Document:

EXHIBIT 10.1

                          CAPITOL CITY BANCSHARES, INC.
                                STOCK OPTION PLAN

ARTICLE I - PURPOSE OF PLAN

1.1      PURPOSE OF PLAN. The purposes of this Plan are to encourage the stock
         ownership of Capitol City Bankshares, Inc. by key employees, officers
         and directors of the Company and its Bank subsidiary, to provide an
         incentive for such individuals to improve profitability, and to assist
         the Company and subsidiary in attracting and retaining key employees
         and directors through the grant of Options.

ARTICLE II - DEFINITIONS

2.1      AWARD means Options granted hereunder.

2.2      Bank means Capitol City Bank & Trust Company, a financial institution
         organized under the laws of the State of Georgia.

2.3      BOARD means the Board of Directors of the Company.

2.4      CODE means the Internal Revenue Code of 1986, as amended. Reference in
         this Plan to any section of the Code shall be deemed to include any
         amendments or successor provisions to such section and any regulations
         promulgated thereunder.

2.5      COMPANY means Capitol City Bancshares, Inc., a Georgia business
         corporation registered as a bank holding company under the Bank Holding
         Company Act of 1956, or any successors as described in Article XI.

2.6      DATE OF DISABILITY means the date on which a Participant is classified
         as Disabled.

2.7      DEATH means a Participant's death while holding Options granted under
         this Plan.

2.8      DIRECTOR means a member of the Board or Emeritus Director who is not
         also employed by the Company or the Bank as an employee.

2.9      DISABILITY OR DISABLED means the permanent inability of a Participant
         to perform the duties and responsibilities for which he was employed by
         the Company or the Bank due to reasons of health or mental incapacity.

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2.10     ELIGIBLE EMPLOYEE means any person employed by the Company or the Bank
         on a full-time, salaried basis who satisfies all of the requirements of
         Article VI.

2.11     FAIR MARKET VALUE means the fair market value of the Stock, as
         determined by the Board; provided, however, that (i) if the Stock is
         admitted to quotation on the National Association of Securities Dealers
         Quotation system on the date that the Option is granted, Fair Market
         Value shall not be less than the average of the highest bid and lowest
         asked prices of the Stock on such system on such date, or (ii) if the
         Stock is admitted to trading on a national securities exchange on the
         date the Option is granted, Fair Market Value shall not be less than
         the last sale price reported for the Stock on such exchange on such
         date or, in the absence of such a reported sale price, on the last date
         preceding such date on which a sale was reported.

2.12     INCENTIVE STOCK OPTION means an Option that is an incentive stock
         option within the meaning of Section 422 of the Code and that is
         granted under Article VII.

2.13     NONQUALIFIED STOCK OPTION means an Option that is not an Incentive
         Stock Option and that is granted under Article VII.

2.14     OPTION means either a Nonqualified Stock Option or an Incentive Stock
         Option granted under Article VII.

2.15     PARTICIPANT means a Director or Eligible Employee who has been granted
         an Award under this Plan.

2.16     PLAN means this Capitol City Bancshares, Inc. Stock Option Plan.

2.17     RETIREMENT means normal retirement by an employee from the Company
         under a retirement plan maintained by the Company.

2.18     RETIREMENT DATE is the employee's date of Retirement.

2.19     STOCK means the common stock, par value $6.00 per share, of the
         Company.

2.20     STOCK OPTION AGREEMENT means an agreement with respect to Options as
         described in Article VIII.

2.21     TERMINATION means (i) in the case of an Eligible Employee, the
         resignation or discharge from employment with the Company, except in
         the event of Death, Disability, or Retirement, and (ii) in the case of
         a Director, the resignation or removal from, or the expiration of the
         term of service on, the Board.

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2.22     VESTED OPTION means, at any date, an Option that a Participant is then
         entitled to exercise pursuant to the terms of a Stock Option Agreement.

ARTICLE III - EFFECTIVE DATE AND DURATION

3.1      EFFECTIVE DATE. Except as provided to the contrary herein, this Plan
         shall be effective as of July 13, 1999.

3.2      PERIOD FOR GRANTS OF AWARDS. Awards may be made as provided herein for
         a period of ten (10) years after the initial effective date of the
         Plan.

3.3      SHAREHOLDER APPROVAL. The Plan shall be submitted to the shareholders
         of the Company for approval within 12 months after the date the Plan is
         adopted by the Board.

3.4      TERMINATION. This Plan shall be terminated as provided in Article XII,
         but shall continue in effect until all matters relating to the payment
         of Awards and the administration of the Plan have been settled.

ARTICLE IV - ADMINISTRATION

4.1      ADMINISTRATION. This Plan shall be administered by the Board. All
         questions of interpretation and application of this Plan, or of the
         terms and conditions pursuant to which Awards are granted, exercised,
         or forfeited under the provisions hereof, shall be subject to the
         determination of the Board. Such determination shall be final and
         binding upon all parties affected thereby. A majority vote of the
         members of the Board shall be required for all of its actions.

ARTICLE V - GRANT OF AWARDS AND LIMITATIONS ON NUMBER OF SHARES OF STOCK AWARDED

5.1      GRANT OF AWARDS: NUMBER OF SHARES. The Board may, from time to time,
         grant Awards of Options to one or more Directors and/or Eligible
         Employees; provided that:

         (a)      Subject to any adjustment pursuant to Article X or Article XI,
                  the aggregate number of shares of Stock subject to Awards
                  under this Plan may not exceed One Hundred Fifty Nine Thousand
                  Six Hundred (159,600) shares;

         (b)      Except with respect to shares that are the subject of Options
                  repurchased pursuant to Section 7.4, to the extent that an
                  Award lapses or the rights of the

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                  Participant to whom it was granted terminate, or to the
                  extent that the Award is canceled by mutual agreement of the
                  Board and the Participant (which cancellation opportunities
                  may be offered by the Board to Participants from time to
                  time), any shares of Stock subject to such Award shall again
                  be available for the grant of the Award hereunder;

         (c)      Shares of Stock ceasing to be subject to an Award because of
                  the exercise of an option shall no longer be available for the
                  grant of an Award hereunder;

         (d)      Directors shall not be eligible to receive awards of Incentive
                  Stock Options hereunder; and

         (e)      Shares of Stock that are the subject of grants of Options
                  under this Plan shall be set aside out of authorized but
                  unissued shares of Stock not reserved for other purposes.

         In determining the size of Awards, the Board may take into account a
         Participant's responsibility level, performance potential, cash
         compensation level, the Fair Market Value of the Stock at the time of
         awards, and such other considerations as it deems appropriate.

ARTICLE VI - ELIGIBILITY

6.1      ELIGIBLE INDIVIDUALS. Full-time, salaried officers and other key
         employees of the Company (including officers or employees who are
         members of the Board) and Directors shall be eligible to receive Awards
         under this Plan; provided they are residents of the State of Georgia.
         Subject to the provisions of this Plan; the Board shall from time to
         time select from such eligible persons those to whom Awards shall be
         granted and determine the size of the Awards. A Participant may hold
         more than one Option at any one time. No Director, officer, or employee
         of the Company shall have any right to be granted an Award under this
         Plan, as all Awards granted hereunder are granted in the sole and
         absolute discretion of the Board, as provided herein.

ARTICLE VII - OPTIONS

7.1      GRANTS OF OPTIONS. Awards shall be granted to Participants in the form
         of Options to purchase Stock.

7.2      TYPE OF OPTION. The board may choose to grant a Participant who is a
         Director Nonqualified Stock Options and it may choose to grant a
         Participant who is an

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         Eligible Employee either Incentive Stock Options or Nonqualified Stock
         Options or both, subject to the limitations contained herein.

7.3      INCENTIVE STOCK OPTION DOLLAR LIMITATIONS. If the Board grants
         Incentive Stock Options, the aggregate Fair Market Value (determined at
         the time the Option is granted) of any such Options plus an incentive
         stock options qualified under Section 422 of the Code and granted under
         any other plans of the Company that shall be first exercisable by any
         one Participant during any one calendar year shall not exceed $100,000,
         or such other dollar limitation as may be provided in the Code.

7.4      BOARD LIMITATIONS AND COMPANY REPURCHASE OF OPTIONS. Grants of Options
         hereunder shall be subject to guidelines adopted by the Board with
         respect to the timing and size of such Options. In addition, the Board
         may, in its discretion, provide that an Option may not be exercised in
         whole or in part for any period of periods specified by the Board. In
         the discretion of the Board, the Company may agree to repurchase
         Options for cash.

ARTICLE VIII - TERMS AND CONDITIONS OF STOCK OPTION AGREEMENTS

8.1      STOCK OPTION AGREEMENTS. Awards shall be evidenced by Stock Option
         agreements in such form as the Board shall, from time to time, approve.
         Such Stock Option agreements, which need not be identical, shall comply
         with and be subject to the following terms and conditions:

         (a)      METHOD OF PAYMENT. Upon exercise of the Option, the Option
                  price shall be payable in United States dollars in cash or by
                  certified check, bank draft, money order payable to the order
                  of the Company, or Stock, or combination thereof.

         (b)      NUMBER OF SHARES. The Stock Option Agreement shall state the
                  total number of shares to which it pertains.

         (c)      OPTION PRICE. With respect to Incentive Stock Options, the
                  Option price shall be not less than the Fair Market Value of
                  such shares on the date of granting of the Option (or one
                  hundred ten percent (110%) of such amount if the Option is
                  granted to an individual owning stock possessing more than ten
                  percent (10%) of the total combined voting power of all
                  classes of stock of the Company). With respect to Nonqualified
                  Stock Options, the Option price shall be set in the Board's
                  sole and absolute discretion.

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         (d)      TERM OF OPTION. Each Nonqualified and Incentive Stock Option
                  granted under this Plan shall expire not more than ten (10)
                  years from the date the Option is granted, except that each
                  Incentive Stock Option granted under the plan to an individual
                  owning stock possessing more than ten percent (10%) of the
                  total combined voting power of all classes of stock of the
                  Company shall expire not more than five (5) years from the
                  date the Option is granted.

         (e)      DATE OF EXERCISE. Except for such limitations as may be
                  provided by the Board in its discretion pursuant to Article
                  VII, any Vested Option may be exercised in whole at any time
                  during its term or in part from time to time during its term.

         (f)      EXERCISE OF OPTION OR FORFEITURE. Except as otherwise provided
                  in any employment agreement or other written agreement with
                  the Participant, if a Participant ceases employment with the
                  Company or ceases to be a Director, as the case may be, prior
                  to exercise of the Participant's Options, such Options shall
                  be exercised or forfeited as follows:

                    (i)    Termination. Upon the Termination of participant who
                           is an Eligible Employee, the Participant's Vested
                           Options shall be exercisable within three (3) months
                           (or such shorter period as the Code or the terms of
                           the particular Options may require) of the
                           Participant's Termination. In default of such timely
                           exercise, all Options of the Participant shall be
                           forfeited.

                   (ii)    Retirement. Upon the Retirement of a Participant who
                           is an Eligible Employee, the Participant's Options
                           (which shall become Vested Options as of the
                           Participant's Retirement Date) shall be exercisable
                           within three (3) months (or such shorter period as
                           the Code or the Terms of the particular Options may
                           require) of the Participant's Retirement Date. In
                           default of such timely exercise, all Options of the
                           Participant shall be forfeited.

                  (iii)    Termination of Director Status. In the case of a
                           Participant who is a Director and who ceases to be a
                           Director or Emeritus Director for a reason other than
                           Death, the Participant's Options shall be exercisable
                           within three (3) months (or such shorter period as
                           the Code or the terms of the particular Options may
                           require) of the termination.

                   (iv)    Disability. Upon the Disability of a Participant, the
                           Participant's Options (which shall become Vested
                           Options as of the Participant's

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                           Date of Disability) shall be exercisable within three
                           (3) months (or such shorter period as the Code or the
                           terms of the particular Options may require) of the
                           Participant's Date of Disability. In default of such
                           timely exercise, all Options of the Participant shall
                           be forfeited.

                    (v)    Death. If the Participant dies while in the
                           employment of the Company, while serving as a
                           Director, or within the period of time after
                           Retirement during which the Participant would have
                           been entitled to exercise his or her option rights,
                           the Participant's estate, personal representative, or
                           beneficiary (as applicable) shall have the right to
                           exercise such Options (which shall become Vested
                           Options as of the date of the Participant's Death)
                           within one (1) year from the date of the
                           Participant's death (or such shorter period as the
                           Code or the terms of the particular Options may
                           require).

         (g)      AGREEMENT AS TO SALE OF SECURITIES. If, at the time of the
                  exercise of any Option, in the opinion of counsel for the
                  Company, it is necessary or desirable, in order to comply with
                  any applicable laws or regulations relating to the sale of
                  securities, that the Participant exercising the Option shall
                  agree to purchase the shares that are subject to the Option
                  for investment only and not with respect to any present
                  intention to resell the same and that the Participant will
                  dispose of such shares only in compliance with such laws and
                  regulations, the Participant will, upon the request of the
                  Company, execute and deliver to the Company an agreement to
                  such effect. The Participant shall agree to comply with the
                  right of first refusal and other provisions of his or her
                  Stock Option Agreement and to become a party to an
                  shareholder's agreement in effect among the Company and its
                  stockholders.

         (h)      MINIMUM NUMBER OF SHARES. The minimum number of shares with
                  respect to which an Option may be exercised at any one time
                  shall be five hundred (500) shares, unless the number is the
                  total number at the time available for exercise under the
                  Award.

         (i)      REQUIRED AMENDMENTS. Each Award shall be subject to any
                  provision necessary to ensure compliance with federal and
                  state securities laws.

         (j)      LIMITATION OF PARTICIPANT RIGHTS. A Participant shall not be
                  deemed to be the holder of, or to have the rights of a holder
                  with respect to, any shares of stock subject to such Option
                  unless and until the Option shall have been exercised pursuant
                  to the terms thereof, the Company shall have issued and
                  delivered the shares to the Participant, and the Participant's
                  name shall have been entered

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                  as a stockholder of record on the books of the Company.
                  Thereafter, the Participant shall have full voting, dividend,
                  and other ownership rights with respect to such shares of
                  Stock.

ARTICLE IX - GRANTS IN SUBSTITUTION FOR OPTIONS GRANTED BY OTHER CORPORATIONS.

9.1      SUBSTITUTE AWARDS. Awards may be granted under this Plan from time to
         time in substitution for similar awards held by employees of the
         Company or the Bank as the result of merger or consolidation of the
         employing corporation with the Company or the Bank, or the acquisition
         by the Company of fifty percent (50%) or more of the stock of the
         employing corporation, or the acquisition by the Company of the assets
         of the employing corporation, or the acquisition by the Company of
         fifty percent (50%) or more of the stock of the employing corporation
         causing it to become a subsidiary. The terms and conditions of the
         substitute awards so granted may vary from the terms and conditions set
         forth in this Plan to such extent as the Board at the time of the Grant
         may deem appropriate to conform, in whole or in part, to the provisions
         of the options in substitution for which they are granted.

ARTICLE X - CHANGES IN CAPITAL STRUCTURE

10.1     CAPITAL STRUCTURE CHANGES

         (a)      If the outstanding shares of the Company's Stock as a whole
                  are increased, decreased, changed into, or exchanged for a
                  different number or kind of shares or securities of the
                  Company, whether through merger, consolidation,
                  reorganization, recapitalization, reclassification, stock
                  dividend, stock split, combination of shares, exchange of
                  shares, change in corporate structure, or the like, an
                  appropriate and proportionate adjustment shall be made in the
                  number and kinds of shares subject to the plan and in the
                  number, kinds, and per share exercise price of shares subject
                  to unexercised Options or portions thereof granted prior to
                  any such change. Any such adjustment in an outstanding Option,
                  however, shall be made without a change in the total price
                  applicable to the unexercised portion of the Option but with a
                  corresponding adjustment in the price for each share of Stock
                  covered by the Option.

         (b)      Upon dissolution or liquidation of the Company, or upon a
                  reorganization, merger, or consolidation in which the Company
                  is not the surviving corporation, or upon the sale of
                  substantially all of the assets of the Company to another
                  corporation, the Plan and the Options issued thereunder shall
                  terminate, unless provision is made in connection with such
                  transaction for the

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                  assumption of Options theretofore granted or the substitution
                  for such Options of new options of the successor employer
                  corporation or a parent or subsidiary thereof, with
                  appropriate adjustment as to the number and kinds of shares
                  and the per share exercise prices. In the event of such
                  termination, all outstanding Options shall be exercisable in
                  full for at least thirty (30) days prior to the termination
                  date whether or not otherwise exercisable during such period.

         (c)      In the event of a change in the Stock which is limited to a
                  change in the designation thereof to "capital stock" or other
                  similar designation, or in par value or no par value, without
                  increase or decrease in the number of issued shares, the
                  shares resulting from any such change shall be deemed to be
                  Stock within the meaning of this Plan.

         (d)      Adjustments under this Section shall be made by the Board,
                  whose determination as to what adjustment shall be made, and
                  the extent thereof, shall be conclusive. The Board shall have
                  the discretion and power in any such event to determine and to
                  make effective provision for the acceleration of time during
                  which the Option may be exercised, notwithstanding the
                  provisions of the Option setting forth the date or dates on
                  which all or any part of it may be exercised. No fractional
                  shares of Stock shall be issued under the Plan on account of
                  any adjustment specified above.

ARTICLE XI - COMPANY SUCCESSORS

11.1     IN GENERAL. If the Company shall be the surviving or resulting
         corporation in any merger, sale of assets or sale of stock,
         consolidation, or corporate reorganization (including a reorganization
         in which the holders of Stock receive securities of another
         corporation), any Award granted hereunder shall pertain to and apply to
         the securities to which a holder of Stock would have been entitled. The
         Board shall make such appropriate determinations and adjustments as it
         deems necessary so as to substantially preserve the rights and
         benefits, both as to the number of shares and otherwise, or
         Participants under this Plan.

ARTICLE XII - AMENDMENT

12.1     AMENDMENTS AND TERMINATION. The Plan shall terminate on the tenth
         (10th) anniversary of the initial effective date of the Plan and, in
         addition, the Board may at any time and from time to time alter, amend,
         suspend, or terminate this Plan in whole or in part, except (i) without
         such stockholder approval as may be required by law and the Company's
         charger, no such action may be taken which changes the minimum Option
         price, increases the maximum term of Options, materially increases

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         the benefits accruing to Participants hereunder, materially increases
         the number of securities that may be issued pursuant to this Plan
         (except as provided in Article X), extends the period of granting
         Awards hereunder, or materially modifies the requirements as to
         eligibility for participation hereunder, and (ii) without the consent
         of the Participant to whom any Award shall theretofore have been
         granted, no such action may be taken that adversely affects the rights
         of such Participant concerning such Award, except as such termination
         or amendment of this Plan is required by statute, or rules and
         regulations promulgated thereunder, or as otherwise permitted
         hereunder.

ARTICLE XIII - MISCELLANEOUS PROVISIONS

13.1     NONTRANSFERABILITY. Except by the laws of descent and distribution, no
         benefit provided hereunder shall be subject to alienation, assignment,
         or transfer by a Participant (or by any person entitled to such benefit
         pursuant to the terms of this Plan), nor shall it be subject to
         attachment or other legal process of whatever nature, and any attempted
         alienation, assignment, attachment, or transfer shall be void and of no
         effect whatsoever and upon any such attempt, the benefit shall
         terminate and be of no force or effect. During participant's lifetime,
         Options granted to the Participant shall be exercisable only by the
         Participant. Share of stock shall be delivered only into the hands of
         the Participant entitled to receive the same or into the hands of the
         Participant's authorized legal representative.

13.2     NO EMPLOYMENT RIGHT. Neither this Plan nor any action taken hereunder
         shall be construed as giving any right to any individual to be retained
         as a director, officer, or employee of the Company.

13.3     TAX WITHHOLDING. The Company shall have the right to deduct from all
         Awards paid by any federal, state, local, or employment taxes that it
         deems are required by law to be withheld with respect to such payments.
         In the case of Awards paid in Stock, the Participant receiving such
         Stock may be required to pay the Company an Amount required to be
         withheld with respect to such Stock. At the request of a Participant,
         such sums as may be required for the payment of any estimated or
         accrued income tax liability may be withheld and paid over to the
         governmental entity entitled to receive same.

13.4     ACCELERATION. Except as otherwise provided hereunder, the Board may in
         its discretion accelerate the time at which an Option granted hereunder
         may be exercised.

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13.5     FRACTIONAL SHARES. Any fractional shares concerning Awards shall be
         eliminated at the time of payment or payout by rounding down for
         fractions of less than one half (1/2) and rounding up for fractions
         equal to or more than one half (1/2).

13.6     GOVERNMENT AND OTHER REGULATIONS. The obligation of the Company to make
         payment of Awards in Stock or otherwise shall be subject to all
         applicable laws, rules, and regulations, and to such approvals by any
         government agencies as may be deemed necessary or appropriate by the
         Board. If Stock awarded hereunder may in certain circumstances be
         exempt from registration under the Securities Act of 1933, the Company
         may restrict its transfer in such manner as it deems advisable to
         ensure such exempt status.

13.7     INDEMNIFICATION. Each person who is or at any time serves as a member
         of the Board shall be indemnified and held harmless by the Company
         against and from (i) any loss, cost, liability, or expenses that may be
         imposed upon or reasonably incurred by such person in connection with
         or resulting from any claim, action, suit, or proceeding to which such
         person may be a party or in which such person may be involved by reason
         of any action or failure to act under this Plan; and (ii) any and all
         amounts paid by such person in satisfaction of judgment in any such
         action, suit, or proceeding relating to the Plan. Each person covered
         by this indemnification shall give the Company an opportunity, at its
         own expense, to handle and defend the same before such person
         undertakes to handle and defend the same on such person's own behalf.
         The foregoing right to indemnification shall not be exclusive of any
         other rights of indemnification to which such persons may be entitled
         under the charter or bylaws of the Company, as a matter of law, or
         otherwise, or any power that the Company may have to indemnify such
         person or hold such person harmless.

13.8     RELIANCE ON REPORTS. Each member of the Board shall be fully justified
         in relying or acting in good faith upon any report made by the
         independent public accountants of the Company, and upon any other
         information furnished in connection with this Plan. In no event shall
         any person who is or shall have been a member of the Board be liable
         for any determination made or other action taken or any omission to act
         in reliance upon any such report or information, or for any action
         taken, including the furnishing of information, or failure to act, if
         in good faith.

13.9     GOVERNING LAW. All matters relating to this Plan or to awards granted
         hereunder shall be governed by the laws of the State of Georgia,
         without regard to the principles of conflict of laws thereof, except to
         the extent preempted by the laws of the United States.

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13.10    RELATIONSHIP TO OTHER BENEFITS. No payment under this Plan shall be
         taken into account in determining any benefits under any pension,
         retirement, profit sharing, or group insurance plan of the Company.

13.11    EXPENSES. The expenses of implementing and administering this Plan
         shall be borne by the Company.

13.12    TITLES AND HEADINGS. The titles and headings of the Articles and
         sections in this Plan are for convenience of reference only, and in the
         event of any conflict, the text of this Plan, rather than such titles
         or headings, shall control.

13.13    USE OF PROCEEDS. Proceeds from the sale of Stock pursuant to Options
         granted under the Plan shall constitute general funds of the Company.

13.14    NONEXCLUSIVITY OF PLAN. Neither the adoption of the Plan by the Board
         nor the submission of the Plan to the stockholders of the Company for
         approval shall be construed as crating any limitation on the power of
         the Board to adopt such other incentive arrangements as it may deem
         desirable, including, without limitation, the granting of stock options
         otherwise than under the Plan, and such arrangements may be applicable
         either generally or only in specific cases.

         IN WITNESS WHEREOF, the Company has caused this Plan to be executed by
its duly authorized officer and its seal to be affixed hereto, effective, except
as specified to the contrary herein, as of July 13, 1999.

                                 CAPITOL CITY BANCSHARES, INC. (SEAL)

                                 BY:_____________________________________

                                 As  its:__________________________________

                                 CAPITOL CITY BANK & TRUST COMPANY (SEAL)

                                 BY:_____________________________________

                                 As  its:__________________________________

                                      -12-EXHIBIT 10.2

                        STOCK OPTION AGREEMENT UNDER THE
                 CAPITOL CITY BANCSHARES, INC. STOCK OPTION PLAN

         THIS STOCK OPTION AGREEMENT (the "Agreement") entered into this 13th
day of July, 1999, between CAPITOL CITY BANCSHARES, INC. (hereinafter called the
"Company"), a bank holding company incorporated under the laws of the State of
Georgia, and GEORGE G. ANDREWS (hereinafter called the "Employee"), a salaried
employee of Capitol City Bank and Trust Company, a wholly-owned subsidiary of
the Company (hereinafter called the "Bank").

                              W I T N E S S E T H:
                               -------------------

         WHEREAS, on the date first above written, the Company granted to the
Employee the option hereinafter described pursuant to, subject to and upon the
terms and conditions set forth in the Capitol City Bancshares, Inc. Stock Option
Plan adopted by the Board of Directors of the Company on July 13, 1999 (a copy
of which is incorporated herein by reference thereto and hereinafter called the
"Plan"), and promptly thereafter notified the Employee of the grant of such
option, and

         WHEREAS, the Company and the Employee desire to enter into this
Agreement to reduce their agreement relating to the grant of the option to
writing.

         NOW, THEREFORE, in consideration of the mutual covenants hereinafter
set forth, the good and valuable services rendered by the Employee to the Bank
in the past and to be rendered in the future, and for other good and valuable
consideration, the receipt and sufficiency of which the parties hereby
acknowledge, the parties hereto, intending to be legally bound, agree as
follows:

         1. GRANT OF OPTION. Pursuant to the Plan and action of the Board of
Directors of the Company on July 13, 1999, the Company does hereby irrevocably
grant to the Employee, as a matter of separate agreement and not in lieu of
salary or any other compensation for services, the right and option to purchase
ten thousand (10,000) shares (the "Shares") of the $6.00 par value common stock
of the Company as authorized at the date hereof (the "Common Stock") on the
terms and conditions herein set forth (hereinafter called the "Option").

         2. PURCHASE PRICE. The purchase price of the Shares of Common Stock
subject to the Option shall be Ten Dollars ($10.00) per share, the fair market
value of the Common Stock on the date of grant.

<PAGE>
         3.       VESTING OF OPTION.

                  (a) This Option to purchase Shares shall be vested immediately
and may be exercised by said Employee at any time during the term of this Option
as to the number of Shares.

         4.       EXERCISE OF OPTION.

                  (a) The Option shall be exercisable in whole, at any time, or
in part, from time to time, during the term of the Option as to all or any of
the Shares then purchasable under the Option, but not as to less than 100 shares
(or the remaining Shares then covered by the Option if less than 100 shares) at
any one time. The term of the Option shall be ten (10) years from the date
hereof or such shorter period as is prescribed in Paragraphs 4(d), 4(e), 4(f),
4(g) and 4(h) hereof. Provided, however, if such Employee should breach any
covenant regarding proprietary information or other protective covenants of an
employment agreement with the Company or Bank following termination, then any
Option granted hereunder but not exercised as of the date of such breach shall
be immediately forfeited.

                  (b) Except as provided in said Paragraphs 4(d), 4(e), 4(f),
4(g) and 4(h), this Option shall not be exercisable unless the Employee shall,
at the time of exercise, be an employee of the Company or a subsidiary of the
Company. The holder of the Option shall have none of the rights of a stockholder
with respect to the Shares of Common Stock subject to the Option until such
Shares shall have been issued to him upon the exercise of the Option.

                  (c) At the discretion of the Board of Directors or the
Committee (as the case may be) the time within which the Options herein granted
may be exercised may be accelerated.

                  (d) In the event that the employment of Employee with the
Company or Bank is terminated, voluntarily or involuntarily, by reason of a
Change in Control or retirement, all vested and exercisable Options granted
hereunder to such Employee shall be exercisable until the earlier of the Option
Termination Date or the date three (3) months after the date of such Employee's
date of termination and if not exercised within said three-month period shall be
forfeited.

                  (e) In the event that the employment of Employee with the
Company or Bank is terminated by reason of such Employee's death, all vested and
exercisable Options granted hereunder to such Employee shall be exercisable
until the earlier of the Option Termination Date or the date one year after the
date of death of such Employee and if not exercised within said one (1) year
period shall be forfeited. Any such vested Option of a

                                      -2-
<PAGE>

deceased Employee may be exercised prior to their expiration only by a personal
representative or a person or persons to whom such Employee's rights in the
Option pass by will or by the laws of descent and distribution.

                  (f) In the event that the employment of Employee with the
Company or Bank is terminated by reason of such Employee becoming Totally
Disabled, all vested and exercisable Options granted hereunder to such Employee
shall be exercisable until the earlier of the Option Termination Date or the
date one (1) year after the date of such Employee's Termination.

                  (g) In the event that the employment of Employee with the
Company or Bank is terminated for Cause, all vested and exercisable Options
granted hereunder to such Employee shall be exercisable until the earlier of the
Option Termination Date or the date thirty (30) days after Employee's date of
termination.

                  (h) In the event Employee is terminated for any reason other
than following a Change in Control, retirement, upon Employee's death or
becoming Totally Disabled, or for Cause, all vested and exercisable Options as
of such Employee's date of termination shall expire on the earlier of the Option
Termination Date or the date thirty (30) days after such Employee's date of
termination.

                  (i) A leave of absence approved in writing by the Board shall
not be deemed a termination of employment but no Option may be exercised during
any such leave of absence.

         5. NONTRANSFERABILITY OF OPTION. The Option shall not be transferable
by the Employee otherwise than by will or the laws of descent and distributions,
and the Option is exercisable, during his lifetime, only by him. More
particularly (but without limiting the generality of the foregoing), the Option
may not be assigned, transferred (except as aforesaid), pledged or hypothecated
in any way (whether by operation of law or otherwise), and shall not be subject
to execution, attachment or similar process. In the event of any attempted
assignment, transfer, pledge, hypothecation or other disposition of the Option
contrary to the provisions hereof, or the levy of any attachment or similar
process upon the Option, the Option shall be null and void and without effect.

         6.       CHANGE OF COMMON STOCK.

                  (a) In the event that the Common Stock of the Company, as
presently constituted, shall be changed into or exchanged for a different number
or kind of shares of stock or other securities of the corporation or of another
kind of shares of stock or other securities of the corporation or of another
corporation (whether by reason of merger,

                                      -3-
<PAGE>

consolidation, recapitalization, reclassification, split up, combination of
shares, or otherwise) or if the number of such shares of stock shall be
increased through the payment of a stock dividend, then there shall be
substituted for or added to each share of Common Stock of the Company which was
theretofore appropriated, or which thereafter may be subject to an Option under
the plan, the number and kind of shares of stock or other securities into which
each outstanding share of the Company shall be so changed or for which each such
share shall be exchanged or to which each such share shall be entitled, as the
case may be. Outstanding options shall also be appropriately amended by the
Board, as defined in the Plan, as to price and other terms, as may be necessary
to reflect the foregoing events.

                  (b) If there shall be any other change in the number or kind
of the outstanding shares of Common Stock of the Company, or of any stock or
other securities into which such stock shall have been changed, or for which it
shall have been exchanged, and if the Board or the Committee (as the case may
be) shall, in its sole discretion, determine that such change equitably requires
an adjustment in any option which was heretofore granted or which may thereafter
be granted under the plan, then such adjustment shall be made in accordance with
such determination.

                  (c) Fractional shares of Common Stock resulting from any
adjustments in Options pursuant to this section shall be settled as the Board or
Committee shall determine. The grant of an Option pursuant to the plan shall not
affect in any way the right or power of the Company to make adjustments,
reclassifications, reorganization or changes or its capital or business
structure, to merge, to consolidate, to dissolve, to liquidate or to sell or
transfer all or any parts of its business or assets.

         7.       MISCELLANEOUS.

                  (a) This Option Agreement does not confer upon the Employee
any right to continue in the employ of the Bank or of any parent corporation,
nor does it interfere in any way with the right of the Bank or of any such
parent corporation to terminate the employment of the Employee at any time.

                  (b) Subject to the terms and conditions of this Agreement, the
Option may be exercised by written notice to the Company at its corporate
headquarters in Atlanta, Georgia, Attention: Secretary of Capitol City
Bancshares, Inc. Such notice shall (a) state the election to exercise the Option
and the number of Shares in respect of which it is being exercised, and (b) be
signed by the person or persons so exercising the Option or, in the event the
Option is being exercised pursuant to Paragraph 4(e) hereof by any person or
persons other than the Employee, accompanied by appropriate proof of the right
of such person or persons other than the Employee to exercise the Option. Such
notice shall either (i) be accompanied by payment of the full purchase price of
such Shares, in which event the

                                      -4-
<PAGE>

Company shall issue and deliver a certificate or certificates representing such
Shares as soon as practicable after the notice is received, or (ii) fix a date
(not less than five nor more than ten business days from the date such notice is
received by the Company for the payment of the full purchase price of such
Shares at the Company's principal office, against delivery of a certificate or
certificates representing such Shares. Payment of such purchase price shall, in
either case, be made by certified or bank cashier's check payable to the order
of "Capitol City Bancshares, Inc." or by delivery of shares of the Company owned
by the Director with a market value in the amount of the exercise price of the
Shares being purchased. All Shares issued as provided herein will be fully paid
and nonassessable.

                  (c) The Company shall at all times during the term of this
Option reserve and keep available such number of shares of Common Stock as will
be sufficient to satisfy the requirements of this Option Agreement, shall pay
all fees and expenses necessarily incurred by the Company in connection with the
issue of Shares pursuant hereto and will from time to time use its best efforts
to comply with all laws and regulations which, in the opinion of counsel for the
Company, shall be applicable thereto.

                  (d) As used herein, the term "parent corporation" shall mean
any present or future parent corporation of the Bank.

                  (e) This Option Agreement has been entered into pursuant to
Article VIII of the Plan and the Option shall not be exercisable until all the
terms and conditions of such section have been met.

                  (f) The Option is effective as of the date hereof, subject as
to exercise of Paragraphs 4 and 7(h), but shall expire thirty (30) days after
the date of grant if the Employee does not execute and deliver a copy of this
Option Agreement to the Company on or prior to that date.

                  (g) Notwithstanding any other provision of this Agreement to
the contrary, it is the intention that the Option qualify as an "incentive stock
option" under said Section 422 of the Code and the Plan. This Agreement is also
deemed to contain such other terms or conditions as may be necessary (and not
contain any terms or conditions inconsistent with said Section 422) so that the
Option qualifies as an incentive stock option under said Section 422 of the
Code.

                  (h) As a condition to the exercise of an Option, the Board may
in its sole discretion, require the Employee to pay, in addition to the purchase
price of the Shares covered by the Option, an amount in cash or shares equal to
any federal, state and local taxes that may be required to be withheld in
connection with the exercise of such Option.

                                      -5-
<PAGE>

                  (i) Employee will promptly give the Company written notice at
its corporate headquarters, now in Atlanta, Georgia, Attention: Secretary of
Capitol City Bancshares, Inc., of any sale of any Shares purchased pursuant to
the Option which is made within twelve months after the date of exercise of the
Option or twenty-four months from the date of grant.

                  (j) This Stock Option Agreement has been entered into pursuant
to and shall be governed by the laws of the State of Georgia.

                  (k) All capitalized terms in this Agreement not defined herein
                      shall have the same meaning as given such terms in the
                      Plan.

         IN WITNESS WHEREOF, the Company has caused this Option Agreement to be
exercised by its duly authorized officers, and the Employee has hereunto set his
hand and affixed his seal, the day and year first above written.

"COMPANY"                          "EMPLOYEE"

CAPITOL CITY BANCSHARES, INC.

BY:______________________________   _________________________________
       Chairman                     GEORGE G. ANDREWS

ATTEST:__________________________
              Secretary

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