Mainstreet Financial Corp. (MSFN)

[$hylo]

Since being formed in November 2004, MainStreet Financial Corporation (the "Company") has not engaged in any business other than through MainStreet Savings Bank, FSB (the "Bank") and the management of its cash and investment portfolio. The Company neither owns nor leases any property, but we use the premises, equipment and furniture of the Bank. We employ only persons who are executive officers of the Bank as our executive officers, and we also use the support staff of the Bank from time to time. We currently do not separately compensate any employees or directors. In the future, we may hire additional employees if we expand our business at the holding company level. MainStreet Financial Corporation, MHC, a federal mutual holding company (the"MHC"), owns 53% of the Company's stock.