COOPERATIVE BANKSHARES, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
		December 31, 2005			December 31, 2004*
		(unaudited)
Assets
Cash and due from banks, noninterest-bearing	$	18,784,582		$	12,031,627
Interest-bearing deposits in other banks		5,037,911			4,360,960
Total cash and cash equivalents		23,822,493			16,392,587
Securities:
Available for sale (amortized cost of $43,133,174 in 2005
and $44,432,476 in 2004)		42,380,655			44,535,010
Held to maturity (estimated market value of $1,980,533 in
2005 and $2,678,860 in 2004)		2,029,445			2,659,595
FHLB stock		5,828,800			4,518,500
Loans held for sale		4,893,564			7,239,131
Loans		643,727,167			453,769,733
Less allowance for loan losses		6,763,238			4,353,227
Net loans		636,963,929			449,416,506
Other real estate owned		26,291			-
Accrued interest receivable		3,345,444			2,085,164
Premises and equipment, net		10,537,095			8,597,015
Goodwill		1,461,543			1,461,543
Other assets		14,976,781			13,202,393
Total assets	$	746,266,040		$	550,107,444
Liabilities and Stockholders' Equity
Deposits	$	564,989,604		$	414,757,904
Short-term borrowings		21,802,964			32,342,878
Escrow deposits		561,120			194,408
Accrued interest payable		417,565			190,689
Accrued expenses and other liabilities		3,857,534			2,629,188
Long-term obligations		103,541,295			53,082,676
Total liabilities		695,170,082			503,197,743
Stockholders' equity:
Preferred stock, $1 par value, 3,000,000 shares authorized,
no shares issued and outstanding		-			-
Common stock, $1 par value, 14,000,000 shares authorized,
4,305,316 and 2,860,764 shares issued and outstanding		4,305,316			2,860,764
Additional paid-in capital		2,734,611			2,673,233
Accumulated other comprehensive income (loss)		(462,423)			67,672
Retained earnings		44,518,454			41,308,032
Total stockholders' equity		51,095,958			46,909,701
Total liabilities and stockholders' equity	$	746,266,040		$	550,107,444
Book value per common share**	$	11.87		$	10.93
*Derived from audited consolidated financial statements.
**The 2004 information is computed after giving the retroactive effect of a 3-for-2 stock split in the form of
a 50% stock dividend declared on January 19, 2005 and paid on February 24, 2005.