TriSummit Bank and Community National Bank of the Lakeway Area Announce Definitive Agreement

  TriSummit Bank and Community National Bank of the Lakeway Area Announce
  Definitive Agreement

Business Wire

KINGSPORT, Tenn. -- January 14, 2014

TriSummit Bank and Community National Bank of the Lakeway Area (“Community
National Bank”) jointly announced today the signing of a definitive agreement
providing for TriSummit Bank’s acquisition of Community National Bank
(OTCBB:CNLA). At September 30, 2013, Community National Bank had total assets
of $107 million. The transaction will expand TriSummit Bank’s footprint to
seven financial centers – four in the Tri-Cities, two in Morristown and one in
Jefferson City, Tenn.

Community National Bank has two locations in Morristown, Tenn., its main
office located at 225 W. First North Street, and a second branch located at
2640 West Andrew Johnson Highway, plus a branch located in Jefferson City,
Tenn. at 156 East Broadway. The transaction has been approved by the Board of
Directors of each company and is expected to close in the second quarter of
2014. The transaction is subject to a number of customary conditions,
including approval by the shareholders of Community National Bank and
regulatory approval. In an all cash transaction, TriSummit Bank will pay $5.35
per share to Community National Bank shareholders.

“We are very excited about having Community National Bank as part of our
family and expanding our banking franchise into Hamblen and Jefferson
Counties,” said R. Lynn Shipley, Jr., President and CEO of TriSummit Bank. “We
are impressed with the employees, officers, management and board of this
quality community bank, who share our same values, philosophies and commitment
to outstanding customer service.”

Sam Grigsby, Jr., Chairman and CEO of Community National Bank, said the
transaction will benefit customers, employees and the community. “Our
customers will continue to see the same friendly, local employees and the
strong commitment to the local community. With TriSummit’s successful track
record and the larger community bank footprint created by this merger,
TriSummit Bank will be in position to offer our customers new and valuable
services, while expanding opportunities for personal growth amongst our CNBLA
employees. TriSummit will be able to offer expanded depository products, trust
and investment services, and a larger lending capacity, all of which are
needed by our Lakeway customers.”

“The combination of this established community bank with TriSummit Bank allows
us to expand our financial office network and services to two additional East
Tennessee communities,” said Shipley. “We look forward to welcoming our new
customers and assuring them that they will continue to receive the highest
level of customer service for their personal and commercial banking needs. Our
mission from the beginning has been to develop a community bank focused on
exceeding the expectations of our customers, employees, community and
shareholders.” Shipley also announced that, upon completion of the merger,
Grigsby will serve as a director of TriSummit Bank and will also serve as the
Chairman of a newly-established Lakeway Area Advisory Board of TriSummit Bank.

Banks Street Partners, LLC served as financial advisor and Butler Snow LLP
served as legal counsel to TriSummit Bank. Monroe Financial Partners, Inc.
served as financial advisor and Bryan Cave LLP served as legal counsel to
Community National Bank.

About TriSummit Bank

TriSummit Bank is a Tennessee-chartered community bank dedicated to serving
East Tennessee and Southwest Virginia with strong, client and community
focused leadership, state-of-the-art financial centers and a full complement
of technology based services. At September 30, 2013 TriSummit Bank had total
assets of $262 million. The TriSummit Bank leadership team includes President
and Chief Executive Officer R. Lynn Shipley, Jr.; Executive Vice President,
Chief Financial Officer and Chief Operating Officer George Schneider;
Executive Vice President and Chief Credit Officer Benny Bell; Johnson City
President and Chief Lending Officer Vince Hickam; Executive Vice President and
Kingsport Area Manager Ted Fields; Bristol President Jerome Julian; Senior
Vice President and Senior Operations Officer Debra Williams; Vice President
and Human Resource Director Pam Bowman; and Assistant Vice President and
Marketing Officer Ryiah Staton. The principal office of TriSummit Bank is
located at 422 Broad Street, Kingsport, Tenn. Additional information is
available by contacting R. Lynn Shipley, Jr. at 423-857-2502 or by visiting
the TriSummit Bank’s website at www.trisummitbank.com.

About Community National Bank of the Lakeway Area

Community National Bank of the Lakeway Area is a locally-owned community bank
located in Hamblen and Jefferson Counties, Tennessee. The bank opened as a
national bank in April 2003. It now operates in three locations, 225 W. First
North Street, Morristown, Tenn., 2640 West Andrew Johnson Highway, Morristown,
Tenn., and 156 East Broadway, Jefferson City, Tenn. The executive management
of the bank includes Chairman and CEO Samuel F. Grigsby, Jr., President
Charles A. Hughes, Chief Financial Officer Darwin K. Kilday, and Executive
Vice President Thomas D. Rush. Additional information is available by
contacting Samuel F. Grigsby at 423-317-3228 or by visiting Community National
Bank’s website at www.cnbla.com.

Contact:

TriSummit Contact:
Susan Arp, 865-719-1585
or
CNBLA Contact:
Sam Grigsby, 423-317-3228
 
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