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News Release
For more information, contact:
Prudy Frederick
Vice President

pfrederick@northstatebank.com
919-645-2726

NORTH STATE BANK CELEBRATES ANOTHER SUCCESSFUL SUMMER SALUTE FOR HOSPICE OF WAKE COUNTY

July 14, 2006



Raleigh, NC. . . North State Bank's Summer Salute for Hospice of Wake County raised $140,000, announced Larry D. Barbour, president and CEO for North State Bank. This brings the event's three-year total to $355,000. All proceeds benefit Hospice of Wake County.

"Hospice of Wake County has been serving the people of this community for over 25 years. Through the death of my ten-year-old son, Zachary, I have personally seen the deep level of care and commitment patients and their families receive during a very tough time. This is such a worthy cause and on behalf of our bank, it is an honor to be part of Hospice," said Barbour. "We look forward to next year's event and continuing to be a partner with Hospice, and we thank all of those who contributed their finances, time and talents to help make the third annual Summer Salute for Hospice of Wake County a huge success."

The event was held on June 3 at North Ridge Country Club in Raleigh, and guests danced the night away to The Embers. Contributions were raised through sponsorships, ticket sales, a raffle, an auction and other donations.

Hospice of Wake County will use the money raised to help fund their indigent care programs and the Reflections Program for Children. Indigent care programs help those who either have no insurance or whose insurance coverage does not include hospice services. The Reflections Program is Wake County's only professional program that assists children and teens (from birth to age 21), as well as their families, with grief following the loss of a loved one.

Summer Salute gold sponsors included Barton Development, Caddell Communications, Jolly's Jewelers, Professional Property Management, Red Star Oil, Inc., Sonscape Communications and Wake Nephrology.

Founded in 2000, North State Bank is a full-service community bank, currently serving Wake County and New Hanover County through six offices: full-service offices on Six Forks Road at North Hills and on Falls of Neuse Road in Raleigh, Highway 70 West in Garner, and Blue Ridge Road in West Raleigh, and loan production offices at Wakefield Corporate Center in the Wake Forest area and at Lumina Station shopping center in Wilmington.

Hospice of Wake County has provided compassionate end-of-life care to the people of Wake County for 26 years. The largest and most experienced private, nonprofit hospice agency in the area, Hospice strives to promote and improve the community's quality of living and dying through advanced care planning, comfort care, hospice care, and bereavement services. Hospice's philosophy is that every individual deserves the quality of life that he or she wants near life's end.

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North State Bancorp is listed on the OTC electronic bulletin board under the symbol "NSBC."

www.northstatebank.com

Hospice of Wake County

www.hospiceofwake.org

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