Summary of SECURITY FEDERAL CORP

Item 5.07 Submission of Matters to a Vote of Security Holders

(a) The Annual Meeting of Security Federal Corporation ("Company") was held on July 19, 2012.

(b) There were a total of 2,944,001 shares of the Company's common stock outstanding and entitled to vote at the Annual Meeting. At the Annual Meeting, 1,831,440 shares of common stock were represented in person or by proxy, therefore a quorum was present. The following proposals were submitted by the Board of Directors to a vote of shareholders:

Proposal 1. Election of Directors. The following individuals were elected as directors:

                                                     BROKER
                        FOR          WITHHELD      NON-VOTES
                    No. of votes   No. of votes   No. of votes

Timothy W. Simmons     1,810,740         20,700        --
Harry O. Weeks, Jr.    1,816,240         15,500        --
Roy G. Lindburg        1,810,121         21,319        --
W. Barry Adams         1,809,216         22,224        --

Based on the votes set forth above, Messrs. Simmons, Weeks, Lindburg and Adams were duly elected to serve as directors of the Company for a three year term expiring at the annual meeting of shareholders in 2015, each to serve until their respective successors have been duly elected and qualified.

The terms of Directors Gasper L. Toole, III, Thomas L. Moore, J. Chris Verenes, Robert E. Alexander, William Clyburn and Frank M. Thomas, Jr. continued.

Proposal 2. Advisory approval of the compensation of the Company's named executive officers. This proposal received the following votes:

            Percentage             Percentage             Percentage
                of                     of                     of
              shares                 shares                 shares     Broker Non-
   For       present     Against    present     Abstain    present        Vote

1,813,399     99.02      16,700       0.91       1,341       0.07          --

Based on the votes set forth above, the compensation of the Company's named executive officers was approved by shareholders.