Less than three months after being informed that it was not in accord with the minimum bid price requirement for continued listing on the NASDAQ stock exchange, Bank of Granite was notified last week that it has regained compliance with listing rules to be included on the Exchange's Global Market Select.

NASDAQ's listing rules require a minimum bid price of $1 per share. Bank of Granite closed in mid-November at 46 cents a share. Based on the closing bid price of the bank's common stock for the 30 consecutive business days prior to the date of NASDAQ's letter, Bank of Granite did not meet the requirement.

Stock for the bank had been trading at less than $1 since Oct. 1 prior to its notification from NASDAQ.

It has traded as high as a closing price of $2.10 on Jan. 19, but it had retreated to $1.07 by the close of business Thursday.

Bank of Granite received a letter Jan. 27 that it was in compliance with NASDAQ's listing rules once again, based on the improved trading price of its stock. The bank had until May 11, 2010, to return to compliance. To do so, the bank's closing bid price had to meet or surpass the $1 per share requirement for at least 10 consecutive days prior to the deadline.

"We sure are glad that's not an issue anymore," Bank of Granite CEO Scott Anderson said. "We're no longer under the threat of being de-listed, and we don't have to think about that. We met our obligation, and that warning was taken away."

Anderson said the rise and fall of stock in Bank of Granite was just a matter of the market at work.

"It's people buying and selling. We're just pleased people are buying," he said.

In September, the bank entered into a cease and desist order agreement with the Federal Deposit Insurance Corporation and the state banking commissioner to stop "unsafe and unsound banking practices and violations." The order required changing operating practices that are intended to improve the bank's earnings performance and capital levels.

Bank of Granite also is under order to make quarterly reports to the FDIC and state banking commissioner to show that is improving management and oversight of the bank.

The order does not affect customer deposits or loans. Deposits in Bank of Granite will continue to be covered by FDIC Insurance up to $250,000, and non-interest-bearing transaction accounts are fully covered by FDIC Insurance.

Anderson said Bank of Granite continues to comply with the order.

Bank of Granite Corporation's common stock trades on The NASDAQ Global Select Market under the symbol "GRAN." Bank of Granite Corporation is the parent company of Bank of Granite and Granite Mortgage.

Bank of Granite offers 20 banking offices in eight counties - Burke, Caldwell Catawba, Forsyth, Iredell, Mecklenburg, Watauga and Wilkes.