<SEC-DOCUMENT>0000707605-12-000096.txt : 20120717
<SEC-HEADER>0000707605-12-000096.hdr.sgml : 20120717
<ACCEPTANCE-DATETIME>20120717080746
ACCESSION NUMBER:		0000707605-12-000096
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20120717
ITEM INFORMATION:		Results of Operations and Financial Condition
FILED AS OF DATE:		20120717
DATE AS OF CHANGE:		20120717

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			AMERISERV FINANCIAL INC /PA/
		CENTRAL INDEX KEY:			0000707605
		STANDARD INDUSTRIAL CLASSIFICATION:	NATIONAL COMMERCIAL BANKS [6021]
		IRS NUMBER:				251424278
		STATE OF INCORPORATION:			PA
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-11204
		FILM NUMBER:		12964682

	BUSINESS ADDRESS:	
		STREET 1:		MAIN & FRANKLIN STS
		STREET 2:		PO BOX 430
		CITY:			JOHNSTOWN
		STATE:			PA
		ZIP:			15907
		BUSINESS PHONE:		8145335300

	MAIL ADDRESS:	
		STREET 1:		MAIN & FRANKLIN STS
		STREET 2:		PO BOX 430
		CITY:			JOHNSTOWN
		STATE:			PA
		ZIP:			15907
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>jun128k.htm
<DESCRIPTION>PRESS RELEASE ANNOUNCING SECOND QUARTER AND FIRST SIX MONTH RESULTS FOR 2012
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<P style="margin:0px; font-family:Courier New">SECURITIES AND EXCHANGE COMMISSION</P>
<P style="margin:0px; font-family:Courier New">Washington, D.C. &nbsp;20549</P>
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<P style="margin:0px; font-family:Courier New">Form 8-K</P>
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<P style="margin:0px; font-family:Courier New">Current Report </P>
<P style="margin:0px; font-family:Courier New">Pursuant to Section 13 or 15(d) of the Securities Act of 1934</P>
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<P style="margin:0px; font-family:Courier New">Date of Report (Date of earliest event reported) July 17<A NAME="QuickMark"></A>, 2012</P>
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<P style="margin:0px; font-family:Courier New">AMERISERV FINANCIAL, Inc.</P>
<P style="margin:0px; font-family:Courier New">(exact name of registrant as specified in its charter)</P>
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<P style="margin:0px; font-family:Courier New">Pennsylvania &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;0-11204 &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;25-1424278</P>
<P style="margin:0px; font-family:Courier New">(State or other &nbsp;&nbsp;&nbsp;&nbsp;(commission &nbsp;&nbsp;&nbsp;(I.R.S. Employer</P>
<P style="margin:0px; font-family:Courier New">jurisdiction &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;File Number) &nbsp;&nbsp;Identification No.)</P>
<P style="margin:0px; font-family:Courier New">of Incorporation)</P>
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<P style="margin:0px; font-family:Courier New">Main and Franklin Streets, Johnstown, Pa. &nbsp;15901</P>
<P style="margin:0px; font-family:Courier New">(address or principal executive offices) &nbsp;&nbsp;(Zip Code)</P>
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<P style="margin:0px; font-family:Courier New">Registrant's telephone number, including area code: 814-533-5300</P>
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<P style="margin:0px; font-family:Courier New">N/A</P>
<P style="margin:0px; font-family:Courier New" align=justify>(Former name or former address, if changed since last report.)</P>
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<P style="margin:0px; font-family:Courier New" align=justify>Check the appropriate box below if the Form 8-K filing is intended to </P>
<P style="margin:0px; font-family:Courier New" align=justify>simultaneously satisfy the filing obligation of the registrant under</P>
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<P style="margin:0px; font-family:Courier New" align=justify>( ) Written communications pursuant to Rule 425 under the Securities </P>
<P style="margin:0px; font-family:Courier New" align=justify>Act (17 CFR 230.425)</P>
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<P style="margin:0px; font-family:Courier New" align=justify>( ) Soliciting material pursuant to Rule 14a-12 under the Exchange</P>
<P style="margin:0px; font-family:Courier New" align=justify>Act (17 CFR 240.14a-12)</P>
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<P style="margin:0px; font-family:Courier New" align=justify>( ) Pre-commencement communications pursuant to Rule 14d-2(b) under the</P>
<P style="margin:0px; font-family:Courier New" align=justify>Exchange Act (17 CFR 240.14d-2(b))</P>
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<P style="margin:0px; font-family:Courier New" align=justify>( ) Pre-commencement communications pursuant to Rule 13e-4(c) under the </P>
<P style="margin:0px; font-family:Courier New" align=justify>Exchange Act (17 CFR 240.13e-4c))</P>
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<P style="margin:0px; text-indent:280px; font-family:Courier New" align=justify>Form 8-K</P>
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<P style="margin:0px; font-family:Courier New" align=justify>Item 2.02 Results of operation and financial condition.</P>
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<P style="margin:0px; text-indent:48px; font-family:Courier New" align=justify>AMERISERV FINANCIAL Inc. (the &quot;Registrant&quot;) announced second quarter and first six month results through June 30, 2012. &nbsp;For a more detailed description of the announcement see the press release attached as Exhibit #99.1. &nbsp;</P>
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<P style="margin:0px; font-family:Courier New" align=justify>Exhibits</P>
<P style="margin:0px; font-family:Courier New" align=justify>--------</P>
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<P style="margin-top:0px; margin-bottom:-16px; padding-left:144px; text-indent:-144px; font-family:Courier New" align=justify>Exhibit 99.1</P>
<P style="margin:0px; padding-left:144px; font-family:Courier New" align=justify>Press release dated July 17, 2012, announcing the second quarter and first six month results through June 30, 2012. </P>
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<P style="margin:0px; text-indent:48px; font-family:Courier New" align=justify>Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</P>
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<P style="margin:0px; font-family:Courier New" align=justify>AMERISERV FINANCIAL, Inc.</P>
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<P style="margin:0px; font-family:Courier New" align=justify>By /s/Jeffrey A. Stopko</P>
<P style="margin:0px; font-family:Courier New" align=justify>Jeffrey A. Stopko</P>
<P style="margin:0px; font-family:Courier New" align=justify>Executive Vice President</P>
<P style="margin:0px; font-family:Courier New" align=justify>&amp; CFO</P>
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<P style="margin:0px; font-family:Courier New" align=justify>Date: July 17, 2012 </P>
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<P style="line-height:14pt; margin:0px; font-size:12pt">Exhibit 99.1</P>
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<P style="line-height:18pt; margin:0px; padding-left:48px; padding-right:19.2px; font-size:16pt"><B>AMERISERV FINANCIAL REPORTS EARNINGS FOR THE SECOND QUARTER AND FIRST SIX MONTHS OF 2012 &nbsp;&nbsp;&nbsp;&nbsp;</B></P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px" align=justify>JOHNSTOWN, PA &#150; AmeriServ Financial, Inc. (NASDAQ: ASRV) reported second quarter 2012 net income of $1,432,000 or $0.06 per diluted common share. &nbsp;This represents a decrease of $506,000, or $0.02 per diluted common share from the second quarter 2011. &nbsp;The improvements in asset quality continued to result in a negative provision for loan losses in the second quarter of 2012, but at a lesser level than in the second quarter of 2011. &nbsp;For the six month period ended June 30, 2012, the Company reported net income of $2,997,000 or $0.12 per diluted share. &nbsp;Net income for the six month period was down by $204,000 or 6.4% while diluted earnings per share did not change due to the success of the Company&#146;s common stock repurchase program. &nbsp;The following table highlights the Company&#146;s financial performance for both the three and six month periods ended June 30, 2012: &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
<P style="margin:0px; padding-left:48px; padding-right:19.2px" align=justify>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
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<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=183.2></TD><TD width=120></TD><TD width=120></TD><TD width=16></TD><TD width=144></TD><TD width=144></TD></TR>
<TR><TD style="border:1px solid #000000" valign=top width=183.2><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=center>Second Quarter 2012</P>
</TD><TD style="border-top:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=center>Second Quarter 2011</P>
</TD><TD style="border-top:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=16><P>&nbsp;</P></TD><TD style="border-top:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=center>Six Months Ended</P>
<P style="margin:0px" align=center>June 30, 2012</P>
</TD><TD style="border-top:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=center>Six Months Ended</P>
<P style="margin:0px" align=center>June 30, 2011 </P>
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<TR><TD style="border-left:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=183.2><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=16><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P>&nbsp;</P></TD></TR>
<TR><TD style="border-left:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=183.2><P style="margin:0px">Net income </P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=right>$1,432,000 </P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=right>$1,938,000</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=16><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=right>$2,997,000</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=right>$3,201,000</P>
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<TR><TD style="border-left:1px solid #000000; border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=183.2><P style="margin:0px">Diluted earnings per share</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=right>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$ 0.06</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=120><P style="margin:0px" align=right>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$ 0.08</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=16><P>&nbsp;</P></TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=right>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;$ 0.12</P>
</TD><TD style="border-right:1px solid #000000; border-bottom:1px solid #000000" valign=top width=144><P style="margin:0px" align=right>$0.12</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>Glenn L. Wilson, President and Chief Executive Officer, commented on the second quarter 2012 financial results: &#147;During the second quarter of 2012, we accomplished several important actions that have a positive impact on shareholder value. &nbsp;First, we repurchased 1,183,000 shares of our common stock below tangible book value at an average price per share of $2.52. &nbsp;This stock repurchase, combined with our earnings, contributed to a 6.4% increase in tangible book value per share during the first six months of 2012. &nbsp;Second, our total loan portfolio grew by $19.5 million or 2.9% during the second quarter of 2012 with this loan growth occurring in loan categories that qualify for the Small Business Lending Fund (SBLF). &nbsp;As a result of this loan growth, the dividend rate that AmeriServ Financial Inc. currently pays on the SBLF preferred stock will drop from 5% to 1% - the lowest rate available under the SBLF program. &nbsp;This lower preferred dividend will increase the quarterly net income available to common shareholders by $210,000 beginning in the fourth quarter of 2012.&#148; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:57.6px" align=justify>The Company&#146;s net interest income in the second quarter of 2012 decreased by $165,000 or 2.0% from the prior year&#146;s second quarter and for the first six months of 2012 decreased by only $73,000 or 0.5% when compared to the first six months of 2011. &nbsp;The Company&#146;s 2012 net interest margin of 3.64% was 7 basis points lower than the net interest margin of 3.71% for the first half of 2011. &nbsp;The decreased net interest income and net interest margin in 2012 reflects the challenges of a flatter yield curve which has caused interest revenue to decrease to greater extent than interest expense. &nbsp;Also, the second quarter 2012 net interest margin was negatively impacted by a build-up in short-term liquidity as the Company positioned its balance sheet for strong loan fundings that occurred late in the quarter. &nbsp;Specifically, total loans outstanding have increased for five consecutive quarters and now are $34.0 million or 5.2% higher than they were at June 30, 2011. &nbsp;&nbsp;This loan growth reflects the successful results of the Company&#146;s more intensive sales calling efforts with an emphasis on generating commercial loans and owner occupied commercial real estate loans which qualify as Small Business Lending Fund loans, particularly through its new loan production offices. &nbsp;Despite this growth in loans, total interest revenue dropped by $1.1 million between years and reflects the lower interest rate environment and flatter yield curve. &nbsp;Interest revenue has also been negatively impacted by increased premium amortization on mortgage backed securities due to faster mortgage prepayment speeds. &nbsp;However, careful management of funding costs has allowed the Company to mitigate a significant portion of this drop in interest revenue during the past year. &nbsp;Specifically, interest expense in the first six months of 2012 declined by $1.0 million from the same prior year period due to the Company&#146;s proactive efforts to reduce deposit and borrowing costs. &nbsp;Even with this reduction in deposit costs, the Company still experienced solid growth in deposits which increased by $44 million or 5.4% over the past 12 months. &nbsp;&nbsp;&nbsp;&nbsp;</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>Sustained improvements in asset quality evidenced by low levels of non-performing assets, net charge-offs, and classified loans allowed the Company to again reverse a portion of the allowance for loan losses into earnings in the second quarter of 2012 while still maintaining especially strong coverage ratios. &nbsp;At June 30, 2012, non-performing assets totaled $5.1 million or 0.74% of total loans. &nbsp;This represents the fourth consecutive quarter where non-performing assets have been near the $5 million level. &nbsp;Criticized and classified loans also dropped by $12 million or 21.3% during the past 12 months. &nbsp;Actual credit losses realized through net charge-offs have also declined in 2012 with the Company even experiencing net loan recoveries of $39,000 in the second quarter of 2012. &nbsp;For the first six months of 2012, net charge-offs totaled only $181,000 or 0.05% of total loans which represents a decrease from the first six months of 2011 when net charge-offs totaled $1.0 million or 0.32% of total loans. &nbsp;As a result of this sustained asset quality improvement, the Company recorded a negative provision for loan losses of $500,000 in the second quarter of 2012 compared to a negative provision of $1,175,000 in the second quarter of 2011. &nbsp;For the six month period in 2012, the negative provision amounted to $1,125,000 compared to a $1,775,000 credit provision in the first six months of 2011. &nbsp;Overall, there has been $650,000 less earnings benefit from negative loan loss provisions in 2012. &nbsp;When determining the provision for loan losses, the Company considers a number of factors some of which include periodic credit reviews, non-performing asset, loan delinquency and charge-off trends, concentrations of credit, loan volume trends and broader local and national economic trends. &nbsp;In summary, the allowance for loan losses provided 315% coverage of non-performing loans, and was 1.94% of total loans, at June 30, 2012, compared to 288% of non-performing loans, and 2.18% of total loans, at December 31, 2011. </P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>The Company&#146;s growth in non-interest revenue has also been a financial performance highlight in 2012. &nbsp;Total non-interest income in the second quarter of 2012 increased by $279,000 or 8.1% from the prior year&#146;s second quarter and for the first six months of 2012 increased by $848,000 or 12.9% when compared to the first six months of 2011. &nbsp;&nbsp;&nbsp;The second quarter 2012 non-interest income increase was driven by increased revenue from residential mortgage banking activities. &nbsp;Specifically, gains realized on residential mortgage loan sales into the secondary market increased by $96,000 due to increased mortgage loan production in the second quarter of 2012. &nbsp;Higher fees related to residential mortgage banking activities along with increased revenue from financial services (annuity and mutual funds sales) were the key factors responsible for the $219,000 increase in other income in the second quarter of 2012. &nbsp;For the six month period, trust fees increased by $152,000 or 4.8% as our wealth management businesses benefited from the implementation of new fee schedules and improved asset values in 2012. &nbsp;Also, the Company realized a modest $12,000 investment security gain in 2012 compared to a $358,000 investment security loss in the first quarter of 2011 that resulted from a portfolio repositioning strategy. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>Total non-interest expense in the second quarter of 2012 increased by $190,000 from the prior year&#146;s second quarter and for the first six months of 2012 increased by $385,000 or 1.9% when compared to the first six months of 2011. &nbsp;Salaries and employee benefits increased by $402,000 for the second quarter and $888,000 or 8.0% for the six month period due to higher salaries expense, incentive compensation, and pension expense. &nbsp;The 2012 personnel expenses also reflect the staffing costs associated with new loan production offices in Altoona, Harrisburg and Hagerstown, Maryland. &nbsp;Other expenses also increased by $86,000 for the second quarter of 2012 and $191,000 for the six month period due to an increase in the reserve for unfunded loan commitments as result of increased commercial loan origination activity in 2012. &nbsp;These negative items were partially offset by a $346,000 reduction in FDIC deposit insurance expense for the second quarter of 2012 and a $679,000 reduction for the six month period. This reduction resulted from a change in the calculation methodology which took effect in the second half of 2011 and the Company&#146;s improved risk profile which is evidenced by better asset quality and increased profitability. &nbsp;&nbsp;Finally, the Company recorded an income tax expense of $1.3 million or an effective tax rate of 30.8% for the first half of 2012 which was comparable with the income tax expense of $1.4 million or an effective tax rate of 30.3% for the first half of 2011. &nbsp;</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>ASRV had total assets of $997 million and shareholders&#146; equity of $111 million or a book value of $4.66 per common share at June 30, 2012. &nbsp;During the first half of 2012, the Company repurchased 1,638,000 shares of its common stock at an average price of $2.48 in conjunction with the terms of its previously announced stock buyback program. &nbsp;The Company continued to maintain strong capital ratios that considerably exceed the regulatory defined well capitalized status with a risk based capital ratio of 16.41%, an asset leverage ratio of 11.60% and a tangible common equity to tangible assets ratio of 7.84% at June 30, 2012. &nbsp;</P>
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<P style="margin:0px; padding-left:48px; padding-right:19.2px; text-indent:48px" align=justify>This news release may contain forward-looking statements that involve risks and uncertainties, as defined in the Private Securities Litigation Reform Act of 1995, including the risks detailed in the Company's Annual Report and Form 10-K to the Securities and Exchange Commission. &nbsp;Actual results may differ materially. &nbsp;</P>
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<P style="margin:0px" align=center>Nasdaq: ASRV</P>
<P style="margin:0px" align=center>SUPPLEMENTAL FINANCIAL PERFORMANCE DATA </P>
<P style="margin:0px" align=center>June 30, 2012</P>
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<P style="margin:0px" align=center>(Unaudited)</P>
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<P style="margin:0px; padding-left:38.4px; text-indent:276.933px">2012</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=240></TD><TD width=72></TD><TD width=78></TD><TD width=78></TD><TD width=78></TD><TD width=78></TD></TR>
<TR><TD valign=top width=240><P>&nbsp;</P></TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>YEAR</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P>&nbsp;</P></TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>TO DATE</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE DATA FOR THE PERIOD:</P>
</TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Net income </P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,565</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,432</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$2,997</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Net income available to common</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;shareholders </P>
</TD><TD valign=top width=72><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,302</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,170</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,472</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P>&nbsp;</P></TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE PERCENTAGES (annualized):</P>
</TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Return on average assets</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.65%</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.59%</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.62%</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Return on average equity</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5.60</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5.19</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5.40</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Net interest margin</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.70</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.59</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.64</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Net charge-offs (recoveries) as a percentage</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;of average loans</P>
</TD><TD valign=top width=72><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.13</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.02)</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.05</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Loan loss provision as a percentage of </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;average loans</P>
</TD><TD valign=top width=72><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.38)</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.30)</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.34)</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Efficiency ratio</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>86.17</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>86.34</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>86.25</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P>&nbsp;</P></TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">PER COMMON SHARE: </P>
</TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Net income:</P>
</TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Basic</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.06</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.06</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.12</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Average number of common shares </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;outstanding</P>
</TD><TD valign=top width=72><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,679</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>19,584</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,132</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Diluted</P>
</TD><TD valign=top width=72><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.06</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.06</P>
</TD><TD valign=top width=78><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.12</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P style="line-height:11pt; margin:0px; font-size:9pt">Average number of common shares </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;outstanding</P>
</TD><TD valign=top width=72><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,722</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>19,652</P>
</TD><TD valign=top width=78><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,186</P>
</TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=240><P>&nbsp;</P></TD><TD valign=top width=72><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="line-height:11pt; margin:0px; padding-left:36px; text-indent:282px; font-size:9pt">2011</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=234></TD><TD width=76.8></TD><TD width=81.6></TD><TD width=75.6></TD><TD width=75.6></TD><TD width=78></TD></TR>
<TR><TD valign=top width=234><P>&nbsp;</P></TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>YEAR</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P>&nbsp;</P></TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>TO DATE</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE DATA FOR THE PERIOD:</P>
</TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Net income</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,263</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,938</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$3,201</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Net income available to common </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;shareholders </P>
</TD><TD valign=top width=76.8><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>973</P>
</TD><TD valign=top width=81.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,648</P>
</TD><TD valign=top width=75.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,621</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P>&nbsp;</P></TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE PERCENTAGES (annualized):</P>
</TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Return on average assets</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.54%</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.81%</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.67%</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Return on average equity</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4.77</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7.11</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5.96</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Net interest margin</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.70</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.71</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.71</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Net charge-offs as a percentage of </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;average loans</P>
</TD><TD valign=top width=76.8><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.70</P>
</TD><TD valign=top width=81.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.07)</P>
</TD><TD valign=top width=75.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.32</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Loan loss provision as a percentage of</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;average loans</P>
</TD><TD valign=top width=76.8><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.37)</P>
</TD><TD valign=top width=81.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.72)</P>
</TD><TD valign=top width=75.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(0.55)</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Efficiency ratio</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>89.53</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>85.53</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>87.49</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P>&nbsp;</P></TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">PER COMMON SHARE: </P>
</TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Net income:</P>
</TD><TD valign=top width=76.8><P>&nbsp;</P></TD><TD valign=top width=81.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Basic</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.05</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.08</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$0.12</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Average number of common shares </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;outstanding</P>
</TD><TD valign=top width=76.8><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,208</P>
</TD><TD valign=top width=81.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,208</P>
</TD><TD valign=top width=75.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,208</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Diluted</P>
</TD><TD valign=top width=76.8><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.05</P>
</TD><TD valign=top width=81.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.08</P>
</TD><TD valign=top width=75.6><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>0.12</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=234><P style="line-height:11pt; margin:0px; font-size:9pt">Average number of common shares</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;outstanding</P>
</TD><TD valign=top width=76.8><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,230</P>
</TD><TD valign=top width=81.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,236</P>
</TD><TD valign=top width=75.6><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,233</P>
</TD><TD valign=top width=75.6><P>&nbsp;</P></TD><TD valign=top width=78><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center>AMERISERV FINANCIAL, INC.</P>
<P style="margin:0px" align=center>(In thousands, except per share, statistical, and ratio data)</P>
<P style="margin:0px" align=center>(Unaudited)</P>
<P style="margin:0px"><BR></P>
<P style="margin:0px; text-indent:291.333px">2012</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=208.133></TD><TD width=85.867></TD><TD width=84></TD><TD width=84></TD><TD width=84></TD><TD width=84></TD></TR>
<TR><TD valign=top width=208.133><P>&nbsp;</P></TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE DATA AT PERIOD END</P>
</TD><TD valign=top width=85.867><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Assets</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$967,401</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$997,102</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Short-term investments/overnight funds</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,398</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>14,158</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Investment securities</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>190,089</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>191,791</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Loans </P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>671,328</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>690,815</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Allowance for loan losses</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,778</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,317</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Goodwill </P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Deposits</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>820,105</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>854,017</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">FHLB borrowings</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>6,390</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,000</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Shareholders&#146; equity</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>112,270</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>110,810</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Non-performing assets </P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,801</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,077</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Asset leverage ratio</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.83%</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.60%</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Tangible common equity ratio</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8.24</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7.84</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">PER COMMON SHARE:</P>
</TD><TD valign=top width=85.867><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Book value (A)</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.46</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.66</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Tangible book value </P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.84</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4.00</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Market value</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2.74</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2.82</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Trust assets &#150; fair market value (B)</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,469,789</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,447,877</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P>&nbsp;</P></TD><TD valign=top width=85.867><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">STATISTICAL DATA AT PERIOD END:</P>
</TD><TD valign=top width=85.867><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Full-time equivalent employees</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>353</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>353</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Branch locations</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Common shares outstanding</P>
</TD><TD valign=top width=85.867><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,465,521</P>
</TD><TD valign=top width=84><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>19,284,521</P>
</TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD><TD valign=top width=84><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="line-height:11pt; margin:0px; padding-left:38.4px; text-indent:249.6px; font-size:9pt">2011</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=208.133></TD><TD width=86.4></TD><TD width=86.4></TD><TD width=86.4></TD><TD width=86.4></TD></TR>
<TR><TD valign=top width=208.133><P>&nbsp;</P></TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>3QTR</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>4QTR</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">PERFORMANCE DATA AT PERIOD END</P>
</TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Assets</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$961,067</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$954,893</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$973,439</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$979,076</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Short-term investments/overnight funds</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>26,769</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,338</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>17,941</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,845</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Investment securities </P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>195,272</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>198,770</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>195,784</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>195,203</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Loans </P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>644,836</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>656,838</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>667,409</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>670,847</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Allowance for loan losses</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18,025</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>16,958</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>16,069</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>14,623</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Goodwill and core deposit intangibles</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12,613</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Deposits</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>816,528</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>810,082</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>827,358</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>816,420</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">FHLB borrowings</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,736</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,722</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,707</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,765</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Shareholders&#146; equity</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>108,170</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>111,410</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>114,164</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>112,352</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Non-performing assets </P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,328</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,433</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,344</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,199</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Asset leverage ratio</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.40%</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.60%</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.70%</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11.66%</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Tangible common equity ratio</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7.89</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8.29</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8.38</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8.15</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">PER COMMON SHARE: </P>
</TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Book value (A)</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.12</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.28</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.39</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$4.37</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Tangible book value </P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.53</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.68</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.80</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3.76</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Market value</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2.37</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1.95</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1.90</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1.95</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Trust assets &#150; fair market value (B)</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,410,755</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,390,534</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,313,440</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,382,745</P>
</TD></TR>
<TR><TD valign=top width=208.133><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">STATISTICAL DATA AT PERIOD END:</P>
</TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD><TD valign=top width=86.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Full-time equivalent employees</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>351</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>352</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>342</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>347</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Branch locations</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>18</P>
</TD></TR>
<TR><TD valign=top width=208.133><P style="line-height:11pt; margin:0px; font-size:9pt">Common shares outstanding</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,207,670</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,208,421</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,208,421</P>
</TD><TD valign=top width=86.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,921,021</P>
</TD></TR>
</TABLE>
<P style="line-height:11pt; margin:0px; font-size:9pt">NOTES:</P>
<P style="line-height:11pt; margin-top:0px; margin-bottom:-14.667px; padding-left:50px; text-indent:-24px; font-size:9pt">(A)</P>
<P style="line-height:11pt; margin:0px; padding-left:50px; font-size:9pt">Preferred stockof $21 million received through the Small Business Lending Fund is excluded from the book value per</P>
<P style="line-height:11pt; margin:0px; padding-left:50px; font-size:9pt">common share and tangible book value per common share calculations.</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(B) Not recognized on the balance sheet.</P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center>AMERISERV FINANCIAL, INC.</P>
<P style="margin:0px" align=center>CONSOLIDATED STATEMENT OF INCOME</P>
<P style="margin:0px" align=center>(In thousands)</P>
<P style="margin:0px" align=center>(Unaudited)</P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px; padding-left:38.4px; text-indent:270.933px">2012</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=232.8></TD><TD width=64.4></TD><TD width=64.4></TD><TD width=70.4></TD><TD width=58.4></TD><TD width=76.4></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>YEAR</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>TO DATE</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Interest and fees on loans</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$8,729</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$8,552</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$17,281</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total investment portfolio</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,395</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,333</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,728</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Interest Income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,124</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,885</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,009</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">INTEREST EXPENSE</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Deposits</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,762</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,668</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,430</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">All borrowings</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>304</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>296</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>600</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Interest Expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,066</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,964</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,030</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8,058</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,921</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>15,979</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Provision (credit) for loan losses</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(625)</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(500)</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(1,125)</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INTEREST INCOME AFTER</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;PROVISION (CREDIT) FOR LOAN </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;LOSSES</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8,683</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8,421</P>
</TD><TD valign=top width=70.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>17,104</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NON-INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Trust fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,697</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,628</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,325</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Investment advisory fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>193</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>177</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>370</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net realized gains on investment securities</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>-</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>12</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net realized gains on loans held for sale</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>276</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>251</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>527</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Service charges on deposit accounts</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>535</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>517</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,052</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Bank owned life insurance</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>215</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>212</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>427</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Other income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>758</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>936</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,694</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Non-interest Income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,674</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,733</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,407</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NON-INTEREST EXPENSE</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Salaries and employee benefits</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,986</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,976</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11,962</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net occupancy expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>729</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>702</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,431</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Equipment expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>451</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>473</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>924</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Professional fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>923</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>937</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,860</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">FDIC deposit insurance expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>129</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>114</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>243</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Other expenses</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,896</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,865</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,761</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Non-interest Expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,114</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,067</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>20,181</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=70.4><P>&nbsp;</P></TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">PRETAX INCOME </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,243</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,087</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,330</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Income tax expense </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>678</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>655</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,333</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INCOME</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,565</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,432</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,997</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Preferred stock dividends </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>263</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>262</P>
</TD><TD valign=top width=70.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>525</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INCOME AVAILABLE TO COMMON SHAREHOLDERS</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,302</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,170</P>
</TD><TD valign=top width=70.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$2,472</P>
</TD><TD valign=top width=58.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="margin:0px"><BR></P>
<P style="line-height:11pt; margin:0px; padding-left:38.4px; text-indent:267.6px; font-size:9pt">2011</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=232.8></TD><TD width=64.4></TD><TD width=64.4></TD><TD width=76.4></TD><TD width=76.4></TD><TD width=76.4></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>1QTR</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>YEAR</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>TO DATE</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Interest and fees on loans</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$9,083</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$8,804</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$17,887</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total investment portfolio</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,513</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,726</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,239</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Interest Income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,596</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,530</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>21,126</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">INTEREST EXPENSE</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Deposits</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,294</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,106</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,400</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">All borrowings</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>336</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>338</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>674</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Interest Expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,630</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,444</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,074</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,966</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8,086</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>16,052</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Provision (credit) for loan losses</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(600)</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(1,175)</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(1,775)</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INTEREST INCOME AFTER</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;PROVISION (CREDIT) FOR LOAN </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;LOSSES</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>8,566</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,261</P>
</TD><TD valign=top width=76.4><P style="margin:0px" align=right><BR></P>
<P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>17,827</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NON-INTEREST INCOME</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Trust fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,556</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,617</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,173</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Investment advisory fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>198</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>198</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>396</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net realized losses on investment securities</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(358)</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>-</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(358)</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net realized gains on loans held for sale</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>262</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>155</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>417</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Service charges on deposit accounts</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>472</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>549</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,021</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Bank owned life insurance</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>216</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>218</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>396</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Other income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>759</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>717</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,476</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Non-interest Income</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,105</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,454</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>6,559</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NON-INTEREST EXPENSE</P>
</TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Salaries and employee benefits</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,500</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>5,574</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11,074</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Net occupancy expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>757</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>742</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,499</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Equipment expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>429</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>411</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>840</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Professional fees</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>980</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>911</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,891</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">FDIC deposit insurance expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>462</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>460</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>922</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Other expenses </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,791</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,779</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,570</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Total Non-interest Expense</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,919</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,877</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>19,796</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=64.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">PRETAX INCOME</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,752</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,838</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,590</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Income tax expense </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>489</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>900</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,389</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INCOME </P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,263</P>
</TD><TD valign=top width=64.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,938</P>
</TD><TD valign=top width=76.4><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,201</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">Preferred stock dividends and accretion of</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;preferred stock &nbsp;</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>290</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>290</P>
</TD><TD valign=top width=76.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>580</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=232.8><P style="line-height:11pt; margin:0px; font-size:9pt">NET INCOME AVAILABLE TO COMMON SHAREHOLDERS</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$973</P>
</TD><TD valign=top width=64.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$1,648</P>
</TD><TD valign=top width=76.4><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$2,621</P>
</TD><TD valign=top width=76.4><P>&nbsp;</P></TD><TD valign=top width=76.4><P>&nbsp;</P></TD></TR>
</TABLE>
<P style="margin:0px"><BR></P>
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<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
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<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
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<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center><BR></P>
<P style="margin:0px" align=center>AMERISERV FINANCIAL, INC.</P>
<P style="margin:0px" align=center>Nasdaq: ASRV</P>
<P style="margin:0px" align=center>Average Balance Sheet Data (In thousands)</P>
<P style="margin:0px" align=center>(Unaudited)</P>
<P style="margin:0px"><BR></P>
<P style="line-height:11pt; margin-top:0px; margin-bottom:-14.667px; padding-left:36px; padding-right:-43.2px; text-indent:304.667px; font-size:9pt">2012</P>
<P style="line-height:11pt; margin:0px; padding-left:36px; padding-right:-43.2px; text-indent:468px; font-size:9pt">2011</P>
<TABLE style="font-size:10pt" cellspacing=0><TR style="font-size:0"><TD width=268.533></TD><TD width=81.067></TD><TD width=81.067></TD><TD width=81.067></TD><TD width=81.067></TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>SIX</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>SIX</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>MONTHS</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>2QTR</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=center>MONTHS</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Interest earning assets:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Loans and loans held for sale, net of unearned </P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;Income</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$669,307</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$667,941</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$651,036</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$656,048</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Deposits with banks</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>7,359</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,691</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,701</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>1,616</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Short-term investment in money market funds</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,775</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,473</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,243</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>3,676</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Federal funds sold</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>-</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>-</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,173</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11,676</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total investment securities</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>189,934</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>192,255</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>207,975</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>198,256</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total interest earning assets</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>880,375</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>875,360</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>873,128</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>871,272</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Non-interest earning assets:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Cash and due from banks</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>16,072</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>16,618</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>15,012</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>15,283</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Premises and equipment</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,928</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,877</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,494</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>10,489</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Other assets</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>81,557</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>81,929</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>79,008</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>79,313</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Allowance for loan losses</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(13,839)</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(14,162)</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(18,061)</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>(18,948)</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total assets</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$975,093</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$970,622</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$959,581</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$957,409</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Interest bearing liabilities:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Interest bearing deposits:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Interest bearing demand</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$59,441</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$57,894</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$57,237</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$56,164</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Savings</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>85,406</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>84,541</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>81,898</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>80,221</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Money market</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>206,443</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>204,300</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>192,072</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>189,003</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Other time</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>334,128</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>330,904</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>351,153</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>355,646</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total interest bearing deposits</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>685,418</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>677,639</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>682,360</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>681,034</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Borrowings:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Federal funds purchased and other short- term</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;borrowings</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>440</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>2,337</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>869</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>646</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Advanced from Federal Home Loan Bank</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>4,140</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>6,316</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,729</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>9,736</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Guaranteed junior subordinated deferrable interest</P>
<P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;&nbsp;&nbsp;debentures</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,085</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,085</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,085</P>
</TD><TD valign=top width=81.067><P style="margin:0px" align=right><BR></P>
<P style="line-height:11pt; margin:0px; font-size:9pt" align=right>13,085</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total interest bearing liabilities</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>703,083</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>699,377</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>706,043</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>704,501</P>
</TD></TR>
<TR><TD valign=top width=268.533><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Non-interest bearing liabilities:</P>
</TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD><TD valign=top width=81.067><P>&nbsp;</P></TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;Demand deposits</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>145,738</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>143,922</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>132,578</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>132,814</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">&nbsp;&nbsp;Other liabilities</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>15,375</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>15,721</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11,583</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>11,721</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Shareholders&#146; equity</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>110,897</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>111,602</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>109,377</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>108,373</P>
</TD></TR>
<TR><TD valign=top width=268.533><P style="line-height:11pt; margin:0px; font-size:9pt">Total liabilities and shareholders&#146; equity</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$975,093</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$970,622</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$959,581</P>
</TD><TD valign=top width=81.067><P style="line-height:11pt; margin:0px; font-size:9pt" align=right>$957,409</P>
</TD></TR>
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