Surety Capital Corp., Surety Bank Reports Increasing Deposits, Loans

Business Wire, Nov 6, 2001

Business Editors

FORT WORTH, Texas--(BUSINESS WIRE)--Nov. 6, 2001

Shareholders of Surety Capital Corp. (OTC:SRYP), the holding company of Surety Bank National Association operating throughout the State of Texas, were advised of increasing deposits and loans during the corporation's annual meeting on Oct. 17, 2001.

"Since Jan. 1, deposits have grown six percent and loans, 10 percent," said Richard N. Abrams, Chairman of the Board of Directors and Chief Executive Officer. "Even though Surety has a net operating loss for this same period, we are pleased to report approximately $200,000 profit before depreciation and amortization. Beginning in 2002, amortization will be eliminated."

Eighty-five percent of the total shares issued and outstanding voted on several matters. Elected unanimously as directors were Mr. Abrams, Milton Bley, Jeff Butts, David Chappell, Charles M. Ireland, Thomas Kwentus, and Garrett Morris.

Every employee of Surety Bank will now receive options to purchase common stock of Surety Capital Corp. based on a vote by 72 percent of those eligible to vote. A shareholder proposal to put the bank up for sale received less than 14 percent of the eligible votes.

Also discussed at the annual meeting were Surety Bank's innovative marketing approaches that include specially-designed programs to meet the needs of members of the Fort Worth Police Department and the Fort Worth Fire Department.