Basic Insurance.
As of July 21, 2010, the standard maximum deposit insurance provided by the FDIC has been permanently increased to $250,000 per depositor, per insured depository institution for each account ownership category. For more information on FDIC insurance, visit www.FDIC.gov.

Temporary Liquidity Guaranty Program.
First Southern Bank participates in the FDIC's Transaction Account Guarantee Program. This means that all funds held in non-interest earning checking accounts, regardless of amount, are fully guaranteed by the FDIC through December 31, 2010. Effective July 1, 2010, the rate on NOW accounts (checking accounts that earn interest) considered by the FDIC as non-interest bearing accounts and eligible for the FDIC’s guarantee through December 31, 2010, will be reduced from a maximum of 0.50 percent to a maximum of 0.25 percent.

Accounts with transfer agreements ("sweep" arrangements) in connection with non-interest earning First Southern Bank checking accounts, where funds are transferred to an interest-earning account, any funds transferred or swept into the interest earning account will not be fully guaranteed under the FDIC's Transaction Account Guarantee Program. However, the funds that are transferred or swept into the interest earning account will continue to be insured for up to $250,000 under the FDIC's general deposit insurance rules.

Emergency Economic Stabilization Act of 2008