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Presidential Bank, FSB

Consolidated Statement of ConditionFiscal Year-End March 31, 2011

Assets

Cash and cash equivalents

$181,260,237

Federal funds sold

139,593

Investment securities - held-to-maturity

1,823,031

Mortgage loans held for sale

44,473,565

Loans receivable, net

330,018,231

Accrued interest receivable

2,128,321

Federal home loan bank stock, at cost

3,143,000

Bank premises and equipment, net

1,965,477

Deferred income taxes

5,709,544

Income taxes receivable

2,716,859

Other real estate owned, net

11,847,967

Other assets

6,609,954

Total assets

$591,835,779


Liabilities and Equity

Deposits

$537,223,956

Mortgage funding and cashiers' checks outstanding

3,233,444

Advance payments from borrowers for taxes and insurance

1,687,986

Accrued expenses and other liabilities

5,037,189

Total liabilities

$547,182,575

Shareholders' equity

Capital stock ($1.00 par value)

428,829

Additional paid-in capital

6,381,193

Retained earnings

36,270,101

Total shareholders' equity

$43,080,123

Non-controlling Interests

1,573,081

Total equity

44,653,204

Total liabilities and equity

$591,835,779


NOTE: This statement has been prepared in accordance with the regulatory requirements of the Office of Thrift Supervision (OTS). Tangible, Core, and Total Capital are the elements of regulatory capital determined under such reporting requirements. Regulatory capital is the basis by which the OTS determines whether a savings association is operating in a safe and sound manner. As of March 31, 2011, Presidential Bank's capital levels continue to exceed all regulatory minimums, with Core and Tangible Capital of $44,653,204 and Total Capital of $48,865,613.

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