-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 HJIYY8m1EkRTCr7uCQvasJ5Eealu72ULecaGCrieQtmF871UGdQ+pUFpp1Diwq0W
 oQszKONnCHVkpoqOSJSOSw==

<SEC-DOCUMENT>0000950144-09-002908.txt : 20090403
<SEC-HEADER>0000950144-09-002908.hdr.sgml : 20090403
<ACCEPTANCE-DATETIME>20090403132401
ACCESSION NUMBER:		0000950144-09-002908
CONFORMED SUBMISSION TYPE:	DEF 14A
PUBLIC DOCUMENT COUNT:		5
CONFORMED PERIOD OF REPORT:	20090505
FILED AS OF DATE:		20090403
DATE AS OF CHANGE:		20090403
EFFECTIVENESS DATE:		20090403

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			ATLANTIC AMERICAN CORP
		CENTRAL INDEX KEY:			0000008177
		STANDARD INDUSTRIAL CLASSIFICATION:	LIFE INSURANCE [6311]
		IRS NUMBER:				581027114
		STATE OF INCORPORATION:			GA
		FISCAL YEAR END:			0228

	FILING VALUES:
		FORM TYPE:		DEF 14A
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-03722
		FILM NUMBER:		09731208

	BUSINESS ADDRESS:	
		STREET 1:		4370 PEACHTREE RD NE
		CITY:			ATLANTA
		STATE:			GA
		ZIP:			30319
		BUSINESS PHONE:		4042665500

	MAIL ADDRESS:	
		STREET 1:		4370 PEACHTREE ROAD
		CITY:			ATLANTA
		STATE:			GA
		ZIP:			30319
</SEC-HEADER>
<DOCUMENT>
<TYPE>DEF 14A
<SEQUENCE>1
<FILENAME>g18364def14a.htm
<DESCRIPTION>DEF 14A
<TEXT>
<HTML>
<HEAD>
<TITLE>DEF 14A</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>
<div style="margin-top: 6pt" align="center">
<B><FONT size="2">UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION<BR>
Washington, D.C. 20549</FONT></B>
</DIV>

<div style="margin-top: 6pt" align="center">
<B><FONT size="2">SCHEDULE 14A</FONT></B></DIV>

<div style="margin-top: 6pt" align="center">
<FONT size="2">Proxy Statement Pursuant to Section 14(a) of
the Securities</FONT></DIV>

<DIV align="center">
<FONT size="2">Exchange Act of 1934 (Amendment No.
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;)</FONT>
</DIV>

<div style="margin-top: 6pt" align="left">
<FONT size="2">Filed by the Registrant&nbsp;
<FONT face="wingdings">&#120;</FONT>
</FONT></DIV>

<div style="margin-top: 6pt" align="left">
<FONT size="2">Filed by a Party other than the Registrant&nbsp;
<FONT face="wingdings">&#111;</FONT>
</FONT></DIV>

<div style="margin-top: 6pt" align="left"><FONT size="2">
Check the appropriate box:
</font></DIV>





<CENTER>
<TABLE width="100%" align="center" cellspacing="0" cellpadding="0" border="0">

<TR style="font-size: 6pt">
        <TD width="49%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="3%"><FONT size="2">&nbsp;</FONT></TD>
        <TD width="48%"><FONT size="2">&nbsp;</FONT></TD>
</TR>

<TR>
        <TD align="left" valign="top">

<FONT size="2"><FONT face="wingdings">&#111;</FONT>&nbsp;&nbsp;Preliminary
Proxy Statement</FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="left" valign="top">
        <DIV style="margin-left:10px; text-indent:-10px">
        <FONT size="2"><FONT face="wingdings">&nbsp;</FONT>&nbsp;
        </FONT></DIV>
        </TD>
</TR>


<TR>
        <TD colspan="3" align="left" valign="top">

<FONT size="2"><FONT face="wingdings">&#111;</FONT>&nbsp;&nbsp;<B>Confidential,
for Use of the Commission Only (as permitted by Rule 14a-6(e)(2))</B></FONT></TD>
        <TD><FONT size="2">&nbsp;</FONT></TD>
        <TD align="left" valign="top">
        <DIV style="margin-left:10px; text-indent:-10px">
        <FONT size="2"><FONT face="wingdings">&nbsp;</FONT>&nbsp;
        </FONT></DIV>
        </TD>
</TR>

<TR>
        <TD colspan="3" align="left" valign="top">
        <FONT size="2"><FONT face="wingdings">&#120;</FONT>&nbsp;&nbsp;Definitive
        Proxy Statement
        </FONT></TD>
</TR>

<TR>
        <TD colspan="3" align="left" valign="top">
        <FONT size="2"><FONT face="wingdings">&#111;</FONT>&nbsp;&nbsp;Definitive
        Additional Materials
        </FONT></TD>
</TR>

<TR>
        <TD colspan="3" align="left" valign="top">
        <FONT size="2"><FONT face="wingdings">&#111;</FONT>&nbsp;&nbsp;Soliciting
        Material Pursuant to &#167;240.14a-12
        </FONT></TD>
</TR>
</TABLE>
</CENTER>

<P align="center"><font size="2">ATLANTIC AMERICAN CORPORATION</FONT>


<DIV align="center">
<HR size="1" width="100%" align="left" noshade>
</DIV>

<DIV align="center">
<FONT size="2">(Name of Registrant as Specified In Its Charter)
</FONT>
</DIV>

<P align="center">


<DIV align="left">
<HR size="1" width="100%" align="left" noshade>
</DIV>

<DIV align="center">
<FONT size="2">(Name of Person(s) Filing Proxy Statement, if
other than the Registrant)
</FONT>
</DIV>

<P align="left">
<FONT size="2">Payment of Filing Fee (Check the appropriate box):
</FONT>


<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR style="font-size: 6pt">
        <TD width="4%">&nbsp;</TD>
        <TD width="96%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2"><FONT face="wingdings">&#120;</FONT></FONT></TD>
        <TD align="left">
        <FONT size="2">No fee required.
        </FONT></TD>
</TR>

<TR>
        <TD>&nbsp;</TD>
</TR>

<TR valign="top">
        <TD><FONT size="2"><FONT face="wingdings">&#111;</FONT></FONT></TD>
        <TD align="left">
        <FONT size="2">Fee computed on table below per Exchange Act
        Rules&nbsp;14a-6(i)(4) and 0-11.
        </FONT></TD>
</TR>
</TABLE>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)</FONT></TD>
        <TD align="left">
        <FONT size="2">Title of each class of securities to which
        transaction applies:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)</FONT></TD>
        <TD align="left">
        <FONT size="2">Aggregate number of securities to which
        transaction applies:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)</FONT></TD>
        <TD align="left">
        <FONT size="2">Per unit price or other underlying value of
        transaction computed pursuant to Exchange Act Rule&nbsp;0-11
        (set forth the amount on which the filing fee is calculated and
        state how it was determined):
        </FONT></TD>
</TR>

</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>


<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)</FONT></TD>
        <TD align="left">
        <FONT size="2">Proposed maximum aggregate value of transaction:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>


<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR style="font-size: 6pt">

        <TD width="9%">&nbsp;</TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5)</FONT></TD>
        <TD align="left">
        <FONT size="2">Total fee paid:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>


<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR style="font-size: 6pt">

        <TD width="4%">&nbsp;</TD>
        <TD width="96%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2"><FONT face="wingdings">&#111;</FONT></FONT></TD>
        <TD align="left">
        <FONT size="2">Fee paid previously with preliminary materials.
        </FONT></TD>
</TR>
<tr>
<TD style="font-size:6pt">&nbsp;</TD>
</TR>


<TR valign="top">
        <TD><FONT size="2"><FONT face="wingdings">&#111;</FONT></FONT></TD>
        <TD align="left">
        <FONT size="2">Check box if any part of the fee is offset as
        provided by Exchange Act Rule&nbsp; 0-11(a)(2) and identify the
        filing for which the offsetting fee was paid previously.
        Identify the previous filing by registration statement number,
        or the Form or Schedule and the date of its filing.
        </FONT></TD>
</TR>
</TABLE>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)</FONT></TD>
        <TD align="left">
        <FONT size="2">Amount Previously Paid:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)</FONT></TD>
        <TD align="left">
        <FONT size="2">Form, Schedule or Registration Statement No.:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)</FONT></TD>
        <TD align="left">
        <FONT size="2">Filing Party:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>
<P>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0">

<TR>
        <TD width="9%"></TD>
        <TD width="91%"></TD>
</TR>

<TR valign="top">
        <TD><FONT size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4)</FONT></TD>
        <TD align="left">
        <FONT size="2">Date Filed:
        </FONT></TD>
</TR>
</TABLE>

<P align="right">
<HR size="1" width="91%" align="right" noshade>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<DIV style="font-family: 'Times New Roman',Times,serif">
<!-- TOC -->
<A name="toc"><DIV align="CENTER" style="page-break-before:always"><U><B>TABLE OF CONTENTS</B></U></DIV></A>

<P><CENTER>
<TABLE border="0" width="90%" cellpadding="0" cellspacing="0">
<TR>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="3%"></TD>
	<TD width="76%"></TD>
</TR>
<TR><TD colspan="9"><A HREF="#000">SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT</A></TD></TR>
<TR><TD colspan="9"><A HREF="#001">SECTION 16(a) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE</A></TD></TR>
<TR><TD colspan="9"><A HREF="#002">COMPENSATION DISCUSSION AND ANALYSIS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#003">EXECUTIVE COMPENSATION</A></TD></TR>
<TR><TD colspan="9"><A HREF="#004">2. RATIFICATION OF THE APPOINTMENT OF THE COMPANY&#146;S INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</A></TD></TR>
<TR><TD colspan="9"><A HREF="#005">CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#006">OTHER BUSINESS</A></TD></TR>
<TR><TD colspan="9"><A HREF="#007">SHAREHOLDER PROPOSALS</A></TD></TR>
</TABLE>
</CENTER>
<!-- /TOC -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><IMG src="g18364g1836401.gif" alt="(ATLANTIC AMERICAN CORPORATION LOGO)">
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ATLANTIC AMERICAN CORPORATION<BR>
4370 Peachtree Road, N.E.<BR>
Atlanta, Georgia 30319-3000</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>NOTICE OF ANNUAL MEETING OF SHAREHOLDERS<BR>
TO BE HELD MAY 5, 2009</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Notice is hereby given that the Annual Meeting of Shareholders of Atlantic American Corporation
(the &#147;Company&#148;) will be held at the principal executive offices of the Company at 4370 Peachtree
Road, N.E., Atlanta, Georgia at 9:00 A.M., Eastern Time, on May&nbsp;5, 2009, for the following
purposes:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(1)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To elect ten (10)&nbsp;directors of the Company for the ensuing year;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(2)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To ratify the appointment of BDO Seidman, LLP as the Company&#146;s independent registered
public accounting firm for the 2009 fiscal year; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left">(3)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>To transact such other business as may properly come before the meeting or any
adjournments or postponements thereof.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Only shareholders of record at the close of business on March&nbsp;16, 2009, will be entitled to notice
of, and to vote at, the meeting, or any adjournments or postponements thereof.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">WHETHER OR NOT YOU PLAN TO ATTEND THE MEETING IN PERSON, PLEASE COMPLETE, SIGN, DATE AND RETURN THE
ENCLOSED PROXY. NO POSTAGE IS REQUIRED WHEN MAILED IN THE ENCLOSED ENVELOPE IN THE UNITED STATES.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">By Order of the Board of Directors

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%"><IMG src="g18364g1836402.gif" alt="-s- JOHN G. SAMPLE, JR.">

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 50%">John G. Sample, Jr.<BR>
Senior Vice President, Chief Financial Officer and<BR>
Acting Secretary

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">April&nbsp;3, 2009<BR>
Atlanta, Georgia

</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>ATLANTIC AMERICAN CORPORATION<BR>
4370 Peachtree Road, N.E.<BR>
Atlanta, Georgia 30319-3000</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>PROXY STATEMENT<BR>
FOR THE ANNUAL MEETING OF SHAREHOLDERS<BR>
TO BE HELD MAY 5, 2009</B><BR>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 16pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>GENERAL</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This proxy statement is being furnished in connection with the solicitation of proxies by the Board
of Directors of Atlantic American Corporation (the &#147;Company&#148;) for use at the 2009 Annual Meeting of
Shareholders (the &#147;Meeting&#148;) to be held at the time and place, and for the purposes, specified in
the accompanying Notice of Annual Meeting of Shareholders, and at any postponements or adjournments
thereof. When the enclosed proxy is properly executed and returned, or you vote your proxy through
the Internet as provided for on the enclosed proxy card, the shares which it represents will be
voted at the Meeting in accordance with the instructions thereon. In the absence of any such
instructions, the shares represented thereby will be voted in favor of the election of all of the
nominees for director listed under the caption &#147;Election of Directors&#148; and for the ratification of
the appointment of BDO Seidman, LLP as the Company&#146;s independent registered public accounting firm
for 2009. Management does not know of any other business to be brought before the Meeting not
described herein, but it is intended that as to any such other business properly brought before the
Meeting, a vote will be cast pursuant to any proxy granted in accordance with the judgment of the
proxies appointed thereunder. This proxy statement and the accompanying form of proxy are first
being given or sent to shareholders of the Company, and made available on the Internet, on or about
April&nbsp;3, 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Any shareholder who executes and delivers a proxy, or votes a proxy through the Internet, may
revoke it at any time prior to its use by: (i)&nbsp;giving written notice of such revocation to the
Acting Secretary of the Company at 4370 Peachtree Road, N.E., Atlanta, Georgia 30319-3000; (ii)
executing and delivering a proxy bearing a later date to the Acting Secretary of the Company at
4370 Peachtree Road, N.E., Atlanta, Georgia 30319-3000; (iii)&nbsp;voting, or re-voting, as the case may
be, a proxy over the Internet at a later date; or (iv)&nbsp;attending the Meeting and voting in person.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Only holders of record of issued and outstanding shares of $1.00 par value per share common stock
of the Company (&#147;Common Stock&#148;) as of March&nbsp;16, 2009 (the &#147;Record Date&#148;) will be entitled to notice
of, and to vote at, the Meeting. On the Record Date, there were 23,323,595 shares of Common Stock
outstanding. Each share of Common Stock is entitled to one vote on each matter to be acted upon.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B>IMPORTANT NOTICE REGARDING THE AVAILABILITY OF PROXY MATERIALS FOR SHAREHOLDER MEETING TO BE HELD
ON MAY 5, 2009.</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The proxy statement is available at <u>www.atlam.com.</u>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>ANNUAL REPORT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A copy of the Company&#146;s Annual Report on Form 10-K for the year ended December&nbsp;31, 2008 is being
provided with this proxy statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>EXPENSES OF SOLICITATION</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The costs of soliciting proxies will be borne by the Company. Officers, directors and employees of
the Company may solicit proxies by telephone, personal interview or otherwise, but will not receive
any additional compensation for so doing. No contract or arrangement exists for engaging
specially-paid employees or solicitors in connection with the solicitation of proxies for the
Meeting. Arrangements may be made with brokerage houses and other custodians, nominees and
fiduciaries holding shares for a beneficial owner to send proxies and proxy materials to their
principals, and the Company will reimburse them for their expenses in so doing.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>VOTE REQUIRED</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A majority of the outstanding shares of Common Stock must be present in person or by proxy at the
Meeting in order to have the quorum necessary to transact business. Abstentions and broker
&#147;non-votes&#148; will be counted as present in determining whether the quorum requirement is satisfied.
A &#147;non-vote&#148; occurs when a custodian, nominee or fiduciary holding shares for a beneficial owner
votes on one proposal pursuant to discretionary authority or instructions from the beneficial
owner, but does not vote on another proposal because the nominee has not received instruction from
the beneficial owner and does not have discretionary authority to vote with respect to such other
proposal. Directors are elected by the affirmative vote of a plurality of the shares of Common
Stock present in person or by proxy and actually voting at the Meeting at which a quorum is
present. In order for shareholders to approve each other matter to be voted on at the Meeting, the
votes cast favoring the proposal must exceed the votes cast opposing the proposal. Abstentions and
non-votes will not count as votes for or against any director or proposal, as the case may be, as
to which there is an abstention or non-vote.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>1. ELECTION OF DIRECTORS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">One of the purposes of the Meeting is to elect ten directors to serve until the next annual meeting
of shareholders and until their successors have been elected and qualified or until their earlier
resignation or removal. In the event any of the nominees should be unavailable to serve as a
director, which contingency is not presently anticipated, proxies will be voted for the election of
such other persons as may be designated by the present Board of Directors.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">All of the nominees for election to the Board of Directors are currently Directors of the Company.
There are no arrangements or understandings between any nominee and any other person pursuant to
which such nominee was selected as a nominee or is to be elected as a director. One current
director of the Company, Mark C. West, has advised the Company that, due to certain other
significant commitments, he does not desire to stand for reelection at the Meeting.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The
following information is set forth with respect to the ten nominees for Director to be
elected at the Meeting:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="25%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="59%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Name</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Age</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left"><B>Position with the Company</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR style="font-size: 1px">
    <TD colspan="7" valign="top" align="left" style="border-top: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">J. Mack Robinson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">85</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chairman Emeritus</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Hilton H. Howell, Jr.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">47</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chairman of the Board, President and
Chief Executive Officer</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Edward E. Elson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">75</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Harold K. Fischer
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">76</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Samuel E. Hudgins
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">80</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">D. Raymond Riddle
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">75</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Harriett J. Robinson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">78</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Scott G. Thompson
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">64</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">William H. Whaley, M.D.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">69</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Dom H. Wyant
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">82</TD>
    <TD nowrap valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Robinson has served as a Director since 1974, served as Chairman of the Board since 1974 until
February&nbsp;24, 2009 and served as President and Chief Executive Officer of the Company from September
1988 to May&nbsp;1995. Effective February&nbsp;24, 2009, Mr.&nbsp;Robinson resigned his position as Chairman of
the Board and assumed the role of Chairman Emeritus. Mr.&nbsp;Robinson is also a Director of Gray
Television, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Howell has been President and Chief Executive Officer of the Company since May&nbsp;1995, and prior
thereto served as Executive Vice President of the Company from October&nbsp;1992 to May&nbsp;1995. He has
been a Director of the Company since October&nbsp;1992 and effective February&nbsp;24, 2009, assumed the
title of Chairman of the Board of Directors. Mr.&nbsp;Howell is the son-in-law of Mr.&nbsp;Robinson. He is
also a director of Triple Crown Media, Inc. and Gray Television, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Elson is the former Ambassador of the United States of America to the Kingdom of Denmark,
serving from 1993 through 1998. He has been a Director of the Company since October&nbsp;1998, and
previously served as a Director from 1986 to 1993.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Fischer is the retired President of Association Casualty Insurance Company and Association Risk
Management General Agency, Inc., former subsidiaries of the Company, positions which he held from
1984 through June&nbsp;2001. He has been a Director of the Company since July&nbsp;1999, when the Company
originally acquired those former subsidiaries, which have since been divested.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Hudgins has been an independent consultant since September&nbsp;1997 and was a Principal in
Percival, Hudgins &#038; Company, LLC, an investment bank, from April&nbsp;1992 to September&nbsp;1997. He has
been a Director of the Company since 1986.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Riddle is the retired Chairman and Chief Executive Officer of National Service Industries,
Inc., a diversified holding company, positions he held from September&nbsp;1994 to February&nbsp;1996. Prior
thereto, he served as the President and Chief Executive Officer of National Service Industries
since January&nbsp;1993. Prior thereto, he was President of Wachovia Bank of Georgia, N.A., the
President of Wachovia Corporation of Georgia and Executive Vice President of Wachovia Corporation.
He has been a Director of the Company since 1976, and also serves as a Director of AMC, Inc. and
AGL Resources, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mrs.&nbsp;Robinson, the wife of J. Mack Robinson, has been a Director of the Company since 1989. She is
also a Director of Gray Television, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Thompson has been the President and Chief Executive Officer of American Southern Insurance
Company, a subsidiary of the Company, since 2004; prior thereto he had been the President and Chief
Financial Officer of that company since 1984. He has been a Director of the Company since February
1996.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dr.&nbsp;Whaley has been a physician in private practice for more than the past five years. He has been
a Director of the Company since July&nbsp;1992.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;Wyant is a retired partner of the law firm of Jones Day, which serves as counsel to the
Company. He was a Partner with that firm from 1989 through 1994, and Of Counsel from 1995 through
1997. He has been a Director of the Company since 1985.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Board of Directors recommends a vote <B>FOR </B>the election of each of the nominees for Director.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Committees of The Board of Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As a result of the level of beneficial ownership of our Common Stock by J. Mack Robinson, one of
our director nominees and currently Chairman Emeritus, and his affiliates, the Company meets the
definition of a &#147;controlled company&#148; as defined pursuant to Rule&nbsp;4350(c)(5) of the National
Association of Securities Dealers, Inc. Marketplace Rules (the &#147;NASDAQ Rules&#148;). Accordingly, the
Company is exempt from certain requirements of the NASDAQ Rules, including the requirement that a
majority of its Board of Directors be independent, as defined in such rules, the requirement that
director nominees be selected, or recommended for the board&#146;s selection, by either a majority of
the independent directors or a nominating committee comprised solely of independent directors, and
certain requirements relating to the determination of executive officer compensation.
Notwithstanding this, however, the Board of Directors has determined that the following individuals
are &#147;independent&#148; pursuant to the NASDAQ Rules for purposes of serving as a member of the Board of
Directors: Edward E. Elson, Harold K. Fischer, D. Raymond Riddle, Mark C. West and Dom H. Wyant.
As described above, Mr.&nbsp;West has advised the Company that he does not desire to stand for
reelection at the Meeting. As a result, from and after the Meeting, he will cease to be a director
and to be a member of any committee of the Board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Board of Directors of the Company has three standing committees: the Executive Committee, the
Stock Option and Compensation Committee and the Audit Committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Executive Committee is composed of Messrs.&nbsp;Robinson, Howell and Hudgins, and Dr.&nbsp;Whaley. The
Executive Committee&#146;s function is to act in the place and stead of the Board of Directors to the
extent permitted by law on matters which require Board action between meetings of the Board of
Directors. The Executive Committee of the Company did not meet or act by written consent during
2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Stock Option and Compensation Committee is composed of Messrs.&nbsp;Elson, Riddle and West and Dr.
Whaley, Chairman, each of whom, with the exception of Dr.&nbsp;Whaley, is &#147;independent&#148; pursuant to the
NASDAQ Rules. The Stock Option and Compensation Committee&#146;s function is to establish the number of
stock options to be granted to officers and key employees and the annual salaries and bonus amounts
payable to officers of the Company. The Stock Option and Compensation Committee met two times
during 2008. Due to its status as a &#147;controlled company&#148;, and the related historically low
turnover among Board and Committee members, as well as among the Company&#146;s executive officers, the
Board has not foreseen a need to adopt a charter to govern the Stock Option and Compensation
Committee&#146;s functions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Audit Committee is composed of Messrs.&nbsp;Elson, Riddle, West and Wyant. Certain information
regarding the functions performed by the Audit Committee and its membership during 2008 is set
forth in the &#147;Report of the Audit Committee,&#148; included below. The Board of Directors has
determined that all of the members of the Audit Committee are &#147;independent&#148; for purposes of being
an Audit Committee member, and financially literate, as such terms are defined in the NASDAQ Rules
and the rules of the Securities and Exchange Commission. In addition, the Board of Directors has
determined that three of the members of the Audit Committee, Messrs.&nbsp;Elson, Riddle and West, each
is an &#147;audit committee financial expert&#148; as defined by the Securities and Exchange Commission in
Item 407(d) of Regulation&nbsp;S-K. In making such determination, the Board took into consideration,
among other things, the express provision in Item 407(d) of Regulation&nbsp;S-K that the determination
that a person is an audit committee financial expert shall not impose any greater responsibility or
liability on that person than the responsibility and liability imposed on such person as a member
of the Audit Committee, nor shall it affect the duties and obligations of other Audit Committee
members or the Board of Directors. The Audit Committee has a written charter which sets out its
authority and responsibilities, a copy of which is available on the Company&#146;s website,
<u>www.atlam.com.</u> The Audit Committee met or acted by written consent five times during 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Due to its status as a &#147;controlled company,&#148; and the related historically small turnover of its
members, the Board has not foreseen the need to establish a separate nominating committee or adopt
a charter to govern the nomination process. The Board of Directors has generally addressed the
need to retain members and fill vacancies after discussion among current members, or the members of
the Executive Committee, if necessary in lieu of the full Board, and the Company&#146;s management. The
Board of Directors does not have any specific qualifications that are required to be met by
director candidates and does not have a formal process for identifying and evaluating director
candidates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Additionally, the Board of Directors does not have a formal policy with respect to the
consideration of any director candidates recommended by shareholders and has determined that it is
appropriate not to have such a formal policy at this time. The Board of Directors, however, will
give due consideration to director candidates recommended by shareholders. Any shareholder that
wishes to nominate a director candidate should submit complete information as to the identity and
qualifications of the director candidate to the Board of Directors at the address and in the manner
set forth below for communication with the Board.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Board of Directors met or acted by written consent five times in 2008. Each of the Directors
named above attended at least 75% of the meetings of the Board and its committees of which he or
she was a member during 2008. The Company does not have a formal policy regarding Director
attendance at its annual meetings, but attendance by the Directors is encouraged and expected. At
the Company&#146;s 2008 annual meeting of shareholders, ten of the Company&#146;s directors were in
attendance.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Shareholders may communicate with members of the Board of Directors by mail addressed to the full
Board of Directors, a specific member of the Board of Directors or a particular committee of the
Board of Directors, at Atlantic American Corporation, 4370 Peachtree Road, N.E., Atlanta, Georgia
30319.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Report of the Audit Committee</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Audit Committee (the &#147;Committee&#148;) oversees the Company&#146;s (i)&nbsp;financial reports and other
financial information; (ii)&nbsp;systems of internal controls regarding finance, accounting, legal
compliance and ethics; and (iii)&nbsp;auditing, accounting and financial reporting processes. The
Company&#146;s management has the primary responsibility for the financial statements and the reporting
processes, including the systems of internal controls. In fulfilling its oversight
responsibilities, the Committee reviewed and discussed with management the audited financial
statements of the Company as of and for the year ended December&nbsp;31, 2008, including a discussion of
the accounting principles, the reasonableness of significant accounting judgments and estimates,
and the clarity of disclosures in the financial statements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company&#146;s independent registered public accounting firm is responsible for performing an audit
of the Company&#146;s financial statements in accordance with standards of the Public Company Accounting
Oversight Board (United States) and expressing an opinion thereon. During 2008, the Committee
reviewed with the independent auditors for the 2008 fiscal year their judgments as to the quality,
not just the acceptability, of the Company&#146;s accounting principles and such other matters as are
required to be discussed with the Committee under auditing standards generally accepted in the
United States, including the items set out in Statement on Auditing Standards No.&nbsp;61, <I>Communication
with Audit Committees, </I>as amended, promulgated by the Auditing Standards Board of the American
Institute of Certified Public Accountants and rule 2-07 of Regulation&nbsp;S-X. In addition, the
Committee has discussed with the Company&#146;s independent auditors for the 2008 fiscal year the
auditors&#146; independence from management and the Company, including the matters in the written
disclosures received as required by Independence Standards Board Standard No.1, and considered the
compatibility of nonaudit services provided to the Company by BDO Seidman, LLP, with the
maintenance of the auditors&#146; independence.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Committee discussed with the Company&#146;s independent auditors for the 2008 fiscal year the
overall scope and plans for the 2008 audit. The Committee met with such independent auditors, with
and without management present, to discuss, among other things, the results of their audit, their
considerations of the Company&#146;s internal controls, and the overall quality of the Company&#146;s
financial reporting. The Committee met or acted by written consent five times during fiscal year
2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In performing its functions, the Committee acts only in an oversight capacity. The Committee
reviews the Company&#146;s periodic reports prior to filing with the Securities and Exchange Commission
and quarterly earnings announcements. In its oversight role, the Committee relies on the work and
assurances of the Company&#146;s management, which has the primary responsibility for financial
statements and reports, and of the independent auditors, who, in their report, express an opinion
on the Company&#146;s annual financial statements as to their conformity with generally accepted
accounting principles.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In reliance on the reviews and discussions referred to above, the Committee recommended to the
Board of Directors that the audited financial statements be included in the Company&#146;s Annual Report
on Form 10-K for the year ended December&nbsp;31, 2008 for filing with the Securities and Exchange
Commission.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">THE AUDIT COMMITTEE
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">D. Raymond Riddle, Chairman<BR>
Edward E. Elson<BR>
Mark C. West<BR>
Dom H. Wyant

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">March&nbsp;26, 2009

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<!-- link1 "SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT" -->
<DIV align="left"><A NAME="000"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table sets forth ownership information regarding our outstanding equity securities as
of March&nbsp;16, 2009 by: (i)&nbsp;each person who is known to the Company to beneficially own more than 5%
of the outstanding shares of Common Stock of the Company; (ii)&nbsp;each director; (iii)&nbsp;each executive
officer named in the Summary Compensation Table below; and (iv)&nbsp;all of the Company&#146;s directors and
executive officers as a group.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Common</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7"><B>Series D</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Stock</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Preferred Stock</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Percentage</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Percentage</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000"><B>&nbsp;&nbsp;&nbsp;&nbsp;Name of Stockholder</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>of Class</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>of Class</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">J. Mack Robinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">15,015,931</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">67.20</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">70,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-0px">4370 Peachtree Road, N.E.<br>
 Atlanta, Georgia 30319</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Harriett J. Robinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">8,675,996</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">38.86</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-0px">4370
Peachtree Road, N.E.<br>
Atlanta, Georgia 30319<br></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Harold K. Fischer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,350,274</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">6.05</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-0px">P.O. Box 9728<br>
Austin, TX 78766<br></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hilton H. Howell, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">615,942</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.71</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Edward E. Elson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,954</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Samuel E. Hudgins</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">12,121</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Raymond D. Riddle</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">128,422</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Scott G. Thompson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">110,954</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Mark C. West</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">187,862</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(7)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William H. Whaley, M.D</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">41,954</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(8)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Dom H. Wyant</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,954</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">John G. Sample, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">66,017</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(9)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">*</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">All directors and
executive officers as
a group (12 persons)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">17,575,385</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(10)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">76.93</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">70,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100</TD>
    <TD nowrap>%</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Represents less than one percent.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>All shares of stock are owned beneficially, and such owner has sole voting and dispositive
power, unless otherwise stated. Except upon the occurrence of certain events, shares of
Series&nbsp;D Preferred Stock are not entitled to any vote, whereas each share of common stock
entitles its holder to one vote. The shares of Series&nbsp;D Preferred Stock are not currently
convertible, but may become convertible into shares of the Company&#146;s common stock under
certain conditions.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(2)</TD>
    <TD>&nbsp;</TD>
    <TD>With respect to the common stock, includes: 3,756,646 shares of common stock owned by Gulf
Capital Services, Ltd.; 1,363,809 shares of common stock owned by Delta Life Insurance
Company; and 300,000 shares of common stock owned by Delta Fire &#038; Casualty Company, all of
which are companies controlled by Mr.&nbsp;Robinson and each of which has an address at 4370
Peachtree Road, N.E., Atlanta, Georgia 30319; and 21,525 shares of common stock held by Mr.
Robinson pursuant to the Company&#146;s 401(k) Plan. With respect to the Series&nbsp;D Preferred Stock,
consists of 70,000 shares of Series&nbsp;D Preferred Stock owned by Delta Life Insurance Company, a
company controlled by Mr.&nbsp;Robinson. Also includes all shares held by Mr.&nbsp;Robinson&#146;s wife (see
note 3 below).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(3)</TD>
    <TD>&nbsp;</TD>
    <TD>Harriett J. Robinson is the wife of J. Mack Robinson. With respect to the common stock,
includes 8,042,048 shares of common stock held by Mrs.&nbsp;Robinson as trustee for her children,
as to which she disclaims any beneficial ownership. Also includes 6,720 shares of common stock
held jointly with her grandson, over which she has sole voting and dispositive power. Does
not include any shares held by Mr.&nbsp;Robinson (see note 2 above).</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(4)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes: 200,000 shares of common stock subject to presently exercisable stock options;
163,068 shares of common stock held pursuant to the Company&#146;s 401(k) Plan; 3,200 shares of
common stock owned by his wife; 38,000 shares of common stock owned by his wife as custodian
for their children; and 6,720 shares of common stock held in joint ownership by Mr.&nbsp;Howell&#146;s
son and Harriett J. Robinson, as to which he disclaims any beneficial ownership.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(5)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 600 shares of common stock held by Mr.&nbsp;Riddle&#146;s spouse, as to which he disclaims any
beneficial ownership.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(6)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 80,000 shares of common stock subject to presently exercisable options.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(7)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 127,500 shares of common stock owned by Atlantis Capital LLP, of which Mr.&nbsp;West is
the President of the General Partner.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(8)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 6,000 shares of common stock owned by Dr.&nbsp;Whaley&#146;s spouse as custodian for his
daughter.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(9)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes: 50,000 shares of common stock subject to presently exercisable options and 8,517
shares of common stock held pursuant to the Company&#146;s 401(k) Plan.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">(10)</TD>
    <TD>&nbsp;</TD>
    <TD>Includes 330,000 shares of common stock issuable upon exercise of presently exercisable
options held by all directors and executive officers as a group. Also includes shares of
common stock held pursuant to the Company&#146;s 401(k) Plan described in notes 2, 4 and 9 above.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<!-- link1 "SECTION 16(a) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE" -->
<DIV align="left"><A NAME="001"></A></DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SECTION 16(a) BENEFICIAL OWNERSHIP REPORTING COMPLIANCE</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under the securities laws of the United States, the Company&#146;s directors, executive officers, and
any persons holding more than ten percent of any class of the Company&#146;s equity securities
registered pursuant to the Securities Exchange Act of 1934 are required to file with the Securities
and Exchange Commission initial reports of ownership and reports of changes of ownership of Common
Stock of the Company, and to furnish the Company with copies of such reports. To the Company&#146;s
knowledge, all such filings were completed, but three of these required filings were not timely
completed, during the year ended December&nbsp;31, 2008. Each such untimely filing was inadvertently
made after the required deadline due to administrative error. The three untimely filings were
required by Mr.&nbsp;West: one relating to two transactions; one relating to one transaction; and one
relating to four transactions. In making this disclosure, the Company has relied on written
representations of its directors and executive officers and its receipt of copies of the reports
that have been filed with the Securities and Exchange Commission.
</DIV>

<!-- link1 "COMPENSATION DISCUSSION AND ANALYSIS" -->
<DIV align="left"><A NAME="002"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>COMPENSATION DISCUSSION AND ANALYSIS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation Philosophy</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Stock Option and Compensation Committee (the &#147;Compensation Committee&#148;) believes that the
compensation of executives should be designed to attract, retain and motivate those persons who
enable Atlantic American to achieve its mission. Our compensation setting process includes
establishing an overall level of compensation for executive officers that will be paid if certain
personal, corporate and combined performance goals are met. Compensation is then allocated through
four primary components: base salaries, discretionary cash bonuses, equity incentives and other
minor perquisites.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Compensation Committee&#146;s philosophy includes providing for salaries that are competitive with
prevailing levels within our industry and market determined by both geography and size. The
Compensation Committee also considers the payment of annual bonus awards to award and incentivize
officers, as well as to, if deemed appropriate, bring overall compensation to desired levels. In
addition, equity incentives are available for consideration and grant by the Compensation Committee
in order to provide additional motivation to improve the Company&#146;s long term prospects. Industry
compensation data is typically sourced from SNL Financial, a financial information provider to the
financial services industries, including insurance. Market compensation data, which we generally
obtain from various public sources such as proxy statements and various state and/or regional
salary surveys, relating to companies of similar size (measured by assets, revenues, GAAP and
statutory profitability, etc.) with executive officers in the Atlanta area, is also considered.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">To assist the Compensation Committee in establishing overall compensation for executive officers,
the Compensation Committee has, from time to time, although not in 2008, engaged the services of an
external compensation consultant. These consultants have been previously engaged to make
recommendations relative to the levels and timing of base and incentive cash compensation and short
and long-term equity awards and programs. The Compensation Committee did not deem it necessary to
engage an outside consultant in 2008 in light of general economic, industry and business conditions
and due to the input provided previously related to the Company&#146;s compensation programs in general.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Compensation components are generally determined annually at the beginning of each year, effective
March&nbsp;15, and are solely the responsibility of the Compensation Committee. Adjustments, after
consideration of industry and market data and input from any relevant consultants and any other
extraordinary circumstances applicable to the Company, are then based primarily on the historical
performance of the Company and the individual executive officer during the prior calendar year and
expectations and objectives for performance in the current year. In the case of extraordinary
developments, the Compensation Committee also retains the discretion to make other periodic
adjustments. All decisions within the discretion of the Compensation Committee are made without
regard to race, religion, color, age, handicap, gender, national origin or other prohibited
factors; and our overall compensation program is designed to comply with all applicable federal,
state, and local rules and guidelines.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Base Cash Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Annual adjustments to cash compensation levels are determined on a discretionary basis by the
Compensation Committee after considering not only those factors discussed above, but also after
considering various other external market factors such as changes in consumer prices, external
forces which may be influencing the Atlanta employment market and/or competitive offers and/or
positions. Annual adjustments have historically been made with an effective date of March&nbsp;15 in
each year. Annualized base cash compensation approved by the Compensation Committee was as
follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Hilton H.</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">John G</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">J. Mack</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 0px solid #000000">Effective March 15,</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Howell, Jr.</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Sample, Jr.</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Robinson</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2006</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">456,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">374,286</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">187,550</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2007</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">502,150</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">396,743</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">200,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2008 <SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">2009</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">500,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">416,580</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">187,550</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>No adjustments to base cash compensation were approved in 2008.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Subsequent to the Compensation Committee&#146;s approval of the 2007 base cash compensation and in
recognition of the declining levels of business and related premium revenue, effective July&nbsp;16,
2007, Mr.&nbsp;Howell voluntarily reduced his annualized base cash compensation to the level effective
March&nbsp;15, 2006 of $456,500. Subsequent thereto, effective November&nbsp;1, 2007, Mr.&nbsp;Howell further
voluntarily reduced his annualized base cash compensation by 52% to $218,600. At the same time,
Mr.&nbsp;Sample voluntarily reduced his annualized base cash compensation by 10% to $357,069 and Mr.
Robinson voluntarily reduced his annualized base cash compensation by 99% to $2,000. Subsequent to
and in recognition of the completion of the sale of the Company&#146;s regional property and casualty
operations, effective April&nbsp;1, 2008, Mr.&nbsp;Howell&#146;s base cash compensation was increased to $410,832,
or approximately 82% of his then currently approved salary. Effective May&nbsp;1, 2008, at the same
time that all other employees&#146; salaries were adjusted, Mr.&nbsp;Howell&#146;s annualized base cash
compensation was again increased to $456,500,
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the level which was effective March&nbsp;15, 2006 and 91% of his then currently approved salary. Also
effective May&nbsp;1, 2008, Mr.&nbsp;Sample&#146;s annualized base cash compensation was restored to $396,743, the
level which was effective March&nbsp;15, 2007. Effective October&nbsp;1, 2008, Mr.&nbsp;Robinson&#146;s annualized
base cash compensation was also restored to $187,550, the level which was effective March&nbsp;15, 2006,
which was equal to 94% of his then currently approved salary. In March&nbsp;2009, and effective March
15, 2009, after a thorough review of each executive&#146;s compensation history and consideration of the
factors above, the Compensation Committee approved certain adjustments to the annualized base cash
compensation as noted in the table above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Bonus Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Cash bonuses are determined on a discretionary basis by the Compensation Committee. The bonuses
are generally intended to reflect an evaluation of the individual&#146;s prior year performance as well
as the Company&#146;s prior year performance, although the Compensation Committee retains the discretion
to grant bonuses at other times and for other extraordinary reasons. Historical practice was that
bonuses have been determined based on a percentage of the annual cash compensation to be paid with
effect as of March&nbsp;15 of the year in which the bonus is paid and the performance evaluation is
made. While the Compensation Committee retains discretion as to the amounts and percentages of
bonus awards, the annual bonus compensation range as a percentage of salary for each of the
Company&#146;s executive officers has historically been within the following ranges: Chairman of the
Board (40%-50%), Chief Executive Officer (50%-60%), and Chief Financial Officer (30%-40%).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">As a result of the declining levels of business and related premium revenue, and general economic
circumstances, the Compensation Committee determined it was not appropriate to pay bonuses related
to 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Upon completion of the sale of the Company&#146;s regional property &#038; casualty subsidiaries, and in
recognition of the extensive time and efforts involved in connection with the sale, the
Compensation Committee in July&nbsp;2008 authorized the payment of bonuses to both the Chief Executive
Officer and the Chief Financial Officer at a rate of 100% and 50%, respectively, of their
annualized base cash compensation then in effect.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For the year ended December&nbsp;31, 2008, in light of factors historically considered, the evaluation
of the levels of the Company&#146;s business results for 2008 and expectations relating thereto, the
Compensation Committee approved bonuses within the ranges set out above and in amounts included in
the &#147;Summary Compensation Table&#148; below.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The distribution of bonus awards coincides with the release of performance results for the previous
year and after considering the Federal income tax consequences of such deductions. All forms of
compensation are taxed in compliance with State and Federal law.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Equity-Based Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Compensation Committee believes that equity-based compensation, in the form of stock options or
other stock awards, serves to motivate executives to seek to improve the Company&#146;s short-term and
long-term prospects and thereby align the interests of the Company&#146;s executives with those of its
shareholders. Given evolving trends in equity-based compensation, the Compensation Committee
declined to make any equity-based compensation awards in 2008 to allow for further analysis of
results for 2008 and expectations relating thereto. Analysis is ongoing and the Compensation
Committee does expect that it will make future equity-based awards.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Perquisites</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Compensation Committee believes that including in compensation for the Company&#146;s executive
officers certain minor perquisites, such as matching contributions under the Company&#146;s 401(k) plan,
is consistent with the Company&#146;s overall compensation philosophy and appropriately reflects
prevailing market conditions. The Compensation Committee reviews, from time to time, the nature
and level of perquisites available for such officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In 2008, the Compensation Committee determined that the perquisites set out below in the notes to
the &#147;Summary Compensation Table&#148; were appropriate in type and amount for the executive officers.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Employment Agreements and Change in Control Agreements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company does not enter into employment agreements with its executive officers. Given the
nature and location of its business, and the fact that the Company&#146;s ownership is closely held, the
Company has not had significant turnover among its senior management, and has determined that it is
not necessary to enter into such agreements with its executives.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">For similar reasons, due to the nature of compensation and the fact that a change in control of the
Company is unlikely without significant input and approval from the Company&#146;s board of directors
and shareholders, the Compensation Committee has determined that it is not necessary to condition
any payments upon, or make any amounts contractually payable upon, any change in control of the
Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Termination Payments</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During 2008 the Company did not make any payment to any executive officer as a result of dismissal,
resignation, or retirement.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Report of the Stock Option and Compensation Committee on Executive Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Stock Option and Compensation Committee (the &#147;Compensation Committee&#148;) of the Company has
reviewed and discussed the Compensation Discussion and Analysis with management and, based on such
review and discussions, the Compensation Committee recommended to the Board that the Compensation
Discussion and Analysis be included in this Proxy Statement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">THE STOCK OPTION AND COMPENSATION COMMITTEE
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dr.&nbsp;William H. Whaley, Chairman<BR>
Edward E. Elson<BR>
D. Raymond Riddle<BR>
Mark C. West

</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<!-- link1 "EXECUTIVE COMPENSATION" -->
<DIV align="left"><A NAME="003"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>EXECUTIVE COMPENSATION<BR>
Summary Compensation Table</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There is shown below information concerning the annual compensation for services in all capacities
to the Company and its subsidiaries for the fiscal years ended December&nbsp;31, 2008, 2007 and 2006 by
the: (i)&nbsp;chief executive officer of the Company (ii)&nbsp;chief financial officer of the Company and
(iii)&nbsp;only other executive officer of the Company at December&nbsp;31, 2008 whose total compensation
exceeded $100,000, (the &#147;named executive officers&#148;):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">All Other</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Compen-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Salary</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Bonus</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">sation</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Total</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left" style="border-bottom: 1px solid #000000">Name and Principal Position</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Year</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">($)<SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Hilton H. Howell, Jr.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">393,219</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">300,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">66,900</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,216,619</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Chairman of the
Board,
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">456,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">President and
CEO&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">414,413</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">59,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(7)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">473,913</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">456,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">275,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">53,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(10)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">785,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>John G. Sample, Jr.</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">383,518</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">150,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">33,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">765,390</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Senior Vice President,</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">198,372</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">CFO and Acting
Secretary</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">383,081</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">36,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(8)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">419,581</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">374,286</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">158,697</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">28,820</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(11)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">561,803</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em; background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>J. Mack Robinson</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2008</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">48,387</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">61,451</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">109,838</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Chairman Emeritus</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2007</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">145,831</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">54,781</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(9)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">200,612</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2006</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">187,550</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">53,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(10)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">341,050</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Discretionary bonus as declared by the<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>Compensation Committee based on
2008 operating results.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Discretionary bonus as declared by the Compensation Committee in July&nbsp;2008 in
recognition of efforts in connection with the completion of the sale of the Company&#146;s regional
property &#038; casualty operations.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Howell&#146;s account under the Company&#146;s
401(k) Plan of $6,900 and (ii)&nbsp;fees paid for serving as a director of the Company and
subsidiaries of $60,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Does not include amounts deemed received pursuant to certain transactions and
described below in &#147;Certain Relationships and Related Transactions&#148;.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Sample&#146;s account under the Company&#146;s
401(k) Plan of $6,500, (ii)&nbsp;an annual automobile allowance of $9,000, and (iii)&nbsp;fees paid for
serving as a director of a subsidiary of the Company of $18,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Robinson&#146;s account under the Company&#146;s
401(k) Plan of $1,451 and (ii)&nbsp;fees paid for serving as a director of the Company and
subsidiaries of $60,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(7)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>of<SUP style="font-size: 85%; vertical-align: text-top"> </SUP>(i)&nbsp;matching contributions to Mr.&nbsp;Howell&#146;s
account under the Company&#146;s 401(k) Plan of $15,500 and (ii)&nbsp;fees paid for serving as a
director of the Company and subsidiaries of $44,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(8)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Sample&#146;s account under the Company&#146;s
401(k) Plan of $15,500, (ii)&nbsp;an annual automobile allowance of $9,000, and (iii)&nbsp;fees paid for
serving as a director of a subsidiary of the Company of $12,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(9)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Robinson&#146;s account under the Company&#146;s
401(k) Plan of $14,281 and (ii)&nbsp;fees paid for serving as a director of the Company and
subsidiaries of $40,500.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(10)</SUP> &nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to the named
individual&#146;s account under the Company&#146;s 401(k) Plan of $7,500 and (ii)&nbsp;fees paid for serving
as a director of the Company and subsidiaries of $46,000.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(11)</SUP> &nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>Consists of (i)&nbsp;matching contributions to Mr.&nbsp;Sample&#146;s account under the Company&#146;s
401(k) Plan of $7,500, (ii)&nbsp;an annual automobile allowance of $9,000, (iii)&nbsp;reimbursed costs
of an annual physical of $320 and (iv)&nbsp;fees paid for serving as a director of a subsidiary of
the Company of $12,000.</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Outstanding Equity Awards at Fiscal Year-End</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table provides information about the outstanding equity awards held by the named
executive officers at December&nbsp;31, 2008.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="19%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="18" style="border-bottom: 1px solid #000000"><B>Option Awards</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="14" style="border-bottom: 1px solid #000000"><B>Stock Awards</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Equity</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Incentive</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Equity</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Number</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Plan</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Incentive</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Equity</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Market</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Awards:</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Plan Awards:</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Incentive Plan</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Shares</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Value of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Number of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Market or</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Awards:</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">or Units</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Shares or</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unearned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Payout Value</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Number of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Number of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Number of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">of Stock</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Units of</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Shares,</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">of Unearned</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Securities</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Securities</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Securities</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">That</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Stock</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Units or</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Shares, Units</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Underlying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Underlying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Underlying</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Have</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">That</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Other</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">or Other</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unexercised</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unexercised</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unexercised</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Option</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Option</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Not</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Have Not</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Rights That</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Rights That</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Options</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Options</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Unearned</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Exercise</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Expiration</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Vested</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Vested</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Have Not</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2">Have Not</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Name</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">(#) Exercisable</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">(#) Unexercisable</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Options (#)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Price ($)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Date</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">(#)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Vested (#)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000">Vested ($)</TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hilton H. Howell, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.25</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">10/15/11</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">100,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1.59</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">05/06/13</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="padding-top: 0em">
    <TD><DIV style="margin-left:15px; text-indent:-15px">John G. Sample, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.00</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">07/02/12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">J. Mack Robinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>




<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">(1)</TD>
    <TD>&nbsp;</TD>
    <TD>All of the option grants were made under the Company&#146;s 1992 Incentive Plan, except for
100,000 options granted to Mr.&nbsp;Howell that were made under the Company&#146;s 2002 Incentive Plan.
All of the option grants have a ten-year term, vested 50% upon the date of grant and 25% on
each of the two subsequent anniversaries of the date of grant. All grants were fully vested
prior to 2008. All options have an exercise price equal to the fair market value on grant
date.</TD>
</TR>

</TABLE>



<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Option Grants and Exercises and Stock Vested</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There were no stock options awarded to, or exercised by, any named executive officers during 2008.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>Compensation Committee Interlocks and Insider Participation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">During 2008, Messrs.&nbsp;Elson, Riddle and West, and Dr.&nbsp;Whaley, none of whom was, during the year or
formerly, an officer or employee of the Company, were members of the Stock Option and Compensation
Committee of our Board of Directors. None of the Stock Option and Compensation Committee members
serve as members of the board of directors or compensation committee of any entity that has one or
more executive officers serving as a member of our Board or Stock Option and Compensation
Committee.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Compensation of Directors</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Atlantic American&#146;s policy is to pay all members of the Board of Directors an annual retainer fee
of $12,000, to pay fees to Directors at the rate of $2,000 for each Board meeting attended, whether
in person or telephonically, and $500 for each committee meeting attended, whether in person or
telephonically. In addition, Directors are reimbursed for actual expenses incurred in connection
with attending meetings of the Board and/or Committees of the Board. The annual retainer fee is
paid $6,000 in cash, with the remainder paid in shares of Common Stock based upon the market price
as of the close of business on the business day immediately preceding the annual meeting, the date
of grant of such shares. Pursuant to the Company&#146;s 2002 Incentive Plan (&#147;the 2002 Incentive
Plan&#148;), all Directors who are not employees or officers of the Company of any of its subsidiaries
are entitled to receive stock options to purchase shares of Common Stock and other equity awards.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The following table provides information about the compensation paid for services as a director of
the Company for the year ended December&nbsp;31, 2008.
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="23%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="4%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" colspan="29" style="border-bottom: 1px solid #000000"><B>Director Summary Compensation Table</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Change in</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Pension Value</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">and</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Non-Equity</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Nonqualified</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Fees Earned or</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Incentive Plan</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Deferred</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">All Other</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Paid in Cash</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Stock Awards</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Option</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Compensation</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Compensation</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">Compensation</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000">Name</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">($)<SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Awards ($)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Earnings</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">($)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000">Total ($)</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">J. Mack Robinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Hilton H. Howell, Jr.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Edward E. Elson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Harold K. Fischer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Samuel E. Hudgins</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">88,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">112,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">D. Raymond Riddle</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Harriett J. Robinson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Scott G. Thompson</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Mark C. West <SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">30,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">William H. Whaley, M.D.</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">18,500</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">17,500</TD>
    <TD nowrap><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">42,000</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Dom H. Wyant</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">N/A</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">-0-</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">26,000</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>
<DIV style="margin-top: 1pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD width="1%">&nbsp;</TD>
    <TD> None other than compensation received as an employee of the Company and reported in
the &#147;Summary Compensation Table&#148; above, or, in the case of Mr.&nbsp;Thompson, compensation received
as an employee of a subsidiary of the Company.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 3pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(2)</SUP>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> Does not include amounts deemed received pursuant to certain related transactions
and described below in &#147;Certain Relationships and Related Transactions&#148;.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 3pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(3)</SUP>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company has entered into a consulting agreement with Dr.&nbsp;Whaley, pursuant to
which Dr.&nbsp;Whaley provides certain medical consulting and advisory services to the Company&#146;s
subsidiaries. Pursuant to the agreement, Dr.&nbsp;Whaley received $17,500 during 2008 for such
services.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 3pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(4)</SUP>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> The Company has entered into a consulting agreement with Mr.&nbsp;Hudgins, pursuant to
which Mr.&nbsp;Hudgins provides various financial and other consulting services to the Company.
Pursuant to the agreement, Mr.&nbsp;Hudgins received $88,000 during 2008 for such services.</TD>
</TR>

</TABLE>
</DIV>

<DIV style="margin-top: 3pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(5)</SUP>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
<td>For additional information regarding stock ownership and each director, see
&#147;Security Ownership of Certain Beneficiary Owners and Management.&#148;</TD>
</TR>

<tr>
<TD style="font-size:3pt">&nbsp;</TD>
</TR>



<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(6)</SUP>&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
<TD>Not standing for reelection at the Meeting.</TD>
</TR>



</TABLE>
</DIV>
 <P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

 <DIV style="font-family: 'Times New Roman',Times,serif">
<!-- link1 "2. RATIFICATION OF THE APPOINTMENT OF THE COMPANY&#146;S INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM" -->
<DIV align="left"><A NAME="004"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>2. RATIFICATION OF THE APPOINTMENT OF THE COMPANY&#146;S INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Audit Committee is required by law and applicable NASDAQ Rules to be directly responsible for
the appointment, compensation and retention of the Company&#146;s independent registered public
accounting firm. The Audit Committee has appointed BDO Seidman, LLP (&#147;BDO&#148;) as the Company&#146;s
independent registered public accounting firm for the fiscal year ending December&nbsp;31, 2009. While
shareholder ratification of the selection of BDO as the Company&#146;s independent registered public
accounting firm is not required by the Company&#146;s By-laws or otherwise, the Board of Directors is
submitting the selection of BDO to the shareholders for ratification. If the shareholders fail to
ratify the selection, the Audit Committee may, but is not required to, reconsider whether to retain
that firm. Even if the selection is ratified, the Audit Committee in its discretion may direct the
appointment of a different independent registered public accounting firm at any time during the
year if it determines that such a change would be in the best interests of the Company and its
shareholders.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">A representative from BDO is expected to be present at the Meeting and will have the opportunity to
make any statement if such representative desires to do so, and, if present, will be available to
respond to appropriate questions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Amounts paid to the Company&#146;s principal accountant by category were as follows:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Audit Fees</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company has paid or expects to pay BDO approximately $322,000, in the aggregate, for
professional services it rendered for the audit of the Company&#146;s consolidated financial statements
and audits of subsidiary company statutory reports for the fiscal year ended December&nbsp;31, 2008 and
the reviews of the interim financial statements included in our Quarterly Reports on Form 10-Q
filed during the fiscal year ended December&nbsp;31, 2008. The Company paid BDO $498,000, in the
aggregate, for professional services it rendered for the audit of the Company&#146;s consolidated
financial statements and audits of subsidiary company statutory reports for the fiscal year ended
December&nbsp;31, 2007 and the reviews of the interim financial statements included in the Company&#146;s
quarterly reports on Form 10-Q filed during the fiscal year ended December&nbsp;31, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Audit &#151; Related Fees</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Company paid BDO $9,100 for professional services it rendered in connection with the review of
the SEC comment letters and related responses during 2008. No audit-related fees were paid to BDO
during 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Tax Fees</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">There were no tax fees paid to the Company&#146;s principal accountant in either 2008 or 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>All Other Fees</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">BDO did not provide any other category of products or services to the Company during the fiscal
years ended December&nbsp;31, 2008 or 2007 and, accordingly, no other fees were paid thereto in either
2008 or 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Audit Committee considers whether the provision of non-audit services by the Company&#146;s
independent registered public accounting firm is compatible with maintaining auditor independence.
All audit and non-audit services to be performed by the Company&#146;s independent registered public
accounting firm must be, and for 2008 and 2007 were, approved in advance by the Audit Committee.
Pursuant to the Audit Committee&#146;s Audit and Non-Audit Services Pre-Approval Policy (the &#147;Policy&#148;)
and as permitted by Securities and Exchange Commission rules, the Audit Committee may delegate
pre-approval authority to any of its members, provided that any service approved in this manner is
reported to the full Audit Committee at its next meeting.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The Policy provides for a general pre-approval of certain specifically enumerated services that are
to be provided within specified fee levels. With respect to requests to provide specifically
enumerated services not specifically pre-approved pursuant to such general grant, such requests
must be submitted to the Audit Committee by both the independent registered public accounting firm
and the Chief Financial Officer, and must include a joint statement as to whether, in their view,
the request is consistent with Securities and Exchange Commission rules on auditor independence.
Such requests must also be specific as to the nature of the proposed service, the proposed fee and
any other details the Audit Committee may request.
</DIV>
<!-- link1 "CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS" -->
<DIV align="left"><A NAME="005"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Under various leases, the most recent one dated November&nbsp;1, 2007 and amended March&nbsp;31, 2008, the
Company leases space for its principal offices, as well as the principal offices of certain of its
subsidiaries, in an office building located at 4370 Peachtree Road, N.E., Atlanta, Georgia, from
Delta Life Insurance Company, a corporation of which Mr.&nbsp;Robinson, the Company&#146;s Chairman Emeritus,
owns 59% of the stock, with the remainder owned by Mrs.&nbsp;Robinson directly and as trustee for her
children. Under the terms of the lease, the Company occupies approximately 49,586 square feet of
office space as well as covered parking garage facilities at an annual rent of approximately $0.5
million, plus a pro rata share of all real estate taxes, general maintenance and service expenses
and insurance costs with respect to the office building and other facilities. The terms of the
lease are believed by management of the Company to be comparable to terms that could be obtained by
the Company from unrelated parties for comparable rental property. In 2008 and 2007, the Company
paid $0.9&nbsp;million and $1.1&nbsp;million, respectively, to Delta Life Insurance Company under the terms
of these leases.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Effective December&nbsp;31, 1995, an aggregate of $13.4&nbsp;million in principal of demand notes previously
issued by the Company were canceled in exchange for the issuance by the Company of an aggregate of
134,000 shares of a new series of preferred stock (the &#147;Series&nbsp;B Preferred Stock&#148;), which had a
stated value of $100 per share and accrued dividends at 9% per year. At December&nbsp;31, 2007, the
Company had accrued but unpaid dividends on the Series&nbsp;B Preferred Stock totaling approximately
$14.5&nbsp;million, which
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">was the largest amount outstanding during such year. All shares of Series&nbsp;B Preferred Stock were
owned directly or indirectly by affiliates of Mr.&nbsp;Robinson, Mrs.&nbsp;Robinson or Mr.&nbsp;Howell. On
October&nbsp;28, 2008, the Company redeemed all of the issued and outstanding shares of Series&nbsp;B
Preferred Stock at the stated value of $100 per share, for an aggregate payment of $13.4&nbsp;million.
In connection therewith, the Company also paid approximately $1.7&nbsp;million in dividends to the
holders of the Series&nbsp;B Preferred Stock in satisfaction of a portion of the accrued but unpaid
dividends on the Series&nbsp;B Preferred Stock through the date of redemption. The holders of the
Series&nbsp;B Preferred Stock agreed to discharge the Company from any obligation to pay the remaining
$13.8&nbsp;million of accrued but unpaid dividends on the Series&nbsp;B Preferred Stock and to release the
Company from any further obligations thereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Effective September&nbsp;30, 2006, the Company issued and sold 70,000 shares of its Series&nbsp;D preferred
stock, par value $1.00 per share (the &#147;Series&nbsp;D Preferred Stock&#148;) to an affiliate of Mr.&nbsp;Robinson
and Mrs.&nbsp;Robinson. Effective September&nbsp;30, 2008, that affiliate transferred all of its Series&nbsp;D
Preferred Stock to Delta Life Insurance Company, a corporation controlled by Mr.&nbsp;Robinson. The
outstanding shares of Series&nbsp;D Preferred Stock have a stated value of $100 per share; accrue annual
dividends at a rate of $7.25 per share (payable in cash or shares of the Company&#146;s common stock at
the option of the board of directors of the Company) and are cumulative; in certain circumstances
may be convertible into an aggregate of approximately 1,754,000 shares of common stock, subject to
certain adjustments and provided that such adjustments do not result in the Company issuing more
than approximately 2,703,000 shares of common stock without obtaining prior shareholder approval;
and are redeemable solely at the Company&#146;s option. The Series&nbsp;D Preferred Stock is not currently
convertible. During 2008, the Company issued 417,107 shares of common stock in lieu of series D
Preferred Stock dividend payments valued at approximately $0.5&nbsp;million. As of December&nbsp;31, 2008,
the Company had accrued but unpaid dividends on the Series&nbsp;D Preferred Stock of $22,556.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In accordance with the terms of the Stock Purchase Agreement for the sale of Georgia Casualty and
Association Casualty to Columbia Mutual Insurance Company, certain investments held by Georgia
Casualty and Association Casualty were required to be disposed of prior to the completion of such
sale. On March&nbsp;11, 2008, the Parent acquired 166,354 shares of Gray Television, Inc. (&#147;Gray&#148;)
Class&nbsp;A common stock, 56,000 shares of Gray common stock, 11,177 shares of Triple Crown Media, Inc.
(&#147;Triple Crown&#148;) common stock, and 1,180 shares of Triple Crown Series&nbsp;A preferred stock held by
the discontinued operations at their quoted or estimated market values for an aggregate purchase
price of approximately $2.0&nbsp;million. Effective November&nbsp;30, 2007, an investment in a real estate
joint venture was sold to Gulf Capital for a purchase price of $3.7&nbsp;million. Mr.&nbsp;Robinson and his
affiliates collectively own 100% of Gulf Capital.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">In accordance with the terms of the written charter of the Audit Committee of the Board of
Directors, the Audit Committee is to approve all related party transactions that are required to be
disclosed pursuant to the rules and regulations of the SEC. The Audit Committee approved all such
transactions in 2008.
</DIV>
<!-- link1 "OTHER BUSINESS" -->
<DIV align="left"><A NAME="006"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>OTHER BUSINESS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Management of the Company knows of no matters other than those stated above which are to be brought
before the Meeting. However, if any such other matters should be presented for consideration and
voting, it is the intention of the persons named in the proxies to vote thereon in accordance with
their best judgment.
</DIV>
<!-- link1 "SHAREHOLDER PROPOSALS" -->
<DIV align="left"><A NAME="007"></A></DIV>
<DIV align="center" style="font-size: 10pt; margin-top: 10pt"><B>SHAREHOLDER PROPOSALS</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Shareholder proposals to be presented at the next annual meeting of shareholders must be received
by the Company no later than December&nbsp;4, 2009, in order to be considered for inclusion in the proxy
statement for the 2010 annual meeting of shareholders. Any such proposal should be addressed to the
Company&#146;s President and mailed to 4370 Peachtree Road, N.E., Atlanta, Georgia 30319-3000. A
shareholder not seeking to have his proposal included in the Company&#146;s proxy statement, but seeking
to have the proposal considered at the Company&#146;s 2010 annual meeting of shareholders, should notify
the Company in the manner set forth above of his proposal no later than February&nbsp;17, 2010. In
accordance with the rules of the Securities and Exchange Commission, if the shareholder has not
given such notice to the Company by February&nbsp;17, 2010, the persons appointed as proxies for the
2010 annual meeting of shareholders may exercise discretionary authority to vote on any such
shareholder proposal.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>



<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>
<DIV style="font-family: Helvetica,Arial,sans-serif">



<div align="center">
<P style="margin-top:20pt">
<DIV style="width: 50%; border: 1px solid black; padding: 1px;">



<DIV align="center" style="font-size: 12pt; margin-top: 0pt"><B>VOTE BY INTERNET<BR>
QUICK *** EASY *** IMMEDIATE</B>
</DIV>

</DIV>
</DIV>



<DIV align="center" style="font-size: 14pt; margin-top: 20pt"><B>ATLANTIC AMERICAN CORPORATION</B>
</DIV>



<DIV align="justify" style="font-size: 11pt; margin-top: 20pt; margin-left: 2%; margin-right:2%"><DIV style="text-align: justify"> As a stockholder of Atlantic American Corporation, you have the option of voting your shares
electronically through the Internet, eliminating the need to return the proxy card. Your
electronic vote authorizes the named proxies to vote your shares in the same manner as if you
marked, signed, dated and returned the proxy card. Votes submitted electronically over the
Internet must be received by 7:00 P.M., Eastern Time, on May&nbsp;4, 2009.</DIV>
</DIV>
<P><DIV style="position: relative; float: left; width: 46%">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt; margin-left: 32%"><IMG src="g18364g1836403.gif" alt="()">
</DIV>

<div align="right">
<P>
<DIV style="width: 70%; border: 1px solid black; padding: 5px;">


<DIV align="center" style="font-size: 8pt;  margin-top: 0pt"><U><B><I>Vote Your Proxy on the Internet:</I></B></U></DIV>



<DIV align="left" style="font-size: 8pt; margin-top: 6pt"><div align="justify"><B>Go to www.continentalstock.com</B><br>
Have your proxy card available when you access the above website.
Follow the prompts to vote your
shares.<BR><BR style="font-size: 3pt">
</DIV>
</DIV>
</div>
</DIV>

</DIV>
<DIV style="position: relative; float: left; margin-left: 1%; width: 1%">

<DIV align="center" style="font-size: 10pt; margin-top: 70pt"><B>OR</B>
</DIV>

</DIV>
<DIV style="position: relative; float: right; width: 49%">

<DIV align="center" style="font-size: 10pt; margin-top: 10pt; margin-right: 32%"><IMG src="g18364g1836404.gif" alt="()">
</DIV>

<div align="left">
<P>
<DIV style="width: 70%; border: 1px solid black; padding: 5px;">



<DIV align="Center" style="font-size: 8pt; margin-top: 6pt"><U><B><I>Vote Your Proxy by Mail:</I></B></U>

</DIV>
<DIV align="left" style="font-size: 8pt; margin-top: 10pt"><div align="justify">Mark, sign, and date your proxy card, then detach it, and return it in the postage-paid envelope
provided.<br><BR><BR style="font-size: 3pt">
</DIV>
</DIV>
</DIV>
</div>


</DIV>
<BR clear="all"><BR>
<div align="center">
<P style="margin-top:30pt">
<DIV style="width: 70%; border: 1px solid black; padding: 11px;">



<DIV align="Center" style="font-size: 12pt; margin-top: 6pt"><B>PLEASE DO NOT RETURN THE PROXY CARD IF YOU ARE<BR>
VOTING ELECTRONICALLY</B>

</DIV>
</DIV>
</div>



<DIV align="center" style="font-size: 8pt; margin-top: 30pt"><FONT face="Webdings">&#054;</FONT> <B>FOLD AND DETACH HERE AND READ THE REVERSE SIDE </B><FONT face="Webdings">&#054;</FONT>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 3pt"><DIV style="width: 100%; border-bottom: 1px dotted #000000; font-size: 1px">&nbsp;</DIV>
</DIV>
<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom" style="font-size: 1pt">
    <TD width="80%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; font-size:8pt; text-indent:-0px"><B>THIS PROXY WILL BE VOTED AS DIRECTED, OR IF NO DIRECTION IS INDICATED, WILL BE VOTED &#147;FOR&#148;
ALL DIRECTORS AND OTHER PROPOSALS. THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS.</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" nowrap>Please mark <br>your votes <br>like this
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#120;</FONT></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center">
<TABLE style="font-size: 7pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="9%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="29%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom"><B>FOR<BR>
all nominees</B><BR><BR>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" nowrap><B>WITHHOLD<BR>
AUTHORITY for<BR>
all nominees</B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom"><B>FOR</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom"><B>AGAINST</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="bottom"><B>ABSTAIN</B></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1. ELECTION OF DIRECTORS:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2.</TD>
    <TD nowrap valign="top">&nbsp;</TD>

    <TD align="left" valign="top" colspan="2" >TO RATIFY THE APPOINTMENT OF BDO SEIDMAN,
LLP.
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT face="Wingdings" style="font-size: 24pt">&#111;</FONT></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="6" valign="top" align="left" ><div style="font-size: 7pt;  margin-left: 2%"><B>FOR, except (To withhold authority to vote for any individual nominee, strike a line
through that nominee&#146;s name in the list below)</B></div></TD>

    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3.</TD>
    <TD nowrap valign="top">&nbsp;</TD>

    <TD align="left" valign="top" colspan="8" >In their
discretion, the proxies are authorized
to vote upon such
other business as may properly come before the meeting.</TD>

</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD colspan="6" valign="top" align="justify"><DIV style="text-align: justify; margin-left: 2%">01 J. Mack Robinson, 02 Hilton H. Howell,
Jr., 03 Edward E. Elson, 04 Harold K.
Fischer, 05 Samuel E. Hudgins, 06 D. Raymond
Riddle, 07 Harriett J. Robinson, 08 Scott G.
Thompson, 09 William H. Whaley, M.D., 10 Dom
H. Wyant</DIV></TD>

    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<P><DIV style="position: relative; float: left; width: 48%">
<P>
<DIV style="width: 100%; border: 1px solid black; padding: 11px;">


<DIV align="left" style="font-size: 10pt; margin-top: 80pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</DIV>
</DIV>

</DIV>
<DIV style="position: relative; float: left; margin-left: 2%; margin-top:20pt; width: 23%">
<P>
<DIV style="width: 100%; border: 1px solid black; background-color: 6ccff6; padding: 1px;">


<DIV align="center" style="font-size: 7pt; margin-top: 0pt"><B><I>UPON FINAL APPROVAL<BR>
FORWARD INTERNET &#038;<BR>
TELEPHONE VOTING<BR>
TO</i></b><BR>
<FONT color="#e33e44"  style="font-size:12pt"><b><i>SUNGUARD</I></B></font><BR>
<B><u>WITHOUT</u> THE YELLOW<BR>
BOX, BLUE BOX &#038; CROP<BR>
MARKS</B>
</DIV>

</DIV>

</DIV>
<DIV style="position: relative; float: right; width: 23%">

<DIV align="center" style="font-size: 9pt; margin-top: 20pt"><B>COMPANY ID:</B>
</DIV>


<DIV align="center" style="font-size: 9pt; margin-top: 12pt"><B>PROXY NUMBER:</B>
</DIV>


<DIV align="center" style="font-size: 9pt; margin-top: 12pt"><B>ACCOUNT NUMBER:</B>
</DIV>

</DIV>
<BR clear="all"><BR>
<DIV align="center">
<TABLE style="font-size: 8pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Signature</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>Signature</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>Dated:&nbsp;</B></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" nowrap><B>, 2009</B></TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="font-size: 1pt">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV></B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV></B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B><DIV style="font-size: 1pt; border-top: 1px solid #000000">&nbsp;</DIV></B>
</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD nowrap align="right" valign="top">&nbsp;</TD>
    <TD nowrap valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="justify" style="font-size: 7pt"><B>NOTE: Please sign exactly as name appears hereon. When shares are held by joint owners, both should
sign. When signing as attorney, administrator, trustee or guardian, please give title as such. If a
corporation, please sign in full corporate name by President or other authorized officer. If a
partnership, please sign in partnership name by authorized person.</B></DIV>







<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#toc">Table of Contents</A></H5><P>

<DIV style="font-family: Helvetica,Arial,sans-serif">





<DIV align="center" style="font-size: 8pt; margin-top:350pt"><FONT face="Webdings">&#054;</FONT> <B>FOLD AND DETACH HERE AND READ THE REVERSE SIDE </B><FONT face="Webdings">&#054;</FONT>
</DIV>


<DIV align="left" style="font-size: 14pt; margin-top: 3pt"><DIV style="width: 100%; border-bottom: 1px dotted #000000; font-size: 1px">&nbsp;</DIV>
</DIV>


<DIV align="left" style="font-size: 11pt; margin-top: 6pt; margin-left: 6%"><B>PROXY</B>
</DIV>

<DIV align="center" style="font-size: 14pt; margin-top: 10pt"><B>ATLANTIC AMERICAN CORPORATION<BR>
4370 Peachtree Road,
N.E. <BR>Atlanta, Georgia 30319-3000</B>
</DIV>


<DIV align="center" style="font-size: 12pt; margin-top: 10pt"><B>Proxy Solicitation on Behalf of the Board of Directors of<BR>
the Company for the Annual Meeting of Shareholders to be Held on May&nbsp;5, 2009</B>
</DIV>



<DIV align="left" style="font-size: 11pt; margin-top: 12pt; margin-left: 6%; margin-right: 6%"><DIV style="text-align: justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The undersigned hereby appoints J. Mack Robinson, Hilton H. Howell, Jr. and John G. Sample,
Jr., or any of them, as proxies with full power of substitution and resubstitution, to vote on the
undersigned&#146;s behalf at the Annual Meeting of Shareholders of Atlantic American Corporation, to be
held at 9:00 A.M., Eastern Time, on May&nbsp;5, 2009, at the offices of the Company, 4370 Peachtree
Road, N.E., Atlanta, Georgia and at all adjournments or postponements thereof, upon all business
as may properly come before the meeting, including the business described in the accompanying
Notice of Annual Meeting and Proxy Statement, receipt of which is acknowledged.</DIV>
</DIV>


<DIV align="left" style="font-size: 11pt; margin-top: 6pt; margin-left: 6%; margin-right: 6%"><DIV style="text-align: justify">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;PROXIES WILL BE VOTED IN ACCORDANCE WITH ANY INSTRUCTIONS INDICATED ON THE REVERSE. IF NO
SPECIFICATION IS MADE, THE SHARES REPRESENTED BY THE PROXY WILL BE VOTED FOR ALL DIRECTOR NOMINEES
AND ALL LISTED PROPOSALS. IN THEIR DISCRETION, THE PROXIES WILL BE AUTHORIZED TO VOTE UPON SUCH
OTHER BUSINESS AS MAY PROPERLY COME BEFORE THE MEETING. THIS PROXY IS REVOCABLE AT ANY TIME PRIOR
TO ITS USE.</DIV>
</DIV>

<DIV align="center" style="font-size: 11pt; margin-top: 10pt"><B>(Continued, and to be marked, dated and signed, on the other side)</B>
</DIV>






<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>



</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>2
<FILENAME>g18364g1836401.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 g18364g1836401.gif
M1TE&.#EAE0!/`.8``.7CX<7!O>+@W?7T\OKZ^=G6TW-N:H-]>M#.RL&]NHN%
M@6ME8K*NJ<W)QJ:AG/?V]=31SGMU<E),2H>"?DM%0UM54IJ5D;VYM=O9U>[L
MZO+Q\*NFI>#=VOCX^-[<V:VHI/'P[N?EXF)<69>2CC(M+#DT,Z.>FI&,B;NV
MLBHE)/#O[1D5%D(].^KIYGAR;LK&PR$='141$IV8DWYX=:JEH?3S\=;3T&9A
M7J":EOS[^^SKZ45`/K6QK<;#P!\:&R8A(>KHY(V(A,_+R%Y852\I*5913P@&
M!S<R,?CW]@\,#M/0S*RFH@H("3TX-G!J9PP)"A`-#K^[N`D'","[M;"KJ#4P
M+PT+#"PG)Q(/$/[^_OW]_?S\_/[___S\^_W]_/O[^OO[^_[^_?CX]_GX]_S]
M_/OZ^OW^_?CX]OKY^/W^_OW\_/?W]OGY^.GGY?KZ^OO\^_;U\_S]_3\[.?[]
M_:BCG\S(P\O(Q+BTL!L7%^_N[.OJY_K[^J"<F-/0RP<%!O___R'Y!```````
M+`````"5`$\```?_@'^"@X2%AH>(B8J+@UE=7EY*,#)P78R7F)F:FYR=FHYE
M`5=24"-PGJBIJJNLC6%::G='?D9^>$%B75FMO+V^K&8Y72\D4G['?BL.8[N_
MSL_0B%Y?$"E,M<A^,28$65S1X.&]7AD4V><Q*%U:XNWNG0)%QN?950E;[_GZ
MAUE:&$.TD!G!ADR*/37X]BE\EZ5-D2?GI*PX9\1@`S;-%FI\EB6+!@G7LAE)
MH@`*12E$A'3,N+$EJRY=#LP[1P+`#GH#4[+QXK+GJAHEZ?EALN#!#"LXI4CP
MP,ZGTT];5`05NB+`%@\_A!JQ,H3#%C(LGXHUE.7+@8DX_<@AX&5+$:&T_YY4
M:-%MK%U"'7-,B`'7"),#7@B(L6`2I]\*;5;>M=MES!0\`X5*^1&%2UD!-PG2
MJP!D3=/%3]F@\!%9ZXT'?_H1B%":HM\;;3Z#;NE(#(\?FNE)H;'+\I8>4'*C
M.Z`AC)=OLS5F$<.`1$"X?GS8^-*HQ1'AV20J(-`%>7)]*Z?@QI[-``@"A%8S
M@>Y'BI08"N`H_OYNRQ<`5<@+3!(%C.PP!:#%GA]0;+<.?>]XP4$34NAWC!$_
MJ/#%?U^P,"`M[RF0AVP(<J1&)!3,!%U%+O3#DA9IR(#4@`.M<((87^C2(4<$
MV`"2@\C$H(0WW@G"10$DX'B,%%=<P`828<VXRO]*>NQPC9!&R*%!DH)TX01$
M%P[T0P#,4*FD)UJ(`8<35@AYS!,1,),(#P)F^4,/6FP1QI>L>#&``598D<2>
M?/;I9PH>U'5(&`!(X.>AAQ(1`$9THI+%%EID\($+$?"QP:689JII`F%LT2,A
M7&QA@Z:DEMI#"Q]ZX66CB60!A@X3K&!`"&+LD<FJG6C1A1(WB.!5#KBRBE<_
M<!@0'!,4%/!%/Y]"8Z(8+Q`A!;(A;#&?L(F`L08;.!1&RQ$,?-%!L\]H,487
M.`A(U`!Q<HAM(5^@\<$*#3XH400#!,L+H4[$4-I6,X!0AKOOE@7&`Q]`AA,4
M-WB@JAG'.9-%&`U(L.+_.5`<`(2U6NC;819GL$$%#"*>PX0$0I@!AJ?.?)$`
M@]"M0-S*'G_741A?F#`>>T:0@,,#RW)![B8K93$`'2LX:`04,PQ`W;M_V`<&
MTA<BDT33!(!1LR)DK)R!"]X.^,0$9T#]AQ==5!-2U7X\08$`;"242EM]4)"$
MF;2L0`5/K&8!R1L0--%:U14UP4,-CVP]"!>0H,%`"<^Q[0<,5*PQ)YUEI2U!
MR9)/=@(88BCNXQL@Z,PYVRE\0,:7*VEA`X-X&Y;$#:%SXFH`,`PN>7O*A"&Z
M2VUU@4$5NT-'E*";<*'%O+%318,8!"_F!1@0E+!>\4+Y(`0!0U_"QA(^8'^.
M_P\!_*Z0WVELH8,(XFNU`^C=,^+["5@T3\\.$)3!]V*.J']E^Q%Y@@+B]!,G
MW`V`?MA!'Z+7DY5T(0,BL,+ICE$FMAFA!#;8@M94$2D77*]]4BB!`*[EE+9X
M@0U#^*!08N``"JR-/5)8`!I2LZ0M:,`%NBN>",$RENFU80@7$PH,Z#"&0F&)
M/59@@/GX`9.O!1%[4F!!`>*WD$@MX(@XL<(,LI`#+11``A>J@@!65XA^;*$&
M(9`1([(PAT[I@`4J+-Y`#*"'#3IE#$%X(D7,0P@AX&9$9#,#6=C`@0@<`0&*
M0QL&6/`$^PG$"@L8P/XVTI$R6"!IT)&"`3(@FS(T(/]\<(D!!"8DB*+!P0%7
M>`(32#"EFG6A#%LHP`X<^:"MW$`^2^R%WT;`E[X8P0`/$!HAMC",'W#N@MS[
MQL3*0``.6$P@16A!&F[U"LRXIWVO><`,-S*&$;2)'I#,0[-T18``.,=D.,!+
M%P1P`!C$42X>^,07P&`#(M"2%EM9`!!RN:0U\$%A<'F""`00AV9U1%?-.0<,
M`/"-.#T@`1(P26ZV4@%V8<)O@?D`*+'YA("I:A\/,$$O^T(!$,3/$6!(@#$?
M5`0Q?*,+0)C!2.&2!%,H[@L$&-D]6V0!MC"D(U'('7M(4(`WG-0+:D"#$&!P
MC!A,85DU8("T<BB2),B@&S7_R\$:'L``H8JO172PEC?$X:H77&%$1CA"`0ZT
M"*%Y(0=UP`T)!H`&#!AJ=UBP0`W0<XF;$8`&,;AF^V*`@RXL2QQ:2$`*],.$
M'0B!F%J@HB#(&8`J1*`%!_A!'*N&AQ'(K:]=J,$$L##!+!EA!29X`#\O04QB
MD*=P5M&"&=(@V=3T0PL!0$$1]&A!(B0`(1?5@A=`X(+ZW7-R-`#:Y9RQ!02D
M`(9'&*4E4.''G1HA!0U04R:Z``9CU>NK/F#`&7+P"\MD010.(D(!R("VVB*B
M"PC8*/8J\H,Z^*YF6@`#'"(0G*_F!`-SZ(@NSQ""6?IR!7>0TQ_<BP@MY(`!
M_?4O_PDX0(#/*J(C7`A!!?`)PBNLU5J\R((`0#(B&#B```-CL#0.-@(\`-`O
M12@``_E!R,W=TSU7:``!EIN*.`%`!%BD"`PL<`8MQ&&UJ4F#K@[@8@#*A0,Q
MNB@9S("!'92610-I@AT(T#%5?$'#D:/("C80-Q6O<0N6)"TVC2`!(+!A$VEH
M`0N^.U\C-*$!I/1$1P10@0:1)P9+X,X7S+R(+)2A"TC`01+6S`0G($G`E^B"
M&_I0#&PR00H4T(!8S9P%-CBDD9*12+AX)+'\+H"JA+L:=V8,*LM$P9ZHOM`3
MAJ`!,3#J$P^X`:BU@H4#H#BRT-@"`8!P`]X2[CT'R,`DU__XT"#M=-9TV9IP
M:Q"$F8K$#UA8@![2<.1H=&H+0*@`4AS9(@4`38V%AA0*_OC5MCFA6FX0)".V
M\(`@[#J+$<B#&-S1Z3:<^K@PX`$;UJ`X+2P!"PB<8QN0\#1$K`0HP2'/$PQ0
M@VWQ6PQK(/9F+6@$'R2@2S4#W006_>)9UT!57LH"&HQ2O[YH49*0;D='O*`!
MP=%Y=QV?`@&X?%$NL.$$UL:>%0[`W<.29;_&Y74$5#!>A4P#`D=XH1Q_D`"C
M7Q0$%B`Y"&,0A#6@>[+3^$#0:WFR%D@:R7HFPV^*$6N>2<`&$/OH&LGP``^^
M6!LR8!>(!=&6!)`,.Y=F`03X2DG-,/2@!--J'[($H$'%Y<&%"/2#%7`P!C?@
MHR-CN`#)-DZ+$G@`#`U7SA>:*RUL1C&-)%2$&E2PN1>?-@A<+LL6>+!8K;A'
M#EZQ3$^$%@8;^.O&15#!%B"%":&%@'V1Q\((XD2`#UCC=!79`0;<P.I];.%H
M`)VO%3:9YXL*8`C'I04,+K"%"YR5JDQ@`2*]P..>:($`W6SR?`ET@!:TO]!I
MRTKD23""VI]I!0`8@#M0`&_&/V7@`$P%0-MW"K?R!CE`:7@0@!(X@10X@7@0
#"``[
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>3
<FILENAME>g18364g1836402.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 g18364g1836402.gif
M1TE&.#EAE@!0`.8``-O8U>7DX='.RU)-2O'P[L3!O>/AWMG6T[FULH)]>N#>
MVZ6@G,S)Q=[;V/;V]*JEH8J%@;&MJM;3T6-=6VIE8JVHI.KHY5E44I:0C,G&
MPKRXM4I%0Y&-B9J5DL&]NG)M:X6`?:*=F?3T\OCX][6QK<7#P>[LZM31S3DT
M,\[+R(V(A#(M+'IT<0H'"$$\.RHE).CFX[Z[MW5P;?KZ^69A7I"*AK6SL!41
M$O/R[R`<')Z9E9:1D%5037YX=:":EB8A(;BTKQT9&>_N[-+0S8^*B&UG9>SK
MZ/GY^"XI*1@4%?3S\4="05U753XY.*ZKIYZ:F.[N[(:"@'!J9G=R<*:BG_KY
M^$]*2$5`/DU'1OCW]GY[>3<R,6!:5NSJYVYJ:#PW-E=24`\,#34P+U]:6=?4
MT-/0RF=B8/GZ^>OIYRPG)R0@'QL7%Q(/$",>'_S\_/W]_/[^_?S\^_O[^OO[
M^_W^_OW^_?S]_/W\_/S[^_[]_?O\^_KZ^O[___W]_?[^_O___R'Y!```````
M+`````"6`%````?_@'^"@X2%AH>(B8J+C(V.CXI\?7!^?6]N?IF0FYR=GI^@
MAW%^,WZCF7Q^H:NLK:Z.?B,I0`9R<IA]JJ^[O+V>?@!?:U8'<J5ONHY\?'^H
MS+[0T8N9NGX/;!1J6`*8<LF-R\UPX=+EYH+4@GU%6TH%:E9"?7%]D.'4S^?Z
MT'ZI?F@;>MR)4T.-#TMP8.GRUV^?PUZ8*$5`P:!?`"M-"(R"50==+G(/0[**
MZ"?*%B'>^H1(\J!4I$R4WM3)$D!""@$'NB"#^8>9ID3.FK5")9)1OWE%L,S)
MU><BBBZJ\A7BTVW$G@@3TK#)D20)"A8I*MWR60]H/S=]RJ[R,Z[HM&5\_[!0
MF/,'DQ\G81[(Z8FH#Q\Z?@)0"((B008%`!!(29,C@8$_;W)52HC(CQLW<.:M
MO:36K:(X1WYPF$0-31(P(GJ"')2%5(`!*#J@Z<<'69P`*EZ,\7#J)Z+,#N+$
M>;-6\C?/A^3`6%-A8YY*$W(TH+T:\FTI6(8X0&N)K20'#ZZL4##N(U`\&`1T
M_D0-+?)$D@J\*("L6;T(82I@4EWH,I$@`%!%QQ]R.%"/)'!440`25J#1C&^&
MP`'##5'H(94]JOBAP`,P>)?.<6E!6$XFN>B0A@>6/=B'`C]\D$4?SX$H@`L0
M++*,'!ZTP8(;;\!!&2(:M/#$>H\L0UP?";000O\?=I'X8S-`5'!$'<=%DTD=
M?7R`0@JY-+.,$E@T`0`I(O9AAA4XV.C'&U4LD`0)I50YB!\^A('`7I_0P<P.
M+>SPT5$N#3+#!4V8D)8^;-%QQ@!>&,@,DY"MM$`_>A9B1`X=$*=(/YDX0,$2
M`-3Q9"%QT!"&!GYYLDPF#[2@0F8DXF"$`X3`X44;`(PJ#35*-`%!B*9(9D(2
M%/@Q!Q['>;#"$'+62@T=#;0!@1RZ#N+`%2W84)TR/OD10Q@?C!!',P[4(`4!
MA/C1PPUEI'H.3!8@\4`F)+'EAPLH$'!&?80404,7<PQ8&27V5L%"$Q*@0TTZ
M`2"1[;:0J`)`#DP00$W_`"ZDD28A/;"1PAL76LD6&6MDL!/!9TW1!@,A%N+"
M#J.X\8@<P7R`#%.247E`&RU0T>PF0J"PA`(A`H""&$H0TH<6;)3@1LC\J*)!
M&`H<0DH'070PSWHK1/!S97-HH49KM.'C1PHWA*&"':S(04,;'L!AAQP:J+'$
M".ER$,8"=+"]CQ\8K/'8G%'UD0$2$U01Z"!M"+#1(Y4<OD"</:[)5@EAO,!!
M6Z'X`0$;%=A1&P9L8'&$TGJK(*(TSQ6Q0=*$"\('#CRL($1DA=S00)<*N4'`
M!U?@`-,I<,QA0PLT@KS6#F&`\+0#5K0P0!5*JQ"&%.Z^Z\<54F21;C)^@!!&
M_[M^#\)&`"0JE`L)061`!QT.`-'AFJUN(,-Q"Z/<T(?I`A'&%Q(0005NT(*[
M%:(&+>"!B!;6"S\<00T<P!,B(M""!>R'$#<P@A\Z,C-!B.`&&'"#\5H@`Q[Q
MH0)A&,`'+D2-/N`A+6FABAOB@(>EI*L!;+C!"ZR0A"L@X0(2%$0-PH"%5!2"
M29B`6N=,<(,(R*PO`@B"&;Q1"#8`X%"/T!,?X#`!)!R!`%YH01LD,"X4#J!&
MWZB$'>R@A%+\*0XD*,'B>J*`%V"`"4C@@@`V<`5:#<(-/6@!"H3PC3[8X0U'
MV&`O#M`^)?ZA#S"P@@O\2(@UA,61ADB%/VS`!@D,P?]A+9B"Q4+`A@%T($6#
MF`?=P%"$$XPB%3CXP1:(EBX#J$$##H#!"$RPA"90\I$4:$$.RO`DRYR@!L+C
M!1\T\`,%_,P/#IA"#LAPG#04X&E%(@Y;#(`$#M@@#"UH@1B&T(<%L,$%DWHB
M.N+0A0LD(0@#Z((<MHC#()"@$'"PP`TFAXPLC&$+O^P##9)P`R>D,0L0R$$,
MJA6*/CPA#29XIAR><`,-'&<%"*`$D1(ALTS,H0A<L!X/PAD"-Z"P#4ZPBP,<
M4(DZ5.`%/>@`&YQPATR4(0QAF$(0_6"$&^A`,G*80AH(*90L7(`+25#!>H1@
MAA8P83;X\U(ZGH&_J&3B"`G_0$(R*U.'(80A`:=3V!4X,(J-&H4,#&K!`P@X
MA66&DP1T<`,,F,"#EK@!`C_(@!'$``8T1"8%;&B!Z0J!@QMP8&$]",/N-($&
M+/0@"5S`&R&,U@0V_&L45*)$G%+1AP&1)8UP\(8I3#`!*U1!4WV!PAJ")SM*
M6$$+(\#DIHX0A'"BM05@<$"0V.`!/CB`"4'80A`L6H05F.`-'QAN'=[P@##<
M(`<F2)<(DH`!>]&!`RTH@"3^`H`K^*`-MBL$`]JP@1:H;3MS2,4;['"'5&!F
M31_AG>SZ,`,&/*`!#?A"#>;P,T.^80`YL(#L,E&$IWYM&F`(9P8&(%@'8`X%
M!_##_P%R\(0&@,$%!!@`$.V@`3:,Q@]N6D(+RI`N)5#7%&MR0L^H40<-?,$#
M8+C!X-"!@!S6MD&4X,,0.G""$<00+@Q,UPPT\((@7"$$:D#`!0_!60BT@`$@
M\<$6(BQ;CHJO!11`(`H4,(0D,,$"?8C`&@(@`B<D`0A7B$(<X&""%_"@"GUX
MP`]8$`8?I&L$25T8!4_I#PA\H0$=:$$$"A&#&[B`!V%(`Y3G\`8()*$)&MA(
M*I8BB8;,R0!86,(`-Y"$=CDR$W28F@\L_0<%Y*`$JVM$)A"@AD2'H`4K($,*
M@C`%$9@)#'*8@Q*00(,K0(`.<J@##5Y`ACYT0`P+4`,3)/_3C".LX;"P^A8$
M*L$'`O"`"UU(P1I8P"E!D.`&(:@!&Y(PZCFXS0IB$(,"AN,`!/C``'<`3(8&
M86;U;`&G)]"#657$2!D<`3`^^<$I&3H-/TA@"QM@$!M6X('H34$)(U##`^PB
M@S6L(`'^H,(/?$"'(K@@`Q>`*)8$X6PBU,?@:AB`'PHDA18DX0,*^,(`<-`'
M8RAA`FS`"4ZG,`,WS``,,O!`#B9``#?L3'H&V-J#9N"`"5S@"&Z@@<L-@$E$
MPJ$+*'#!`?C+##X,8`R255,:_4"`):Q`/N;]P0UN``886(`-!6@&';X9AFE3
MR6A,F($,FG`"%22A(I+I0QNT1HW_!F1=!&ZH(QNXL`(:F"&ON7B#WV^0`3F(
MH8`$T,,1)L`!K*[A`4>@`L76L`,W.,#'?@!"$4C0A`=8(DE:]4,>$I$%'2A@
M!GC,`"KZD0`7S)C)0'X25>0PAC`(@`%K3P,$QK`""3`@"!*P@R70</D>[$0$
M%T`"`62@]6]UP"Y,REH?J!0'(S#A!Q8X@O^N8(`"Y.`"-^C`"(X0@Q]@00P8
ML(/XTN!,.4Q`"S,``R\P`#`P`4Q0`D@P`"(`!U0B4,CC`B;`7U'0`ALP`FN2
M"&A``T0#`4$P:'<@%"2``H,&%)V5#H/`!U3R`:[2!TD``@&D`B7S4@H@!TR2
M!5C0`A.`_QF1@0%AP`"]U@`6D`-H0@TXL`8+$"(X$`%7\`,!H(0II`19T`,Y
M@&4X$`-BP`09P`-FX`<,L`*4-P\30`&Y]@$_``0O``(.,``K``/CEPM<8%YC
M$'E1$`84H`>I)@AD<`$6X`>8,P5"D0E9P`,?\`<)P4!N(`0*@`,[40B5D"5.
MY09)8`.E$`-*T@$H$%'"40>!M`&1D0D,D`1%8`4H<`+J0C68P0<*$`09!0=T
M8`0W&`9M<`,HD%P/8`0`T`0MH#E!\`,G(`(R,`!R@`=3D!>C,`%3D`L%D`8;
MD`,(T`<J<`,,$`=\(`)=`$I$L')^P#00,`=QP$%SPA<18`5Z0/\'>[`&6*`_
M=Q$$V_%(EA$8"=`$+#`=Q;,>B:0%L&8!28``=$$`:Y``1+"%JJ$AC\9?"8$&
M%_`"&\`#'0(%*/`$=J@A\Q$B;E``7-`$7``!!U``31`$+]`$%Q!."40>;K``
M*V`@C]5\'^5O<&`$#/8#5Z0!-P`"I"`#*Q!8;/``E4,!*V,9J(4.A+A,5I`6
M;G`%Q)8JF=``5S`%4)<A-L`#'6``6=")I/8@?M`!S@4";9`!EO`&3:`&8E`C
M<^(&5J`&&3`#,V`+5!`&27`!:)`6/7`%`%`%<P`$;1`#DV!(IF<"(G`$=S`"
M!&`#9B!<X/0%`>``,H$&6T`?/5`$2*#_`D)P`42@42$0!DB`/I3E``!P>>&4
M`Q;5!UFP`5\@!'@P1Y!A+QJP`09@"O^A-?QU50_P`C8P`EE`!ATP``@0')?`
M*9V1"6]`!4DP;D&`:G30!PG6`@D0%?X``C=`!,<0!PU06R@P!)$Q,1@P"C7P
M`DZS,/-0"23B.T.``"&P`EL0`#-@"<XX`2(``D7`F'E(`J*5`FJ0`Z1(6DPH
M9N'D7$Z0%E50`R&`8CU9:7\0!T2@!A5@&<R46_0"&5GP`2M`!%&P`DC`)6[$
M$.K4##*#`&(03"@@`?5P!/;8`A<P`P^R#"20`S1`#_0R`2WP`R7P2/\E)ED`
M!DLP';G@!E2B_PEK<C*9$0(Y0`)'D!9Q8``KP`!18`9D\`-,H'4=90!+4#*D
M0`0YP``RD`,;L`1?<)-HX0=[$(PF2`BI<`2/E2E^D`%I\`6TT@^V(`<X8`8Y
M\`-%8`3FF3Y\$$0/X@8VH`8,P`8)H`1'X`T"L`(%)`+TPA9_>C<W\P8"0%`&
M%0M#X`)?&08P(XU\D`?MM0>G8!Q[0"`XH`+5U0</*0,3D``R,`)`\`4JP%)K
M8@%@$`0"0!6^60%BP`-=@`,)YB?VPIN)E"[$@0D1L`(%*B$;\`-%)Q6D<``S
MV).,8#@O4$?].2Z/])$NH`2[!TT7T`:&0@W0XRIPP"-],`0T\`-;UO\RRN`A
M,_0':+"$D1D+2P8#`Z`&Z.,',"D%22!_!/`%+;`C'_@(`8`%IV0*/)@!(I0N
M;4A%X$`)`O`"!F`%-&`H<VI28;`">W@'R#"G(*!6_O!(I;HDC3@'#F`!1M!S
M!Y9)W9(9;L``/H`^=5$V$B8&;:``M8%#;'`%`=`'77!Y<4@7(2L(.#``(!`B
M4Z,%\O4@F1&TD9`6#:!U&/`"TFD9<2``2/`#N].)?3`'K6):.#H")V`$H34)
M=D`';_`&<O`&,^"LC``2&Y0+@#$"D7$HJ4`)*="F5.<[+W"O<A`'=80\#I`0
M`L,(@T(![W6P5F"!$?*C%;H(<64"-%`!"L#_!C90!>TH!#(P1FO&),8B`2^`
M!!'%#'$@0GUP!S(3><#R!W2A:@OQ$9K$%G5@!QF28QF0!"]@`6_`7RJ*`6EA
M`#^0!&F`/A!S"",P`3QP!GP0!P1``6E``*-2#S?J""$"1CV0!S\0!7D@C6\0
M!T(`!&3C7J10`$YT#RAC)'C`CNJ0LP\R8">(#GR@NFW+#/"Y`L)C&8%4H'80
M`"^P`GC*:.(;/AN0&J:P`Y8DOHNPK3,0!45P!UP0HN\!"@00!5,@,Y(02)-"
M!S"0!E@0!#Y`MH[PFD)0FAEPDZ,+"LN@!V_0`1N0!2K@>P?\"7"@!#07+$.T
MJ##`($&P`_[;#`5P_P,P4&E"<`-<\$N_P)L1D!$5\&(GW`EK@@E8D@L`L`,!
MD`HL<@%!T+S^ZP<GD`/:91]B$%ZAP%E^X+0!0`9-H`)#S`F:,'Y9:AGAT``Y
MT`-I4`0@4V6#L*\RD#,X1P:L0")*\`/J,087L'M"$<;3@`QUH$DQ8Q%I``(K
M\&93N0ARH`+%FZ48D%VL@"PK=TM_D+0!8T0S[,=3\0<!D`8=L`0H@*H<D0'M
MT[EO\"T+P`I=P@<;T'D%\'<YYHV:S`E44:\=<`$Y0$AN+`XC,``3H`1I(0`>
MMA9C_`%<,`?!P`($LV^SO"F54*\[X`4WL(=1_`8+$`0'X`9'(,Q$L!E'$?\"
M6T!VGT(VF=S,5(D#31`%22(`G*-J<0`#8H"&57`"-[`#K?`7?E``:]!&'+`"
M`0`8G67.FR"V1S``4_!J$6!$I&L*+^4#(S!`)[`+`-`&6Z<!22``NBG0D!!Y
M!89"&)"KRO!(62`#\/`#+K`QKF`!*Q!I!A`&^=FYY3S+"Z,"6%"B$^`'^0H.
MD/$&2N`!7K`!%?"]K^``2]`!<C`":P`"!*/1]O"U$8`$%8`O!J(0]L$D.*``
M@OL*;T`#'T!S+K`$0LG4D.,'=,``1L@$Q7N_]5`)/&(,QL(+&(":?B`%-Z`$
MRY#38KTI@C`L3]`#0<`LCZ`IU+`3R+H6A\.A"`3_IY*0UXM`N8^4!BKP!&R0
M47[,!T+`C&^`'\7&%XQM%@^"!30P-15`<$61"2[0`7^0`OGX'+NLT3CJ!U[0
M!`?0/"(:Q@3FAQ-F4)U=<`_2`4A08Q/@/;8=/EA``!-3`;NM#(GG`EJ`!$/E
MQYGP!"Y`!A.F`\D=V!]0I0$VRPJP!`LPT0APW;`0`T%P@R2FR7XP`%K0`&H0
M`^*M:F@P`4G0`N$]RUX`!G6D`>]M%&>S!DK2S"&`!`J0!O>TWXI0<PZ``6K@
M`<U<`D%0!D@P@@8.%'9P!#/8S-W-`6D0`H4]X7."#'G`S)Z!`UZ`!:2'!YGJ
GX8RH/\U<3N`DPTNFXE09%;LQO2M^P0<-`$Y#4K@J#A-$L0J!```[
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>4
<FILENAME>g18364g1836403.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 g18364g1836403.gif
M1TE&.#EA)0`E`.8``"HE)$Y'11L9&4A&1UA23U-,2FUJ:S(N+&)<6C0P+BTH
M)Q\:&C<R,!83$PX,#"(>'CLX.#\X-C<U-@P)"A$.#@@&!T,\.6UH9A41$JFF
MI45#1%-04,C&QPX+#!L7%VMH9UY:6=73T5M65')M:SDT,E!-3F!=728D)9"+
MAS@S,65@7C(L*]S:V6EB7@$!`<;%Q?7U]/?W]GUZ>9R:F4$\.Y"-BDI(2.3B
MX59/3!<4%&1@78>"@&=B7U-.35%-3"<C(SLV-2<A(%!*2"4B(:2?G:.>G')N
M;G9R<5]:65]:6#(O+_'P[S$M+142$EY95V!95&]J:<C&Q2XJ*@H("49%128B
M(7%M;(!\>TQ*2G]\>T=!/G]]?:6AG[:QKZ^LJU!+1UM86!(/$'MW=T`Z-V1A
M8.7DXW%L:G1Q<+FWMV9A8#4R,D],3.WLZ[BTL\K(QUM44%E34OKZ^4I$0YB5
ME$0_/5U74E=2471O;;6UM=_?W\_/SQ\?'P\/#P<%!@```/___R'Y!```````
M+``````E`"4```?_@'Z"@X2%AH>(@GAYC(V.CY"1D`)^>G^7F)F:FYR;>Y6=
MH:*<GY:CIZ*EG6X7K:ZOL%RAJIP;?;>XN;H-LZ"U?38O',/$Q5E]&+VFF[8?
MHQG(RIW-S]&=M,Q]SJ+0R=>^V=NAW=*_XIWDW\N:U-S6I.#LVM7>\.N9[>/O
MGO'X?62C9NS3A$U>A0D=$BI<.&1"/7[W,&W10'&!AXL8+TI80\5`.4UQVBSY
MLX3.`EU]@'BYU.6&.DX(7/&P0+-F30*NA$2QQPD#RI^X(O3)P'.33UQJP&28
M4^0GBJ%%-1W5)<#'SPE0(?8$RC4KP7AE0H0(8+.LV9I$0K#YNL[&K0$BM4"8
M4&+"0(D-6$K$%?`3`MM,#ZH<4+""`0D&"@`<8)!"`8D)%!0D2``@P8$'#D9B
MP@:C@@PD5LRDN0/EB)@D*A`8N;)#2H0O!72@V-'B!YI,V/14&.&$1@`A!.#(
M*8##3@\:8T8PT8+C29`G;^HD.(,;7`T*&@2<T`"!HG<-$C3TT7`B3),<4QHT
M:!+&08S-X$!TG:^+!?R(J/+_*:A?/__^J/P'X"B?.,#'@0@FJ.""#"[H0B``
!.S\_
`
end
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>GRAPHIC
<SEQUENCE>5
<FILENAME>g18364g1836404.gif
<DESCRIPTION>GRAPHIC
<TEXT>
begin 644 g18364g1836404.gif
M1TE&.#EA)0`E`.8``']_?Y^?GR\O+Q\?'V]O;S(R,OGY^8>'AQH:&A45%?/S
M\Z>GI]C8V-O;VTU-37=W=QP<'+:VME%14:VMK0T-#3T]/<C(R/S\_`D)"2(B
M(K>WM^?GYWAX>$M+2S<W-W-S<R@H*.'AX5=75W1T=-S<W!`0$!04%"4E)6=G
M9TA(2.OKZX^/C[&QL04%!5965MG9V</#PSDY.<7%Q7!P<(V-C86%A2PL+`$!
M`;N[N^/CX]75U2TM+1L;&\O+RP\/#]_?WP```/___P``````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M````````````````````````````````````````````````````````````
M`````````````````````````````````````````````````"'Y!```````
M+``````E`"4```?_@$""@X2%AH>(@C`_C(V.CY"1D!1`/T&7F)F:FYR;/I6=
MH:*<GY:CIZ*EJ*NDH*ROEZJPK[*SJ[69*P"[O+V^O!JMIIH#0`<!R,G*RA)`
M!,*<`S,0#*<3&"G/GJ[$/P<%%J(+"3(`VIJXF`.6#P75G"P($4'FT)OKEP<0
M&YL+",'TSF5*=PG?)1HE^&&:D&#>I7K;AF4R>*D&M4L36N#(!!$=MXG#&F1P
M`6Y<!P<Y,'4<^%&=J08%'ES@`$*>`@<.%#P4B(E@$'PP1V#2$>*2`A$5#`2T
MUTU%A@>A#$CP8&!ESY8%>_`X<$&4U`H?>,;"^M,$"A*2'+V(@4%L$)\[.GS8
M$$"WKEV[)WQP8&KKE,^^?`&'^BN8I<3"@1%[/*S8<.-.A!5'1CRY<&7!GRCX
- -V,RYL^?/H#_?"`0`.S\_
`
end
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----
