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SMARTFINANCIAL INC. Director's Dealing 2007

Aug 20, 2007

32627_dirs_2007-08-20_cb63bfd6-db4e-45c0-a8a0-8953eba59253.zip

Director's Dealing

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SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: CORNERSTONE BANCSHARES INC (CSBQ)
CIK: 0001038773
Period of Report: 2007-08-15

Reporting Person: LEE JERRY D (Director, EVP/Senior Loan Administrator)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2007-08-15	Common Stock	P	2500	$11.75	Acquired	50500	Indirect

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	5000	Direct
Common Stock	48000	Indirect
Common Stock	38000	Indirect
Common Stock	2400	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Options	$3.75	2009-03-01	Cornerstone Bancshares, Inc. (22000)	22000	Direct
Stock Options	$3.25	2010-03-01	Cornerstone Bancshares, Inc. (22000)	44000	Direct
Stock Options	$3.25	2011-03-01	Cornerstone Bancshares, Inc. (20400)	64400	Direct
Stock Options	$3.63	2012-05-01	Cornerstone Bancshares, Inc. (20000)	84400	Direct
Stock Options	$3.63	2013-03-01	Cornerstone Bancshares, Inc. (22000)	106400	Direct
Stock Options	$5.44	2014-03-01	Cornerstone Bancshares, Inc. (26000)	132400	Direct
Stock Options	$9.23	2015-03-01	Cornerstone Bancshares, Inc. (14000)	146400	Direct
Stock Options	$13.25	2016-03-01	Cornerstone Bancshares, Inc. (13000)	159400	Direct
Stock Options	$15.24	2017-03-01	Cornerstone Bancshares, Inc. (6500)	165900	Direct