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

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

| Tennessee                                                                                    |   | 20-0307691                                |   |
|----------------------------------------------------------------------------------------------|--------|-------------------------------------------|--------|
| (State      or other jurisdiction of                                                         |   | (I.R.S.      Employer Identification No.) |   |
| incorporation      or organization)                                                          |   |                                      |   |
|                                                                                         |   |                                      |   |
| 3095      East Andrew Johnson Highway Greeneville,      Tennessee                       |   |  37745                               |   |
| (Address      of principal executive offices)                                                |   | (Zip      Code)                           |   |
|                                                                                         |   |                                      |   |
| Registrant’s      telephone number, including area code:  (423)      636-1555     |   |
|                                                                                         |   |                                      |   |
| Not      Applicable                                                                          |   |
| (Former      name, former address and former fiscal year, if changed since last      report) |   |

----

| PART      I - FINANCIAL INFORMATION |                                                                                                              |        |   |
|-------------------------------------|-------------------------------------------------------------------------------------------------------------------|--------|--------|
| Item      1.                        | Financial      Statements.                                                                                        |   |        |   |
|                                | The      consolidated financial statements of the Registrant and its wholly owned      subsidiary are as follows: |   |   |   |
|                                | Consolidated      Balance Sheets – March 31, 2010 (unaudited) and December 31,      2009.                   |   | 3      |   |
|                                | Consolidated      Statements of Operations - For the three months ended March 31, 2010 and      2009 (unaudited). |   | 4      |   |
|                                | Consolidated      Statements of Cash Flows - For the three months ended March 31, 2010 and      2009 (unaudited). |   | 6-7    |   |
|                                | Notes      to Consolidated Financial Statements.                                                                  |   | 8      |   |
| Item      2.                        | Management's      Discussion and Analysis or Financial Condition and Results of      Operations.                  |   | 14     |   |
| Item      3.                        | Quantitative      and Qualitative Disclosures about Market Risk.                                                  |   | 23     |   |
| Item      4T.                       | Controls      and Procedures.                                                                                     |   | 23     |   |
|                                |                                                                                                              |   |   |   |
| PART      II - OTHER INFORMATION    |                                                                                                              |   |   |
| Item      1.                        | Legal      Proceedings.                                                                                           |   | 25     |   |
| Item      1A.                       | Risk      Factors.                                                                                                |   | 25     |   |
| Item      2.                        | Unregistered      Sales of Equity Securities and Use of Proceeds.                                                 |   | 25     |   |
| Item      3.                        | Defaults      Upon Senior Securities.                                                                             |   | 25     |   |
| Item      4.                        | (Removed      and Reserved)                                                                                       |   | 25     |   |
| Item    5.                          | Other      Information.                                                                                           |   | 25     |   |
| Item      6.                        | Exhibits.                                                                                                         |   | 26     |   |

----

|                                                                                                                                                                    |   | As      of         |         |   | As      of            |   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------|--------------|--------|-----------------------|--------|
|                                                                                                                                                                    |   | March      31,2010 |         |   | December      31,2009 |   |
|                                                                                                                                                                    |   | (Unaudited)        |         |   |                  |   |
| ASSETS                                                                                                                                                                  |   |               |         |   |                  |   |
|                                                                                                                                                                    |   |               |         |   |                  |   |
| Cash      and due from banks                                                                                                                                            |   | $                  | 4,507,241    |   |                  | $      | 4,606,244 |   |
| Federal      funds sold                                                                                                                                                 |   |               | 5,568,116    |   |                  |   | 3,137,654 |   |
| Interest-bearing      deposits in banks                                                                                                                                 |   |               | 1,004,006    |   |                  |   | 2,470,118 |   |
|   Cash      and cash equivalents                                                                                                                              |   |               | 11,079,363   |   |                  |   | 10,214,016 |   |
| Securities      available for sale                                                                                                                                      |   |               | 2,994,970    |   |                  |   | 2,984,945 |   |
| Federal      Home Loan Bank stock, at cost                                                                                                                              |   |               | 296,500      |   |                  |   | 296,500 |   |
| Loans,      net of allowance for loan losses of                                                                                                                         |   |               |         |   |                  |   |   |   |
| $2,615,204      in 2010 and $3,082,659 in 2009                                                                                                                          |   |               | 87,386,534   |   |                  |   | 92,562,338 |   |
| Premises      and equipment, net                                                                                                                                        |   |               | 4,986,591    |   |                  |   | 5,047,047 |   |
| Accrued      interest receivable                                                                                                                                        |   |               | 403,717      |   |                  |   | 390,165 |   |
| Deferred      tax assets, net                                                                                                                                           |   |               | 223,890      |   |                  |   | 228,303 |   |
| Foreclosed      assets                                                                                                                                                  |   |               | 4,062,672    |   |                  |   | 3,409,635 |   |
| Cash      surrender value of bank owned life insurance                                                                                                                  |   |               | 2,490,944    |   |                  |   | 2,464,771 |   |
| Other      assets                                                                                                                                                       |   |               | 580,707      |   |                  |   | 616,518 |   |
|                     Total      Assets                               |   | $                  | 114,505,888  |   |                  | $      | 118,214,238 |   |
|                                                                                                                                                                    |   |               |         |   |                  |   |   |   |
| LIABILITIES      AND STOCKHOLDERS’ EQUITY                                                                                                                         |   |               |         |   |                  |   |   |   |
|                                                                                                                                                                    |   |               |         |   |                  |   |   |   |
| LIABILITIES                                                                                                                                                             |   |               |         |   |                  |   |   |   |
|   Deposits:                                                                                                                                                   |   |               |         |   |                  |   |   |   |
|       Noninterest-bearing                                                                                                                 |   |               |         |   |                  |   |   |   |
|         Demand                                                                                                                  |   | $                  | 6,406,992    |   |                  | $      | 6,669,598 |   |
|       Interest-bearing                                                                                                                    |   |               |         |   |                  |   |   |   |
|         Money      market, interest checking and savings                                                                        |   |               | 24,475,381   |   |                  |   | 25,512,212 |   |
|         Time      deposits                                                                                                      |   |               | 73,218,000   |   |                  |   | 74,327,770 |   |
|                   Total      Deposits                                         |   |               | 104,100,373  |   |                  |   | 106,509,580 |   |
|   Accrued      interest payable                                                                                                                               |   |               | 557,264      |   |                  |   | 621,045 |   |
|   Other      liabilities                                                                                                                                      |   |               | 417,777      |   |                  |   | 428,826 |   |
|   Federal      Home Loan Bank and other borrowings                                                                                                            |   |               | 6,187,583    |   |                  |   | 6,338,497 |   |
|                    Total      Liabilities                                |   |               | 111,262,997  |   |                  |   | 113,897,948 |   |
| Commitments      and Contingencies                                                                                                                                      |   |               | -            |   |                  |   | - |   |
| STOCKHOLDERS’      EQUITY                                                                                                                                         |   |               |         |   |                  |   |   |   |
|   Stock:                                                                                                                                                      |   |               |         |   |                  |   |   |   |
|       Preferred      stock, no par value; authorized 1,000,000 shares;                                                                    |   |               |         |   |                  |   |   |   |
|           issued      and outstanding 62 shares at March 31, 2010                                                     |   |               | 18,294       |   |                  |   | - |   |
|       Common      stock, $0.333 par value; authorized                                                                                     |   |               |         |   |                  |   |   |   |
|           6,000,000      shares; issued and outstanding 2,389,391                                                     |   |               |         |   |                  |   |   |   |
|            shares      at March 31, 2010 and  December 31, 2009                                        |   |               | 796,337      |   |                  |   | 796,337 |   |
|   Additional      paid-in capital                                                                                                                             |   |               | 7,167,260    |   |                  |   | 7,167,260 |   |
|   Retained      deficit                                                                                                                                       |   |               | (4,736,821   | )      |                  |   | (3,638,017 | ) |
|   Accumulated      other comprehensive income                                                                                                                 |   |               |  (2,179 | )      |                  |   |  (9,290 | ) |
|                    Total      Stockholders’ Equity                 |   |               | 3,242,891    |   |                  |   |  4,316,290 |   |
|                    Total      Liabilities and Stockholders’ Equity |   | $                  | 114,505,888  |   |                  | $      | 118,214,238 |   |

----

|                                                                                                                                                                        |   | Three      Months Ended |       |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------|------------|
|                                                                                                                                                                        |   | March      31, 2010     |       |   | March      31, 2009 |   |
| Interest      and dividend income:                                                                                                                                          |   |                    |       |   |   |   |
| Loans, including      fees                                                                                                                                                  |   | $                       | 1,354,147  |   |   | $ | 1,666,590 |   |
|   Investment      securities                                                                                                                                      |   |                    | 11,945     |   |   |   | - |   |
| Dividends on Federal Home Loan      Bank stock                                                                                                                              |   |                    | 3,363      |   |   |   | 3,294 |   |
| Federal funds sold and      other                                                                                                                                           |   |                    | 6,568      |   |   |   | 3,314 |   |
|                 Total      interest and dividend income                                     |   |                    | 1,376,023  |   |   |   | 1,673,198 |   |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Interest      expense:                                                                                                                                                      |   |                    |       |   |   |   |   |   |
| Deposits                                                                                                                                                                    |   |                    | 492,183    |   |   |   | 745,617 |   |
| Borrowed funds                                                                                                                                                              |   |                    | 63,652     |   |   |   | 65,506 |   |
|                        Total      interest expense       |   |                    | 555,835    |   |   |   |  811,123 |   |
| Net interest income before      provision                                                                                                                                   |   |                    |       |   |   |   |   |   |
|   for loan      losses                                                                                                                                            |   |                    | 820,188    |   |   |   | 862,075 |   |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Provision      for loan losses                                                                                                                                              |   |                    | 839,167    |   |   |   | 856,656 |   |
| Net interest income (loss)      after provision                                                                                                                             |   |                    |       |   |   |   |   |   |
| for loan losses                                                                                                                                                             |   |                    | (18,979    | ) |   |   | 5,419 |   |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Noninterest      income:                                                                                                                                                    |   |                    |       |   |   |   |   |   |
| Service charges on deposit      accounts                                                                                                                                    |   |                    | 91,684     |   |   |   | 103,081 |   |
| Fees from origination of      mortgage loans sold                                                                                                                           |   |                    | 2,203      |   |   |   | 10,499 |   |
| Other                                                                                                                                                                       |   |                    | 26,088     |   |   |   |  35,493 |   |
| Total noninterest      income                                                                                                                                               |   |                    | 119,975    |   |   |   | 149,073 |   |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Noninterest      expense:                                                                                                                                                   |   |                    |       |   |   |   |   |   |
| Salaries and employee      benefits                                                                                                                                         |   |                    | 405,831    |   |   |   | 485,467 |   |
| Occupancy                                                                                                                                                                   |   |                    | 141,384    |   |   |   | 146,972 |   |
| Advertising                                                                                                                                                                 |   |                    | 6,676      |   |   |   | 22,414 |   |
| Data processing                                                                                                                                                             |   |                    | 85,495     |   |   |   | 83,550 |   |
| Legal and      professional                                                                                                                                                 |   |                    | 116,003    |   |   |   | 132,374 |   |
| Other operating                                                                                                                                                             |   |                    | 444,411    |   |   |   |  211,158 |   |
| Total noninterest      expense                                                                                                                                              |   |                    | 1,199,800  |   |   |   | 1,081,935 |   |
|                        Net      loss before income taxes |   |                    | (1,098,804 | ) |   |   | (927,443 | ) |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Income      tax benefit                                                                                                                                                     |   |                    |  -    |   |   |   |  (353,408 | ) |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Net loss                                                                                                                                                                    |   | $                       | (1,098,804 | ) |   | $ | (574,035 | ) |
|                                                                                                                                                                        |   |                    |       |   |   |   |   |   |
| Basic      net loss per common share                                                                                                                                        |   | $                       | (.46       | ) |   | $ | (.24 | ) |
| Diluted      net loss per common share                                                                                                                                      |   | $                       | (.46       | ) |   | $ | (.24 | ) |

----

|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   | Accumulated   |   |   |   |      |       |
|----------------------------------------------|--------|---------------|------------|--------|--------|-----------|--------|--------|--------|---------|---------|--------|--------|------------|-----------|--------|--------|------------|------------|--------|--------|---------------|--------|--------|--------|-----------|------------|
|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   | Additional |      |   |   |       |       |   |   | Other         |   |   |   |      |       |
|                                         |   | Comprehensive |       |   |   | Preferred |   |   |   | Common  |    |   |   | Paid-In    |      |   |   | Retained   |       |   |   | Comprehensive |   |   |   |      |       |
|                                         |   | Income        |       |   |   | Stock     |   |   |   | Stock   |    |   |   | Capital    |      |   |   | Deficit    |       |   |   | Income        |   |   |   | Total     |       |
| Balance,      December 31, 2009              |   |          |       |   | $      | -         |   |   | $      | 796,337 |    |   | $      | 7,167,260  |      |   | $      | (3,638,017 | )          |   | $      | (9,290        | )      |   | $      | 4,316,290 |       |
|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |
| Comprehensive      loss:                     |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |
| Net      loss                                |   | $             | (1,098,804 | )      |   |      | -      |   |   |    | -       |   |   |       | -         |   |   |       | (1,098,804 | )      |   |          | -      |   |   |      | (1,098,804 | ) |
| Other      comprehensive income:             |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
| Unrealized      holding gains (losses)       |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
|  on      securities available for sale, |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
|  net      of tax effect of $4,413       |   |          | 7,111      |   |   |      | -      |   |   |    | -       |   |   |       | -         |   |   |       | -          |   |   |          | 7,111  |   |   |      | 7,111      |   |
|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
| Total      comprehensive loss                |   | $             | (1,091,693 | )      |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
| Issuance      of preferred stock             |   |          |       |   |   |      | 18,294 |   |   |    | -       |   |   |       |      |   |   |       | -          |   |   |          | -      |   |   |      | 18,294     |   |
|                                         |   |          |       |   |   |      |   |   |   |    |    |   |   |       |      |   |   |       |       |   |   |          |   |   |   |      |       |   |
| Balance,      March 31, 2010                 |   |          |       |   |   | $         | 18,294 |   |   | $       | 796,337 |   |   | $          | 7,167,260 |   |   | $          | (4,736,821 | )      |   | $             | (2,179 | )      |   | $         | 3,242,891  |   |

----

|                                                         |   | ThreeMonths      Ended |       |
|--------------------------------------------------------------|--------|------------------------|------------|
|                                                         |   | March      31, 2010    |       |   | March      31, 2009 |   |
|                                                         |   |                   |       |   |   |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                   |   |                   |       |   |   |   |
| Net      loss                                                |   | $                      | (1,098,804 | ) |   | $ | (574,035 | ) |
| Adjustments      to reconcile net loss to net cash           |   |                   |       |   |   |   |   |   |
| (used      in) provided by operating activities:             |   |                   |       |   |   |   |   |   |
| Provision      for loan losses                               |   |                   | 839,167    |   |   |   | 856,656 |   |
| Depreciation                                                 |   |                   | 69,191     |   |   |   | 79,197 |   |
| Write-down      of foreclosed assets                         |   |                   | 73,478     |   |   |   | 184,520 |   |
| Realized      loss on sales of foreclosed assets             |   |                   | 116,212    |   |   |   | 1,398 |   |
| Deferred      income tax benefit                             |   |                   | -          |   |   |   | (341,517 | ) |
| Increase      in cash surrender value of bank owned life     |   |                   |       |   |   |   |   |   |
| insurance                                                    |   |                   | (26,173    | ) |   |   | (29,731 | ) |
| Net      change in:                                          |   |                   |       |   |   |   |   |   |
| Accrued      interest receivable                             |   |                   | (13,552    | ) |   |   | 12,039 |   |
| Other      assets                                            |   |                   | 35,811     |   |   |   | (6,707 | ) |
| Other      liabilities                                       |   |                   | (11,049    | ) |   |   | (18,064 | ) |
| Accrued      interest payable                                |   |                   | (63,781    | ) |   |   | 154,156 |   |
| Net      cash (used in) provided by                          |   |                   |       |   |   |   |   |   |
| operating      activities                                    |   |                   | (79,500    | ) |   |   | 317,912 |   |
|                                                         |   |                   |       |   |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                   |   |                   |       |   |   |   |   |   |
| Securities      available for sale - maturities, prepayments |   |                   |       |   |   |   |   |   |
| and      calls                                               |   |                   | 1,499      |   |   |   | - |   |
| Proceeds      from sale of foreclosed assets                 |   |                   | 258,216    |   |   |   | 14,602 |   |
| Federal      Home Loan Bank stock purchase                   |   |                   | -          |   |   |   | (5,300 | ) |
| Loan      originations and principal collections, net        |   |                   | 3,235,694  |   |   |   | (2,644,264 | ) |
| Additions      to premises and equipment                     |   |                   | (8,735     | ) |   |   | (2,700 | ) |
| Net      cash provided by (used in)                          |   |                   |       |   |   |   |   |   |
| investing      activities                                    |   |                   | 3,486,674  |   |   |   | (2,637,662 | ) |
|                                                         |   |                   |       |   |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                   |   |                   |       |   |   |   |   |   |
| Net      change in deposits (non-time deposits)              |   |                   | (1,299,437 | ) |   |   | 3,251,121 |   |
| Net      change in time deposits                             |   |                   | (1,109,770 | ) |   |   | 5,659,636 |   |
| Issuance      of stock                                       |   |                   | 18,294     |   |   |   | - |   |
| Repayments      of other borrowings                          |   |                   | (7,000     | ) |   |   | - |   |
| Federal      Home Loan Bank repayments                       |   |                   | (143,914   | ) |   |   | (96,088 | ) |
| Net      cash (used in) provided by                          |   |                   |       |   |   |   |   |   |
| financing      activities                                    |   |                   | (2,541,827 | ) |   |   | 8,814,669 |   |
|                                                         |   |                   |       |   |   |   |   |   |
| Net      change in cash and cash equivalents                 |   |                   | 865,347    |   |   |   | 6,494,919 |   |
|                                                         |   |                   |       |   |   |   |   |   |
| Cash      and cash equivalents at beginning of period        |   |                   | 10,214,016 |   |   |   | 6,396,406 |   |
|                                                         |   |                   |       |   |   |   |   |   |
| Cash      and cash equivalents at end of period              |   | $                      | 11,079,363 |   |   | $ | 12,891,325 |   |

----

|                                              |   | ThreeMonths      Ended |      |
|---------------------------------------------------|--------|------------------------|-----------|
|                                              |   | March      31, 2010    |      |   | March      31, 2009 |   |
| SUPPLEMENTARY      CASH FLOW INFORMATION:         |   |                   |      |   |   |   |
| Interest      paid on deposits and borrowed funds |   | $                      | 619,616   |   |   | $ | 656,967 |   |
| Income      taxes paid                            |   | $                      | -         |   |   | $ | 118,356 |   |
|                                              |   |                   |      |   |   |   |   |   |
| SUPPLEMENTAL      SCHEDULE OF NON-CASH            |   |                   |      |   |   |   |   |   |
| ACTIVITIES:                                       |   |                   |      |   |   |   |   |   |
| Loans      moved to foreclosed/repossessed assets |   | $                      | 1,100,943 |   |   | $ | 1,048,778 |   |

----

----

|   | No      options were granted during the three months ended March 31, 2010, and no      compensation cost related to options is recognized in the consolidated      statements of income for the three months ended March 31,      2010.  No intrinsic value exists at March 31, 2010, as the      market price of the Company's common stock of $2.75 per common share is      below the exercise price of the outstanding  options. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Basic      earnings per share (EPS) of common stock is computed by dividing net      income available to common shareholders by the weighted average number of      common shares outstanding during the period.  Diluted earnings      per share of common stock is computed by dividing net income available to      common shareholders by the weighted average number of common shares and      potential dilutive common shares outstanding during the      period.  Stock options are regarded as potential common      shares.  Potential common shares are computed using the treasury      stock method.  For the three months ended March 31, 2010, 71,050      options are excluded from the effect of dilutive securities because they      are anti-dilutive; 71,150 options are similarly excluded from the effect      of dilutive securities for the three months ended March 31,      2009. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      following is a reconciliation of the numerators and denominators used in      the basic and diluted earnings per share computations for the three months      ended March 31, 2010 and 2009. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                  |   | Three      Months Ended March 31, |       |
|-------------------------------------------------------|--------|-----------------------------------|------------|
|                                                  |   | 2010                              |       |   | 2009 |   |
|                                                  |   | Income      (Loss)                |       |   | Shares |   |   | Income      (Loss) |   |   | Shares |   |
|                                                  |   | (Numerator)                       |       |   | (Denominator) |   |   | (Numerator) |   |   | (Denominator) |   |
|                                                  |   |                              |       |   |   |   |   |   |   |   |   |   |
| Basic      EPS                                        |   |                              |       |   |   |   |   |   |   |   |   |   |
|   Income      (loss) available to           |   |                              |       |   |   |   |   |   |   |   |   |   |
|     common      stockholders      |   | $                                 | (1,098,804 | ) |   |   | 2,389,391 |   |   | $ | (574,035 | ) |   |   | 2,389,391 |   |
|                                                  |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Effect      of dilutive securities                    |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Stock      options outstanding            |   |                              |  -    |   |   |   | - |   |   |   |  - |   |   |   |  - |   |
|                                                  |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      EPS                                      |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Income      (loss) available to           |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     common      shareholders plus |   |                              |       |   |   |   |   |   |   |   |   |   |   |   |   |   |
|     assumed      conversions      |   | $                                 | (1,098,804 | ) |   |   | 2,389,391 |   |   | $ | (574,035 | ) |   |   | 2,389,391 |   |

----

|   | The      Company uses fair value measurements to record fair value adjustments to      certain assets and liabilities and to determine fair value      disclosures.  In accordance with the Fair Value Measurements and      Disclosures ASC Topic 820, the fair value of a financial instrument      is the price that would be received to sell an asset or paid to transfer a      liability in an orderly transaction between market participants at the      measurement date.  Fair value is best determined based upon      quoted market prices.  In cases where quoted market prices are      not available, fair values are based on estimates using present value or      other valuation techniques.  Those techniques are significantly      affected by the assumptions used, including the discount rate and      estimates of future cash flows.  Accordingly, the fair value      estimates may not be realized in an immediate settlement of the      instrument. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ASC      Topic 820 provides a consistent definition of fair value, which focuses on      exit price in an orderly transaction between market participants at the      measurement date under current market conditions.  If there has      been a significant decrease in the volume and level of activity for the      asset or liability, a change in valuation technique or the use of multiple      valuation techniques may be appropriate.  In such instances,      determining the price at which willing market participants would transact      at the measurement date under current market conditions depends on the      facts and circumstances and requires the use of significant      judgment.  The fair value is a reasonable point within the range      that is most representative of fair value under current market      conditions. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ASC      Topic 820 also establishes a three-tier fair value hierarchy which      requires an entity to maximize the use of observable inputs and minimize      the use of unobservable inputs when measuring fair value, as      follows: |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Level      1 - Quoted prices (unadjusted) in active markets for identical assets or      liabilities that the Company has the ability to  access. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Level      2 - Significant other observable inputs other than Level 1 prices, such as      quoted prices for similar assets or liabilities in active markets, quoted      prices in markets that are not active and other inputs that are observable      or can be corroborated by observable market  data. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Level      3 - Significant unobservable inputs that reflect the Company’s own      assumptions about the assumptions that market participants would use in      pricing an asset or liability. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | A      financial instrument’s categorization within the valuation hierarchy is      based upon the lowest level of input that is significant to the fair value      measurement. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      following methods and assumptions were used by the Company in estimating      fair value disclosures for financial  instruments: |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------|

|   | Cash      and cash equivalents: |
|--------|---------------------------------|

|   | The      carrying amounts of cash and due from banks, interest-bearing deposits in      banks, and federal funds sold approximate fair values based on the      short-term nature of the assets. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Securities: |
|--------|-------------|

----

|   | Loans: |
|--------|--------|

|   | For      variable-rate loans that reprice frequently and with no significant change      in credit risk, fair values are based on carrying values.  Fair      values for fixed-rate loans are estimated usingdiscounted cash flow      analyses, using market interest rates for comparable      loans.  Loans for which it is probable that payment of interest      and principal will not be made in accordance with the contractual terms of      the loan agreement are considered impaired.  Once a loan is      identified as individually impaired, management measures impairment in      accordance with ASC Topic 310, Accounting by Creditors      for Impairment of      a Loan.  The fair value of impaired loans is estimated      using several methods including collateral value, liquidation value and      discounted cash flows.  Those impaired loans not requiring an      allowance represent loans for which the fair value of the expected      repayments or collateral exceed the recorded investments in such      loans.  At March 31, 2010, substantially all of the total      impaired loans were evaluated based on the fair value of      collateral.  In accordance with ASC Topic 820, impaired loans      where an allowance is established based on the fair value of collateral      require classification in the fair value hierarchy.  When the      fair value of the collateral is based on an observable market price or a      current appraised value, the Company records the impaired loan as      nonrecurring Level 2.  When an appraised value is not      available or management determines the fair value of the collateral is      further impaired below the appraised value and there is no observable      market price, the Company records the impaired loan as nonrecurring Level      3. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Accrued      interest: |
|--------|------------------------|

|   | The      carrying amounts of accrued interest approximate fair    value. |
|--------|--------------------------------------------------------------------------|

|   | Foreclosed      assets: |
|--------|-------------------------|

|   | Foreclosed      assets, consisting of properties obtained through foreclosure or in      satisfaction of loans, is initially recorded at fair value, determined on      the basis of current appraisals, comparable sales, and other estimates of      value obtained principally from independent sources, adjusted for      estimated selling costs.  At the time of foreclosure, any excess      of the loan balance over the fair value of the real estate held as      collateral is treated as a charge against the allowance for loan      losses.  Gains or losses on sale and any subsequent adjustment      to the fair value are recorded as a component of foreclosed real estate      expense.  Foreclosed assets are included in Level 2 of the      valuation hierarchy when the fair value is based on an observable market      price or a current appraised value.  When an appraised value is      not available or management determines the foreclosed asset is impaired      below the appraised value and there is no observable market price, the      Company records the foreclosed asset as nonrecurring Level    3. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Cash      surrender value of bank owned lifeinsurance: |
|--------|--------------------------------------------------------|

|   | The      carrying amounts of cash surrender value of bank owned life insurance      approximate their fair value.  The carrying amount is based on      information received from the insurance carriers indicating the financial      performance of the policies and the amount the Company would receive      should the policies be surrendered.  The Company reflects these      assets within Level 2 of the valuation  hierarchy. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|   | Deposits: |
|--------|-----------|

|   | The      fair value of deposits with no stated maturity, such as      noninterest-bearing demand deposits and NOW, money market, and savings      accounts, is equal to the amount payable on demand at the reporting      date.  The carrying amounts of variable-rate, fixed-term money      market accounts and certificates of deposit approximate their fair values      at the reporting date.  Fair values for fixed-rate certificates      of deposit are estimated using a discounted cash flow calculation that      applies market interest rates on comparable instruments to a schedule of      aggregated expected monthly maturities on time  deposits. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Federal      Home Loan Bank and otherborrowings: |
|--------|--------------------------------------------------|

|   | Fair      values of Federal Home Loan Bank and other borrowings are estimated using      discounted cash flow analyses based on the Company’s current incremental      borrowing rates for similar types of borrowing    arrangements. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      tables below present the recorded amount of assets and liabilities      measured at fair value on a recurringbasis. |
|--------|------------------------------------------------------------------------------------------------------------------------------|

|                                             |   |            |      |   | Quoted               |   |   |           |   |   |           |   |
|--------------------------------------------------|--------|-----------------|-----------|--------|----------------------|--------|--------|----------------|--------|--------|----------------|--------|
|                                             |   |            |      |   | Prices      in       |   |   |           |   |   |           |   |
|                                             |   |            |      |   | Active               |   |   | Significant    |   |   | Significant    |   |
|                                             |   | Balance      as |      |   | Markets              |   |   | Other          |   |   | Other          |   |
|                                             |   | of              |      |   | for      Identical   |   |   | Observable     |   |   | Unobservable   |   |
|                                             |   | March      31,  |      |   | Assets               |   |   | Inputs         |   |   | Inputs         |   |
|                                             |   | 2010            |      |   | (Level      1)  |   |   | (Level      2) |   |   | (Level      3) |   |
| Securities available for      sale:              |   |            |      |   |                 |   |   |           |   |   |           |   |
| U.S.      Government-sponsored                   |   |            |      |   |                 |   |   |           |   |   |           |   |
| Enterprises      (GSEs)                          |   | $               | 2,994,970 |   |                 | $      | -      |           |   | $      | 2,994,970      |   |   | $ | - |   |
|                                             |   |            |      |   |                 |   |   |           |   |   |           |   |   |   |   |   |
| Cash      surrender value of      life insurance |   | $               | 2,490,944 |   |                 | $      | -      |           |   | $      | 2,490,944      |   |   | $ | - |   |

|   | The      Company has no assets or liabilities whose fair values are measured on a      recurring basis using Level 3inputs. |
|--------|----------------------------------------------------------------------------------------------------------------------------------|

|   | Certain      assets and liabilities are measured at fair value on a nonrecurring basis,      which means the assets and liabilities are not measured at fair value on      an ongoing basis but are subject to fair value adjustments in certain      circumstances (for example, when there is evidence of      impairment).  The tables below present information about assets      and liabilities for which a nonrecurring change in fair value was      recorded. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                        |   | Balance      asofMarch 31,2010 |      |   | Quoted      Prices inActive      Marketsfor      IdenticalAssets(Level 1) |   |   | SignificantOtherObservableInputs(Level 2) |   |   | SignificantOtherUnobservableInputs(Level      3) |   |
|-----------------------------|--------|-------------------------------------|-----------|--------|---------------------------------------------------------------------------|--------|--------|-------------------------------------------|--------|--------|--------------------------------------------------|--------|
| Impaired      loans         |   | $                                   | 4,451,965 |   |                                                                      | $      | -      |                                      |   | $      | 4,451,965                                        |   |   | $ | - |   |
| Foreclosed      real estate |   |                                | 4,062,672 |   |                                                                      |   | -      |                                      |   |   | 3,153,762                                        |   |   |   | 908,910 |   |

----

|   | Loans      include impaired loans held for investment for which an allowance for loan      losses has been calculated based upon the fair value of the loans at March      31, 2010. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      carrying amount and estimated fair value of the Company's financial      instruments are as follows: |
|--------|---------------------------------------------------------------------------------------------------------------|

|                                                         |   | March      31, 2010 |        | December      31, 2009 |   |
|--------------------------------------------------------------|--------|---------------------|-------------|------------------------|--------|
|                                                         |   | Carrying            |        |                   | Fair   |   | Carrying |   | Fair |   |
|                                                         |   | Amount              |        |                   | Value  |   | Amount |   | Value |   |
| Financial      Assets:                                       |   |                |        |                   |   |   |   |   |   |   |
|   Cash      and cash equivalents                   |   | $                   | 11,079,363  |                   |   | $ | 11,079,363 |   |   | $ | 10,214,016 |   |   | $ | 10,214,016 |   |
|   Securities      available for sale               |   |                | 2,994,970   |                   |   |   | 2,994,970 |   |   |   | 2,984,945 |   |   |   | 2,984,945 |   |
|   Federal      Home Loan Bank stock                |   |                | 296,500     |                   |   |   | 296,500 |   |   |   | 296,500 |   |   |   | 296,500 |   |
|   Loans,      net                                  |   |                | 87,386,534  |                   |   |   | 87,634,759 |   |   |   | 92,562,338 |   |   |   | 92,675,811 |   |
|   Accrued      interest receivable                 |   |                | 403,717     |                   |   |   | 403,717 |   |   |   | 390,165 |   |   |   | 390,165 |   |
|   Cash      surrender value of life insurance |   |                | 2,490,944   |                   |   |   | 2,490,944 |   |   |   | 2,464,771 |   |   |   | 2,464,771 |   |
|                                                         |   |                |        |                   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                         |   |                |        |                   |   |   |   |   |   |   |   |   |   |   |   |   |
| Financial      Liabilities:                                  |   |                |        |                   |   |   |   |   |   |   |   |   |   |   |   |   |
|   Deposits                                         |   |                | 104,100,373 |                   |   |   | 104,591,658 |   |   |   | 106,509,580 |   |   |   | 107,009,991 |   |
|   Accrued      interest payable                    |   |                | 557,264     |                   |   |   | 557,264 |   |   |   | 621,045 |   |   |   | 621,045 |   |
|   Federal      Home Loan Bank and other            |   |                |        |                   |   |   |   |   |   |   |   |   |   |   |   |   |
|     borrowings                           |   |                | 6,187,583   |                   |   |   | 6,316,149 |   |   |   | 6,338,497 |   |   |   | 6,495,938 |   |
|                                                         |   |                |        |                   |   |   |   |   |   |

|   | Securities      have been classified in the balance sheet according to management’s intent      as securities available for sale.  The amortized cost and      approximate fair value of securities are as  follows: |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                       |   | March      31, 2010 |      |
|----------------------------|--------|---------------------|-----------|
|                       |   | AmortizedCost       |      |   | GrossUnrealizedGains |   |   | GrossUnrealizedLosses |   |   | FairValue |   |
| Debt      securities       |   |                |      |   |   |   |   |   |   |   |   |   |
| available      for sale:   |   |                |      |   |   |   |   |   |   |   |   |   |
| U.S.      Government-      |   |                |      |   |   |   |   |   |   |   |   |   |
| sponsored      Enterprises |   |                |      |   |   |   |   |   |   |   |   |   |
| (GSEs)                     |   | $                   | 2,998,501 |   |   | $ | 2,190 |   |   | $ | (5,721 | ) |   | $ | 2,994,970 |   |

|                       |   | December      31, 2009 |      |
|----------------------------|--------|------------------------|-----------|
|                       |   | AmortizedCost          |      |   | GrossUnrealized Losses |   |   | GrossUnrealizedGains |   |   | FairValue |   |
| Debt      securities       |   |                   |      |   |   |   |   |   |   |   |   |   |
| available      for sale:   |   |                   |      |   |   |   |   |   |   |   |   |   |
| U.S.      Government-      |   |                   |      |   |   |   |   |   |   |   |   |   |
| sponsored      Enterprises |   |                   |      |   |   |   |   |   |   |   |   |   |
| (GSEs)                     |   | $                      | 3,000,000 |   |   | $ | 2,490 |   |   | $ | (17,545 | ) |   | $ | 2,984,945 |   |

----

|   | U.S.      Government sponsored enterprises include entities such as Federal National      Mortgage Association, Federal Home Loan Mortgage Corporation, and Federal      Home Loan Banks. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | The      securities have maturity dates of one to five  years. |
|--------|----------------------------------------------------------------|

|   | Securities      with a carrying value of approximately $2,494,000 at March 31, 2010 were      pledged to secure a federal funds line of credit with First National      Bankers Bank, Alabama. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Upon      acquisition of a security, the Company determines the appropriate      impairment model that is applicable.  If the security is a      beneficial interest in securitized financial assets, the Company uses the      beneficial interests in securitized financial assets impairment      model.  If the security is not a beneficial interest in      securitized financial assets, the Company uses the debt and equity      securities impairment model.  The Company conducts periodic      reviews to evaluate each security to determine whether an      other-than-temporary impairment has occurred.  The Company does      not have any securities that have been classified as      other-than-temporarily-impaired at March 31,  2010. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | At      March 31, 2010, temporarily impaired securities and management’s      evaluation of those securities are asfollows: |
|--------|-----------------------------------------------------------------------------------------------------------------------------------|

|   | U. S. Government-sponsored      Enterprises:  At March 31, 2010, 5 investments in GSEs      securities had unrealized losses.  These securities have been in      an unrealized loss position less than twelve months.  The      Company believes the unrealized losses on those investments were caused by      the interest rate environment and does not relate to the underlying credit      quality of the issuers.  As a result the Company does not      consider those investments to be other-than-temporarily impaired at March      31, 2010. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Management      evaluated subsequent events through the date the financial statements were      issued.  Material events or transactions occurring after March      31, 2010, that provided additional evidence about conditions that existed      at March 31, 2010, have been recognized in the financial statements for      the period ended March 31, 2010.  Events or transactions that      provided evidence about conditions that did not exist at March 31, 2010,      have not been recognized in the financial statements for the period ended      March 31, 2010. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Accounting Standards Update No. 2010-06("ASU 2010-06"), Fair ValueMeasurements and Disclosures  (ASC Topic 820, MeasuringLiabilities at Fair Value).  ASU 2010-06 amendssubtopic 820-10, Fair ValueMeasurements and Disclosures - Overall.  ASU 2010-06 provides foradditional disclosures of transfers between assets and liabilities valued underLevel 1 and 2 inputs as well as additional disclosures regarding those assetsand liabilities valued under Level 3 inputs.  The new disclosures areeffective for interim and annual reporting periods beginning after December 15,2009 except for those provisions addressing Level 3 fair value measurementswhich provisions are effective for fiscal years, and periods therein, beginningafter December 15, 2010.  The adoption of this standard did not have amaterial impact on the Company's consolidated financialstatements.

----

----

----

----

----

|   | The      following is a summary of information pertaining to impaired      loans: |
|--------|-----------------------------------------------------------------------------------|

|                                                            |   | March      31, |      |   | December      31, |   |
|-----------------------------------------------------------------|--------|----------------|-----------|--------|-------------------|--------|
|                                                            |   | 2010           |      |   | 2009              |   |
| Impaired      loans without a specific valuation allowance |   | $              | 4,012,883 |   |              | $      | 5,324,899 |   |
| Impaired      loans with a specific                             |   |           |      |   |              |   |   |   |
| valuation      allowance                                        |   | $              | 5,396,484 |   |              | $      | 6,622,969 |   |
| Total      specifically evaluated                               |   |           |      |   |              |   |   |   |
| impaired      loans                                             |   | $              | 9,409,367 |   |              | $      | 11,947,868 |   |
| Specific      valuation allowance                               |   |           |      |   |              |   |   |   |
| related      to impaired loans                                  |   | $              | 944,519   |   |              | $      | 2,049,912 |   |

----

|                                              |   | AmortizedCost |      |   | GrossUnrealizedGains |   |   | GrossUnrealizedLosses |   |   | FairValue |   |
|---------------------------------------------------|--------|---------------|-----------|--------|----------------------|--------|--------|-----------------------|--------|--------|-----------|--------|
| Debt      securities available for sale:          |   |          |      |   |                 |   |   |                  |   |   |      |   |
| U.S.      Government-sponsored Enterprises (GSEs) |   | $             | 2,998,501 |   |                 | $      | 2,190  |                  |   | $      | (5,721    | )      |   | $ | 2,994,970 |   |

----

|                                 |   | RequiredMinimumRatio |   |   | To      beWellCapitalized |   |   | RequirementsUnder      theOrder |   |   |  Bank |   |
|--------------------------------------|--------|----------------------|--------|--------|---------------------------|--------|--------|---------------------------------|--------|--------|------------|--------|
| Tier      1 leverage ratio           |   |                 | 4.00   | %      |                      |   | 5.00   | %                               |   |   | 8.00       | %      |   |   | 3.53 | % |
| Tier      1 risk-based capital ratio |   |                 | 4.00   | %      |                      |   | 6.00   | %                               |   |   | 10.00      | %      |   |   | 4.45 | % |
| Total      risk-based capital ratio  |   |                 | 8.00   | %      |                      |   | 10.00  | %                               |   |   | 11.00      | %      |   |   | 5.67 | % |

----

----

Item4T.  Controls and Procedures

----

| (a)   | None.  |
|-----------------|--------|
|            |   |

| (b)   | Not      applicable. |
|-----------------|----------------------|
|            |                 |

| (c)   | No      repurchases of Company securities were made during the quarter ended March      31, 2010. |
|-----------------|---------------------------------------------------------------------------------------------------|

|        | (a)  | None.  |
|--------|-----------|--------|
|   |      |   |

|  | (b) | None. |
|--|-----|-------|

|        | (a)  | None.  |
|--------|-----------|--------|
|   |      |   |

|  | (b) | None. |
|--|-----|-------|

----

| Exhibit      No. |   | Description                                                                                                                           |
|------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------|
|   3.1* |   | Charter      of American Patriot Financial Group, Inc.                                                                                |
|             |   |                                                                                                                                  |
|   3.2* |   | Bylaws      of American Patriot Financial Group, Inc.                                                                                 |
|             |   |                                                                                                                                  |
| 31.1             |   | Certification      pursuant to Rule 13a-14a/15d-14(a)                                                                                 |
|             |   |                                                                                                                                  |
| 31.2             |   | Certification      pursuant to Rule 13a-14a/15d-14(a)                                                                                 |
|             |   |                                                                                                                                  |
| 32.1             |   | Certification      pursuant to Rule 18 U.S.C. Section 1350, as adopted pursuant to Section      906 of the Sarbanes-Oxley Act of 2002 |
|             |   |                                                                                                                                  |
| 32.2             |   | Certification      pursuant to Rule 18 U.S.C. Section 1350, as adopted pursuant to Section      906 of the Sarbanes-Oxley Act of2002  |

----

----

|                         | AMERICAN      PATRIOT FINANCIAL GROUP, INC. |   |
|------------------------------|---------------------------------------------|--------|
|                         | (Registrant)                                |   |
|                         |                                        |   |
| DATE: May      17, 2010 | /s/      John D. Belew                      |   |
|                         | John      D. Belew                          |   |
|                         | Chief      Executive Officer                |   |
|                         |                                        |   |
|                         |                                        |   |
| DATE: May 17,    2010   | /s/      T. Don Waddell                     |   |
|                         | T.      Don Waddell                         |   |
|                         | Chief      Financial Officer                |   |

----