SECURITIES AND EXCHANGE COMMISSION

                              WASHINGTON, DC 20549

                             _______________________

                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934


       Date of Report (Date of earliest event reported): December 1, 2000


                             TALBOT BANCSHARES, INC.
               (Exact Name of Registrant as Specified in Charter)





            Maryland                     0-22929                 52-2033630
         (State or Other               (Commission             (IRS Employer
   Jurisdiction of Incorporation)       File Number)         Identification No.)



                  18 East Dover Street, Easton, Maryland 21601
               (Address of Principal Executive Offices) (ZIP Code)





        Registrant's telephone number, including area code (410) 822-1400



          (Former Name or Former Address, if Changed Since Last Report)

<PAGE>

Item 5.       Other Events.

The  merger of Talbot  Bancshares,  Inc.  with and into Shore  Bancshares,  Inc.
became  effective as of the open of business on December 1, 2000. As a result of
the merger,  Talbot Bancshares,  Inc. stockholders received 2.85 shares of Shore
Bancshares,  Inc. common stock in exchange for each share of Talbot  Bancshares,
Inc. common stock. Cash will be paid in lieu of fractional shares. The shares of
Shore  Bancshares  Common  Stock  issued  in  connection  with the  merger  were
registered under the Securities Act of 1933 pursuant to a Registration Statement
on Form S-4 (File No.  333-46890).  This  registration  statement  was  declared
effective on October 16, 2000.  The merger is described in greater detail in the
registration statement.


Pursuant to General  Instruction F to Form 8-K, the press release dated December
1, 2000,  announcing the consummation of the merger of Talbot  Bancshares,  Inc.
with and into Shore  Bancshares,  Inc.  is attached  to this  Current  Report as
Exhibit 99.1 and is hereby incorporated by reference.

Item 7.      Financial Statements, Pro Forma Financial Information and Exhibits.

(a) and (b) Not Applicable.

(c) Exhibits. The following exhibits are filed with this report:
    --------

    2.1       First Amendment to Plan and Agreement to Merge, dated November 30,
              2000, between Shore Bancshares, Inc. and Talbot Bancshares, Inc.

    99.1      Press Release, dated December 1, 2000 of Talbot Bancshares, Inc.


<PAGE>

                                   SIGNATURES
                                   ----------

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

                                  TALBOT BANCSHARES, INC.



                                  By: /s/ W. Moorhead Vermilye
                                     -------------------------------------------
                                  Name:       W. Moorhead Vermilye
                                  Title:      President, Talbot Bancshares, Inc.



Date: December 1, 2000

<PAGE>
                                  EXHIBIT INDEX


Exhibit              Description
-------              -----------

2.1     First Amendment to Plan and Agreement to Merge, dated November 30, 2000,
        between Shore Bancshares, Inc. and Talbot Bancshares, Inc.

99.1    Press Release, dated December 1, 2000 of Talbot Bancshares, Inc.

<PAGE>


                                                                     Exhibit 2.1

               FIRST AMENDMENT TO THE PLAN AND AGREEMENT TO MERGE

     First  Amendment,  dated as of November 30, 2000, (the "Amendment") to the
Plan and  Agreement  to Merge,  dated as of July 25,  2000,  (the "Plan") by and
among TALBOT BANCSHARES, INC. ("Talbot Bancshares"), a Maryland corporation, and
SHORE BANCSHARES, INC. ("Shore Bancshares"), a Maryland corporation.


                              W I T N E S S E T H:

     WHEREAS,  Shore  Bancshares  and Talbot  Bancshares are parties to the Plan
whereby Talbot  Bancshares  has agreed to merge with and into Shore  Bancshares,
with Shore Bancshares as the surviving entity.

     WHEREAS,  Shore  Bancshares  and Talbot  Bancshares  wish to amend  certain
provisions under the Plan pursuant to Section 12 of the Plan in order to conform
certain  representations  and warranties made by the parties and to waive one of
the conditions to closing.

     NOW,  THEREFORE,  in  consideration  of the mutual covenants and agreements
herein  contained and the mutual  benefits to be derived  herefrom,  the parties
agree as follows:


                               A G R E E M E N T:


     1.  Section 8.3 of the Plan is hereby  amended by deleting  that section in
its entirety and inserting the following in lieu thereof:

          8.3 Events  Preceding the Effective Date. Each of the events set forth
     in  Section  2 shall  have  occurred  and  any  other  required  regulatory
     approvals shall have been obtained.



     2.  Subsections  4.8(a),  (b),  and (e) of the Plan are  hereby  amended by
deleting those subsections in their entirety and inserting the following in lieu
thereof:

          (a)  any  employment,   consultation,   or  compensation  contract  or
     arrangement  (other  than those  terminable  at will)  with any  current or
     former officer, consultant,  director, agent or employee (or beneficiary of
     any of them);

          (b)  any  plan,  contract,   program,   understanding,   or  agreement
     providing for bonuses,  pensions,  severance pay,  executive  compensation,

<PAGE>

     options,  stock  purchases,  or any other form of retirement,  incentive or
     deferred compensation, retirement payments, death benefits, profit sharing,
     branch closing benefits,  workers'  compensation,  tuition reimbursement or
     scholarship  program, any plans providing benefits or payments in the event
     of a change in  control,  change  in  ownership,  or sale of a  substantial
     portion  (including  all or  substantially  all) of the  assets  of  Talbot
     Bancshares  or any of the Talbot  Subsidiaries,  or any  health,  accident,
     disability,  sick leave,  vacation  pay, life  insurance,  or other welfare
     benefit,  or any other  employee or retired  employee  benefit  (including,
     without limitation,  any "employee benefit plan" as defined in Section 3(3)
     of ERISA) in which any  current or former  officer,  consultant,  employee,
     director,  or agent (or beneficiary of any of them) of Talbot Bancshares or
     any of the  Talbot  Subsidiaries  is or was,  within  the last  six  years,
     entitled to participate;

          (e)  any  agreement  for services in excess of $30,000 per year (other
     than any employment,  arbitration or  compensation  contract or arrangement
     with  any  current  or  former  officer,  consultant,  director,  agent  or
     employee) or any agreement for the purchase or disposition of any equipment
     or supplies except individual  purchase orders for office supplies incurred
     in the ordinary course of business of $10,000 or less;

     3.  Subsections  4.12(c),  (e),  and (u) of the Plan are hereby  amended by
deleting those subsections in their entirety and inserting the following in lieu
thereof:


          (c)  each of the plans has been  operated in all material  respects in
     accordance  with  its  terms  and in  accordance  with all  previously  and
     currently  effective  laws  applicable  to such plans,  including,  but not
     limited to, ERISA, the Code, the Consolidated Omnibus Budget Reconciliation
     Act of 1985, the Health  Insurance  Portability and  Accountability  Act of
     1996, and state health care continuation laws;

          (e)  none of (i) the plans,  (ii) the Talbot  Subsidiaries,  and (iii)
     Talbot Bancshares,  and to Talbot Bancshares' knowledge,  (x) no current or
     former director,  officer,  employee,  agent, or  representative  of Talbot
     Bancshares or any of the Talbot Subsidiaries,  and (y) no fiduciary, "party
     in  interest"  (as  defined  in  Section  3(14) of ERISA) or  "disqualified
     person" (as defined in Section 4975 of the Code) with respect to any of the
     plans has engaged in any non-exempt "prohibited  transaction" in connection
     with any of the plans  within the  meaning  of Section  4975 of the Code or
     Title I, Part 4 of ERISA as to which the applicable  statute of limitations
     has not run;

          (u)  none of the plans contains any provision which would prohibit the
     transactions  contemplated  by this  Plan or which,  except  as  previously
<PAGE>

     disclosed in writing to Shore Bancshares, would give rise to any severance,
     termination,  or other  payments  or  liabilities,  or any  forgiveness  of
     indebtedness,  vesting, distribution,  increase in benefits, or obligations
     to fund benefits as a result of the transactions contemplated by this Plan;
     no payment that is owed or may become due any director,  officer, employee,
     independent  contractor or agent of Talbot  Bancshares or any of the Talbot
     Subsidiaries in connection with a plan will be  non-deductible to the payor
     under Section 280G of the Code, and none of the Talbot Subsidiaries,  Shore
     Subsidiaries,  Talbot  Bancshares or Shore  Bancshares  will be required to
     "gross up" or otherwise  compensate  any person in  connection  with a plan
     because of the imposition of any excise tax under Section 4999 of the Code;
     and

     4. The Plan and all  provisions  thereof  remain in full  force and  effect
unless  specifically  modified  or  amended  hereby.

     5. This  Agreement  may be  executed in two or more  counterparts,  each of
which shall be deemed an original but all of which together shall constitute one
and  the  same  instrument,  and  all  signatures  need  not  appear  on any one
counterpart.

     IN WITNESS WHEREOF, Shore Bancshares and Talbot Bancshares have caused this
Amendment  to be  duly  executed  by  their  respective  presidents,  and  their
respective  seals to be  hereunto  affixed  and  attested  by  their  respective
secretaries, thereunto duly authorized as of the date first above written.

ATTEST:      [SEAL]                        Talbot Bancshares, INC.



/s/ Susan E. Leaverton                     By: /s/ W. Moorhead Vermilye
-----------------------------------           ----------------------------------
Susan E. Leaverton                             W. Moorhead Vermilye
Secretary                                      President



ATTEST:      [SEAL]                        Shore Bancshares, INC.


/s/ Mary Catherine Quimby                      /s/ Daniel T. Cannon
-----------------------------------           ----------------------------------
Mary Catherine Quimby                          Daniel T. Cannon
Secretary                                      President

<PAGE>


                                                                    Exhibit 99.1

                                  PRESS RELEASE

                    For Immediate Release - December 1, 2000


FOR MORE INFORMATION, CONTACT:

W. Moorhead Vermilye - President and Chief Executive Officer,  Shore Bancshares,
Inc. (410) 822-1400

Daniel Cannon - Executive  Vice  President and Chief  Operating  Officer,  Shore
Bancshares, Inc. (410) 758-1600

                     TALBOT BANCSHARES AND SHORE BANCSHARES
                                 COMPLETE MERGER


Easton,  Maryland,  December 1, 2000 - Talbot Bancshares,  Inc. (OTC BB:TABS.OB)
and Shore Bancshares, Inc. (OTC BB:SHBI.OB),  headquartered in Easton, Maryland,
announced  today that they have completed the merger of Talbot  Bancshares  into
Shore  Bancshares.  The acquisition  was completed  today following  approval by
stockholders of both companies.

Under the  terms of the  merger  agreement,  stockholders  of Talbot  Bancshares
received 2.85 shares of Shore  Bancshares  common stock for each share of Talbot
Bancshares common stock, with fractional shares paid in cash. The exchange ratio
will result in the  issuance of up to 3,407,272  new shares of Shore  Bancshares
common stock in exchange for all 1,195,534 shares of Talbot Bancshares.

<PAGE>

"The merger of Talbot Bancshares and Shore Bancshares  creates a premier banking
and financial  services  company  headquartered  on the Maryland Eastern Shore,"
commented W. Moorhead  Vermilye,  former President of Talbot  Bancshares and the
new President and Chief Executive Officer of Shore Bancshares.  "Although we are
merging our holding companies,  our subsidiary banks will operate  independently
in the communities they serve."

Daniel T. Cannon,  former  President and new Executive  Vice President and Chief
Operating Officer of Shore Bancshares, noted, "this merger will allow The Talbot
Bank of Easton,  Maryland  and The  Centreville  National  Bank of Maryland  the
opportunity to provide their  customers more  convenience and a broader array of
financial services."

This  news  release  contains,   among  other  things,  certain  forward-looking
statements   regarding  the  combined   company   following  the  merger.   Such
forward-looking  statement involve certain risks and uncertainties,  including a
variety of  factors  that may cause the  combined  company's  actual  results to
differ materially from the anticipated  results or other expectations  expressed
in such forward-looking statements.

Shore Bancshares,  now headquartered in Easton,  Maryland, is a two-bank holding
company and parent company of The Talbot Bank of Easton,  Maryland, a commercial
bank  providing  general  commercial  banking  services in Talbot and Dorchester
Counties in Maryland,  and The Centreville National Bank of Maryland, a national
banking  association  operating five full service  branch offices  serving Queen
Anne's,  Caroline and Kent Counties in Maryland.  The banks provide a full range

<PAGE>

of financial services to individuals,  business and other  organizations.  Shore
Bancshares'  Common Stock is quoted on the OTC  Bulletin  Board under the symbol
"SHBI".
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SECURITIES AND EXCHANGE COMMISSION

                              WASHINGTON, DC 20549

                             _______________________

                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

       Date of Report (Date of earliest event reported): December 1, 2000

                             TALBOT BANCSHARES, INC.
               (Exact Name of Registrant as Specified in Charter)

            Maryland                     0-22929                 52-2033630
         (State or Other               (Commission             (IRS Employer
   Jurisdiction of Incorporation)       File Number)         Identification No.)

                  18 East Dover Street, Easton, Maryland 21601
               (Address of Principal Executive Offices) (ZIP Code)

        Registrant's telephone number, including area code (410) 822-1400

          (Former Name or Former Address, if Changed Since Last Report)
Item 5.       Other Events.

The  merger of Talbot  Bancshares,  Inc.  with and into Shore  Bancshares,  Inc.
became  effective as of the open of business on December 1, 2000. As a result of
the merger,  Talbot Bancshares,  Inc. stockholders received 2.85 shares of Shore
Bancshares,  Inc. common stock in exchange for each share of Talbot  Bancshares,
Inc. common stock. Cash will be paid in lieu of fractional shares. The shares of
Shore  Bancshares  Common  Stock  issued  in  connection  with the  merger  were
registered under the Securities Act of 1933 pursuant to a Registration Statement
on Form S-4 (File No.  333-46890).  This  registration  statement  was  declared
effective on October 16, 2000.  The merger is described in greater detail in the
registration statement.

Pursuant to General  Instruction F to Form 8-K, the press release dated December
1, 2000,  announcing the consummation of the merger of Talbot  Bancshares,  Inc.
with and into Shore  Bancshares,  Inc.  is attached  to this  Current  Report as
Exhibit 99.1 and is hereby incorporated by reference.

Item 7.      Financial Statements, Pro Forma Financial Information and Exhibits.

(a) and (b) Not Applicable.

(c) Exhibits. The following exhibits are filed with this report:
    --------

    2.1       First Amendment to Plan and Agreement to Merge, dated November 30,
              2000, between Shore Bancshares, Inc. and Talbot Bancshares, Inc.

    99.1      Press Release, dated December 1, 2000 of Talbot Bancshares, Inc.
SIGNATURES
                                   ----------

     Pursuant to the  requirements  of the Securities  Exchange Act of 1934, the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

                                  TALBOT BANCSHARES, INC.

                                  By: /s/ W. Moorhead Vermilye
                                     -------------------------------------------
                                  Name:       W. Moorhead Vermilye
                                  Title:      President, Talbot Bancshares, Inc.

Date: December 1, 2000
EXHIBIT INDEX

Exhibit              Description
-------              -----------

2.1     First Amendment to Plan and Agreement to Merge, dated November 30, 2000,
        between Shore Bancshares, Inc. and Talbot Bancshares, Inc.

99.1    Press Release, dated December 1, 2000 of Talbot Bancshares, Inc.
Exhibit 2.1

               FIRST AMENDMENT TO THE PLAN AND AGREEMENT TO MERGE

     First  Amendment,  dated as of November 30, 2000, (the "Amendment") to the
Plan and  Agreement  to Merge,  dated as of July 25,  2000,  (the "Plan") by and
among TALBOT BANCSHARES, INC. ("Talbot Bancshares"), a Maryland corporation, and
SHORE BANCSHARES, INC. ("Shore Bancshares"), a Maryland corporation.

                              W I T N E S S E T H:

     WHEREAS,  Shore  Bancshares  and Talbot  Bancshares are parties to the Plan
whereby Talbot  Bancshares  has agreed to merge with and into Shore  Bancshares,
with Shore Bancshares as the surviving entity.

     WHEREAS,  Shore  Bancshares  and Talbot  Bancshares  wish to amend  certain
provisions under the Plan pursuant to Section 12 of the Plan in order to conform
certain  representations  and warranties made by the parties and to waive one of
the conditions to closing.

     NOW,  THEREFORE,  in  consideration  of the mutual covenants and agreements
herein  contained and the mutual  benefits to be derived  herefrom,  the parties
agree as follows:

                               A G R E E M E N T:

     1.  Section 8.3 of the Plan is hereby  amended by deleting  that section in
its entirety and inserting the following in lieu thereof:

          8.3 Events  Preceding the Effective Date. Each of the events set forth
     in  Section  2 shall  have  occurred  and  any  other  required  regulatory
     approvals shall have been obtained.

     2.  Subsections  4.8(a),  (b),  and (e) of the Plan are  hereby  amended by
deleting those subsections in their entirety and inserting the following in lieu
thereof:

          (a)  any  employment,   consultation,   or  compensation  contract  or
     arrangement  (other  than those  terminable  at will)  with any  current or
     former officer, consultant,  director, agent or employee (or beneficiary of
     any of them);

          (b)  any  plan,  contract,   program,   understanding,   or  agreement
     providing for bonuses,  pensions,  severance pay,  executive  compensation,
options,  stock  purchases,  or any other form of retirement,  incentive or
     deferred compensation, retirement payments, death benefits, profit sharing,
     branch closing benefits,  workers'  compensation,  tuition reimbursement or
     scholarship  program, any plans providing benefits or payments in the event
     of a change in  control,  change  in  ownership,  or sale of a  substantial
     portion  (including  all or  substantially  all) of the  assets  of  Talbot
     Bancshares  or any of the Talbot  Subsidiaries,  or any  health,  accident,
     disability,  sick leave,  vacation  pay, life  insurance,  or other welfare
     benefit,  or any other  employee or retired  employee  benefit  (including,
     without limitation,  any "employee benefit plan" as defined in Section 3(3)
     of ERISA) in which any  current or former  officer,  consultant,  employee,
     director,  or agent (or beneficiary of any of them) of Talbot Bancshares or
     any of the  Talbot  Subsidiaries  is or was,  within  the last  six  years,
     entitled to participate;

          (e)  any  agreement  for services in excess of $30,000 per year (other
     than any employment,  arbitration or  compensation  contract or arrangement
     with  any  current  or  former  officer,  consultant,  director,  agent  or
     employee) or any agreement for the purchase or disposition of any equipment
     or supplies except individual  purchase orders for office supplies incurred
     in the ordinary course of business of $10,000 or less;

     3.  Subsections  4.12(c),  (e),  and (u) of the Plan are hereby  amended by
deleting those subsections in their entirety and inserting the following in lieu
thereof:

          (c)  each of the plans has been  operated in all material  respects in
     accordance  with  its  terms  and in  accordance  with all  previously  and
     currently  effective  laws  applicable  to such plans,  including,  but not
     limited to, ERISA, the Code, the Consolidated Omnibus Budget Reconciliation
     Act of 1985, the Health  Insurance  Portability and  Accountability  Act of
     1996, and state health care continuation laws;

          (e)  none of (i) the plans,  (ii) the Talbot  Subsidiaries,  and (iii)
     Talbot Bancshares,  and to Talbot Bancshares' knowledge,  (x) no current or
     former director,  officer,  employee,  agent, or  representative  of Talbot
     Bancshares or any of the Talbot Subsidiaries,  and (y) no fiduciary, "party
     in  interest"  (as  defined  in  Section  3(14) of ERISA) or  "disqualified
     person" (as defined in Section 4975 of the Code) with respect to any of the
     plans has engaged in any non-exempt "prohibited  transaction" in connection
     with any of the plans  within the  meaning  of Section  4975 of the Code or
     Title I, Part 4 of ERISA as to which the applicable  statute of limitations
     has not run;

          (u)  none of the plans contains any provision which would prohibit the
     transactions  contemplated  by this  Plan or which,  except  as  previously
disclosed in writing to Shore Bancshares, would give rise to any severance,
     termination,  or other  payments  or  liabilities,  or any  forgiveness  of
     indebtedness,  vesting, distribution,  increase in benefits, or obligations
     to fund benefits as a result of the transactions contemplated by this Plan;
     no payment that is owed or may become due any director,  officer, employee,
     independent  contractor or agent of Talbot  Bancshares or any of the Talbot
     Subsidiaries in connection with a plan will be  non-deductible to the payor
     under Section 280G of the Code, and none of the Talbot Subsidiaries,  Shore
     Subsidiaries,  Talbot  Bancshares or Shore  Bancshares  will be required to
     "gross up" or otherwise  compensate  any person in  connection  with a plan
     because of the imposition of any excise tax under Section 4999 of the Code;
     and

     4. The Plan and all  provisions  thereof  remain in full  force and  effect
unless  specifically  modified  or  amended  hereby.

     5. This  Agreement  may be  executed in two or more  counterparts,  each of
which shall be deemed an original but all of which together shall constitute one
and  the  same  instrument,  and  all  signatures  need  not  appear  on any one
counterpart.

     IN WITNESS WHEREOF, Shore Bancshares and Talbot Bancshares have caused this
Amendment  to be  duly  executed  by  their  respective  presidents,  and  their
respective  seals to be  hereunto  affixed  and  attested  by  their  respective
secretaries, thereunto duly authorized as of the date first above written.

ATTEST:      [SEAL]                        Talbot Bancshares, INC.

/s/ Susan E. Leaverton                     By: /s/ W. Moorhead Vermilye
-----------------------------------           ----------------------------------
Susan E. Leaverton                             W. Moorhead Vermilye
Secretary                                      President

ATTEST:      [SEAL]                        Shore Bancshares, INC.

/s/ Mary Catherine Quimby                      /s/ Daniel T. Cannon
-----------------------------------           ----------------------------------
Mary Catherine Quimby                          Daniel T. Cannon
Secretary                                      President
Exhibit 99.1

                                  PRESS RELEASE

                    For Immediate Release - December 1, 2000

FOR MORE INFORMATION, CONTACT:

W. Moorhead Vermilye - President and Chief Executive Officer,  Shore Bancshares,
Inc. (410) 822-1400

Daniel Cannon - Executive  Vice  President and Chief  Operating  Officer,  Shore
Bancshares, Inc. (410) 758-1600

                     TALBOT BANCSHARES AND SHORE BANCSHARES
                                 COMPLETE MERGER

Easton,  Maryland,  December 1, 2000 - Talbot Bancshares,  Inc. (OTC BB:TABS.OB)
and Shore Bancshares, Inc. (OTC BB:SHBI.OB),  headquartered in Easton, Maryland,
announced  today that they have completed the merger of Talbot  Bancshares  into
Shore  Bancshares.  The acquisition  was completed  today following  approval by
stockholders of both companies.

Under the  terms of the  merger  agreement,  stockholders  of Talbot  Bancshares
received 2.85 shares of Shore  Bancshares  common stock for each share of Talbot
Bancshares common stock, with fractional shares paid in cash. The exchange ratio
will result in the  issuance of up to 3,407,272  new shares of Shore  Bancshares
common stock in exchange for all 1,195,534 shares of Talbot Bancshares.
"The merger of Talbot Bancshares and Shore Bancshares  creates a premier banking
and financial  services  company  headquartered  on the Maryland Eastern Shore,"
commented W. Moorhead  Vermilye,  former President of Talbot  Bancshares and the
new President and Chief Executive Officer of Shore Bancshares.  "Although we are
merging our holding companies,  our subsidiary banks will operate  independently
in the communities they serve."

Daniel T. Cannon,  former  President and new Executive  Vice President and Chief
Operating Officer of Shore Bancshares, noted, "this merger will allow The Talbot
Bank of Easton,  Maryland  and The  Centreville  National  Bank of Maryland  the
opportunity to provide their  customers more  convenience and a broader array of
financial services."

This  news  release  contains,   among  other  things,  certain  forward-looking
statements   regarding  the  combined   company   following  the  merger.   Such
forward-looking  statement involve certain risks and uncertainties,  including a
variety of  factors  that may cause the  combined  company's  actual  results to
differ materially from the anticipated  results or other expectations  expressed
in such forward-looking statements.

Shore Bancshares,  now headquartered in Easton,  Maryland, is a two-bank holding
company and parent company of The Talbot Bank of Easton,  Maryland, a commercial
bank  providing  general  commercial  banking  services in Talbot and Dorchester
Counties in Maryland,  and The Centreville National Bank of Maryland, a national
banking  association  operating five full service  branch offices  serving Queen
Anne's,  Caroline and Kent Counties in Maryland.  The banks provide a full range
of financial services to individuals,  business and other  organizations.  Shore
Bancshares'  Common Stock is quoted on the OTC  Bulletin  Board under the symbol
"SHBI".