FINANCIAL HIGHLIGHTS (1) All per share amounts have been adjusted to give effect to the 5% stock dividends paid in December 2012, 2011, 2010, 2009 and 2008. (2) Presented on a taxable equivalent basis, using a 34% federal tax rate. 4 2012 2011 2010 2009 2008 Selected Financial Data: 4 1 2 , 2 0 6 $ 7 6 1 , 4 8 5 $ 6 0 5 , 1 6 5 $ 0 4 2 , 8 9 5 $ 7 6 0 , 4 1 6 $ s t e s a l a t o T Loans, net 315,914 310,081 306,668 342,738 365,772  7 9 2 , 1 7 1 9 1 6 , 9 6 1 2 7 8 , 5 7 1 5 8 8 , 4 0 2 8 3 5 , 8 1 2 s e i t i r u c e s t n e m t s e v n I Cash and cash eq 8 7 3 7 3 2 5 3 7 9 1 0 5 7 1 0 2 9 4 s t n e l a v u Dep 6 4 5 , 9 4 5 9 5 , 8 3 4 4 1 , 1 3 4 4 3 1 , 4 5 4 5 , 2 8 4 s t i s o Borrowing 6 3 4 0 1 3 8 1 2 8 0 3 0 7 7 9 5 6 7 7 6 9 9 5 s Stockholders’ equity $ 63,333 $ 59,120 $ 53,817 $ 53,895 $ 51,406  Selected Operating Data: 2 3 0 , 8 1 $ 0 8 1 , 8 1 $ 6 4 0 , 8 1 $ 7 2 9 , 7 1 $ 2 4 1 , 8 1 $ e m o c n i t s e r e t n i t e N 0 4 2 0 3 3 0 9 5 0 0 0 2 0 0 9 s e s o l n a l r o f n o i s v o r P Non-interest income 12,020 8,901 9,140 8,436 7,045  Investment securities gains (losses) 2 7 1 4 1 1 3 2 4 t e n , (952) 497 Non-interest expense 20,504 19,954 20,030 18,946 17,511  Income tax expense (benefit) 1,814 504 (615) 146 1,110  Net earning 3 5 , 4 $ 2 7 2 , 3 $ 3 4 0 , 2 $ 4 8 4 , 4 $ 7 6 3 , 6 $ s Diluted earnings per share  (1) 2.16 1.54 0.70 1.13 1.55  Dividends per share  (1) 0.72 0.69 0.65 0.63 0.60  Book value per common share outstanding (1) $ 21.67 $ 20.23 $ 18.51 $ 18.70 $ 17.83  Other Data: Return on averag % 5 7 . 0 % 4 5 . 0 % 5 3 . 0 % 8 7 . 0 % 1 0 . 1 s t e s a e Return on average equity 10.34% 7.98% 3.73% 6.18% 8.98% Equity % 4 5 . 8 % 3 2 . 9 % 8 5 . 9 % 8 8 . 9 % 1 3 . 0 1 s t e s a l a t o t o t Net interest rate spread  (2) 3.36% 3.67% 3.65% 3.39% 3.25% Net interest margin  (2) 3.47% 3.77% 3.78% 3.57% 3.51% Non-performing % 8 2 . 1 % 8 4 . 2 % 3 6 . 1 % 0 8 . 0 % 8 8 . 1 s t e s a l a t o t o t s t e s a Non-performing loans to net loans 2.84% 0.45% 1.55% 3.45% 1.56% % 5 0 . 1 % 7 5 . 1 % 0 6 . 1 % 0 5 . 1 % 3 4 . 1 s n a o l l a t o t o t s e s o l n a o l r o f e c n a w o l A Dividend pay 0 1 8 3 2 5 5 1 3 2 9 2 7 4 4 3 3 i t a r t u o Number of full service banking offices 22 21 21 21 20 At or for the years ended December 31,  (Dollars in thousands, except per share amounts) Risk Based Capital Ratio at December 31, 2012 * " * " $ " $ " ) * ) % " " $ " & " ( " * " # " " # $ " # & " # ( " # * " $ " " > S ` V _ S d ] 4 S ` U a d b > S ` V _ S d ] @ S f [ a ` S ^ 4 S ` ] 7 j U W e e d W Y g ^ S f a d k U S b [ f S ^ D S f [ a d W c g [ d W V f a T W I W ^ ^ 5 S b [ f S ^ [ l W V D S f [ a d W c g [ d W V f a T W I W ^ ^ 5 S b [ f S ^ [ l W V Composition at December 31, 2012 5 a _ _ W d U [ S ^ $ " $ 5 a _ _ W d U [ S ^ D 7 $ ) ) # & X S _ [ ^ k D 7 $ ) ( ? g ` [ U [ b S ^ % # 5 a ` e f d g U f [ a ` S ` V > S ` V ) % 5 a ` e g _ W d & $ 3 Y d [ U g ^ f g d W # " "