After Ten Years                                   |  |                            |    |       |                             |   |        |                            | 4       |  | 0.90                         |        |  |       |    |  |       |   |       |   | 3       |  | 2.69 |  
|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|                                                  |  |                            |    |       |                             |   |        |                            | 28,935  |  | 4.72                         |        |  |       |    |  |       |   |       |   | 26,888  |  | 5.04 |  
|States & Political Subdivisions                   |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|Within One Year                                   |  |                            | 100 |       | 7.85                         |   |        |                            | 1,453   |  | 3.86                         |        |  |       | 320 |  | 7.85   |   |       |   | 1,456   |  | 3.86 |  
|After One But Within Five Years                   |  |                            |    |       |                             |   |        |                            | 5,642   |  | 5.09                         |        |  |       |    |  |       |   |       |   | 6,090   |  | 5.18 |  
|After Five But Within Ten Years                   |  |                            |    |       |                             |   |        |                            | 4,087   |  | 5.70                         |        |  |       |    |  |       |   |       |   | 3,591   |  | 5.89 |  
|After Ten Years                                   |  |                            |    |       |                             |   |        |                            | 7,241   |  | 5.94                         |        |  |       |    |  |       |   |       |   | 7,386   |  | 6.12 |  
|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|                                                  |  |                            | 100 |       | 7.85                         |   |        |                            | 18,423  |  | 5.46                         |        |  |       | 320 |  | 7.85   |   |       |   | 18,523  |  | 5.59 |  
|Corporate Debt Securities                         |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|Within One Year                                   |  |                            |    |       |                             |   |        |                            |        |  |                             |        |  |       |    |  |       |   |       |   |        |  |     |  
|After One But Within Five Years                   |  |                            |    |       |                             |   |        |                            | 1,136   |  | 7.85                         |        |  |       |    |  |       |   |       |   | 1,322   |  | 6.74 |  
|After Five But Within Ten Years                   |  |                            |    |       |                             |   |        |                            |        |  |                             |        |  |       |    |  |       |   |       |   |        |  |     |  
|After Ten Years                                   |  |                            |    |       |                             |   |        |                            |        |  |                             |        |  |       |    |  |       |   |       |   |        |  |     |  
|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|                                                  |  |                            |    |       |                             |   |        |                            | 1,136   |  | 7.85                         |        |  |       |    |  |       |   |       |   | 1,322   |  | 6.74 |  
|Mortgage-Backed Securities                        |  |                            |    |       |                             |   |        |                            | 65,991  |  | 5.14                         |        |  |       |    |  |       |   |       |   | 65,076  |  | 5.35 |  
|Equity Securities                                 |  |                            |    |       |                             |   |        |                            | 209     |  | 2.14                         |        |  |       |    |  |       |   |       |   | 237     |  | 5.22 |  
|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  
|Total                                             |  | $                          | 100 |       | 7.85                         | % |        | $                          | 114,694 |  | 5.11                         | %      |  | $     | 320 |  | 7.85   | % |       | $ | 112,046 |  | 5.33 | %
|                                                  |  |                            |     |       |                              |   |        |                            |         |  |                              |        |  |       |     |  |        |   |       |   |         |  |      |  

Assets carried at $34,349,000 and $34,199,000 at March 31, 2009 and December 31, 2008, respectively,
were pledged to secure United States Government and other public funds and for other purposes as required or permitted by law.



PAGE 20



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Loans

Loans represent the largest asset on the Companys balance sheet. Total loans, net of unearned income,
increased approximately $2.9 million or 2.3% from December 31, 2008 to March 31, 2009. The increase in loans during the first quarter of 2009 was primarily due to increases in commercial loans, residential real estate loans, and in other
loans which increased approximately $2,411,000, $534,000 and $58,000, respectively, offset by an increase in installment loans which decreased approximately $139,000. The increase in commercial loans was primarily due to the increased demand for
commercial real estate and commercial loans during the first quarter of 2009. The increase in residential real estate loans was primarily due to the increased demand for multifamily residential properties, offset in part by a decline in loans
secured by one-to-four family residential properties. Other loans increased primarily due to the increased demand for loans to states an political subdivisions. Installment loans were relatively flat during the first quarter of 2009.

Real estate residential loans which include real estate construction, real estate farmland, and real estate residential loans comprised thirty-five percent (35%) of
the loan portfolio. Commercial loans which include real estate secured by non-farm, non-residential and commercial and industrial loans comprised forty-four percent (44%) of the loan portfolio. Installment loans comprised eleven percent
(11%) of the loan portfolio. Other loans which include non-rated industrial development obligations, direct financing leases and other loans comprised ten percent (10%) of the loan portfolio. The changes in the composition of the loan
portfolio since December 31, 2008 were a 1% increase in commercial and industrial loans and a 1% decrease in real estate residential loans.

Table
Six - Loan Portfolio

Loans outstanding are as follows:



|                                              |  |               |         |                  |   |        
|--------------------------------------------- |  | ------------- | ------- | ---------------- | - | -------
|                                              |  | (Unaudited)   |         |                 
|(dollars in thousands)                        |  | March 31,2009 |         | December 31,2008
|Real Estate - residential:                    |  |               |         |                  |   |        
|Real estate - construction                    |  | $             | 699     |                  | $ | 711    
|Real estate - farmland                        |  |               | 315     |                  |   | 295    
|Real estate - residential                     |  |               | 44,318  |                  |   | 43,792 
|                                              |  |               |         |                  |   |        
|                                              |  | $             | 45,332  |                  | $ | 44,798 
|                                              |  |               |         |                  |   |        
|Commercial:                                   |  |               |         |                  |   |        
|Real estate-secured by nonfarm nonresidential |  | $             | 45,299  |                  | $ | 43,914 
|Commercial and industrial                     |  |               | 10,675  |                  |   | 9,649  
|                                              |  |               |         |                  |   |        
|                                              |  | $             | 55,974  |                  | $ | 53,563 
|                                              |  |               |         |                  |   |        
|Installment:                                  |  |               |         |                  |   |        
|Installment and other loans to individuals    |  | $             | 13,947  |                  | $ | 14,086 
|                                              |  |               |         |                  |   |        
|Other:                                        |  |               |         |                  |   |        
|Nonrated industrial development obligations   |  | $             | 12,422  |                  | $ | 12,342 
|Other loans                                   |  |               | 20      |                  |   | 42     
|                                              |  |               |         |                  |   |        
|                                              |  | $             | 12,442  |                  | $ | 12,384 
|                                              |  |               |         |                  |   |        
|Total                                         |  |               | 127,695 |                  |   | 124,831
|Less unearned interest                        |  |               | 186     |                  |   | 196    
|                                              |  |               |         |                  |   |        
|                                              |  | $             | 127,509 |                  | $ | 124,635
|                                              |  |               |         |                  |   |        



PAGE 21



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Table Seven - Maturities and sensitivities of Loans to Changes in Interest Rates

The following table presents the
contractual maturities of loans other than installment loans and residential mortgages as of March 31, 2009 and December 31, 2008:



|                                                                                                                                                                                                                            |  |                    |       |                                 |   |                 |  |                    |        |                                 |   |                 |  |   |        |  |   |       
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |  | ------------------ | ----- | ------------------------------- | - | --------------- |  | ------------------ | ------ | ------------------------------- | - | --------------- |  | - | ------ |  | - | ------
|(dollars in thousands                                                                                                                                                                                                       |  | March 31, 2009     |       | December 31, 2008              
|                                                                                                                                                                                                                            |  | In oneYear or Less |       | After oneYear ThroughFive Years |   | AfterFive Years |  | In oneYear or Less |        | After oneYear ThroughFive Years |   | AfterFive Years
|Real estate construction                                                                                                                                                                                                    |  | $                  | 62    |                                 | $ | 392             |  | $                  | 245    |                                 | $ | 63              |  | $ | 400    |  | $ | 248   
|Commercial real estate - secured by nonfarm, nonresidential property                                                                                                                                                        |  |                    | 516   |                                 |   | 5,451           |  |                    | 39,332 |                                 |   | 332             |  |   | 4,782  |  |   | 38,800
|Commercial and industrial                                                                                                                                                                                                   |  |                    | 2,427 |                                 |   | 3,781           |  |                    | 4,467  |                                 |   | 2,305           |  |   | 2,696  |  |   | 4,648 
|Nonrated industrial development obligations                                                                                                                                                                                 |  |                    | 1,284 |                                 |   | 5,334           |  |                    | 5,804  |                                 |   | 1,324           |  |   | 2,585  |  |   | 8,433 
|                                                                                                                                                                                                                            |  |                    |       |                                 |   |                 |  |                    |        |                                 |   |                 |  |   |        |  |   |       
|Total                                                                                                                                                                                                                       |  | $                  | 4,289 |                                 | $ | 14,958          |  | $                  | 49,848 |                                 | $ | 4,024           |  | $ | 10,463 |  | $ | 52,129
|                                                                                                                                                                                                                            |  |                    |       |                                 |   |                 |  |                    |        |                                 |   |                 |  |   |        |  |   |       
|                                                                                                                                                                                                                           
|The following table presents an analysis of fixed and variable rate loans as of March 31, 2009 and December 31, 2008 along with the contractual maturities of loans other
than installment loans and residential mortgages:
|                                                                                                                                                                                                                            |  |                   
|(dollars in thousands                                                                                                                                                                                                       |  | March 31, 2009     |       | December 31, 2008              
|                                                                                                                                                                                                                            |  | In oneYear or Less |       | After oneYear ThroughFive Years |   | AfterFive Years |  | In oneYear or Less |        | After oneYear ThroughFive Years |   | AfterFive Years
|Fixed Rates                                                                                                                                                                                                                 |  | $                  | 2,431 |                                 | $ | 10,338          |  | $                  | 6,171  |                                 | $ | 2,535           |  | $ | 8,884  |  | $ | 6,791 
|Variable Rates                                                                                                                                                                                                              |  |                    | 1,858 |                                 |   | 4,620           |  |                    | 43,677 |                                 |   | 1,489           |  |   | 1,579  |  |   | 45,338
|                                                                                                                                                                                                                            |  |                    |       |                                 |   |                 |  |                    |        |                                 |   |                 |  |   |        |  |   |       
|Total                                                                                                                                                                                                                       |  | $                  | 4,289 |                                 | $ | 14,958          |  | $                  | 49,848 |                                 | $ | 4,024           |  | $ | 10,463 |  | $ | 52,129
|                                                                                                                                                                                                                            |  |                    |       |                                 |   |                 |  |                    |        |                                 |   |                 |  |   |        |  |   |       

Non-performing assets include non-accrual loans on which the collectibility of the full amount of interest is
uncertain; loans which have been renegotiated to provide for a reduction or deferral of interest on principal because of a deterioration in the financial position of the borrower; loans past due ninety days or more as to principal or interest; and
other real estate owned. A summary of nonperforming assets is presented in Table Eight.

Total non-performing loans were $4,189,000 at March 31, 2009
as compared to $3,283,000 at December 31, 2008. The increase in non-performing loans was primarily due to an increase in non-accrual loans combined with the increase in loans past due 90 days or more. Loans are placed in non-accrual when the
principal or interest is past due 90 days or more, unless the loan is both well secured and in the process of collection. Non-accrual loans were $3,881,000 or 3.0% of total loans outstanding as of March 31, 2009, as compared to $3,275,000 or
2.6% of total loans at December 31, 2008. The increase in non-accrual loans during the first quarter of 2009 was primarily due to the addition of three commercial real estate loans totaling approximately $637,000 and two residential real estate
loans totaling approximately $72,000 offset in part by payments and/or charge-offs. Management continues to monitor the nonperforming assets to ensure against deterioration in collateral values.



PAGE 22



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Loans - Continued

Table Eight - Risk Elements

Loans which are in the process of collection, but are contractually past due 90 days or more as to interest or principal, renegotiated, non-accrual loans and other real estate are as follows:



|                                                                 |  |               |       |   |                  |   |       |  
|---------------------------------------------------------------- |  | ------------- | ----- | - | ---------------- | - | ----- | -
|                                                                 |  | (Unaudited)   |       |   |                  |  
|(dollars in thousands)                                           |  | March 31,2009 |       |   | December 31,2008 |  
|Past Due 90 Days or More:                                        |  |               |       |   |                  |   |       |  
|Real estate - residential                                        |  | $             | 292   |   |                  | $ |      |  
|Commercial                                                       |  |               |      |   |                  |   |      |  
|Installment                                                      |  |               | 8     |   |                  |   |      |  
|                                                                 |  |               |       |   |                  |   |       |  
|                                                                 |  | $             | 300   |   |                  | $ |      |  
|                                                                 |  |               |       |   |                  |   |       |  
|Non-accrual:                                                     |  |               |       |   |                  |   |       |  
|Real estate - residential                                        |  | $             | 1,005 |   |                  | $ | 939   |  
|Commercial                                                       |  |               | 2,869 |   |                  |   | 2,320 |  
|Installment                                                      |  |               | 7     |   |                  |   | 16    |  
|                                                                 |  |               |       |   |                  |   |       |  
|                                                                 |  | $             | 3,881 |   |                  | $ | 3,275 |  
|                                                                 |  |               |       |   |                  |   |       |  
|Other Real Estate                                                |  | $             | 8     |   |                  | $ | 8     |  
|                                                                 |  |               |       |   |                  |   |       |  
|Total non-performing assets                                      |  | $             | 4,189 |   |                  | $ | 3,283 |  
|                                                                 |  |               |       |   |                  |   |       |  
|Total non-performing assets to total loans and other real estate |  |               | 3.29  | % |                  |   | 2.63  | %

Generally, all banks recognize interest income on the accrual basis, except for certain loans which are placed on
a non-accrual status. Loans are placed on a non-accrual status, when in the opinion of management doubt exists as to its collectibility. In accordance with the Office of the Comptroller of the Currency Policy, banks may not accrue interest on any
loan which either the principal or interest is past due 90 days or more unless the loan is both well secured and in the process of collection. The amount of interest income that would have been recognized had the loans performed in accordance with
their original terms was approximately $71,600, $43,100 and $214,000 for the three months ended March 31, 2009 and 2008 and for the year ended December 31, 2008, respectively.



PAGE 23



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Table Nine - Analysis of Allowance for Loan Losses

The following table presents a summary of loans charged off and
recoveries of loans previously charged off by type of loan.



|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|-------------------------------------------------------------------------- |  | ----------- | ------- | - | ---------------- | - | ------- | - |  | - | ------- | -
|                                                                           |  | (Unaudited) |         |   | December 31,2008 |  
|                                                                           |  | March 31,   |         |  
|(dollars in thousands)                                                     |  | 2009        |         |   | 2008             |   |        
|Allowance for loan losses:                                                 |  |             |         |   |                  |   |         |   |  |   |         |  
|Balance at beginning of period:                                            |  | $           | 1,923   |   |                  | $ | 2,043   |   |  | $ | 2,043   |  
|Loans charged off:                                                         |  |             |         |   |                  |   |         |   |  |   |         |  
|Real estate - residential                                                  |  |             |        |   |                  |   |        |   |  |   |        |  
|Commercial                                                                 |  |             |        |   |                  |   |        |   |  |   | 165     |  
|Installment                                                                |  |             | 37      |   |                  |   | 8       |   |  |   | 29      |  
|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|                                                                           |  |             | 37      |   |                  |   | 8       |   |  |   | 194     |  
|Recoveries:                                                                |  |             |         |   |                  |   |         |   |  |   |         |  
|Real estate - residential                                                  |  |             |        |   |                  |   |        |   |  |   |        |  
|Commercial                                                                 |  |             | 3       |   |                  |   | 3       |   |  |   | 72      |  
|Installment                                                                |  |             |        |   |                  |   |        |   |  |   | 2       |  
|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|                                                                           |  |             | 3       |   |                  |   | 3       |   |  |   | 74      |  
|Net charge-offs                                                            |  |             | 34      |   |                  |   | 5       |   |  |   | 120     |  
|Additions charged to operations                                            |  |             |        |   |                  |   |        |   |  |   |        |  
|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|Balance at end of period:                                                  |  | $           | 1,889   |   |                  | $ | 2,038   |   |  | $ | 1,923   |  
|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|Average loans outstanding                                                  |  | $           | 126,147 |   |                  | $ | 120,667 |   |  | $ | 120,722 |  
|                                                                           |  |             |         |   |                  |   |         |   |  |   |         |  
|Ratio of net charge-offs to average loans outstanding for the period       |  |             | 0.03    | % |                  |   | 0.00    | % |  |   | 0.10    | %
|Ratio of the allowance for loan losses to loans outstanding for the period |  |             | 1.48    | % |                  |   | 1.68    | % |  |   | 1.54    | %

The additions to the allowance for loan losses are based on managements evaluation of characteristics of the
loan portfolio, current and anticipated economic conditions, past loan experiences, net loans charged-off, specific problem loans and delinquencies, and other factors.



PAGE 24



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Allowance for Loan Losses

In all lending activities there is an inherent risk that borrowers will be unable to repay
their obligations. The Company maintains an allowance for loan losses to absorb probable loan losses. The Company has historically maintained the allowance for loan losses at a level greater than actual charge-offs. Although a subjective evaluation
is determined by management, the Company believes it has appropriately assessed the risk of loans in the loan portfolio and has provided for an allowance which is adequate based on that assessment. Because the allowance is an estimate, any change in
the economic conditions of the Companys market area could result in new estimates which could affect the Companys earnings. Management monitors the quality of the loan portfolio through reviews of past due loans and all significant loans
which are considered to be potential problem loans on a monthly basis. The internal loan review function provides for an independent review of commercial, real estate, and installment loans in order to measure the asset quality of the portfolio.
Managements review of the loan portfolio has not indicated any material loans, not disclosed in the accompanying tables and discussions which are known to have possible credit problems that cause management to have serious doubts as to the
ability of each borrower to comply with their present loan repayment terms.

The allowance for loan losses decreased $34,253 or 1.8%, since
December 31, 2008. The allowance for loan losses represented 1.5% of outstanding loans as of March 31, 2009 and at December 31, 2008. Loan charge-offs amounted to $37,254 for the three month period ended March 31, 2009, compared
to loan charge-offs of $8,178 for the same period in 2008. There was no provision made to the allowance for loan losses during the first three months of 2009 and 2008. The credit quality of the loan portfolio combined with the recent level of net
charge-offs and nonperforming assets continue to be considered in the calculation of the provision for loan losses. The Company has allocated the allowance for possible loan losses to specific portfolio segments based upon historical net charge-off
experience, changes in the level of nonperforming assets, local economic conditions and managements experience as presented in Table Ten.

Table
Ten - Allocation of allowance for possible loan losses

The following table presents an allocation of the allowance for possible loan losses at each of
the four year periods ended December 31, 2008, and the three month period ended March 31, 2009. The allocation presented below is based on the historical average of net charge offs per category combined with the change in loan growth and
managements review of the loan portfolio.



|                          |  |                          |              |                                             |       |   |        |      |                                             |  |       |        |  |                                             |       |  |        |   |                                             |   |       |        |       |                                             |  |   |       |  |       |  
|------------------------- |  | ------------------------ | ------------ | ------------------------------------------- | ----- | - | ------ | ---- | ------------------------------------------- |  | ----- | ------ |  | ------------------------------------------- | ----- |  | ------ | - | ------------------------------------------- | - | ----- | ------ | ----- | ------------------------------------------- |  | - | ----- |  | ----- | -
|                          |  | (Unaudited)March
31,2009 |              |                                             |       |  
|                          |  |                          | December 31, |                                            
|                          |  | 2008                     |              |                                             | 2007  |   |        | 2006 |                                             |  | 2005  |       
|(dollars in thousands)    |  | Amount                   |              | Percentof loansin eachcategoryto totalloans |       |   | Amount |      | Percentof loansin eachcategoryto totalloans |  |       | Amount |  | Percentof loansin eachcategoryto totalloans |       |  | Amount |   | Percentof loansin eachcategoryto totalloans |   |       | Amount |       | Percentof loansin eachcategoryto totalloans | 
|Real estate - residential |  | $                        | 485          |                                             | 35.4  | % |        | $    | 298                                         |  | 35.8  | %      |  | $                                           | 298   |  | 38.3   | % |                                             | $ | 327   |        | 35.8  | %                                           |  | $ | 327   |  | 33.4  | %
|Commercial                |  |                          | 1,197        |                                             | 43.9  |   |        |      | 1,184                                       |  | 43.0  |        |  |                                             | 1,277 |  | 41.2   |   |                                             |   | 1,483 |        | 43.3  |                                             |  |   | 1,465 |  | 44.5  |  
|Installment               |  |                          | 132          |                                             | 10.9  |   |        |      | 420                                         |  | 11.3  |        |  |                                             | 447   |  | 10.5   |   |                                             |   | 466   |        | 11.2  |                                             |  |   | 507   |  | 12.3  |  
|Others                    |  |                          | 75           |                                             | 9.8   |   |        |      | 21                                          |  | 9.9   |        |  |                                             | 21    |  | 10.0   |   |                                             |   | 21    |        | 9.7   |                                             |  |   | 21    |  | 9.8   |  
|                          |  |                          |              |                                             |       |   |        |      |                                             |  |       |        |  |                                             |       |  |        |   |                                             |   |       |        |       |                                             |  |   |       |  |       |  
|Total                     |  | $                        | 1,889        |                                             | 100.0 | % |        | $    | 1,923                                       |  | 100.0 | %      |  | $                                           | 2,043 |  | 100.0  | % |                                             | $ | 2,297 |        | 100.0 | %                                           |  | $ | 2,320 |  | 100.0 | %
|                          |  |                          |              |                                             |       |   |        |      |                                             |  |       |        |  |                                             |       |  |        |   |                                             |   |       |        |       |                                             |  |   |       |  |       |  



PAGE 25



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Deposits

A stable core deposit base is the major source of funds for the Companys subsidiary bank. The
deposit mix depends upon many factors including competition from other financial institutions, depositor interest in certain types of deposits, changes in the interest rate and the Companys need for certain types of deposit growth. Total
deposits increased approximately $8.4 million or 4.1% during the first three months of 2009. Since year end the increase in total deposits was primarily due to increases in interest bearing demand deposits, certificates of deposit and savings
deposits which increased approximately $3,899,000, $1,248,000 and $3,222,000, respectively. At March 31, 2009, noninterest bearing deposits comprised 11% of total deposits and interest bearing deposits which include NOW, money market, savings
and time deposits comprised 89% of total deposits. The change in the deposit mix from December 31, 2008 to March 31, 2009 was a 1% decrease in noninterest bearing deposits and a 1% increase in interest bearing deposits.

Table Eleven - Maturity Distribution of Time Certificates of Deposit

A maturity distribution of time certificates of deposit at March 31, 2009 and December 31, 2008, follows:



|                           |  |                             |        |                  |   |       
|-------------------------- |  | --------------------------- | ------ | ---------------- | - | ------
|                           |  | Maturities of Time Deposits
|(dollars in thousands)     |  | (Unaudited)March 31,2009    |        | December 31,2008
|Due in 2009                |  | $                           | 40,254 |                  | $ | 58,109
|Due in 2010                |  |                             | 33,649 |                  |   | 16,985
|Due in 2011                |  |                             | 8,277  |                  |   | 7,722 
|Due in 2012                |  |                             | 7,096  |                  |   | 6,580 
|Due in 2013                |  |                             | 3,677  |                  |   | 3,364 
|Due in 2014 and thereafter |  |                             | 1,073  |                  |   | 17    
|                           |  |                             |        |                  |   |       
|Total                      |  | $                           | 94,026 |                  | $ | 92,777
|                           |  |                             |        |                  |   |       

Time deposits include certificates of deposit issued in denominations of $100,000 or more which amounted to
$27,313,000 and $25,790,000 at March 31, 2009 and December 31, 2008, respectively. Interest expense on certificates of deposit of $100,000 or more was $265,861 and $313,614 at March 31, 2009 and 2008, respectively.

Table Twelve - Maturity of Time Deposits of $100,000 or more

The
following table presents other time deposits of $100,000 or more issued by domestic offices by time remaining until maturity of 3 months or less; over 3 through 6 months; over 6 through 12 months; and over 12 months.



|                                     |  |                                                   |        |                   |   |       
|------------------------------------ |  | ------------------------------------------------- | ------ | ----------------- | - | ------
|                                     |  | Maturities of Time Deposits in Excess of $100,000
|                                     |  | (Unaudited)                                       |        |                  
|(dollars in thousands)               |  | March 31, 2009                                    |        | December 31, 2008
|Three Months or Less                 |  | $                                                 | 3,355  |                   | $ | 8,393 
|Over Three and Less than Six Months  |  |                                                   | 4,290  |                   |   | 2,818 
|Over Six and Less than Twelve Months |  |                                                   | 11,709 |                   |   | 6,335 
|Over Twelve Months                   |  |                                                   | 7,959  |                   |   | 8,244 
|                                     |  |                                                   |        |                   |   |       
|Total                                |  | $                                                 | 27,313 |                   | $ | 25,790
|                                     |  |                                                   |        |                   |   |       



PAGE 26



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Federal Funds Purchased and Repurchase Agreements

Federal funds purchased and repurchase agreements represent
borrowings of a short duration, usually less than 30 days. For repurchase agreements, the securities underlying the agreements remained under the Banks control. There were no Federal funds purchased at March 31, 2009 and December 31,
2008. Repurchase agreements increased $542,152 or 4.9%, from December 31, 2008 to March 31, 2009. The increase in repurchase agreements since year end was primarily due to the increase in the balances maintained by commercial customers.

Federal Home Loan Bank and Other Long-term Borrowings

The subsidiary Bank is a member of the Federal Home Loan Bank of Pittsburgh (FHLB). The FHLB borrowings are secured by a blanket lien by the FHLB on certain residential real estate loans or securities with a market value at
least equal to the outstanding balances. The remaining maximum borrowing capacity with the FHLB at March 31, 2009 was approximately $92.8 million subject to the purchase of additional FHLB stock. The FHLB borrowings were $10,910,938 and
$10,929,369 at March 31, 2009 and December 31, 2008, respectively. The subsidiary bank has two fixed rate bullet advances which amount to $7,000,000, with a weighted average interest rate of 5.08% which will mature in 2009 and 2010. The
subsidiary bank also has three fixed rate amortizing advances with a weighted average interest rate of 4.78% , which approximately $2.2 million will mature in 2018 and $1.7 million will mature in 2023.

The subsidiary bank also has a one year line of credit agreement with the Federal Home Loan Bank (FHLB). The maximum credit available under this agreement is
$7.0 million and expires December 2011. There were no borrowings outstanding under this agreement at March 31, 2009 and December 31, 2008, respectively.

Contractual maturities of FHLB borrowings as of March 31, 2009 were as follows:



|           |  |   |           
|---------- |  | - | ----------
|2009       |  | $ | 3,556,629 
|2010       |  |   | 3,578,725 
|2011       |  |   | 82,570    
|2012       |  |   | 86,602    
|2013       |  |   | 90,832    
|Thereafter |  |   | 3,515,580 
|           |  |   |           
|           |  | $ | 10,910,938
|           |  |   |           

The Company has a non-revolving line of credit of $3.0 million from a financial institution. The line of credit is
secured by 126,200 shares of Progressive Bank, N.A. stock. The note bears an interest rate of prime and is adjustable quarterly. The note matures in May 2015. The Companys initial borrowing under the loan amounted to $2.0 million. There were
no outstanding borrowings as of March 31, 2009 and as of December 31, 2008.

Capital Resources

Stockholders equity increased .8% during the three month period ended March 31, 2009 entirely from current earnings after quarterly dividends, and a 1.5%
increase in accumulated other comprehensive income. The increase in accumulated other comprehensive income is primarily attributable to the effect of the change in the net unrealized loss on securities available for sale. Stockholders equity
amounted to 11.0% and 11.1% of total assets at March 31, 2009 and December 31, 2008, respectively. The Company paid dividends of $.19 per share during the three month periods ended March 31, 2009 and paid dividends of $.18 in the
three month period ended March 31, 2008.

The Companys primary source of funds for payment of dividends to shareholders is from the dividends
from its subsidiary bank. The approval of the Comptroller of the Currency is required to pay dividends if the total of all dividends declared by a national bank in any calendar year exceeds the total of its net profits (as defined) for the year,
combined with its retained net profits of the preceding two years. Under this formula, the Companys subsidiary bank can declare dividends in 2009, without approval of the Comptroller of the Currency, of approximately $1,981,000, plus an
additional amount equal to the banks net profit for 2009 up to the date of any such dividend declaration.

The Company and its subsidiary bank are
subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary actions by regulators that, if
undertaken, could have a direct material effect on the Companys financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and Bank must meet specific capital guidelines that
involve quantitative measures of the Companys and banks assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The Companys and banks capital amounts and classifications
are also subject to qualitative judgments by the regulators about components, risk, weighting, and other factors. Quantitative measures established by regulation to ensure capital adequacy require the Company and bank to maintain minimum amounts and
ratios (set forth in the table below) of total and Tier I capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier I capital (as defined) to adjusted total assets (as defined).



PAGE 27



---

##### Table of Contents

First West Virginia Bancorp, Inc.

Managements Discussion and Analysis of the Financial Condition and Results of Holding Company Operations

Capital Resources - Continued

As of March 31, 2009, the most recent notifications from the Office of the
Comptroller of the Currency categorized the bank as well capitalized under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes has changed the capital category.
The capital ratios of the Company and its subsidiary bank, along with the regulatory framework for adequately capitalized and well capitalized institutions are depicted as set forth in the following table:



|                                          |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|----------------------------------------- |  | ------ | ------ | ----- | ---------------------------- | - | ------ | ------------------------------------------------------------- | ------ |  | --- | ------ |  | ----- | ------ |  | ---- | -
|                                          |  | Actual |        |       | For CapitalAdequacy Purposes |   |        | To be WellCapitalized UnderPrompt CorrectiveAction Provisions |       
|(Amounts Expressed in Thousands)          |  | Amount |        | Ratio |                              |   | Amount |                                                               | Ratio  |  |     | Amount |  | Ratio |       
|First West Virginia Bancorp, Inc.         |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|As of March 31, 2009                      |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|Total Capital (to Risk Weighted Assets)   |  | $      | 28,257 |       | 18.53                        | % |        | $                                                             | 12,198 |  | 8.0 | %      |  | $     | 15,248 |  | 10.0 | %
|Tier I Capital (to Risk Weighted Assets)  |  |        | 26,368 |       | 17.29                        | % |        |                                                               | 6,099  |  | 4.0 | %      |  |       | 9,149  |  | 6.0  | %
|Tier I Capital (to Adjusted Total Assets) |  |        | 26,368 |       | 10.15                        | % |        |                                                               | 10,390 |  | 4.0 | %      |  |       | 12,987 |  | 5.0  | %
|As of December 31, 2008                   |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|Total Capital (to Risk Weighted Assets)   |  | $      | 28,045 |       | 18.86                        | % |        | $                                                             | 11,897 |  | 8.0 | %      |  | $     | 14,871 |  | 10.0 | %
|Tier I Capital (to Risk Weighted Assets)  |  |        | 26,191 |       | 17.61                        | % |        |                                                               | 5,949  |  | 4.0 | %      |  |       | 8,923  |  | 6.0  | %
|Tier I Capital (to Adjusted Total Assets) |  |        | 26,191 |       | 10.14                        | % |        |                                                               | 10,334 |  | 4.0 | %      |  |       | 12,917 |  | 5.0  | %
|Progressive Bank, N.A.                    |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|As of March 31, 2009                      |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|Total Capital (to Risk Weighted Assets)   |  | $      | 28,048 |       | 18.45                        | % |        | $                                                             | 12,163 |  | 8.0 | %      |  | $     | 15,204 |  | 10.0 | %
|Tier I Capital (to Risk Weighted Assets)  |  |        | 26,159 |       | 17.21                        | % |        |                                                               | 6,082  |  | 4.0 | %      |  |       | 9,123  |  | 6.0  | %
|Tier I Capital (to Adjusted Total Assets) |  |        | 26,159 |       | 10.09                        | % |        |                                                               | 10,369 |  | 4.0 | %      |  |       | 12,961 |  | 5.0  | %
|As of December 31, 2008                   |  |        |        |       |                              |   |        |                                                               |        |  |     |        |  |       |        |  |      |  
|Total Capital (to Risk Weighted Assets)   |  | $      | 27,788 |       | 18.74                        | % |        | $                                                             | 11,861 |  | 8.0 | %      |  | $     | 14,826 |  | 10.0 | %
|Tier I Capital (to Risk Weighted Assets)  |  |        | 25,934 |       | 17.49                        | % |        |                                                               | 5,930  |  | 4.0 | %      |  |       | 8,895  |  | 6.0  | %
|Tier I Capital (to Adjusted Total Assets) |  |        | 25,934 |       | 10.06                        | % |        |                                                               | 10,316 |  | 4.0 | %      |  |       | 12,895 |  | 5.0  | %

Liquidity

Liquidity management ensures that funds are available to meet loan commitments, deposit withdrawals, and operating expenses. Funds are provided by loan repayments, investment securities maturities, or deposits, and can be raised by
liquidating assets or through additional borrowings. The Company had investment securities with an estimated fair value of $114,693,714 classified as available for sale at March 31, 2009. These securities are available for sale at any time
based upon managements assessment in order to provide necessary liquidity should the need arise. The fair value of temporarily impaired investment securities that the company has the intent and ability to hold until the anticipated recovery in
market value is $14,741,000. In addition, the Companys subsidiary bank, Progressive Bank, N.A., is a member of the Federal Home Loan Bank of Pittsburgh (FHLB). Membership in the FHLB provides an additional source of funding in the
form of collateralized advances. The remaining maximum borrowing capacity with the FHLB at March 31, 2009 was approximately $92.8 million subject to the purchase of additional FHLB stock. At March 31, 2009, the subsidiary bank had a short
term line of credit in the aggregate amount of approximately $7 million available with the FHLB. There were no short term borrowings outstanding pursuant to this agreement as of March 31, 2009. At March 31, 2009 and December 31, 2008,
the Company had outstanding loan commitments and unused lines of credit totaling $19,062,000 and $18,973,000, respectively. As of March 31, 2009, management placed a high probability for required funding within one year of approximately $11.7
million. Approximately $4.4 million is principally unused home equity and credit card lines on which management places a low probability for required funding.



PAGE 28



---

##### Table of Contents

FIRST WEST VIRGINIA BANCORP, INC.

PART I



|Item 3 | Quantitative and Qualitative Disclosures About Market Risk
|------ | ----------------------------------------------------------

The Companys subsidiary bank uses an asset/liability model to measure the impact of changes in interest rates on net interest income on a periodic basis. Assumptions are made to simulate the impact of future changes in interest rates
and/or changes in balance sheet composition. The effect of changes in future interest rates on the mix of assets and liabilities may cause actual results to differ from simulated results. Guidelines established by the Companys subsidiary bank
provides that the estimated net interest income may not change by more than 10% in a one year period given a +/- 200 basis point parallel shift in interest rates. Excluding the potential effect of interest rate changes on assets and liabilities of
the Holding Company which are not deemed material, the anticipated impact on net interest income of the subsidiary bank at March 31, 2009 was as follows: given a 200 basis point increase scenario net interest income would be reduced by
approximately .6%, and given a 200 basis point decrease scenario net interest income would be increased by approximately 1.7%. The results using a +/-100 basis point interest rate scenario are also presented. Under the 100 basis point increase
scenario net interest income would be increased by approximately .1%, and given a 100 basis point decrease scenario net interest income would be increased by 2.3%. The projections provided by the model are not intended as an actual forecast of the
banks performance in a particular rate environment, and should not be relied upon. Actual changes in the interest rate environment normally do not take place instantaneously, but over a period of time, and do not occur in a parallel fashion.
Additionally, the balance sheet composition, spread relationships for new dollars invested, non interest income and expenses, investment practices, and deposit practices all change as a result of changes in interest rates and would need to be
considered by the Asset Liability committee.



|Item 4 | Controls and Procedures
|------ | -----------------------

Evaluation of Disclosure
Controls and Procedures

The Companys Chairman, President and Chief Executive Officer, Sylvan J. Dlesk, and Executive Vice President, Chief
Administrative Officer and Chief Financial Officer, Francie P. Reppy, after evaluating the effectiveness of the Companys disclosure controls and procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) as of a date within 90 days prior
to the filing of this report (the Evaluation Date), have concluded that, as of the Evaluation Date, the Companys disclosure controls and procedures were adequate and effective to ensure that material information required to be
disclosed by the Company in reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms.

Changes in Internal Controls

During the quarter, there were no
significant changes in the Companys internal controls or in other factors that could significantly affect the Companys disclosure controls and procedures subsequent to the date of their evaluation, nor were there any significant
deficiencies or material weaknesses in the Companys internal controls. As a result, no corrective actions were required or undertaken.



PAGE 29



---

##### Table of Contents

FIRST WEST VIRGINIA BANCORP, INC.

PART II

OTHER INFORMATION



|Item 1 | Legal Proceedings
|------ | -----------------

The nature of the
business of the Holding Companys subsidiary generates a certain amount of litigation involving matters arising in the ordinary course of business. The Company is unaware of any litigation other than ordinary routine litigation incidental to
the business of the Company, to which it or its subsidiary is a party or of which any of their property is subject.



|Item 1A | Risk Factors
|------- | ------------

Please refer to the
Companys report on Form 10-K for the year ended December 31, 2008 for disclosures with respect to risk factors. There have been no material changes since year-end 2008 in the specified risk factors disclosed in the Annual Report on Form
10-K.



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

Inapplicable



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

Inapplicable



|Item 4 | Submission of Matters to Vote of Security Holders
|------ | -------------------------------------------------



| | a. | Inapplicable
| | -- | ------------



| | b. | Inapplicable
| | -- | ------------



| | c. | Inapplicable
| | -- | ------------



| | d. | Inapplicable
| | -- | ------------



|Item 5 | Other Information
|------ | -----------------

Inapplicable



|Item 6 | Exhibits and Reports on Form 8-K
|------ | --------------------------------



| | (a) | Reports on Form 8-K
| | --- | -------------------

On March 9, 2009 a report
on Form 8-K was filed which contained a press release dated March 5, 2009 that reported the announcement of First West Virginia Bancorp Inc.s fourth quarter and year end earnings.



| | (b) | Exhibits
| | --- | --------

The exhibits listed in the Exhibit Index
on page 31 of this FORM 10-Q are incorporated by reference and/or filed herewith.



PAGE 30



---

##### Table of Contents

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) 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.



|                                               |  |                                                                                   
|---------------------------------------------- |  | ----------------------------------------------------------------------------------
|First West Virginia Bancorp, Inc. (Registrant)
|                                               | 
|By:                                            |  | /s/ Sylvan J. Dlesk                                                               
|                                               |  | Sylvan J. Dlesk                                                                   
|                                               |  | Chairman, President and Chief Executive Officer                                   
|                                               | 
|By:                                            |  | /s/ Francie P. Reppy                                                              
|                                               |  | Francie P. Reppy                                                                  
|                                               |  | Executive Vice President, Chief Administrative Officer and Chief Financial Officer

Dated: May 8, 2009



PAGE 31



---

##### Table of Contents

EXHIBIT INDEX

The following exhibits are filed herewith and/or are incorporated herein by reference.



|              |  |                                                                                                                                                                                                              
|------------- |  | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|ExhibitNumber |  | Description                                                                                                                                                                                                  
|              | 
|3.1           |  | Certificate and Articles of Incorporation of First West Virginia Bancorp, Inc. Incorporated herein by reference.                                                                                             
|              | 
|3.2           |  | Bylaws of First West Virginia Bancorp, Inc. Incorporated herein by reference.                                                                                                                                
|              | 
|10.3          |  | Lease dated July 20, 1993 between Progressive Bank, N.A., formerly known as First West Virginia Bank, N.A., and Angela I. Stauver. Incorporated herein by reference.                                       
|              | 
|10.5          |  | Lease dated March 7, 2006 between Progressive Bank, N.A. and O. V. Smith & Sons of Big Chimney, Inc. Incorporated herein by reference.                                                                       
|              | 
|10.7          |  | Lease dated May 12, 2001 between Progressive Bank, N.A. and Sylvan J. Dlesk and Rosalie J. Dlesk doing business as Dlesk Realty & Investment Company. Incorporated herein by
reference.                      
|              | 
|10.8          |  | Lease dated January 1, 2005 between Progressive Bank, N.A. and Elm Grove Properties LLC. Incorporated herein by reference.                                                                                   
|              | 
|11.1          |  | Statement regarding computation of per share earnings. Filed herewith and incorporated herein by reference.                                                                                                  
|              | 
|13.3          |  | Summarized Quarterly Financial Information. Filed herewith and incorporated herein by reference.                                                                                                             
|              | 
|15            |  | Letter re unaudited interim financial information. Incorporated herein by reference. See Part 1, Notes to Consolidated Financial Statements                                                                  
|              | 
|31            |  | Rule 13a-14(a) / 15d/14(a) Certifications - Certification of Chief Executive Officer pursuant to section 302 of the Securities and Exchange Act of 1934. Filed herewith and incorporated herein by
reference.
|              | 
|31.1          |  | Rule 13a-14(a) / 15d/14(a) Certifications - Certification of Chief Financial Officer pursuant to section 302 of the Securities and Exchange Act of 1934. Filed herewith and incorporated herein by
reference.
|              | 
|32            |  | Certification pursuant to 18 U.S.C. §1350,as adopted pursuant to section 906 of the SARBANES-OXLEY ACT of 2002. Filed herewith and incorporated herein by reference.                                         
|              | 
|99.1          |  | Independent Accountants Report. Filed herewith and incorporated herein by reference.                                                                                                                        



PAGE 32