Crescent State Bank Announces New Vice President

MMI Associates, Inc.
7406-H Chapel Hill Road
Raleigh, NC 27607
(919) 233-6600 • (919) 233-0300 (fax)
patty@mmimarketing.com

For Immediate Release Contact: Patty Briguglio (919) 233-6600

Crescent State Bank Announces New Vice President
Katey Petz Named Vice President And Controller

CARY, N.C. –Bruce W. Elder, Senior Vice President of Crescent State Bank, a wholly-owned subsidiary of Crescent Financial Corporation, (Nasdaq National Market: CRFN), has announced that Katey Petz has been named Vice President and Controller of Crescent State Bank. In this position, Petz will oversee various accounting functions of the organization. She has a bachelor and master’s degree in accounting from the University of North Carolina Wilmington and has three years of experience serving as a Controller for another North Carolina community bank. Prior to that she spent two years at the public accounting firm of KPMG, LLP.

“We are excited to have someone of Katey’s caliber join Crescent State Bank and look forward to her contribution to the organization” said Elder.

About Crescent State Bank:
Crescent State Bank is a wholly owned subsidiary of Crescent Financial Corporation. The Bank opened in December 1998 to cater to the financial needs of the communities it serves. The bank has total assets of approximately $445 million, deposits of approximately $350 million, and loans of $351 million as of March 31, 2006, with ten full service banking offices in the communities of Cary (2), Apex, Clayton, Garner, Holly Springs, Sanford, Southern Pines, Raleigh and Pinehurst, North Carolina.

(end)

Information in this press release contains "forward-looking statements." These statements involve risks and uncertainties that could cause actual results to differ materially, including without limitation, the effects of future economic conditions, governmental fiscal and monetary policies, legislative and regulatory changes, the risks of changes in interest rates, and the effects of competition. Additional factors that could cause actual results to differ materially are discussed in Crescent Financial Corporation’s recent filings with the Securities and Exchange Commission, including, but not limited to, its Annual Report on Form 10-K and its other periodic reports.


Media and Press Contacts:
MMI Associates, Inc.
Patty Briguglio
919-233-6600
Patty@mmimarketing.com