SMARTFINANCIAL INC. — Director's Dealing 2008

Mar 14, 2008

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: CORNERSTONE BANCSHARES INC (CSBQ)
CIK: 0001038773
Period of Report: 2008-03-13

Reporting Person: PAYNE DOYCE G MD (Director)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2008-03-13	Common Stock	P	1000	$8.95	Acquired	155360	Direct

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	12000	Indirect

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Stock Options	$5.44	2014-03-01	Cornerstone Bancshares, Inc. (2000)	2000	Direct
Stock Options	$9.23	2015-03-01	Cornerstone Bancshares, Inc. (1000)	3000	Direct
Stock Options	$13.25	2016-03-01	Cornerstone Bancshares, Inc. (4000)	7000	Direct
Stock Options	$15.25	2017-03-01	Cornerstone Bancshares, Inc. (1000)	8000	Direct
Stock Options	$7.99	2018-03-01	Cornerstone Bancshares, Inc. (1600)	9600	Direct

Footnotes

F1: The exercise date is determined by the following vesting schedule: 50% after the 1st anniversary date and 100% after the 2nd anniversary date.