THE CORPORATE LIBRARY

Related Party Transactions and Outside Related Director Information

State Bancorp, Inc. (STBC)

3/23/2006 Proxy Information

Some of the directors and officers of the Company or the Bank and some of the corporations and firms with which these individuals are associated also are customers of the Bank in the ordinary course of business, or are indebted to the Bank in respect of loans of $60,000 or more, and it is anticipated that some of these individuals, corporations and firms will continue to be customers of, and indebted to, the Bank on a similar basis in the future. All loans extended to such individuals, corporations and firms were made in the ordinary course of business, did not involve more than normal risk of collectibility or present other unfavorable features, and were made on substantially the same terms, including interest rates and collateral, as those prevailing at the same time for comparable Bank transactions with unaffiliated persons.

In February 2005, the Bank entered into a lease for a new branch in Westbury, New York. The landlord is a limited partnership owned and controlled by the father-in-law of Jeffrey Wilks, a Director of the Company and the Bank. The branch opened in January 2006. The lease has a term of ten (10) years with a five (5) year option to renew, and provides for initial monthly fixed base rent payments in the amount of $9,375, increasing annually at a rate of three (3%) percent after the first year. The Company believes that the terms of the lease are no less favorable to the Company than could have been obtained from an unaffiliated third party.

Pursuant to a competitive bidding process that took place in October 2003, Gold Coast Carpet Cleaning, Inc. (“Gold Coast”) currently provides cleaning services to each of the Bank’s branches. Robert Goldrick, son of Thomas F. Goldrick Jr., is a principal of Gold Coast. There is no formal contract in place for the performance of these services by Gold Coast; however the rate has not changed since October 2003 other than to account for additional space and services that have been added (which changes amount to an increase of approximately $14,000). The Company made total payments to Gold Coast in 2005 of $164,479.

There were no other transactions in 2005 involving officers, directors or beneficial owners of more than 5% of the Company’s common stock, or any immediate family member of the foregoing persons, that had a direct or indirect interest in any transaction involving the Company or its subsidiaries which exceeded $60,000.

3/25/2005 Proxy Information

Some of the directors and officers of the Company or the Bank and some of the corporations and firms with which these individuals are associated also are customers of the Bank in the ordinary course of business, or are indebted to the Bank in respect of loans of $60,000 or more, and it is anticipated that some of these individuals, corporations and firms will continue to be customers of, and indebted to, the Bank on a similar basis in the future. All loans extended to such individuals, corporations and firms were made in the ordinary course of business, did not involve more than normal risk of collectibility or present other unfavorable features, and were made on substantially the same terms, including interest rates and collateral, as those prevailing at the same time for comparable Bank transactions with unaffiliated persons.

In February 2005, the Bank entered into a lease for a new branch in Westbury, New York. The landlord is a limited partnership owned and controlled by the father-in-law of Jeffrey Wilks, a Director of the Company and the Bank. The branch opened in January 2006. The lease has a term of ten (10) years with a five (5) year option to renew, and provides for initial monthly fixed base rent payments in the amount of $9,375, increasing annually at a rate of three (3%) percent after the first year. The Company believes that the terms of the lease are no less favorable to the Company than could have been obtained from an unaffiliated third party.

Pursuant to a competitive bidding process that took place in October 2003, Gold Coast Carpet Cleaning, Inc. (“Gold Coast”) currently provides cleaning services to each of the Bank’s branches. Robert Goldrick, son of Thomas F. Goldrick Jr., is a principal of Gold Coast. There is no formal contract in place for the performance of these services by Gold Coast; however the rate has not changed since October 2003 other than to account for additional space and services that have been added (which changes amount to an increase of approximately $14,000). The Company made total payments to Gold Coast in 2005 of $164,479.

There were no other transactions in 2005 involving officers, directors or beneficial owners of more than 5% of the Company’s common stock, or any immediate family member of the foregoing persons, that had a direct or indirect interest in any transaction involving the Company or its subsidiaries which exceeded $60,000.

3/25/2005 Proxy Information

Some of the directors and officers of the Company or the Bank and some of the corporations and firms with which these individuals are associated also are customers of the Bank in the ordinary course of business, or are indebted to the Bank in respect of loans of $60,000 or more, and it is anticipated that some of these individuals, corporations and firms will continue to be customers of, and indebted to, the Bank on a similar basis in the future. All loans extended to such individuals, corporations and firms were made in the ordinary course of business, did not involve more than normal risk of collectibility or present other unfavorable features, and were made on substantially the same terms, including interest rates and collateral, as those prevailing at the same time for comparable Bank transactions with unaffiliated persons.

There were no other transactions in 2004 involving officers, directors or beneficial owners of more than 5% of the Company's common stock, or any immediate family member of the foregoing persons, that had a direct or indirect interest in any transaction involving the Company or its subsidiaries which exceeded $60,000. In February 2005, the Bank entered into a lease for a proposed branch to be located in Westbury, New York, with Westbury Associates, L.P. Jerry Spiegel, who, together with his wife Emily, is the beneficial owner of approximately 5% of the outstanding shares of the Company's stock, is the sole limited partner of Westbury Associates, L.P. and also owns 100% of the capital stock of the company's general partner, Westbury Plaza General Corp. Mr. Spiegel is also the father-inlaw of Jeffrey Wilks, a Director of the Company and the Bank. No payments have been made under the terms of the lease. The Company believes that the terms of the lease are no less favorable to the Company than could have been obtained from an unaffiliated third party.