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## To Our Shareholders and Friends 

At times a lot of words are used in a report to cloud the issue. It is a way to bury the facts and make you wonder about the actual results. 

For the last four years the nation’s economy in general and the banking industry in particular have been through some rough times. 

AuburnBank is no exception. We have been there, and we have made tough and timely decisions. Some were hard, some hurt and some cost us, but the results speak for themselves. 

In 2011, net earnings were $5.5 million, or $1.52 per share, a 4 percent increase compared to 2010. Asset quality improved as nonperforming assets declined to 2.8 percent of total assets at the end of 2011. In addition, we increased our dividend in 2011 to $0.80 per share, an increase of 3 percent from the previous year. 

The numbers show that we are profitable, our asset quality is improving and our capital position is strong. 

We meet our challenges head on, and we try to minimize risk in all areas. 

Our resources of capital, financial skill, and a caring and capable staff enable us to serve you and to enter new market areas. We thank you for being an investor in our bank, and we appreciate your support. 

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