2007 presented many challenges for our community, industry, and company which we have not faced in more than a decade. The national and local economy suffered major setbacks due to a variety of factors, including a substantial downturn in the housing sector, the continuous rise of gas and oil prices, and increased unemployment, all resulting in a general loss of consumer confidence.

With discouraging news being reported almost on a daily basis it would be easy for any of us to become discouraged. Some businesses will react by ignoring the issues and continuing “business as usual” with the belief that what we are experiencing is a short term situation; others will make drastic changes which may result in an immediate negative impact on their customers and community.

I am pleased to report that Truman Bank is embracing the challenges of our ever changing economy and is committed to developing new products, services and delivery methods which will make banking easier and more enjoyable. We are also excited about our unique relationships and partnerships with the many communities we serve on a daily basis. We never forget that our growth and success are based on customer satisfaction.

With your assistance last year once again brought many successes; we grew deposits by more than 32%, loans were up 17% and we achieved another major milestone in our history by topping $500 million in assets. In addition, we completed major renovations of our Normandy, Shady Valley, and Imperial branches resulting in true community banking centers that feature full service-coffee corners), Bankers Clubs (private meeting rooms for customer and community use) and an environment conducive to relaxed, private and efficient banking. Our many community projects included; establishment of a college scholarship fund for the Normandy School District, enhancement of our Teach Children to save teaching and savings program, major sponsorships of programs to support the Ronald McDonald House and Parkinson’s Research in addition to numerous other sponsorships and participation by our staff in events to benefit the communities in which they live and work.

We once again face challenges in the new year. However, with challenges come opportunities and I can assure you that your team of managers and directors are well prepared to meet the challenges, identify the opportunities and lead Truman Bank to many more years of success.

Sincerely,

Kenneth Kraus

President