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|                                                                              |   | Three Months Ended |       |   | Six Months Ended |   |
|-----------------------------------------------------------------------------------|--------|--------------------|------------|--------|------------------|--------|
|                                                                              |   | June 30,           |       |   | June 30,         |   |
|                                                                              |   | 2009               |       |   | 2008             |   |   | 2009 |   |   | 2008 |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |
| Net income                                                                        |   | $                  | 775        |   |             | $      | 4,170 |   |   | $ | 4,387 |   |   | $ | 8,172 |   |
| Dividends on preferred shares and accretion                                       |   |               | 637        |   |             |   | - |   |   |   | 1,479 |   |   |   | - |   |
| Net income available for common shareholders and adjusted for diluted computation |   | $                  | 138        |   |             | $      | 4,170 |   |   | $ | 2,908 |   |   | $ | 8,172 |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average common shares outstanding                                        |   |               | 18,100,860 |   |             |   | 17,904,100 |   |   |   | 18,099,523 |   |   |   | 17,884,662 |   |
| Add dilutive effect of: Stock options                                             |   |               | 25,000     |   |             |   | 25,000 |   |   |   | 25,000 |   |   |   | 25,000 |   |
| Adjusted for assumed diluted computation                                          |   |               | 18,125,860 |   |             |   | 17,929,100 |   |   |   | 18,124,523 |   |   |   | 17,909,662 |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Net income, per average common share:                                             |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                             |   | $                  | 0.04       |   |             | $      | 0.23 |   |   | $ | 0.24 |   |   | $ | 0.46 |   |
| Diluted                                                                           |   | $                  | 0.04       |   |             | $      | 0.23 |   |   | $ | 0.24 |   |   | $ | 0.45 |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
|                                                                              |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Net income available to common shareholders, per average common share:            |   |               |       |   |             |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                                             |   | $                  | 0.01       |   |             | $      | 0.23 |   |   | $ | 0.16 |   |   | $ | 0.46 |   |
| Diluted                                                                           |   | $                  | 0.01       |   |             | $      | 0.23 |   |   | $ | 0.16 |   |   | $ | 0.45 |   |

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