1st State Bancorp, Inc. We organized 1st State Bancorp, Inc. (the
"Company") in November 1998 to be the holding company for 1st State Bank,
Burlington, North Carolina (the "Bank"), following the Bank's conversion from
mutual to stock form (the "Stock Conversion"), and then as a bank holding
company of 1st State Bank following its conversion from a North
Carolina-chartered savings bank to a North Carolina commercial bank (the "Bank
Conversion"). 1st State Bancorp acquired all the outstanding stock of 1st State
Bank in connection with the Stock Conversion on April 23, 1999. Prior to that
time, the Company did not own assets or conduct operations. Portions of this
discussion as of dates and for periods prior to April 23, 1999 relate to the
financial condition and results of operations of 1st State Bank.  ... More..."http://secfilings.nasdaq.com/edgar_conv_html%2f2003%2f12%2f29%2f0000904280-03-000310.html#FIS_BUSINESS"