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I am pleased to report that 2007 was another successful year for Trinity Capital Corporation (TCC), as you will read in the detailed financial results within this Annual Report. The Board of Directors believes results are important and last year, Trinity and Los Alamos National Bank (LANB) saw record-level profits. LANB remains strong due to observance of sound underwriting standards by an experienced lending staff and management who focus on operating efficiently. In 2008, we will work to grow in Santa Fe, and will analyze our opportunities for both the present and the future in Albuquerque. We received Charter approval from the OCC at both our new Santa Fe location and for fullservice operations in Albuquerque; deciding when and how to move forward is a matter of strategy. The Board of Directors believes this investment is amply supported and enhanced by the talent and experience of bank employees; and that we have the resources, competencies, leadership and judgment needed to pursue these opportunities. The Board of Directors also believes that how results are achieved is important. The Board provides oversight of the Companys affairs and strives to provide a strategic vision for the future based on long-held values; values that are championed by leadership and sustained by every employee, every day. The Board, management and staff combine to embody a corporate culture that demonstrates integrity, efficiency, flexibility, innovation and community engagement. This culture, combined with the character and talent of the staff, tells us a lot about our long-term prospects. As we begin 2008, with a continuing commitment to exceeding expectations, I would like to thank our customers, shareholders, employees and communities for their trust and support. All that we accomplish in our Mission to Exceed the Expectations of our Customers, Employees and Investors is possible only through the hard work and leadership of our employees. I welcome your thoughts and suggestions at any time and look forward to seeing you at the Annual Meeting.

The year 2007 marked our most profitable in the 44year history of Los Alamos National Bank (LANB) and Trinity Capital Corporation (TCC). I am proud to inform you of results from the hard work and dedication of our employees and the loyalty of our customers and investors. Trinitys net income for the year ending December 31, 2007, totaled $13.329 million or $2.03 diluted earnings per share, an increase from 2006 of 29.27% in net income and 30.13% in diluted earnings per share. New Mexico has not experienced the weakness in our economy and real estate market to the same extent as the nation as a whole. However, Northern New Mexico faced uncertainty in the past year regarding the staffing levels and funding at Los Alamos National Laboratory. This uncertainty has been resolved in a positive manner and we have seen a significant increase in economic activity. Although we have seen an increase in our past-due loans and foreclosures, they remain well within historic levels. We are actively monitoring and have been hedging to protect against a slowing real estate market and uncertain economic conditions. LANB has not engaged in subprime lending, we have limited non-traditional loans and we have not invested in the pooled debt instruments which have created record losses for many financial institutions. We, instead, have focused on diversification of our portfolio and believe that we will benefit from proposed legislation to combat the abuses that led to large losses elsewhere. TCC is committed to our Mission to Exceed the Expectations of our Customers, Employees and Investors. It is this Mission and our Values of Service Excellence, Valuing People,  Operating Efficiently, Remaining Flexible and Innovative and Supporting Our Communities that have made us successful. I am excited to share with you our principles and ideals, to which we remain dedicated, through this years Annual Report. In line with our commitment to Social Responsibility and LANBs EcoSmart program, we have become an early adopter of the electronic delivery of this Annual Report and our 2008 Proxy Statement. While you can still receive a paper copy upon request, we hope that you embrace this change, resulting in the reduction of both unnecessary paper copies and printing and mailing costs for TCC. Thank you for your continued support. I look forward to visiting with you at the Annual Shareholders Meeting.

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