Eagle Financial Services, Inc. Announces 2007 Financial Results and Quarterly Dividend

Eagle Financial Services, Inc. Announces 2007 Financial Results and Quarterly
Dividend

BERRYVILLE, Va., Jan. 22 /PRNewswire-FirstCall/ -- Eagle Financial Services,
Inc. (OTC Bulletin Board: EFSI), the holding company for Bank of Clarke
County, whose divisions include Eagle Investment Group, announces financial
results for 2007 and a quarterly dividend. The Company's common stock is
listed for trading on the Over-the-Counter (OTC) Bulletin Board under the
ticker symbol EFSI.

The Company's net income for the year ended December 31, 2007 was $5.3
million. This represents a $0.6 million or 10% decrease from net income of
$5.9 million during 2006. Diluted earnings per share were $1.69 and $1.90 for
2007 and 2006, respectively, which represents a decrease of $0.21 or 11%. Net
interest income was $17.3 million during 2007 as compared to $17.5 million
during 2006, which represents a decrease of $0.2 million or 1%. Noninterest
income was $6.2 million and $5.4 million for 2007 and 2006, respectively,
which represents an increase of $0.8 million or 15%. Noninterest expenses
were $15.6 million and $14.3 million for 2007 and 2006, respectively, which
represents an increase of $1.3 million or 9%.

Total assets of the Company at December 31, 2007 were $507.5 million, which
represents a decrease of $5.5 million or 1% from total assets of $513.0
million at December 31, 2006. Total loans grew $3.7 million or 1% from $386.0
million at December 31, 2006 to $389.7 million at December 31, 2007. Total
deposits decreased $17.9 million or 5% from $397.5 million at December 31,
2006 to $379.6 million at December 31, 2007.

A dividend of $0.16 per share will be paid on February 15, 2008 to
shareholders of record as of February 1, 2008. This is the same per share
dividend that was paid on February 15, 2007. The Company's total dividend was
$0.64 per share for 2007 as compared to $0.60 per share for 2006.

This press release may contain "forward-looking statements," as defined by
federal securities laws, which may involve significant risks and
uncertainties. The statements are based on estimates and assumptions made by
the Company in conjunction with other factors it believes are appropriate in
the circumstances. Actual results could differ materially from those contained
in or implied by such statements. Consequently, all forward-looking
statements made herein are qualified by the risk factors and other cautionary
language in the Company's Annual Report on Form 10-K for the year ended
December 31, 2006 and other reports filed with and furnished to the Securities
and Exchange Commission.

SOURCE Eagle Financial Services, Inc.

Jim McCarty, Vice President and Chief Financial Officer of Eagle Financial
Services, Inc, +1-540-955-2510, jmccarty@bankofclarke.com