Georgia-Carolina Bancshares, Inc. Announces Growth in First Quarter Earnings 

AUGUSTA, Ga., April 29 /PRNewswire-FirstCall/ -- Georgia-Carolina Bancshares, Inc. (BULLETIN BOARD: GECR.OB) , parent company of First Bank of Georgia, announced today that for the three months ended March 31, 2008, total assets and net income increased compared to the first quarter ended March 31, 2007, with net income increasing significantly compared to the fourth quarter ended December 31, 2007.

   Net earnings for the first quarter of 2008 increased by 2.9% to $752,000 compared to the $731,000 in earnings reported for the first quarter of 2007.

   The book value of the stock increased 12.0% to $10.94 as of March 31, 2008 compared to the book value of $9.77 as of March 31, 2007.

   More significantly, the first quarter earnings compared very favorably to the earnings reported from the fourth quarter of 2007. This improvement represents a quarter to quarter increase of 121.8% with an increase in net income of $413,000.

   Patrick G. Blanchard, President & CEO of the Company, stated, "We are pleased with our performance, particularly in light of the softening of the residential construction, acquisition, and development industries throughout the country."

   "Our first quarter performance is reflective of the fact that the Augusta real estate market is more viable and has a greater level of stability than other regions of the country," Blanchard continued.

   The Company reported an increase of 7.4% in total consolidated assets of $460,566,000, compared to total assets of $428,673,000 as of March 31, 2007, and a 2.8% increase over year-end total consolidated assets of $447,869,000 as of December 31, 2007.

   The Company further reported net income per share of $.22 and a diluted net income per share of $.21 for the first quarter of 2008, which were the same as earnings per basic and diluted shares for the first quarter of 2007.

   Remer Y. Brinson III, President & CEO of First Bank of Georgia stated that "The bank's loan portfolio net of allowance for loan losses, excluding mortgage loans held for resale, grew by 4.0%, a total of $12,841,000 during the first quarter."

   He further reported that "The bank's total deposits grew 2.7%, a total of $10,342,000 during the same period."

   Georgia-Carolina Bancshares' common stock is quoted on the OTC Bulletin Board under the symbol GECR. The closing price of the stock on the Over-The-Counter Bulletin Board was $9.10 as of April 28, 2008.

   Georgia-Carolina Bancshares, Inc. is a bank holding company with approximately $460 million in assets as of March 31, 2008. The Company owns First Bank of Georgia which conducts bank operations through offices in Augusta, Columbia County and Thomson, McDuffie County, Georgia.

   Morgan Keegan & Company, Inc. serves as the principal market maker of the Company's common stock.