On October 14, 2008, the FDIC announced the Temporary Liquidity Guarantee Program to strengthen confidence and encourage liquidity in the banking system. The Temporary Liquidity Guarantee Program consists of two components: a temporary guarantee of newly-issued senior unsecured debt and a temporary unlimited guarantee of funds in noninterest-bearing transaction accounts at FDIC insured institutions (referred to as the Transaction Account Guarantee Program or “TAG Program”). The TAG Program was scheduled to terminate on June 30, 2010, but has been extended through December 31, 2010. International City Bank is a participant in the FDIC’s TAG Program. Under this Program, and through December 31, 2010, all non-interest bearing transaction accounts and certain NOW accounts (*see disclosure below) are fully guaranteed by the FDIC for the entire amount in the account. Coverage under the TAG Program is in addition to and separate from the coverage available under the FDIC’s general deposit insurance rules. FDIC maintains a list of entities that opt out of this program at www.fdic.gov. There are special situations where the coverage provided under the TAG Program may or may not be available, as in the case where an institution issues official checks drawn on another insured depository institution. If the other institution is participating in the TAG Program, then the payee of the official check would be covered. If the other institution is not a participating institution, then whether the payee is insured for the amount of the official check would be based on the FDIC’s general deposit insurance rules. *To qualify for this coverage the NOW account interest rate can be no higher than 0.50% through June 30, 2010 and 0.25% thereafter.