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                                                                    EXHIBIT 10.6

STATE OF NORTH CAROLINA

COUNTY OF BUNCOMBE                                              LEASE AGREEMENT

         This LEASE AGREEMENT (the "Lease") is made and entered into in
duplicate originals as of this 16th day of September, 1997, by and between
Azalea Limited Partnership, Carl H. Ricker, Jr., general partner, a North
Carolina Limited Partnership (the "Landlord"), and High Street Banking Company,
a North Carolina Banking Corporation formed pursuant to the laws of the State of
North Carolina (the "Tenant");

                                   WITNESSETH:

         The Landlord, for and in consideration of the rents, covenants,
agreements and stipulations hereinafter mentioned, reserved and contained, to be
paid, kept and performed by the Tenant, has leased, let and demised, and by
these presents does lease, let, and demise unto the said Tenant, and the Tenant
hereby agrees to lease, let, and demise and take upon the terms and conditions
which hereinafter appear, the property located on U.S. Highway 25,
(Hendersonville Road) described on a site plan dated November 22,1996 entitled
"New Bank Office for: High Street Banking. Company (Proposed)", John S. Fisher,
AIA Architect, and described more particularly in Exhibit A attached hereto and
by reference thereto made a part hereof; together with the improvements,
equipment, fixtures, installations, and appurtenances to be placed, installed,
and constructed upon said property in accordance with the plans, drawings, and
specifications (hereinafter "Plans") attached hereto as Exhibit B and by
reference thereto made a part hereof; all of said real and personal property
being sometimes hereinafter referred to as the "Leased Premises" or the "Demised
Premises"; and

         The Tenant further agrees to lease, let and demise and take upon the
terms and conditions which hereafter appear the property including a building
and lot described more particularly on Exhibit X attached hereto and by
reference thereto made a part hereof, said building and lot being sometimes
hereafter referred to as the "Temporary Premises."

         TO HAVE AND TO HOLD all and singular the Demised Premises and Temporary
Premises unto the Tenant for the term hereinafter specified upon the conditions,
terms and covenants set forth in this Lease.

         This Lease is made subject to the following further conditions, terms,
covenants, and agreements which are mutually agreed upon by and between the
parties hereto, to wit:

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1. Conditions Precedent and Landlord's Representation.

         A. Condition Precedent.

                  (i) An environmental audit shall be made of the Premises and
         the Temporary Premises by Tenant at its own expense and the results of
         the audit must be satisfactory to Tenant's reasonable discretion.
         However, if the results of the environmental audit are not reasonably
         satisfactory to Tenant, then Tenant has the right to immediately
         terminate this Lease, in which event it shall be void, or accept the
         Premises and Temporary Premises "as is". Tenant acknowledges that the
         Premises or Temporary Premises is primarily vacant land. Tenant agrees
         that where practicable, prior to making each and every entry upon the
         Premises or Temporary Premises for the purposes of inspection, testing,
         or evaluation pursuant to this Lease, Tenant shall give Landlord at
         least 24 hours notice of the proposed entry and will coordinate the
         timing of the entry with Landlord. Landlord acknowledges that
         scheduling of such entry or entries may depend upon the availability of
         the selected testing service and Landlord shall be fully cooperative
         and reasonable in acknowledging such notice. Mere failure by Tenant to
         give 24 hours notice shall not give Landlord reason to terminate this
         Lease. Furthermore, Tenant shall promptly and completely restore the
         Premises or Temporary Premises if disturbed in any manner as the result
         of the Tenant's investigations, examinations and inspections with such
         restoration including, but not limited to, the filling of any and all
         holes drilled to test soil conditions or in connection with any
         environmental assessment. Tenant warrants that the selected testing
         service is insured with a minimum liability policy of $1,000,000.00 for
         any damage or harm to the Premises or Temporary Premises, or any injury
         to person due to the acts or omissions of the selected testing service.

                  (ii) Lessee, prior to beginning any construction hereunder,
         shall have the right to inspect, bore, test, analyze and investigate
         the soil, fill, compaction, and sub-surface conditions of the real
         property to be leased to determine if said property can be used without
         substantial additional site preparation costs for the purposes
         described. In the event Lessee's inspection, etc., determines that
         there exists on or beneath or within said property conditions which
         require extraordinary additional site preparation, the Lessee has a
         right to immediately terminate this Lease in which event it shall be
         void, or accept the Premises and Temporary Premises "as is".

         B. Landlord's Representation. Landlord acknowledges to the best of its
knowledge:

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                  (i) The Leased Premises to the best of Landlord's knowledge is
         now free from contamination by Hazardous Materials, and said premises
         and the activities conducted thereon to the best of Landlord's
         knowledge do not pose any significant hazard to human health or the
         environment or violate any Environmental Laws. There is no evidence of
         any existing release of Hazardous Materials at said premises.

                  (ii) There has been no generation, treatment or storage of any
         Hazardous Materials at the Leased Premises, nor any activity at said
         premises which could have produced Hazardous Materials.

                  (iii) There are no surface impoundments, lagoons, waste piles,
         landfills, injection wells, underground storage areas, tanks, storage
         vessels, drums, containers or other man-made facilities which may have
         accommodated Hazardous Materials at the Leased Premises. Neither
         Landlord not to Landlord's knowledge any third person, has stored,
         placed, buried or released Hazardous Materials at the said premises
         including the soil, surface water and ground water.

                  (iv) There has been no treatment, storage or release of any
         Hazardous Materials on land adjacent or near to the Leased Premises
         which may constitute a risk of contamination of said premises or
         surface water, or ground water flowing to said premises.

                  (v) No inspection, audit, inquiry or other investigation has
         been or is being conducted by any Governmental Authority or other third
         person with respect to the presence or discharge of Hazardous Materials
         at the Leased Premises or the quality of the air, or surface or
         subsurface conditions at the said premises except for the environmental
         audits, if any, performed on behalf of Tenant or a lender, copies of
         which will be delivered to Tenant pursuant to this Agreement. Landlord
         has not received any other notice that any such inspection, audit,
         inquiry or investigation is pending or proposed. Neither Landlord nor
         to Landlord's knowledge, any previous owner of the said premises has
         received any warning, notice, notice of violation, administrative
         complaint, judicial complaint or other formal or informal notice or
         request for information alleging that Hazardous Materials have been
         stored or released at said premises or that conditions at the said
         premises arc in violation of any Environmental Laws or requesting
         information regarding the use, storage, release or potential Release of
         Hazardous Materials at the Property.

                  (vi) For purposes herein, "Environmental Laws" shall mean any
         federal, state or local statute, regulation or ordinance or any
         judicial or administrative decree or decision, whether now existing or
         hereinafter enacted, promulgated or issued, with respect to any

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         Hazardous Materials as defined in the Comprehensive Environmental
         Response and Liability Act. "Hazardous Materials" shall mean each and
         every element, compound, pollutant, chemical mixture, contaminant,
         mixture, waste or other substance which is defined, determine or
         identified as hazardous or toxic under any Environmental Law.

2. Commencement and Term. Landlord and Tenant acknowledge that this Lease for
the Leased Premises described in Exhibit A shall have two commencement and term
components. The first such term, herein referred to as "Land Only Term" shall
begin on July 1, 1997 (the "Land Only Commencement Date"). The second
commencement and term component, herein referred to as the "Initial Lease Term,"
shall begin on the first day of the calendar mouth after notice to Landlord by
Tenant's Architect and Tenant of substantial completion of the building and site
improvements pursuant to the Plans (the "Commencement Date"). Provided, however,
pursuant to mutual agreement of the Parties, Tenant may occupy the Leased
Premises (building and site) prior to or after substantial completion, if said
occupancy is otherwise allowed by law and said date of occupancy shall become
the Commencement Date.

         The Land Only Term shall begin with the Land Only Commencement Date and
end at 11:59 p.m. of the day immediately prior to the Commencement Date. The
term of this lease beginning with the commencement date shall consist of an
initial lease term of thirty years. Following this initial term, and provided
Tenant is not then in default, Tenant, at its option, may renew and extend the
Lease for four (4) additional terms of five (5) years each, (the "Extended Term
or Terms") provided, further however, written notice of such renewal and
extension shall be given Landlord no less than six months before the end of the
initial and each extended term.

3 Rental.

         A. Land Only Term. Rental for the Land Only Term shall be annual rent
in the amount of Forty Five Thousand and 00/100 Dollars ($45,000.00), payable in
equal monthly installments of Three Thousand Seven Hundred Fifty and 00/100
Dollars ($3,750.00), payable in advance on the first day of each month during
the Land Only Term.

         B. Initial Lease Term. Rental for the Initial Lease Term shall consist
of rental for land plus separate rental for the building and site improvements
and shall be as follows:

                  (i) Land. For the fast two years of the Initial Lease Term,
         land rental shall be Forty Five Thousand and 00/100 Dollars
         ($45,000.00) annually payable in equal monthly installments of Three
         Thousand Seven Hundred Fifty and 00/100 Dollars ($3,750.00) dollars in

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         advance on the first day of each month; for the third and fourth years
         of the Initial Lease Term, land rental shall be Fifty Two Thousand Five
         Hundred and 00/100 Dollars ($52,500.00) annually, payable in equal
         monthly installments of Four Thousand and Three Hundred Seventy Five
         and 00/100 Dollars ($4,375.00) dollars in advance on the fast day of
         each month; and for the fifth year of the Initial Lease Term, land
         rental shall be Sixty Thousand and 00/100 Dollars ($60,000.00), payable
         in equal monthly installments of Five Thousand and 00/100 Dollars
         ($5,000.00) dollars in advance on the first day of each month.

                  (ii) Building and Site Improvements. For each year of the
         Initial Lease Term building and site improvements annual rental shall
         be 10% of the total building and site costs (herein "Total Costs")
         incurred by Landlord in construction of the building and site
         improvements. Such rental shall be payable in equal monthly
         installments of 1/120th total costs. "Total Costs" shall include the
         actual costs of the building and site improvements paid by Landlord.

                  (iii) For each year of the Initial Lease Term, "Total Annual
         Rental" shall be the sum of the land and building and site improvement
         monthly rentals determined above, payable in advance on the first day
         of each month during the initial tern. (By way of example, if total
         costs are $783,700.00, monthly rental for the first two years of the
         Initial Lease Term shall be $3,750.00 (land rental) plus .10
         (783,700.00) / 12; or 3,750 plus 6,531.00 = $10,281.00 per month.)

                  (iv) Beginning with the sixth year of the Initial Lease Term
         and each year thereafter, Total Annual Rental shall increase by 2% of
         the prior year's Total Annual Rental.

         C. Tenant covenants and agrees to pay to the Landlord, its successors
and assigns, the rental aforesaid in monthly installments payable in advance,
the initial installment of the Land Only Term and Initial Lease Term being due
on or before the Land Only Commencement Date and Commencement Date respectively,
and subsequent installments on the first day of each and every month during said
terms of this lease aforesaid. Such rental shall be prorated on a daily basis
for any partial rental month of the Land Only Term and Initial Lease Term.

         D. In the event total costs for the building and site improvements are
not finally determined by Landlord and Tenant on the Commencement Date, then the
actual costs incurred by Landlord as of the Commencement Date shall be the basis
for calculation of the building and site improvement rental. Thereafter upon
additional costs and total costs being incurred and determined monthly rental
shall be adjusted accordingly.

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         E. As provided herein, Tenant agrees to reimburse Landlord dollar for
dollar for all monies expended by Landlord in Tenant's behalf in the payment of
fees, commissions and soft costs associated with the construction and leasing of
the building and site improvements. Before incurring any such expenditures in
excess of $1,000 Landlord shall notify Tenant of such in writing including the
amount and purpose of the same, and upon Tenant's approval, which shall not be
unreasonably withheld, Landlord shall be entitled to reimbursement. Tenant
recognizes and acknowledges its additional reimbursement obligation for real
estate brokerage services set out in paragraph 30 below.

         F. Extended Term: Rental for each Extended Term shall be renegotiated
by the parties. If by the date 30 days immediately before each Extended Term
begins, Landlord and Tenant have not agreed to a fair market rental for the
Extended Term, then each shall select a qualified real estate appraiser with
expertise in commercial rents in Buncombe County. These two qualified experts
shall select a third qualified real estate appraiser with expertise in
commercial rents in Buncombe County. Thereafter each expert shall determine fair
market rent for the extended term by determining fair market rental for the
first year of such term and a uniform adjustment for annual rental for each
subsequent year of such term. The mean of the three fair market rental and
adjustment determinations shall be the rental for the extended term. The cost of
each expert shall be paid by the respective party selecting such expert and the
cost of the third expert shall be divided equally between the parties.

         4. Construction of Facility,

         A. Promptly after the execution and delivery of this Lease, Tenant
shall take all steps necessary to obtain the permits required for construction
of a facility upon the Premises in accordance with the Plans, said structure
being herein referred to as "the Facility." Landlord agrees to cooperate with
Tenant in obtaining such permits and to take such reasonably necessary actions
requested by Tenant to obtain such permits from the issuing authorities.

         B. Promptly after obtaining the necessary permits, Tenant's architect
and contractors shall commence, and diligently proceed with, the construction of
the facility and installation of such other items as may be required in the
Plans, sad complete the same in accordance with the Plans. Tenant shall give
Landlord at least thirty (30) days prior written notice of the anticipated date
of Substantial Completion of the work in accordance with the Plans. "Substantial
Completion" shall have the meaning set forth in AIA Document A201, General
Conditions of the Contract for Construction, current as of the date of the
signing of this Lease, the architect for such purpose to be the architect
responsible for preparation of the Plans.

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Landlord and his representative may inspect the work at reasonable times during
the construction period.

         Within ten (10) business days after Landlord is notified of Substantial
Completion, a representative of both parties together with Tenant's Architect
and Contractor shall survey the Leased Premises for the purpose of determining
which items of work in accord with the Plans remain to be completed, which they
shall reduce to an itemized agreed "punch list." Tenant shall cause its.
Contractor to complete these items within a reasonable time thereafter.

         C. During construction, Landlord and Tenant shall each give full
cooperation to complete a quality project. Landlord or its representative shall
be available upon reasonable notice from Tenant to consult, as necessary, if
problems arise during construction.

         D. No change in the Plans shall be permitted, except with the agreement
of Landlord and Tenant, which neither shall unreasonably withhold. Any request
for change shall be in writing, approved by the architect, signed by Tenant or
its representative and must be agreed to (in writing) by Landlord before being
implemented.

         E. The parties agree that for purposes of the Agreement between owner
and architect and other contractual documents (construction agreement(s)) which
are part of the Plans, both Tenant and Landlord may be included as "Owner",
therein, however, Tenant shall have the exclusive duty and responsibility
between the parties to carry out the activities of owner under said contractual
document and Plans with the exception of actually paying for construction of the
building and site improvements which shall be the sole responsibility of
Landlord, Notwithstanding the foregoing, Tenant shall be exclusively responsible
for paying Architect's fees pursuant to the agreement between Owner and
Architect. For purposes of payment to contractors and subcontractors, and for
payment to suppliers for materials, etc., under the construction agreements,
payment shall be timely made by landlord after submission of the appropriate AlA
form which has been signed by Architect, Tenant and Landlord. Upon payment
Landlord shall immediately notify Tenant with a copy of the payment voucher or
check. Upon the building and site improvements being completed, Tenant shall
have the right to inspect, audit or otherwise verify Total Costs incurred by
Landlord.

5. Net Rental Provisions - Taxes Insurance, Benefits and Maintenance.

         A. It is the intention of the Landlord and the Tenant that the annual
rental hereinabove specified shall be net to the Landlord in each year during
the initial term and

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extended terms, if any, of this Lease and that, except as otherwise provided in
this Lease, all costs, expenses, and obligations of every kind relating to the
Leased Premises (including specifically real estate taxes and insurance
premiums) which may arise or become due during the initial term and extended
terms of this Lease shall be paid by the Tenant. Tenant shall furnish Landlord
with satisfactory proof of payment of any of such items within a reasonable time
after Landlord's demand.

         H. The Tenant shall pay all taxes and assessments upon the Demised
Premises, and upon the buildings and improvements thereon, which are assessed
during the Initial Lease Term and all renewal terms. All taxes assessed prior to
the Commencement Date of the Initial Lease Term, payable after the date of this
Lease Agreement, and all taxes assessed during the Initial Lease Term and any
extended term but payable after the expiration of the Lease, or any extension
thereof, shall be adjusted and prorated, so that the Landlord shall pay its
prorated share for the period prior to the Commencement Date of the Initial
Lease Term and for the period subsequent to the expiration of the Lease and the
Tenant shall pay its prorated share in accordance with the terms of this Lease.

         C. The Tenant, during the initial term and all extended terms of this
Lease, shall pay all premiums for fire and extended coverage insurance on the
Demised Premises, and vandalism and malicious destruction insurance, which
Tenant shall secure for the benefit of Landlord and Tenant as named insureds as
their interests appear (or if the Leased Premises is subject to a mortgage or
deed of trust, including customary mortgagee clauses in favor of mortgagee or
trustee).

         The amount of such insurance to be paid for by Tenant shall not be less
than one hundred percent (100%) of the full insurable value of the Demised
Premises and such insurance to be with companies acceptable to Landlord. The
Tenant shall provide contents casualty insurance for its said premises located
at the Demised Premises, as Tenant deems appropriate. Certificates of insurance
shall be made available to Landlord upon request.

         D. The Tenant agrees to keep in force liability insurance policies
covering public liability, claims for personal and bodily injury, including
death, and property damage, under a policy of general public liability insurance
policy with limits of not less than 53,000,000.00 single limit coverage naming
the Landlord as an additional insured party.

         E. The Tenant shall, as of the Commencement Date and throughout the
Initial Lease Term and any extended term(s), at its sole expense, keep and
maintain the Demised Premises

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(including the structural portions) in good order and repair. The Tenant shall
deliver up the said Demised Premises to the Landlord at the end of the term
(including the initial term and all extensions) of this Lease, or upon sooner
termination, in as good order and repair as the same is at the time of the
commencement of the Tenant's occupancy (the Commencement Date of the Initial
Lease Term), ordinary wear and tear expected.

         F. Notwithstanding anything to the contrary in any other provisions of
this Lease, the Landlord and the Tenant covenant and agree that: (i) Each is
hereby released from liability to the other on account of any loss or damage
occurring during any term of this Lease to the extent that such loss. or damage
is coverable by insurance whether or not the same is caused in whole or in part
by the Landlord or the Tenant and whether or not attributable to the negligence
of the Landlord or the Tenant; and (ii) there shall be no subrogation of any
insurer; provided, however, that the mutual release of liability and provision
for no subrogation shall not be operative in any case where the effect thereof
is to invalidate any insurance coverage or increase the cost thereof.

6. Fire or Other Casualty Losses - Restoration of Demised Premises. In case of
damage to or destruction of the Demised Premises by fire, windstorm, or other
casualty to such an extent as to render them untenantable, the Tenant may, by
written notice to the Landlord given within sixty (60) days after such damage or
destruction, (i) elect to terminate the Lease, or (ii) elect to have Landlord
repair or rebuild the improvements subject to receipt of insurance proceeds
necessary for such construction. If the damage is not such as to render the
Demised Premises untenantable or if the Landlord elects to rebuild, the Landlord
at its expense shall repair the damage with reasonable dispatch; and if the
damage has rendered the Demised Premises untenantable, in whole or in part,
there shall be an abatement and apportionment of the annual rental (until the
damage has been repaired) to the extend that the Tenant's activities are
curtailed in the damaged portion of the building upon the Demised Premises. In
determining what constitutes reasonable dispatch, consideration shall be given
to delays caused by strikes, adjustments of insurance, and other causes beyond
the Landlord's control.

7. Eminent Domain. If the Demised Premises, or any part thereof, shall be taken
in any proceeding by the public authorities by condemnation, threat of
condemnation or otherwise, for any public or quasi-public use, the Tenant shall
be entitled to an abatement of rent hereinabove reserved to the landlord based
upon the extent to which such taking causes curtailment of the Tenant's business
and activities upon the Demised Premises. If such taking shall render the
Demised Premises wholly unusable by Tenant for the purposes of its business
then, and in that event, the Tenant may at its option forthwith cancel this
Lease as of the date upon which it was required to cease business upon the
Demised Premises. All compensation and damages for the

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taking of the any portion of the Demised Premises shall belong to the Landlord,
without prejudice, however, to such rights, if any, as the Tenant may have to
claim from the condemning authority any damage suffered by it to its leasehold
interest or leasehold improvements as the result of such taking.

8. Assignment or Subletting. The Tenant may sublet the Demised Premises or any
portion thereof or assign this Lease for the whole or any part of any term
hereof with the reasonable consent in writing of the Landlord. In the event of
any such subletting or assignment, the Tenant shall, nevertheless, be and remain
bound for the payment of all rentals as and when each shall become due and
payable hereunder and of the carrying out and performing of all of the covenants
and agreements on the part of the Tenant to be done and performed hereunder,
unless the Landlord shall specifically agree to the contrary.

9. Use of Premises; Compliance With Regulations. Ordinances. Etc. The Tenant
shall, throughout the term of this Lease and any extended term(s) promptly
comply, or cause compliance, with all laws and ordinances and the orders, rules,
regulations and requirements of federal, state, county, and municipal
governments and appropriate departments, commissions, boards, and officers
thereof, necessitated by the Tenant's occupancy and use of the Demised Premises.

10. Utilities Char and Permits. The Tenant agrees to pay or cause to be paid all
charges for gas, water, sewer, electricity, light, heat, power, telephone, or
other communication service or other utility or service used, rendered, or
supplied to, upon or in connection with the Demised Premises during the Initial
Lease Term, any extensions or renewals thereof, and for such utilities at the
Temporary Premises during the Land Only Term.

11. Alterations. The Landlord agrees that Tenant may, at its own cost, make
alterations and expansions of improvements (building and site-improvements) on
the premises.

12. Security Interest and Lien on Tenant's improvements. Landlord or its
assignee shall have a first lien paramount to all others on every right and
interest of Tenant in and to the Leased Premises under this Lease, or any
building or improvement thereon and which hereafter may be placed on the Leased
Premises. The lien is granted of the purposes of securing payment of all sums
due under this Lease and of securing performance of all of Tenant's obligations
under this lease. The lien shall be in addition to all of the rights granted to
Landlord under present or future laws of North Carolina.

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13. Subordination of Existing Mortgages or Deeds of Trust. This Lease is subject
to and subordinate at all times to any lien of existing and future mortgages or
deeds of trust on the Leased Premises, provided that Landlord shall deliver to
Tenant a recordable subordination, nondisturbance and attornment agreement
signed by the mortgagee providing in substance that as long as Tenant shall
discharge its obligations under this Lease, the tenancy shall not be disturbed
and shall not be affected by any default under the mortgage or deed of trust,
and in the event of foreclosure, the rights of Tenant shall survive and the
Lease shall continue in full force and effect, including any renewal term(s)
contained herein. Subject to the foregoing, Tenant shall execute any instrument
which may be required to effectuate such subordination.

14. Warranty of Title and Quiet Employment. The Landlord covenants and warrants
that it is lawfully seized of the Demised Premises and has lawful authority to
enter into this Lease for its full term; that Tenant may have possession of a
portion of the premises described on Exhibit A during the Land Only Term; and
that the Landlord will put the Tenant in actual possession of the Demised
Premises on the Commencement Date of the Initial Lease Term. The Landlord
further covenants and agrees that the Tenant, on paying the monthly rental and
observing and keeping the covenants, agreements, and stipulations of this Lease
on its part to be kept, shall lawfully, peaceably, and quietly hold, occupy, and
enjoy the Demised Premises during the Lease term or any extension thereof
without hindrance, ejection, or molestation. Landlord agrees to provide Tenant
with a copy of its title insurance policy for the Demised Premises to allow
Tenant, at its cost, to obtain title insurance coverage for its Leasehold
interest.

15. Tenant's Fixtures and Equipment. Tenant may install such fixtures and
equipment in the building or grounds upon the Demised Premises as it desires, so
long as such do not affect the structural integrity of the buildings, and are
done in a workmanlike manner in keeping with the original construction, and are
in compliance with all laws, rules, regulations, and requirements of all
authorities having jurisdiction thereof. Any such fixtures and equipment shall
remain the exclusive property of the Tenant, and the Tenant shall have the right
at any time, provided it is not in default under this lease, to remove any
and/or all of such fixtures and equipment; provided, however, that the Tenant
shall repair any damage to the Demised Premises occasioned by the removal of its
fixtures and equipment and shall restore the Demised Premises to substantially
the same condition in which it was at the time Tenant took possession, normal
wear and tear expected. Tenant shall keep the premisis free and clear of any
liens on account of repairs, alterations, or improvements to the premises.

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16. Inspection of Premises. The Landlord and its representatives shall be
permitted to enter the Demised Premises after notice to Tenant and at reasonable
times for purposes of inspecting the Demised Premises, making any necessary
repairs to the Demised Premises, performing any work therein that may be
necessary under the terms of the Plans and this Lease, or exhibiting the Demised
Premises for sale, lease, or mortgage financing.

17. Parties. All covenants, conditions, agreements and undertakings contained in
this Lease shall inure to, and be binding upon, the Landlord and the Tenant, and
their respective successors, heirs, and assigns.

18. Remedies, of Landlord. In the event that during the initial term of this
Lease or renewal periods hereof, (regardless of the pendency of any bankruptcy,
reorganization, receivership, insolvency or other proceedings, in law, in
equity, or before any administrative tribunal, which has prevented or might
prevent compliance by Tenant with the terms of this Lease), any of the following
Events of Default shall occur:

         A. Tenant shall fail to pay any installment of rent by the fifth (5th)
day of the month in which payment is due, no notice being required, and any
other sum herein specified to be paid by Tenant by the fifth (5th) day after
notice from Landlord;

         B. Tenant shall fail to observe any of Tenant's covenants, agreements,
or obligations hereunder, other than rental, and such failure is not cured
within thirty days after Landlord shall have given to Tenant written notice
specifying such failure or failures, or if such failure is not susceptible of
cure within such 30 day period, Tenant fails to diligently pursue such cure; or

         C. Tenant is adjudicated a bankrupt or insolvent, or

         D. A receiver is appointed for all or substantially all of Tenant's
business or assets on the ground of Tenant's insolvency; or

         E. A Trustee is appointed for Tenant after a petition has been filed
for tenant's reorganization under the Bankruptcy Act of the United States, or
any future law of the United States having the same general purpose; or

         F. Tenant shall make an assignment for the benefit of its creditors;

then, subject to paragraph 22 below, Landlord shall have the right, at its
election, at any time

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thereafter, while any such Event of Default continues, to reenter and take
complete and peaceable possession of the Leased Premises and any and all
improvements then forming part of the Leased Premises, and to declare the term
of this Lease ended, whereupon this Lease and all the right, title and interest
of Tenant hereunder shall terminate and be of no further force or effect. In the
event of such declaration, Landlord shall have the right to sue for and recover
all rents and other sums accrued up to the time of such termination, as well as
all other damages allowed by law on account of any breach on the part of the
Tenant. Landlord shall also have the right, without reentering the Leased
Premises, of terminating this Lease, to sue for and recover all rents and other
sums, including damages, at any time and from time to time accruing hereunder.
Notwithstanding the foregoing, Landlord hereby waives the right to any lien on
Tenant's personal property and trade fixtures located at the Leased Premises in
case of an Event of Default by Tenant.

19. Remedies of Tenant. If Landlord defaults in observing or performing any of
Landlord's obligations under this Lease, Tenant may remedy the default after
giving thirty (30) days notice to Landlord, and in connection therewith may pay
expenses and employ counsel, except that Tenant may remedy Tenant's default
without notice in case of emergency. Landlord shall reimburse Tenant on demand
for all sums expended or obligations incurred by Tenant to remedy such default.
If Landlord fails to provide such reimbursement, Tenant, in addition to any
other rights and remedies, may deduct such amount from rental thereafter
becoming due to Landlord.

20. Cumulative Rights. No right or remedy herein conferred upon or reserved to
Landlord or Tenant is intended to be exclusive of any other right or remedy
herein or by law provided, but each shall be cumulative and in addition to every
other right or remedy given herein or now or hereafter existing at law or in
equity, or by statute.

21. Notices. Whenever under this Lease a provision requires notice of any kind,
it shall be deemed sufficient notice and service thereof if such notice is in
writing, sent by registered or certified mail, return receipt requested and
addressed; if to Tenant, at its offices at the premises leased herein or any
address which Tenant may designate for such purpose, and if to Landlord, at the
last address where rent was paid hereunder, or in the event of assignment of
this Lease by the Landlord, to the latest known address of the assignee as well
as the Landlord.

22. F.D.I.C. Requirement. Notwithstanding any other provisions contained in this
lease, in the event (a) Tenant or its successors or assignees shall become
insolvent or bankrupt, or if it or their interests under this Lease shall be
levied upon or sold under execution or other legal processes, or (b) the
depository institution then operating on the Leased Premises is closed, or is

                                       13
<PAGE>

taken over by any depository institution supervisory authority (Authority),
Landlord may, in either such event, terminate this Lease only with the
concurrence of any Receiver or Liquidator appointed by such Authority; provided
that in the event this Lease is terminated by the Receiver or Liquidator the
maximum claim of Landlord for rent, damages, or indemnify for injury resulting
from the termination, rejection or abandonment of the unexpired Lease shall by
law in no event be greater than in an amount equal to all accrued and unpaid
rent to the date of termination.

23. Terms and Provisions of Lease for the Temporary Premises:

         Notwithstanding anything herein to the contrary, paragraphs 2, 3 and 4
above shall not apply to the lease herein for the Temporary Premises and the
following tens, provisions and covenants shall apply.

         A. The term of lease for the Temporary Premises shall begin July 1,1997
(herein, the "Beginning Date") and end at 11:59 p.m. of the day immediately
prior to the Commencement Date.

         B. The rental for the Temporary Premises shall be one dollar ($1.00)
per month and is due and payable with any rental due during the Land Only Term
or Initial Lease Term for the term of this lease for Temporary Lease Premises.

         C. Tenant shall, at its own expense, paint and otherwise modify the
Temporary Premises to conduct its business therein.

D. The provisions of paragraph 5A, C, D and F, paragraphs 6, 7, 8, 9, 10, 11,
12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 24 and 25 of this Lease shall also
apply to this lease for the Temporary Premises.

         E. The Tenant shall return the Temporary Premises to Landlord at the
Commencement Date in a good order and repair as the same is at the time of the
beginning date, ordinary wear and tear expected.

         24. Signage. Subject to the ordinances and requirements of the City of
Asheville, Tenant shall have the right to erect free standing signage on the
Demised Premises for the exclusive use of Tenant. Landlord agrees to cooperate
with all governing authorities to assist Tenant in obtaining all necessary
approvals, if any, for such exclusive signage.

                                       14

<PAGE>

25. Easement. In addition to the Leased Premises described herein, and as part
of this lease, Landlord gives, grants, bargains and conveys with the Demised
Premises, a non-exclusive right of egress, ingress and regress from U.S. Highway
25 (Hendersonville Road) across the lands of Landlord to the Demised Premises,
said easement in accord with Exhibit Y attached hereto and to which reference is
made as if fully set out herein. Landlord agrees that Tenant may, at its risk,
construct site improvements, including landscaping, curbing, guttering, etc.,
upon a portion of said casement identified on Exhibit Y and that Landlord shall
use reasonable effort, acting in good faith, to obtain the release of such
portion of the easement upon which site improvements are or may be constructed
from pledge as security for a loan to Landlord from Branch Banking and Trust
Company (herein BB&T), its successors and assigns. If said portion of the
easement is released from the lien to BB&T, such portion shall be added to the
Demised Premises. If BB&T refuses to release said portion of the easement,
Landlord shall in good faith using reasonable effort attempt to obtain an
alternate deed of trust to take out the BB&T deed of trust on said portion of
the easement from the development lender for the Demised Premises.

26. Proportional Maintenance and Ad Valorem Taxes on Easement. Landlord and
Tenant agree that Landlord shall maintain the easement (common) area referred to
on Exhibit Y. Such maintenance shall include repair and replacement, as needed,
paving, guttering, curbing, painting, etc., and snow removal. Tenant agrees to
pay Landlord's cost of such maintenance proportionally with all other Landlord's
tenants at the site (described as that 2.76 acres plus a "portion of DB 1457
Page 671" described on a survey by Ledford Engineering, Inc., dated April 4,
1997 being DWG File S-9704-034, herein "SITE") according to the formula as
follows: Lot area of Tenant's Demised Premises divided by total of all
Landlord's leased area at the SITE times total cost of maintenance for the
easement.

         Tenant also agrees to pay a proportionate amount of ad valorem taxes
for the easement (common) area based upon the formula as follows: Lot area of
Tenant's Demised Premises divided by total area at the SITE times ad valorem tax
due on the easement area.

27. Screening. Landlord agrees to require architectually compatible screening of
any outside animal runs located or to be located upon that portion of Landlord's
remaining property on Hendersonville Road let to a veterinarian group, described
as adjacent to and north of the Demised Premises, and being part of that .31
acres (by coordinate method) described on a survey by Ledford Engineering, Inc.,
dated April 4, 1997 entitled "Survey of a Portion of deed Book 1457, Page 671
for Carl H. Ricker, Jr. "DWG file S-9704-037.

                                       15
<PAGE>

28. Governing Law. This Lease shall be governed by the Law of the state of North
Carolina.

29. Entire Agreement. This Lease contains the entire agreement of the parties
relating to the subject matter and supersedes any previous understandings or
agreements, write or oral, between or among the parties. It may be modified only
by an agreement in writing, signed by both parties, expressly purporting to
modify this Lease.

30. Right of Refusal. The parties agree that in the event Landlord, during the
initial term and all extended terms(s) of this lease and while Tenant is in
possession of the Leased Premises, either (i) receives a bona fide offer (from a
third party, which offer Landlord is willing to accept) to purchase the premises
described on Exhibit A, or (ii) intends to sell the premises described on
Exhibit A at the fair market value thereof without having received a bona fide
offer to purchase, then Landlord shall immediately notify Tenant in writing of
its intent to accept the third party offer or to sell at the fair market value
and Tenant shall then have the right for a period of 90 days immediately
following receipt of Landlord's notice, to purchase the described premises on
Exhibit A at the bona fide offer price or at a fair market value price which
shall be verified by two or more qualified appraisers to the satisfaction of the
parties and appropriate regulatory authority. The parties hereto acknowledge the
period of duration of this right to purchase is reasonable and shall expire,
notwithstanding anything herein to the contrary, within the applicable statutory
rule against perpetuities under N.C.G.S. ss.41-15.

31. Broker. The parties acknowledge that Winston W. Pulliam (herein "Pulliam")
has acted as agent and broker for Tenant in this transaction and has provided
valuable real estate brokerage services to Tenant. Tenant shall be solely
responsible for any commission, fee or other payment for brokerage services
arising out of this transaction and Lease, due Pulliam.

32. Notwithstanding any other provision, term or condition herein contained, it
is specifically understood and agreed that there shall be no personal liability
of Landlord (nor Landlord's managing agent, if any) in respect to any of the
covenants, conditions or provisions of this Lease. In the event of a breach or
default by Landlord of any of its obligations under this Lease, Tenant shall
look solely to the equity of the Landlord in the Premises or the Temporary
Premises for the satisfaction of Tenant's remedies, which may include the
specific performance of Landlord's obligations.

                                       16

<PAGE>

         IN WITNESS WHEREOF, the Landlord and the Tenant heave caused this Lease
to be duly executed by the property persons, under seal as is their intention,
all as of the day and year first above written.

                                      Azalea Limited Partnership
                                      By: General Partner

                                      /s/             (SEAL)
                                      LANDLORD

                                      High Street Banking Company

                                      By:

                                      /s/             (SEAL)
                                      TENANT

Attest:   /s/ Anne D. Martin
          Secretary

                                       17
<PAGE>

STATE OF NORTH CAROLINA
COUNTY OF HENDERSON

         The undersigned, a Notary Public for said County and State, does hereby
certify that Carl H. Ricker, Jr., personally appeared before me this day and
acknowledged, that he is a General Partner of Azalea Limited Partnership, a
North Carolina General Partnership, and that by authority duly given and as the
act of the partnership, the foregoing instrument was signed by him as General
Partner.

         Witness my hand and official seal, this the l6th day of September,
1997.

                                         /s/          (SEAL)

 My Commission Expires: February 19, 2002

STATE OF NORTH CAROLINA

COUNTY OF CATAWHA

         The undersigned, a Notary Public, do hereby certify that Anne Martin
personally appeared before me this day and acknowledged that she is Secretary of
High Street Banking Company, a corporation, and that by authority duly given and
as the act of the corporation, the foregoing instrument was signed in its name
by its President, sealed with its corporate seal and attested by herself as
Secretary.

WITNESS my hand and Notarial Seal, this 16th day of September, 1997.

                                        /s/ Stephanie L. Cox   (SEAL)

My Commission Expires: 1-18-2000

<PAGE>

                                    EXHIBIT A
                            (High Street Bank Lease)

The real property located in Asheville Township, Buncombe County, North Carolina
containing 1.98 acres, more or less, and being a portion of land conveyed to
Carl H. Ricker Jr. as described in the Deed recorded in Deed Book 1457, Page
671, of the Buncombe County Registry, being more particularly described as:

BEGINNING at a point in the eastern margin of U.S. Highway 25 (known also as
Hendersonville Road), said point being South 00(degree) 06' 04" West 857.69 feet
from North Carolina Grid System monument "Buena Vista", said monument having
grid coordinates of North 665399.148 feet, East 950083.329 feet; thence from
said Point of Beginning running South 89(degree) 03' 32" East 120.56 feet to a
point; thence North 06(degree) 34' 48" East 12.99 feet to an Iron Pin Found;
thence South 85(degree) 55' 15" East 78.32 fret to an Iron Pin Set; thereon
North 06' 34' 38" East 19.24 feet to an Iron Pin Set; thence crossing the
western margin of the right of way of the 200 foot wide Railway Right of Way of
Norfolk & Southern Railroad South 86(degree) 29' 01" East 166.44 feet to an Iron
Pin Set; thence the following three calls within said railway right of way and
running along the Western property line of the James & Anne Stafford property as
described in a Deed recorded in Deed Book 1068, Page 161, also shown in Plat
Book 20, Page 99, of the Registry, South 11(degree) 48' 58" West 77.33 fat to an
Iron Pin Found near the western margin of said railway right of way, South
10(degree) 56' 50" East 150.11 feet to an Iron Pin Found near the western edge
of a private drive, and South 38(degree) 00' 41" West 32.42 feet to a ll2 inch
Rebar near the western edge of said private drive, said Rebar being the
northeastern corner of the property of Biltmore Commercial Property L.L.C. as
described in a Deed recorded in Deed Book 1831, Page 555, of the Registry;
thence the following three calls running along the northern property line of
said Biltmore Commercial Property L.L.C. and near the northern edge of said
private drive, North 89(degree) 22' 30" West 78.19 feet to as Iron Pin Found,
North 84(degree) 43' 20" West 158.62 feet to Iron Pin Found, and North
82(degrees) 03' O8" West 140.84 feet to an Iron Pin Found in the eastern margin
of the right of way of said U.S. Highway 25; and thence with the eastern margin
of the right of way of said U.S. Highway 25 North 04(degree) 04' 46" East
passing over a P.K. Nail Set at 189.54 feet, a total distance of 199.96 feet to
the POINT OF BEGINNING, all in accordance with a survey dated September 9, 1997,
entitled "Survey of A Portion of Deed Book 1457 Page 671 for High Street Bank",
by Ledford Engineering Inc. designated as Drawing File S-9704-111. reference to
said survey being made in aid of description.

The Landlord HEREBY RESERVES to himself and grants leasehold rights to the
Tenant in and to non-exclusive cross easements for the right of ingress, egress
and regress as well as the installation and maintenance of utility lines for the
mutual benefit of the above described property as well as the adjoining
properties of the Landlord which all ere a part of the property conveyed to Carl
H. Ricker, Jr. in Deed Book 1457, at Page 671, of the Registry ("Benefited
Parcel"). Any installation of utility lines will be in the roadways end parking
lots which comprise the easement area utilized for ingress, egress and regress
and will not adversely affect the Improvements of Tenant or any other building
improvements upon the Benefited Parcel.

<PAGE>

                                    EXHIBIT X
                   (Legal Description for Temporary Premises)

The real property located in Asheville Township, Buncombe County, North Carolina
being a portion of land conveyed to Carl H. Ricker Jr. as described in the Deed
recorded in Dead Book 1535, Page 5, of the Buncombe County Registry, being more
particularly described as:

BEGINNING at a Point in tile eastern margin of the tight of way of U.S. Highway
2S (known also as Hendersonville Road), said Point being also located south
05(degree) 30' 04" East 382.99 feet from North Carolina Grid System monument
"Buena Vista" (NAD 1983) having grid coordinates of North 665399.148 feet acre
East 950083.329 feet thence from said Point of Beginning running South
85(degree) 44' S3" East, crossing the western margin of the 200 foot wide
Railway Right of Way of Norfolk & Southern Railroad, and passing over an Iron
Pin Found on line at 376.40', a total distance of 399.61 feet to a Point; thence
running along the western property line of the James & Anne Stafford property as
described in the Deed recorded in Deed Book 1068, Page 161, also shown on Plat
Book 20, Page 99, of the Registry, South 0l(degree) 06' 07" West 135.15S feet to
a Point; thence along a straight line to a Point in the eastern margin of said
right-of-way, said Point being South 06(degree) 05' 15" West 130.10 feet of the
Point of Beginning; and thence with the eastern margin of said right of way,
North 06(degree) 05' 15" East 130.10 feet to the point of beginning, being a
portion or the property shown on the survey dated April 4, 1997, entitled
"Survey of A Portion of Deed Book 1535 Page 5 for Carl H. Ricker Jr.", by
Ledford Engineering Inc. designated as Drawing File S-9704-032, reference to
said survey being made in aid of description.

<PAGE>

                                    EXHIBIT Y
                        (Legal Description for .03 acres)

The real property located in Asheville Township, Buncombe County, North Carolina
containing 0.03 acre, more or less, and being a portion of land conveyed to Carl
H. Ruker Jr. as described in the Deed recorded in Deed Book 1457, Page 671, of
the Buncombe County Registry, being more particularly described as:

BEGINNING at a point in the eastern margin of U.S. Highway 25 (known also as
Hendersonville Road), said point being South 00(degree) 06'04" West 857.69 feet
from North Carolina Grid System monument "Buena Vista", said monument loving
grid coordinates of North 665399.148 feet, East 950083.329 feet; thence from
said Point of Beginning running South 89(degree) 03' 32" East 120.56 feet to a
point; thence South 80(degree) 34' 48" West 17.04 feet to an Iron Pin Found;
thence North 85(degree) 55' 15" West 119.64 feet to a P.K. Nail Set in the
eastern margin of said U.S. Highway 25; and thence along said eastern margin of
the right-of-way North 04(degree) 04' 46" East 10.42 feet to the POINT OF
BEGINNING, all in accordance with a survey dated September 9, 1997, entitled
"Survey of A Portion of Deed Book 1457 Page 671 far High Street Bank", by
Ledford Engineering Inc. designated as Drawing File S-9704-111, reference to
said survey being made in aid of description.<PAGE>

                                                                    EXHIBIT 10.7

                               SERVICES AGREEMENT

BISYS, INC.                                           Contract No. CH-2224-12-91
11 Greenway Plaza                                           Price List No. 12/91
Houston, Texas 77046-1102

Client   High Street Banking Company
      -------------------------------------------------------------------------
Address  225 4th Street, N.W.
       ------------------------------------------------------------------------
City     Hickory                   State    NC              Zip Code   28601
    ------------------------------      --------------------        -----------

1.       SCOPE OF AGREEMENT

Client agrees to convert to the BISYS system (defined in Paragraph 2(C) below)
and BISYS, Inc. ("BISYS") shall provide Client, in accordance with this
Agreement, the services selected by Client from BISYS' then applicable Standard
Services Price List and/or Special Services Price List (collectively, the "Price
Lists") (collectively, the "Services"). BISYS shall provide the reports listed
on the Standard Reports List and Special Reports List as applicable to the
Services selected by Client. The current Price Lists are attached hereto and
made a part hereof.

2.       TERM OF AGREEMENT

A.       The initial term of this Agreement shall commence the date this
         Agreement is executed by both parties and end sixty (60) full calendar
         months after the "Conversion Date" (as defined in Paragraph 4(B)) (the
         "Initial Period").

B.       The Agreement shall automatically continue after the Initial Period for
         subsequent consecutive terms of three years each unless and until it is
         terminated by either party upon written notice to the other given at
         least 180 days prior to the end of the Initial Period or any additional
         three year period.

C.       If Client has given BISYS notice pursuant to Paragraph 2(B) and Client
         intends to deconvert from the BISYS data processing system ("BISYS
         System"), Client may, upon written notice to BISYS given at any time
         during the final 120 days of this Agreement (as determined in
         accordance with 2(B) above) or any extension hereof pursuant to this
         Paragraph 2(C), extend the termination date to the date indicated in
         such notice, which date shall not be, in any event, less than 120 days
         after the date of such notice. Commencing at the end of the Initial
         Period or any renewal period (as applicable), Client shall pay for
         Services at the prices set forth in the then current BISYS Price Lists
         notwithstanding the giving of extension notice.

D.       Continuing obligations under this Agreement including, without
         limitation, those relating to "BISYS Products" (defined in Paragraph
         10(A)); "Confidential Information" (defined in Paragraph 10(F)) and
         "Client Files" (defined in Paragraph 8(A)), shall survive any
         termination.

3.       CHARGES

A.       Each month commencing Conversion Date, whether or not Client actually
         uses any Services during such month, Client shall pay a minimum monthly
         charge equal to the greater of (i)*; (ii) BISYS' charges for the
         Services actually used by Client during such month; (iii) 80% of the
         charges invoiced to Client during the immediately preceding month; or
         (iv) 80% of the charges invoiced to Client for the month immediately
         preceding any deconversion by Client if Client deconverts from the
         BISYS System.

B.       The initial charges for the Services are specified in the Price Lists,
         and shall be recorded by the BISYS System or by any other means used by
         BISYS of determining Client's usage. The charges for the Services
         listed on the Standard Services Price List as of the date hereof will
         not be changed by BISYS until the expiration of the first year
         following Conversion Date. Thereafter, during the remaining term of the
         Initial Period, the charges for the Services listed on the Standard
         Services Price List may be changed by BISYS at any time and from time
         to time upon at least 90 days prior written notice to Client. During
         the Initial Period, the charges for the Services listed on the Special
         Services Price List as of the date hereof may be changed by BISYS at
         any time after the date hereof upon at least 90 days prior written
         notice to Client. After the Initial Period, the charges for the
         Services listed on the Price Lists shall automatically, and without
         notice, be changed to BISYS' standard (non-discounted) list prices then
         in effect for the respective Services; such prices may, thereafter, be
         changed by BISYS, at any time and from time to time, upon at least 90
         days prior written notice to Client.

C.       There shall be added to all charges for the Services furnished Client
         hereunder amounts equal to any applicable taxes levied or based on such
         Services, exclusive of taxes based on BISYS' income.

D.       No later than the 5th day of each calendar month, BISYS shall invoice
         (the "Monthly Invoice") Client: (i) for all Services projected to be
         used by Client during that billing month (the "Billing Month") which
         charge will be based upon either actual usage and number of accounts
         during the month prior to the Billing Month or the minimum charge
         pursuant to Paragraph 3(A); (ii) an amount equal to 100% of the
         recurring pass through charges (e.g. communication charges) actually
         utilized by Client during the prior month as the estimated pass through
         charges for the Billing Month; (iii) adjustments (debits/credits) to
         the prior month's estimated charges set forth in (i) and (ii) above
         and; (iv) all other charges incurred by Client during the prior month.
         For the projected portion of the invoice, the first Monthly Invoice
         shall be based upon BISYS' estimates of usage and shall also include
         for the prior month (during which the Conversion Date occurred) a full
         month's charges unless the Conversion Date is after the 15th of the
         prior month, in which event Client shall be assessed one-half month's
         charges for the prior month. Client agrees to pay all amounts set forth
         in the Monthly Invoice by automatic debit by BISYS on the last business
         day of the Billing Month from a Client bank account established for
         this purpose (the "Payment Account"). Client agrees to execute any and
         all required documentation to enable BISYS to perform such automatic
         debiting of the Payment Account. If Client fails to pay any amounts due
         under this Agreement, Client shall, upon demand, pay interest at the
         rate of 1-1/2% per month, but in no event more than the highest
         interest rate allowable, on such delinquent amounts from their due date
         until the date of payment. Client agrees to reimburse BISYS for any and
         all expenses BISYS may incur, including reasonable attorney fees, in
         taking action to collect any amounts due BISYS hereunder. All amounts
         due must be paid prior to Client's deconversion from the BISYS System.

4.       CONVERSION TO THE SERVICES

A.       BISYS shall, to the extent applicable, convert machine readable Client
         Files to make them compatible with the Services selected by Client from
         the Standard Services Price List. Client agrees to cooperate with BISYS
         and provide all necessary information and assistance required for BISYS
         to successfully convert such Client Files. Client will assign a liaison
         person to assist and cooperate with BISYS in such conversion.

B.       BISYS shall determine in accordance with its normal acceptance
         procedures when the applicable Client Files have been successfully
         converted and when the Services selected by Client from the Standard
         Services Price List are operational and available for Client's use. The
         date the first of the Services selected by Client from the Standard
         Services Price List is operational and available for Client's use is
         the "Conversion Date".

*See Paragraph 2.1 of the Addendum.
<PAGE>
5.       AVAILABILITY OF THE SERVICES

A.       Hours of accessing Services on an on-line basis ("On-Line Hours") at
         the BISYS data center providing Services to Client ("Data Center") are
         7:00 A.M to 9:00 P.M Monday through Friday and 7:00 A.M to 5:00 P.M
         Saturday (Data Center time) exclusive of BISYS holidays (New Years Day,
         Memorial Day, Independence Day, Labor Day, Thanksgiving Day and
         Christmas Day). A particular Service may also be available at other
         than On-Line Hours; in which event Client may, at its option and
         subject to any additional charges therefor, use that Service at such
         other times.

B.       BISYS will make every reasonable effort to have the Services available
         during the On-Line Hours. However, BISYS cannot and does not guarantee
         such availability. Accordingly, Client's remedy and BISYS' sole
         liability to Client or any third party to claims, nonwithstanding the
         form of such claims (e.g., contract, negligence or otherwise), arising
         out of (i) the unavailability of the BISYS System of (ii) the
         interruption in or delay of the Services provided or to be provided by
         BISYS hereunder, shall be for BISYS to use all reasonable efforts to
         make the BISYS System available and/or to resume the Services as
         promptly as reasonably practicable.

C.       Client shall, at it's expense, be responsible for delivering and
         transmitting to and from Client's offices, the offices of the
         applicable regulatory authorities and any other location authorized by
         Client, and the Data Center all data and information necessary for
         BISYS to furnish the Services to Client.

6.       USE OF SERVICES

A.       Client is exclusively responsible for the consequences of its own
         actions; for any instructions it gives BISYS; for its failure to access
         the Services in the manner prescribed by BISYS, and for its failure to
         supply accurate input information. Client is responsible for auditing,
         balancing, verifying the corrections of calculation routines (such as
         interest and service charges) and reconciling any out-of-balance
         condition, and for notifying BISYS of any errors in the foregoing
         within three business days after receipt of the incorrect information.
         Client's remedy and BISYS' sole liability to Client or any third party
         for any claims, notwithstanding the form of such claims (e.g.,
         contract, negligence or otherwise), arising out of errors or omissions
         in the Services provided or to be provided by BISYS hereunder and
         caused by BISYS shall be for BISYS to furnish the correct report and/or
         to correct the applicable Client Files, provided that Client promptly
         advises BISYS thereof.

B.       Client shall use the Services in accordance with such reasonable
         instructions as may be established by BISYS from time to time as set
         forth in any written materials furnished by BISYS to Client.

C.       Except as otherwise permitted by BISYS, Client will use the Services
         only for its own internal and proper business purposes and will not
         sell or otherwise provide, directly or indirectly, any of the Services
         or any portion thereof to any third party.

D.       Client shall not make any alteration, change or modification to any of
         the computer programs, data bases and/or BISYS supported files used by
         BISYS in connection with providing the Services to Client hereunder,
         without BISYS' prior written consent in each instance.

E.       BISYS shall give Client written notice of any BISYS system change which
         materially affects Client. Nothing herein shall preclude or limit
         BISYS' ability to make changes to its data processing system.

7.       COMMUNICATION LINES AND EQUIPMENT

A.       BISYS shall order on Client's behalf and with Client's approval, the
         installation of appropriate telephone lines and communications
         equipment to enable Client to access the Services. Client shall pay all
         charges relating to the installation and use of such telephone lines
         and communications equipment.

B.       BISYS shall not be responsible for the reliability, or continued
         availability, of telephone lines and communications equipment used by
         Client in accessing the Services.

8.       FILE SECURITY AND RETENTION

A.       Any Client data bases and files or other information provided by Client
         to BISYS for use with the Services (the "Client Files") shall remain
         the confidential property of Client. BISYS will provide reasonable
         security provisions to insure that third parties do not have access to
         the Client Files. BISYS reserves the right to issue and change
         regulations and procedures from time to time to improve file security.
         BISYS will instruct its employees having access to the Client files to
         keep the same confidential by using the same care and discretion that
         BISYS uses with respect to its own confidential property.

B.       BISYS will take reasonable precautions to prevent the loss of, or
         alteration to, Client Files, but BISYS cannot guarantee against such
         loss or alteration. Accordingly, Client will, to the extent deemed
         necessary by Client, keep copies of all source documents of information
         delivered to BISYS and will maintain a procedure external to the BISYS
         System for the reconstruction of lost or altered Client Files. In
         connection with the foregoing, it is understood that Client shall
         assume and be responsible for risk of loss and/or damage to documents
         and records while they are in transit to and from the Data Center.

C.       During the term of this Agreement, BISYS will retain the Client Files
         in accordance with, and to the extent provided by BISYS' then
         prevailing records retention policies for the Services, which policies
         will be consistent with guidelines covering the Services established by
         appropriate regulatory authorities. BISYS will, upon the expiration of
         any retention period for Client Files, dispose of Client Files in any
         manner deemed appropriate by BISYS unless Client, prior to such
         disposal, furnishes to BISYS written instructions for the disposition
         of such Client Files at Client's expense. Client shall pay for the
         provision of Client Files to Client at BISYS' standard rates for such
         services and BISYS shall provide such Client Files provided that BISYS
         has been paid for all Services provided hereunder through the date such
         requested Client Files are returned to the Client

D.       BISYS has a written Disaster Recovery Plan establishing emergency
         procedures, including off-premises backup facility. In connection
         therewith, BISYS has prepared a Disaster Recovery Manual. The Disaster
         Recovery Plan and Disaster Recovery Manual are available at the Data
         Center for examination by bank auditors and examiners and, as they may
         be modified from time to time, will remain in existence during the term
         of this Agreement. BISYS shall provide Client, upon and examiners and,
         as they may be modified from time to time, will remain in existence
         during the term of this Agreement. BISYS shall provide Client, upon
         written request, with information necessary for Client to develop a
         disaster contingency plan which will work in concert with BISYS'
         Disaster Recovery Plan.

9.       DUTIES UPON TERMINATION; RETURN OF RECORDS

A.       Upon the termination of this Agreement for any reason, BISYS will
         dispose of all Client Files still in the BISYS System in any manner
         deemed appropriate by BISYS unless Client, not later than 30 days after
         such termination, furnishes to BISYS written instructions for the
         disposition of such Client Files at Client's expense as set forth in
         Paragraph 9(B).

B.       At Client's request as set forth in Paragraph 9(A), BISYS shall deliver
         to Client all of the Client Files then retained by BISYS including file
         layouts and their descriptions in BISYS format and shall provide in
         accordance with BISYS deconversion policies, reasonable and necessary
         assistance with the deconversion from the BISYS System to a non-BISYS
         system ("Deconversion"). Client shall pay BISYS for Deconversion
         assistance in accordance with BISYS' then current Deconversion rate
         schedule. Payment for Deconversion together with all other payments
         which are due, and which will become due pursuant to the provisions of
         this Agreement shall be paid to BISYS prior to delivery of such Client
         Files.

C.       Client Files returned to Client shall be in a standard BISYS machine
         readable format.

10.      OWNERSHIP, USE AND CONFIDENTIALITY; BISYS PRODUCTS AND CONFIDENTIAL
         INFORMATION.

A.       All computer programs and related documentation made available,
         directly or indirectly, by BISYS to Client as part of the Services (the
         "BISYS Products") are the exclusive and confidential property of BISYS
         or the third parties from whom BISYS has secured the right to use such
         computer programs and documentation.

<PAGE>

B.       A personal, non-exclusive, non-transferable right and license is being
         granted to Client to use, during the term of this Agreement, any
         applications software programs included in the BISYS Products (the
         "Application Programs") which are delivered to Client as part of the
         Services solely for Client's own business usage. Client shall not have
         any interest in the Applications Programs except for this limited
         license.

C.       Client shall receive all improvements, enhancements, modifications and
         updates to any Applications Programs which are delivered to Client as
         part of the Services if, and as, made available by BISYS to its clients
         generally. All such improvements, enhancements, modifications and
         updates shall be delivered to Client in the form of a computer media,
         which media shall be provided to Client by BISYS and shall be installed
         by Client. If Client fails to install any such media within 45 days of
         its receipt from BISYS, BISYS shall have no further obligation to
         provide Client with improvements, enhancements, modifications or
         updates to such Application Programs.

D.       Client acknowledges that it shall be deemed a sublicensee of BISYS for
         any systems software programs included in the BISYS Products (the
         "Systems Programs") which are delivered to Client as part of the
         Services. Client accepts a sublicense from BISYS of the Systems
         Programs on a personal, non-exclusive, non-transferable basis with the
         right to use, during the term of this Agreement, such Systems Programs
         solely in connection with the Services.

E.       Client shall not copy, in whole or in part, any BISYS Products or
         related documentation, whether in the form of computer media, printed
         or in any other form. Client shall not make any alteration, change or
         modification to any BISYS Products.

F.       Client shall treat as confidential and will not disclose or otherwise
         make available any of the BISYS Products or any trade secrets,
         processes, proprietary data, information or documentation related
         thereto including, without limitation, any flow charts, logic diagrams
         or source code (collectively the "Confidential Information"), in any
         form, to any person other than employees of Client. Client will
         instruct its employees who have access to the BISYS Products and the
         Confidential Information to keep the same confidential by using the
         same care and discretion that Client uses with respect to its own
         confidential property and trade secrets. Upon the termination of this
         Agreement for any reason, Client shall return to BISYS any and all
         copies of the BISYS Products and the Confidential Information which are
         in its possession.

11.      GOVERNMENTAL AGENCIES.

A.       Client shall provide all required notices to the appropriate regulatory
         authorities concerning the initiation or termination of this Agreement,
         or of any substantial changes in the Services being provided to Client.
         BISYS agrees that any and all Client Files maintained by it for the
         Client pursuant to this Agreement shall be available for inspection by
         the appropriate regulatory authorities and Client's internal auditors
         and independent public accountants, upon prior written notice to BISYS.
         All costs incurred by BISYS in the preparation of data for inspection,
         examination or audit will be charged to Client at BISYS' then standard
         rates for such services.

B.       BISYS shall provide annually to the appropriate regulatory authorities
         any Third Party Review Reports prepared by independent public
         accountants with respect to the Services performed by BISYS at the Data
         Center and copies of BISYS' audited financial statements. By entering
         into this Agreement, BISYS agrees that it extends to the Office of
         Thrift Supervision ("OTS") the same authority and responsibility (as
         applicable to Client) provided to the other regulatory agencies
         pursuant to the Bank Service Corporation Act, 12 U.S.C. 1867(C)
         relating to services performed by contract or otherwise.

C.       If after the date hereof any modifications to the Services shall be
         required by law or by any governmental regulatory authority, BISYS
         shall, except to the extent such changes may be beyond the capability
         of the BISYS System to implement, conform the Services to be in
         compliance with such modified laws or governmental regulations. BISYS
         may, at its discretion, pass on, in whole or in part, on an equitable
         basis to all users of the Services (including Client) affected by any
         such modification the actual costs incurred by BISYS in making any such
         modification to the Services.

12.      WARRANTY.

A.       BISYS represents and warrants that the Services will conform materially
         to their design specifications and user documentation which may be
         changed from time to time. This warranty shall not extend to any of the
         computer programs, data bases and/or BISYS supported files used by
         BISYS in connection with providing the Services to Client hereunder
         which have been altered, changed or modified in any way, without BISYS'
         prior written consent in each instance.

B.       EXCEPT AS SPECIFICALLY PROVIDED HEREIN, THERE ARE NO WARRANTIES,
         EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, ANY IMPLIED
         WARRANTIES OR MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE.

13.      LIMITATION OF LIABILITY.

A.       The remedies specified in this Agreement constitute Client's sole and
         exclusive remedies in the event of any alleged defaults by BISYS under
         this Agreement. BISYS' sole liability, if any, for damages (monetary or
         otherwise) resulting from claims made by Client or any third party
         arising from or related to any and all causes not covered by the
         foregoing remedies shall be limited to the lesser of (i) the amount of
         actual damages incurred by Client or (ii) an amount which shall not
         exceed the charges paid by Client during the six (6) month period
         immediately preceding the event from which such liability arose for the
         Services performed which gave rise to the claim.

B.       IN NO EVENT WILL BISYS BE RESPONSIBLE FOR SPECIAL, INDIRECT, INCIDENTAL
         OR CONSEQUENTIAL DAMAGES WHICH CLIENT MAY INCUR OR EXPERIENCE ON
         ACCOUNT OF ENTERING INTO OR RELYING ON THIS AGREEMENT, EVEN IF BISYS
         HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

14.      PATENT AND COPYRIGHT INDEMNIFICATION.

         BISYS will hold Client harmless and, at its own expense, will defend
any action brought against Client based on a claim that the Services used within
the scope of this Agreement infringe a United States patent or copyright
provided Client notifies BISYS promptly in writing of the claim, BISYS has sole
control of the defense of the action and all negotiations for its settlement or
compromise, and Client cooperates with BISYS in the defense of the action. In
the event any of the Services becomes, or in BISYS' opinion is likely to become,
the subject of a claim of infringement of patent or copyright, BISYS, at its
option, may (i) secure for Client the right to continue using such Service(s),
(ii) replace or modify such Services to make it or them non-infringing, (iii)
cease providing the affected Service(s) or (iv) if none of the foregoing options
is commercially reasonable, in BISYS' opinion, terminate this Agreement. If
BISYS exercises its option hereunder to terminate this Agreement, such
termination shall be at no penalty to BISYS except that BISYS shall provide the
Deconversion assistance described in Paragraph 9(B) at no charge to Client.

15.      INSURANCE.

         BISYS shall maintain, during the term of this Agreement, $10,000,000 of
coverage under a Blanket Crime Policy covering fraudulent and dishonest acts
committed by its employees for which it is legally responsible. BISYS shall
maintain, on its own behalf, insurance coverage for loss from fire, disaster, or
other causes contributing to interruption of normal services. Client, at its own
expense, will maintain all insurance and fidelity bonds required by the
applicable regulatory authorities.

16.      DEFAULT; REMEDIES UPON DEFAULT.

A.       Any of the following events will constitute an "Event of Default" under
         the Agreement: (i) non-payment of any amounts due hereunder to BISYS by
         Client; (ii) non-performance of any of Client's or BISYS' other
         material obligations hereunder; (iii) if any representation or warranty
         of Client or BISYS is materially breached; (iv) if Client or BISYS
         files a petition for bankruptcy or becomes the subject of an
         involuntary bankruptcy petition which is not vacated within 60 days of
         filing,

                                       3

<PAGE>
         or becomes insolvent; or (v) if any substantial part of Client's or
         BISYS' property becomes subject to any levy, seizure, assignment,
         application or sale for or by any creditor or governmental agency.

B.       Upon occurrence of an Event of Default under the Agreement, the
         non-defaulting party may, at its option, terminate this Agreement
         provided at least 30 days (or longer period as may be required by the
         applicable regulatory authorities) prior written notice has been given
         to the other and such default has not been cured within such period.
         Upon such termination by BISYS, BISYS may declare all amounts due and
         to become due hereunder immediately due and payable. The remedies
         contained in this Paragraph 16 are cumulative and in addition to all
         other rights and remedies available to the parties under this Agreement
         or by operation of law or otherwise.

17.      FORCE MAJEURE

BISYS shall not be liable or deemed to be in default for any delay or failure to
perform under this Agreement or for interruption of the Services resulting,
directly or indirectly, from any cause beyond BISYS' reasonable control.

18.      GENERAL

A.       BISYS shall provide Client upon written request, copies of The BISYS
         Group, Inc.'s (BISYS' parent corporation) current audited financial
         statements.

B.       Client acknowledges that it has not been induced to enter into this
         Agreement by any representation or warranty not set forth in this
         Agreement. This Agreement contains the entire agreement of the parties
         with respect to its subject matter and supersedes all existing
         agreements and all other oral, written or other communications between
         them concerning its subject matter. This Agreement shall not be
         modified in any way except by a writing signed by both parties.

C.       The failure by either party hereto to insist upon strict performance of
         any of the provisions contained herein shall in no way constitute a
         waiver of its rights as set forth herein, at law or equity, or a waiver
         by either party of any other provisions or subsequent default by the
         other party in the performance of or compliance with any of the terms
         and conditions set forth herein.

D.       This Agreement may not be assigned by either party, in whole or in
         part, without the prior written consent of the other which consent
         shall not be unreasonably withheld. It shall not be deemed an
         assignment requiring consent if the stock of either is sold, or all, or
         substantially all, of the assets are sold so long as such sale does not
         materially negatively affect the basis of the financial bargain upon
         which this Agreement is based as of the date hereof and such sale does
         not materially negatively affect the provision of the Services
         hereunder. If there is such a negative impact, then the sale shall be
         deemed an assignment requiring consent as set forth above. This
         Agreement shall be binding upon and shall inure to the benefit of
         BISYS and Client and their respective successors and permitted assigns.

E.       If any provision of this Agreement (or any portion thereof) shall be
         held to be invalid, illegal or unenforceable, the validity, legality or
         enforceability of the remainder of this Agreement shall not in any way
         be affected or impaired thereby.

F.       The headings in this Agreement are intended for convenience of
         reference and shall not affect its interpretation.

G.       The individuals executing this Agreement on behalf of BISYS and Client
         do each hereby represent and warrant that they are duly authorized by
         all necessary action to execute this Agreement on behalf of their
         respective principals.

H.       Client acknowledges that a breach of any of its obligations under this
         Agreement relating to the BISYS Products and/or the Confidential
         Information will cause BISYS irreparable injury and damage and
         therefore may be enjoyed through injunctive proceedings in addition to
         any other rights or remedies which may be available to BISYS, at law or
         in equity and BISYS grants Client the same rights with respect to a
         breach of BISYS' obligations relating to the confidentiality of Client
         Files.

I.       During the term of this Agreement, neither party hereto shall, directly
         or indirectly, solicit or encourage to leave, any employee of the other
         without prior written consent, which consent shall not be unreasonably
         withheld.

BISYS, INC.                                  HIGH STREET BANKING COMPANY

Agreed to: /s/ W. W. Neville                 Agreed to: /s/ J. Edgar McFarland
          ------------------------------               ------------------------
                 (signature -                                (signature -
               Authorized Officer)                    Authorized Representative)

Name: W. W. Neville                          Name: J. Edgar McFarland
     -----------------------------------          -----------------------------
              (print or type)                            (print or type)

Title: Sr. V.P.      Date:  5/5/97           Title: President    Date: 4-30-97
      --------------      --------------           -------------      ---------
     (print or type)                              (print or type)

-------------------------------------------------------------------------------
THIS AGREEMENT SHALL BECOME EFFECTIVE UPON BEING SIGNED BY AUTHORIZED OFFICERS
OF BISYS AND CLIENT. BISYS' MARKETING REPRESENTATIVES DO NOT HAVE THE AUTHORITY
TO BIND BISYS.
-------------------------------------------------------------------------------

                                       4
<PAGE>
                ADDENDUM TO SERVICES AGREEMENT N0. CH-2224-12-91

                  SERVICES AGREEMENT DATED AS OF _____________

Reference is made to the above Services Agreement between the undersigned (the
"Agreement") to which this Addendum Is attached and made a pant thereof.

The Agreement is hereby amended and supplemented as follows:

1.       Except as expressly amended and supplemented hereby, all terms defined
         in the Agreement shall have the same meanings when used herein.

2.       Charges.

         2.1      Section 3 of the Agreement is amended and supplemented by
                  inserting the following new paragraphs after Paragraph 3(D):

                  "E. For purposes of this Agreement and Addendum the following
                  terms shall have the meanings stated:

                  "Client Accounts" shall mean deposit and loan accounts on the
                  BISYS System, including but not limited to Savings
                  Accounts-Account Base, Time Deposits/Certificates of Deposits
                  Accounts-Account Base, Transaction Accounts-Account Base
                  (including DDA, MMDA, NOW, SUPER NOW, Money Market), Line of
                  Credit Accounts-Account Base, Mortgage Loans-Account Base,
                  Construction Loans-On Line History, Commercial Loans Account
                  Base, Installment Loans-Account Base, Adjustable Installment
                  Loans, Commercial Loan Processing, Construction/Commercial
                  Loan Control Accounts Construction Loans, Construction/
                  Commercial Loan Control Accounts-Commercial Loans.

                  "Exhibit A Services" shall mean the Services identified on
                  attached Exhibit A (both the Standard Services and Special
                  Services listed on Exhibit A). The parties agree that
                  included in the definition of Exhibit A Services are Client
                  usage of any features associated with the Services listed on
                  the Standard Services portion of Exhibit A which features are
                  in existence and available to Client as of the date of this
                  Addendum. Neither features, nor Services, listed on the Price
                  Lists as of the date hereof, but not set forth on Exhibit A
                  shall be deemed to be part of the Exhibit A Services and such
                  other Services and/or features shall be billed to Client in
                  accordance with the provisions of Paragraph 3(G) below. The
                  parties also agree that Exhibit A Services are recurring
                  Services and do not include any installation charges,
                  training charges, one-time license fees or any other one-time
                  charges.

                  "One Year Period" shall mean each twelve (12) calendar month
                  period commencing the first day of the first full calendar
                  month following the Conversion Date and the indication as to
                  which twelve 112) month period is indicated will be with the
                  addition of an ordinal number preceding the term One Year
                  Period, e.g., First One Year Period, Second One Year Period,
                  etc.

                  "F. For any and all usage of Exhibit A Services, Client
                  agrees to pay BISYS each month, a fixed monthly charge (the
                  "Fixed Monthly Charge") in accordance with the following:

<PAGE>

                           1.       On Conversion Date, BISYS will determine
                                    the number of Client Accounts converted to
                                    the BISYS System. During the First One Year
                                    Period, the Fixed Monthly Charge will be
                                    $3,000.00, provided that on Conversion Date
                                    there are not more than 4,000 Client
                                    Accounts converted to the BISYS System on
                                    Conversion Date. If, however, more than
                                    4,000 Client Accounts are converted, then
                                    the Fixed Monthly Charge for the First One
                                    Year Period will be calculated as (x)
                                    $3,000.00 plus (y) (the number of Client
                                    Accounts in excess of 4,000 times the
                                    appropriate Per Account Fee set forth
                                    below).

                           2.       At the end of each One Year Period, BISYS
                                    will calculate the average number of Client
                                    Accounts on the BISYS System for such One
                                    Year Period by adding the number of Client
                                    Accounts for each month during such One
                                    Year Period and dividing such total by
                                    twelve (12). Such average shall be deemed
                                    the "Year End Accounts". The Fixed Monthly
                                    Charge for the next One Year Period will be
                                    calculated as (x) $3,000.00 for up to 4,000
                                    Client Accounts plus (y) (the number of
                                    Year End Accounts in excess of 4,000 times
                                    the appropriate Per Account Fee set forth
                                    below).

<TABLE>
<CAPTION>

                           Number of Client Accounts               Per Account Fee
                           <S>                                     <C>
                            4,001 - 10,000                         $0.65
                           10,001 - 15,000                         $0.60
                           15,001 - 20,000                         $0.57
                           20,001 - 30,000                         $0.53
                           Over 30,000                             $0.49
</TABLE>

                           3.       Paragraph 3(A), Subparagraphs (i), (ii) and
                                    (iii) and Paragraph 3(B) (to the extent of
                                    the Exhibit A Services) are replaced and
                                    superseded with the Fixed Monthly Charge
                                    calculated in accordance with this
                                    Paragraph 3(F).

                           4.       Notwithstanding Paragraph 3(D) of the
                                    Agreement, the Fixed Monthly Charge and any
                                    charges for non-Exhibit A Services utilized
                                    by Client each month shall be billed no
                                    later than the fifth (5th) day of each
                                    month and shall be paid by Client not later
                                    than the last business day of such month.

                  G. In addition to the Fixed Monthly Charge for the Exhibit A
                  Services, Client will pay BISYS each month:

                           1.       For all usage of Services not specifically
                                    set forth on Exhibit A: and

                           2.       For all pass-through charges.

                  H. During the First One Year Period, the Per Account Fee will
                  not be increased Commencing on the first day of the Second
                  One Year Period, BISYS may increase the Per Account Fee by a
                  percentage not to exceed four percent (4%) per One Year
                  Period

                                       2

<PAGE>

3.0     Conversion to the Services.

         3.1      BISYS' standard conversion services listed on the Special
                  Services Price List as "Conversion of Standard Applications"
                  will be provided to Client for $10,000.00. In addition to
                  such fee, Client agrees to pay all out-of-pocket conversion
                  related expense not included in BISYS' provided standard
                  conversion services, including, but not limited to, data
                  communications and terminal expense. Conversion charges will
                  be paid fifty percent upon the execution of this Agreement
                  and fifty percent on Conversion Date.

         3.2      Paragraph 4(B) of the Agreement Is amended by deleting the
                  second sentence of the Paragraph and replacing it with the
                  following language: "The "Conversion Date " shall be the date
                  mutually agreed upon by BISYS and Client when all the Exhibit
                  A Services are operational and available for Client's use."

4.0     Performance Standard .

         4.1      Downtime. For purposes of this Agreement, "Downtime" shall
                  mean any general on-line services interruption (except for
                  interruption due to reasons beyond BISYS' reasonable control,
                  including without limitation, destruction of equipment,
                  communication line failure, fire, acts of God, or acts of
                  governmental or judicial authority) caused by failure of the
                  Data Centers computers, programs or operators to sustain
                  continuous availability of on-line processing during On-Line
                  Hours. BISYS' Data Center will log and report Downtime
                  providing appropriate analytical reports to Client for each
                  calendar month. Client reserves the right to reconcile such
                  reports with Client's own records of Downtime and correct any
                  errors. Downtime results will be tabulated daily and averaged
                  for the calendar month.

                  (a)      BISYS agrees to use all reasonable efforts to work
                           with Client's existing terminal and micro computer
                           vendors and with all other organizations who
                           presently provide telecommunications equipment or
                           services to Client to make available to Client an
                           average response time of five (5) seconds and not
                           greater than twelve (12) seconds for standard teller
                           requests. (This benchmark for response time shall
                           not apply to other transactions, including, but not
                           limited to, fill screen inquiry.) Response time
                           shall be measured during a period of ten (10)
                           consecutive business days. Response time shall be
                           calculated based on the time the teller terminal
                           messages are transmitted from Client's terminal
                           equipment to the time BISYS' reply messages are
                           received by Client's terminal equipment. If the
                           above described response time is not met during any
                           measurement period, BISYS and Client shall mutually
                           agree to resolve this issue.

                  (b)      For every percentage of Downtime in excess of two
                           (2) percentage points (as a percentage of total
                           On-Line Hours), during a period of time measured on
                           a rolling three (3) month average, BISYS will deduct
                           one percent (1%) of the actual charges for the
                           Services paid by Client to BISYS for the measured
                           month to a maximum of five percent (5%). Application
                           of this credit will be made the following month.

                  (c)      If BISYS experiences Downtime in excess of five (5)
                           percentage points per month during any two
                           consecutive calendar months, Client shall have the
                           option to terminate this Agreement prior to the end
                           of the Initial Period upon at

                                       3

<PAGE>

                           least 180 days prior written notice to BISYS and
                           such termination shall be effective, provided that:

                           (i)      Client shall pay BISYS for all Services
                                    provided to Client on the terms provided in
                                    this Addendum, including pass-through
                                    charges, through the effective termination
                                    date; and

                           (ii)     Client shall pay BISYS for all Deconversion
                                    assistance in accordance with Paragraph
                                    9(b) of the Agreement; and

                           (iii)    All payments must be made prior to the
                                    delivery of Client Files.

         4.2      Report Delivery. Provided that Client has installed a BISYS
                  approved Remote Print configuration containing at the minimum
                  a dedicated 4800 Baud Communication Line to the remote
                  equipment at Client's location and an 800 LPM Printer, if at
                  least ninety percent (90%) of the individual daily reports
                  are not printed and/or stored at Client's print facility by
                  9:00 A.M. Eastern Time on the business day immediately
                  following the day as to which such reports relate on at least
                  ninety percent (90%) of the business days during any calendar
                  quarter, then the charges for the Services otherwise payable
                  by Client to BISYS under this Agreement for such calendar
                  quarter shall be reduced by five percent (5%) and applied as
                  a credit against charges for the month following such
                  calendar quarter.

                  (a)      BISYS agrees to use all reasonable efforts to
                           provide correct report data so as to prevent double
                           posting. BISYS agrees to monitor service incidents
                           related to production performance. Service incidents
                           are defined as:

                           -        Reprint/Rerun (due solely to BISYS' error),
                                    i.e., double posting, incorrect data,
                                    omission, etc.

                           -        Fiche production error

                           -        Report misroute (due solely to BISYS'
                                    error)

                           -        Work request delay (based on mutually
                                    agreed upon delivery date)

                           -        Any Service Incident mutually agreed upon
                                    in writing signed by BISYS and Client

                  (b)      If during any two (2) consecutive calendar month
                           period, the number of Service Incidents exceeds
                           seven (7), then Client shall have the option to
                           terminate this Agreement prior to the end of the
                           Initial Period upon at least 180 days prior written
                           notice to BISYS, and the termination shall be
                           effective provided that:

                           (i)      Client pays BISYS for all Services provided
                                    through the effective termination date on
                                    the terms provided in this Addendum,
                                    including pass-through charges; and

                           (ii)     Client pays BISYS for any Deconversion
                                    assistance in accordance with Paragraph
                                    9(b); and

                           (iii)    All payments must be made before the
                                    delivery of Client Files.

         4.3      For purposes of this Paragraph 4, if the BISYS System is not
                  available due to reasons beyond BISYS' reasonable control,
                  including without limitation, destruction of equipment,
                  communication line failure, fire, acts of God or acts of
                  governmental or

                                       4

<PAGE>

                  judicial authority then any incident resulting from the
                  unavailability of the BISYS System for the reasons set forth
                  In 4.3 shall not be included In the number of Service
                  Incidents for purposes of determining if Client has the
                  opportunity to terminate this Agreement in accordance with
                  Paragraph 4.2(b) above.

5.0      Miscellaneous.

         5.1      If during the Initial Period, Client acquires at least five
                  percent (5%) of the outstanding stock of a financial
                  institution which does not have a valid services Agreement
                  with BISYS (the "Acquired Institution"), and Client elects to
                  have the Acquired Institution utilize BISYS' data processing
                  services, then BISYS agrees that the Acquired Institution
                  will be offered at least the same pricing terms and
                  conditions provided to Client hereunder, provided, however
                  that the Acquired Institution must execute a separate
                  Services Agreement with BISYS.

         5.2      BISYS agrees that Client shall receive training associated
                  with the Services selected by Client from the BISYS Price
                  Lists, In accordance with a conversion plan to be jointly
                  developed by BISYS and Client after the date of execution of
                  this Agreement and at the charges set forth in the Price
                  Lists.

         5.3      BISYS agrees that commencing on the date of implementation
                  /installation of the Services selected by Client hereunder or
                  from time to time during the Initial Period, BISYS shall
                  provide support and maintenance as may be requested by Client
                  from time to time, and such maintenance and support shall be
                  provided at the charges set forth in this Addendum, any
                  subsequent addendum or in the Price Lists. BISYS agrees that
                  the improvements, enhancements, modifications and updates
                  described in Paragraph 1 O(C) of the Agreement shall be
                  provided at no additional charge to Client.

         5.4      BISYS acknowledges that Client cannot enter into this
                  Agreement and commence undertaking any of the obligations set
                  forth herein without (1) the approval of Client's Board of
                  Directors; and (ii) the approval of Client's application to
                  the Federal Deposit Insurance Corporation, which is
                  anticipated by Client on or before May 15, 1997. However, in
                  order to induce BISYS to commence work related to converting
                  Client to the BISYS System, Client has executed this
                  Agreement prior to receipt of the aforementioned approvals.
                  Upon receipt of notice by Client that it has not received
                  either of the aforementioned approvals, Client shall
                  immediately provide BISYS written notice that the approvals
                  have not been received and therefore Client intends to
                  terminate this Agreement Immediately. Upon receipt of such
                  notice from Client, this Agreement shall be deemed terminated
                  and BISYS shall discontinue any work relating to the
                  conversion of Client to the BISYS System. Client shall pay
                  BISYS for all work preformed by BISYS associated with the
                  conversion of Client of the BISYS System through the date of
                  termination of this Agreement.

6.       Dispute Resolution.

         6.1      The parties hereto will attempt in good faith to resolve any
                  controversy or claim between them arising out of or relating
                  to this Agreement promptly by negotiation. If a party has a
                  bona fide dispute, such party Will provide written notice to
                  the other party. A senior executive of each party shall meet
                  at a murally agreed upon time and location to attempt to
                  resolve the matter. If the matter is not resolved by the
                  parties within sixty days of the delivery of the written
                  notice, the parties shall finally settle the dispute by
                  binding arbitration before and under the rules of the
                  American Arbitration

                                       5

<PAGE>

                  Association in a mutually agreed upon location, provided
                  however that the location shall not be In North Carolina or
                  Texas. The dispute shall be arbitrated by a panel of three
                  neutral arbitrators. Each party shall have the right to
                  select one of the arbitrators, which arbitrators shall then
                  select the third arbitrator. Notwithstanding anything to the
                  contrary the arbitrator is not empowered to award any damages
                  inconsistent with the terms and conditions of this Agreement.
                  The arbitration shall proceed as expeditiously as possible.
                  The cost of the arbitration shall be bome equally by both
                  parties, provided, however, that each party shall pay its own
                  attorney, expert and witness fees and expenses, unless
                  otherwise required by law.

6.0      Neither BISYS nor Client shall (except to persons acting on behalf of
         such party) disclose, and neither party shall permit any of Its
         employees or other persons who act or acted In its behalf to disclose,
         any of the terms and conditions of the Agreement, including without
         limitation any Addendum or pricing terms, except as may be required by
         law.

Except as expressly amended and supplemented hereby, the Agreement shall remain
unchanged and continue to be in full force and effect.

This Addendum supersedes and replaces any prior agreement (written or oral) as
to its subject matter. If there is any conflict between the terms and
conditions of this Addendum and the terms and conditions of the Agreement or
any prior addendum to this Agreement, the Terms and Conditions of this Addendum
shall prevail.

BISYS, INC.                                  HIGHT STREET BANKING COMPANY

By: /s/ W. W. Neville                        By: /s/ J. Edgar McFarland
   ------------------------------------         -------------------------------
Name: W. W. Neville                          Name: J. Edgar McFarland
     ----------------------------------           -----------------------------
Title: Senior Vice President                 Title: President

      ---------------------------------            ----------------------------
Date: May 5, 1997                            Date: 4-30-97
     ----------------------------------           -----------------------------

-------------------------------------------------------------------------------
THIS ADDENDUM SHALL BECOME EFFECTIVE UPON BEING SIGNED BY AN AUTHORIZED OFFICER
OF RISYS. BISYS' MARKETING REPRESENTATIVES DO NOT HAVE THE AUTHORITY TO RIND
BISYS.
-------------------------------------------------------------------------------

                                       6

<PAGE>

                          HIGH STREET BANKING COMPANY

                               EXHIBIT A SERVICES

TRANSACTION ACCOUNT PROCESSING (DDA, MMDA, NOW, COMMERCIAL DDA, SUPER NOW)

         Account Base

         Account Analysis

         Check Register on Statement

         DDA Statement Production (includes interim statements)

         Item Processing Interface

         Line-of-Credit Processing

         Transaction Base

         Variable Interest Rate Processing

         On-Line History

SAVINGS, TIME DEPOSITS/CERTIFICATES OF DEPOSITS

         Account Base

         Interest Checks

         On-Line History

         Retirement Accounts

         Statement Production (statement pages printed at BISYS NOT included)

         Variable Interest Rate Processing

ALL DEPOSITS

         Combined Statements

         Production of Activity Reports

         EFT Notices

         Over Draft Reminder Notices

         Currency Reporting

         Account Consolidation Report

         Anniversary Processing

         Audit Confirmations (once per year)

         Bank Check Reconciliation Tape

         CD Renewal Confirmation

         Proxy Reporting

         Realty Trust/Surrogate Processing

         Retirement Account Statements

         Savings Service Charges

         Tenant Rent Security Processing

         Tax Compliance - Withholding

         W9Bs (mailing label and mailer NOT included)

         Account Reconciliation Processing

         Item Processing Interface

         NSF/UCF Qualification Report

         Sweep Accounts

         1099, 1099R, 5498 Production (forms charge and rendering charge NOT
         included)

         Interactive Exception Handling

         OTS/FDIC Reports

         File Maintenance History

         Transaction Processing Notices

<PAGE>

HIGH STREET BANKING COMPANY
EXHIBIT A SERVICES
PAGE TWO

COMMERCIAL LOANS

         Account Base

INSTALLMENT LOANS

         Account Base

         Adjustable Installment Loans

         Commercial Loan Processing

         Coupon Loans MICRIOCR

         Customer Notices and Billings

         Dealer Reporting and Floor Planning

         Investor Reporting

         Lock Box - Stop Tape Production

         On-Line History (18 months)

         Student Loan Processing

         Annual IL Notice, Statement

         Automatic Student Loan Check Printing

         Classification Report

         Credit Bureau Reporting (up to 2)

         FASB #91 Processing

         Loan 10K Report

         Overdraft/LOC Loan Notice

         Savings Account Loan Trial Balance

         Simple Interest Loan Analysis

MORTGAGE LOANS

         Account Base

         Tax and Insurance System

         Coupon Loans MICR/OCR

         Escrow Analysis

         Adjustable Loans

         Bill and Receipt Processing

         Bi-Weekly/Weekly Loans

         Collection Loans

         Investor Reporting

         Lock Box Stop Tape Production

         On-Line History (18 months)

         Report to Credit Bureaus

         AML Reminder Notice Worksheet .

         Annual Mortgage Borrower Statements.

         Credit Bureau Reporting - Monthly (up to 2 bureaus)

         FASB #91 Processing

         FHLMC Form 11 on Magnetic Tape

         FHLMC Submission Schedule

         Interest on Escrow System

         Investor Reporting Tape Production

         LASERNET Remittance Tape

         Loan Solicitation Tape Production

<PAGE>

HIGH STREET BANKING COMPANY
EXHIBIT A SERVICES
PAGE THREE

MORTGAGE LOANS (CONTINUED)

         LOAN Solicitations of Printed Forms

         Loan 1OK Report

         ML Available for Sale Report

         Tax Bill Processing Tape Production

CONSTRUCTION LOANS

         ACCOUNT BASE

         Notices

         On-Line History (18 months)

ALL LOANS

         1098, 1099A, 1099s for OTC Records (forms and rendering NOT included)

         1098 Production (forms and rendering NOT included)

         Letter Writing

         Letter Writing Down Load

         File Maintenance History

         Multi-Borrower Report

TOTAL FINANCIAL MANAGER

         TFM Core Package (LAN)

         Per Transaction Fee

AUTOMATIC TRANSACTION GENERATION AND POSTING

         From or To ACH

         System Generated Transactions

         Totalmatic

         ACHIPS

CENTRAL INFORMATION FILE (CIF)

          Account Base

TARGETPLUS

         TargetPlus System

         8 Reports per Month*

SAFE DEPOSIT BOX

         Base Fee

*Any Client usage of TargetPlus in excess of this number will be charged to
Client at the charges set forth in the Price Lists.

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