Cornerstone Bancorp Inc. · OTC:CNBP
Cornerstone Bancorp — Shareholder Meeting (April 2026)
20 slides from Cornerstone Bancorp's shareholder meeting presentation, Apr 27, 2026
Slide 1: Annual Shareholder Meeting
Annual Shareholder Meeting April 27, 2026 1
Slide 2: Agenda
Agenda • Call To Order • Summary of Proposals and Proxy Results • Proposal Results • Motion to Ratify and Approve Acts of the Directors • Cornerstone National Bank & Trust Company Business Update – Welcome and Introductions – Summary of 2025 Highlights – Goals for 2026 • Q & A Session • Adjournment
Slide 3: Shareholder Proposals
Shareholder Proposals Proposal 1 Proposal 2 Elect directors to a 1-year term: To ratify the appointment of Plante • Gerald F. Fitzgerald, Jr. Moran LLP as the Corporation’s • Thomas P. MacCarthy independent auditors for the fiscal year • Jeffrey T. Boundy ending December 31, 2025. • Frank J. Roth •
Slide 4: Shareholder Proposals
Shareholder Proposals Proposal Results For Against Abstain Proposal 1 Percentage of Shares Gerald F. Fitzgerald, Jr. 719,120 3,451 -- Voted (As Of April 26, 2026) = 73.4% Thomas P. MacCarthy 719,095 3,476 -- Jeffrey T. Boundy 719,120 3,451 -- Frank J. Roth 714,155 8,416 -- James G. Fitzgerald 722,57
Slide 5: Welcome and Introductions
Welcome and Introductions Board of Directors – Cornerstone Bancorp, Inc. Gerald F. Fitzgerald, Jr., Chairman * Frank J. Roth * Thomas P. MacCarthy * James G. Fitzgerald Jeffrey T. Boundy * Board of Directors – Cornerstone National Bank & Trust Company Thomas P. MacCarthy, Chairman * Kirk L. Hamilton
Slide 6: 2025 Bank Strategic Initiatives
2025 Bank Strategic Initiatives • Growth in clients and operational expertise. • Maintain a high-quality standard for loan portfolio management and loan portfolio strength. • Increase staff involvement in networking, community-based organizations, and quality support of our clients. • Expand network
Slide 7: 2025 Bank Highlights
2025 Bank Highlights • The Federal Reserve Discount Rate declined 0.75% between mid-September and the end of 2025. • The Bank’s loan portfolio increased $101.7 million, or 15.7% with the addition of a significant number of new commercial relationships. • Deposits increased $53.4 million, or 6.2%. •
Slide 8: 2025 Lending Highlights
2025 Lending Highlights • Loan portfolio remains well-diversified with strong credit management and monitoring of concentration risk. • Overall credit quality remains strong and closely monitored. • Regular reviews of financial performance metrics and trends are conducted to ensure adherence to soun
Slide 9: 2025 Lending Highlights
2025 Lending Highlights • Loans increased sharply in 2025. • The allowance for credit losses totaled $9.3 million – 1.23% of loans. (000s) 2025 2024 Change Commercial Real Estate - Owner Occupied $ 197,237 $ 200,440 $ (3,203) Commercial Real Estate – Non-Owner Occupied 139,655 121,710 17,945 Commerc
Slide 10: 2025 Lending Highlights
2025 Lending Highlights • Revenue from mortgage operations remained at low levels in 2025. • Demand for mortgage refinances improved slightly in 2025 as mortgage interest rates declined. • Prior year low rates limited refinance opportunities. • During 2025, 86 loans were sold compared to 61 in 2024.
Slide 11: 2025 Investment Activities Highlights
2025 Investment Activities Highlights • During 2025, the Bank maintained a portfolio of 30-day US Treasury bills. • Net earnings on short Treasury bills have been moderately more favorable to the interest rate paid by the Federal Reserve Bank. • Earnings on US Treasury securities are not subject to
Slide 12: 2025 Deposits Highlights
2025 Deposits Highlights • Deposits grew by $53.6 million (6.2%) during 2025. • As the Federal Reserve lowered the discount rate, Cornerstone remained highly-competitive with interest-bearing accounts. • Clients continued to embrace our fraud prevention efforts. (000s) 2025 2024 Change Noninterest-B
Slide 13: 2025 Wealth Management Highlights
2025 Wealth Management Highlights • A successful transition of leadership of Wealth Management occurred in 2025 from the Bank’s founding partner to a new highly-qualified executive. • Overall revenue was $3.75 million. (000s) 2025 2024 Change Total Wealth Management Assets $ 1,156,692 $ 1,019,951 $
Slide 14: 2025 Capital Highlights
2025 Capital Highlights • The Board of Directors of the Corporation approved a special dividend of $2.50 per share paid in February 2025. • The Corporation retired the remaining outstanding debt of $7.7 million in 2025. • The Bank continues to maintain a strong capital foundation. • The table below
Slide 15: Creating Shareholder Value
Creating Shareholder Value The Corporation is continuing a trend of creating long-term shareholder value. Annual Regulatory Tangible Book Basic Earnings Average Shares Year Ending Dividend Per Book Value Per Value Per Per Share Outstanding Share Share Share December 31, 2018 $ 9.28 $ 15.00 $ 59.90 $
Slide 16: Balance Sheet Trends
Balance Sheet Trends In (000’s) 1,100,000 1,100,000 1,033,575 989,110 1,000,000 976,886 1,000,000 950,731 958,795 924,870 899,327 900,000 871,306 900,000 860,067 861,203 800,000 800,000 - 700,000 700,000 - - 600,000 386 600,000 31,558 749,268 500,000 500,000 647,640 647,562 608,744 559,949 400,000 4
Slide 17: Asset Quality Trends
Asset Quality Trends In (000’s) 10,000 3.50% 9,251 9,000 8,731 8,131 8,131 3.00% 8,085 8,000 7,000 2.50% 6,000 2.00% 5,000 1.50% 4,000 3,000 1.00% 2,022 2,000 1,273 1,400 0.50% 1,000 646 421 - 0.00% 2021 2022 2023 2024 2025 Loan Loss Reserve Non-Performing Loans Loan Loss Reserve \ Loans Non-Perform
Slide 18: Net Interest Margin Trends
Net Interest Margin Trends 6.00% 5.42% 5.46% 5.50% 5.11% 5.00% 4.50% 4.00% 3.66% 3.50% 3.56% 3.50% 3.35% 3.28% 3.32% 3.14% 3.05% 3.00% 2.78% 2.63% 2.50% 2.00% 1.50% 1.00% 0.65% 0.52% 0.50% 0.00% 2021 2022 2023 2024 2025 Yield On Earning Assets Cost of Funds Net Interest Margin 18
Slide 19: Looking Forward to 2026
Looking Forward to 2026 Our focus is to continue growing new client relationships through: • Differentiating the Bank with superior expertise and customer service to grow profitable relationships. • Maintaining a client-first focus at all times. • Hiring and developing talented professionals and usi
Slide 20: Forward Looking Statements
Forward Looking Statements This presentation may contain “forward-looking statements” that are subject to risks and uncertainties. Readers should not place undue reliance on forward-looking statements, which reflect management’s views only as of the date hereof. All statements, other than statements
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