Summit Financial Group Purchases The Sager Insurance Agency

March 2, 2004

H. Charles Maddy, III, president and CEO of Summit Financial Group, Inc. announced that Sager Insurance Agency has become part of the Summit Financial Group Inc. family effective March 1, 2004.

The new agency, Summit Insurance Services LLC, will operate as Sager Insurance Agency. Both former employees of Sager, Bruce Kesner and Christie Gilhuys will remain with Summit and operate the insurance agency.

Kesner is a licensed agent with 23 years of experience. Gilhuys holds her license and has been with the agency for four years.

The Sager Insurance Agency was founded in 1974 by T. LaMar Sager and offers insurance provided by various companies including: Allstate, Vesta-Shelby Companies, Progressive Insurance, Farmers & Mechanics Mutual and Farmers Mutual Insurance.

Sager Insurance Agency will at this time remain in its current location, 107 South Main Street, Moorefield, W Va.

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