| In      the Matter of:Bay      National BankLutherville,      MD | ))) |   |
|------------------------------------------------------------------|-----|--------|

----

|   | (b) | any      and all procedural rights available in connection with the issuance of the      Order;  |
|--------|-----|-------------------------------------------------------------------------------------------------------|

|   | (c) | all      rights to a hearing and a final agency decision pursuant to 12 U.S.C.      § 1818(i), 12 C.F.R. Part 19;  |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------|

|   | (d) | all      rights to seek any type of administrative or judicial review of the Order;      and  |
|--------|-----|----------------------------------------------------------------------------------------------------|

----

| MaryAnn      H. KennedyAssistant      Deputy ComptrollerWashington      DC Satellite Field Office |   | Date |
|---------------------------------------------------------------------------------------------------|--------|------|

|                         |   |   |
|------------------------------|--------|--------|
| Charles      E. Bounds  |   | Date   |
| Gary      T. Gill       |   | Date   |
| R.      Michael Gill    |   | Date   |

----

|                         |   |   |
|-----------------------------------|--------|--------|
| John      R. Lerch           |   | Date   |
| Donald      G. McClure, Jr.  |   | Date   |
| Hugh      Mohler             |   | Date   |
| Robert      L. Moore         |   | Date   |
| James      P. O’Conor  |   | Date   |
| H.      Victor Rieger, Jr.   |   | Date   |
| William      B. Rinnier      |   | Date   |
| Edwin      A. Rommell, III   |   | Date   |

----

|                         |   |   |
|-----------------------------------|--------|--------|
| Henry      H. Stansbury      |   | Date   |
| Kenneth      H. Trout        |   | Date   |
| Eugene      M. Waldron, Jr.  |   | Date   |
| Carl      A. J. Wright       |   | Date   |

----

| CRITICIZED      ASSET REPORT AS OF:                                                                                                                                                                                                                                                                                                           |      |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------|
|                                                                                                                                                                                                                                                                                                                                          |
| BORROWER(S):                                                                                                                                                                                                                                                                                                                        |
| ASSET      BALANCE(S) AND OCC RATING (SM, SUBSTANDARD, DOUBTFUL ORLOSS):                                                                                                                                                                                                                                                                 |
| $                                                                                                                                                                                                                                                                                                                                             | CRITICISM |   |
|  AMOUNT      CHARGED OFF TO DATE                                                                                                                                                                                                                                                                                                         |      |
|  FUTURE      POTENTIAL CHARGE-OFF                                                                                                                                                                                                                                                                                                        |      |
|                                                                                                                                                                                                                                                                                                                                          |      |
| PRESENT      STATUS (Fully explain any increase in outstanding balance; include past      due status, nonperforming, significant progress or deterioration,      etc.):                                                                                                                                                   |
| FINANCIAL      AND/OR COLLATERAL SUPPORT (include brief summary of most current financial      information, appraised value of collateral and/or estimated value and date      thereof, bank's lien position and amount of available equity, if any,      guarantor(s) info, etc.):                                       |
| PROPOSED      PLAN OF ACTION TO ELIMINATE ASSET CRITICISM(S) AND TIME FRAME FOR ITS      ACCOMPLISHMENT:                                                                                                                                                                                                                       |
| IDENTIFIED      SOURCE OF REPAYMENT AND DEFINED REPAYMENT PROGRAM (repayment program      should coincide with source of repayment):                                                                                                                                                                                           |
| Use      this form for reporting each criticized asset that exceeds one hundred and      fifty thousand dollars ($150,000) and retain the original in the credit      file for review by the examiners.  Submit your reports      monthly until      notified otherwise, in writing, by the Assistant Deputy      Comptroller. |

----