Crescent State Bank Senior Vice President Serves On Young Executives Panel

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

Crescent State Bank Senior Vice President Serves On Young Executives Panel
Ray Vaughn Shares Marketing Advice With Young Executives

RALEIGH, N.C. – Michael G. Carlton, president of Crescent State Bank, a wholly owned subsidiary of Crescent Financial Corporation, (NASDAQ National Market: CRFN), has announced that senior vice president and COO, Ray Vaughn, will serve on the Young Executives Marketing Panel during a luncheon event at the Capital City Club on May 18. The panel is sponsored by the Young Executives Club, which promotes camaraderie, friendship and professional relationships for Capital City Club members under 40. Vaughn will discuss business decisions regarding marketing and how they have impacted Crescent State Bank. Other panelists include Erika Mangrum, president of Iatria Day Spa; Charles Alexander, president of Alexa Corp and Jay McLamb, COO of The Castleton Group. Linda Leake, president of execUchange, will serve as the moderator.

“I am proud to serve on the panel at this wonderful event,” said Vaughn. “The Young Executive Club provides wonderful mentoring opportunities for the area’s professionals and marketing is an important topic amid today’s business considerations.”

About Ray Vaughn:
Ray Vaughn is Senior Vice President and COO of Crescent State Bank and has over 30 years of experience in improving sales, profit performances and community perceptions in middle-market corporate banking. Prior to joining Crescent State Bank, Vaughn was Senior Vice President with Bank of America where he served as Wake County Senior Banking Executive and Eastern North Carolina Corporate Banking Director. Vaughn received his Bachelor of Business Administration in Business Management from North Carolina State University. He has also completed several professional growth programs, including the Young Executives Institute at the University of North Carolina at Chapel Hill and the Senior Management Development Program from Duke University. Vaughn currently resides in Raleigh, and is an active member in several civic organizations, serving on the Greater Raleigh Chamber of Commerce Board of Directors & Advisors as a Governmental Affairs Committee member. The WakeMed Foundation also recognized Vaughn as the WakeMed Business Champion.

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.

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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.

Patty Briguglio
MMI Associates, Inc.
919-233-6600
patty@mmimarketing.com

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