Page 1

VIRGINIA NATIONAL BANKSHARES CORPORATION FOR IMMEDIATE RELEASE INVESTOR RELATIONS CONTACT : Tara Y. Harrison ( 434 ) 817-8587 VIRGINIA NATIONAL BANKSHARES CORPORATION ANNOUNCES THIRD QUARTER FINANCIAL RESULTS AND AVAILABILITY OF DIVIDEND REINVESTMENT PLAN Charlottesville , VA - October 29 , 2021 - Virginia National Bankshares Corporation ( NASDAQ : VABK ) ( the " Company " ) today reported net income of $ 3.1 million , or $ 0.59 per diluted share , for the quarter ended September 30 , 2021 , which is a 68 % increase compared to net income of $ 1.9 million , or $ 0.69 per diluted share , recognized for the quarter ended September 30 , 2020. Note that the decline in net income per diluted share for the periods noted was driven by the increase in number of shares outstanding as result of the merger with Fauquier Bankshares , Inc. ( “ Fauquier ” ) . Excluding merger costs , the Company would have posted net income of $ 4.6 million , or $ 0.86 per diluted share , ( a non - GAAP financial measure ) ¹ for the quarter ended September 30 , 2021. Return on average assets ( " ROAA " ) of 0.65 % for the three months ended September 30 , 2021 would have amounted to 0.95 % excluding merger expenses ( a non - GAAP financial measure ) , ¹ compared to 0.89 % , or 1.05 % excluding merger expenses ( a non - GAAP financial measure ) , ¹ in the three months ended September 30 , 2020 . " During the quarter , we incurred the remaining substantial merger related expenses while posting strong net income , continuing to build value for our shareholders , " said Glenn W. Rust , President and Chief Executive Officer . Dividend Reinvestment Plan As previously announced , the Company has established a dividend reinvestment & direct stock purchase and sale plan for registered shareholders , which will be administered by the Company's transfer agent , American Stock Transfer & Trust Company ( AST ) . Under the plan , registered shareholders will have the ability to reinvest their VABK cash dividends into , as well as make purchases and sales of , VABK common stock , which will be effected by AST on behalf of the shareholder on the open market . The plan is now available for registered shareholders who wish to enroll in the plan . Registered shareholders can go to www.astfinancial.com for more information and to review the plan brochure , or can call toll - free at 800-278-4353 . Fees and commissions will apply . Results of Operations • • • The Company incurred $ 1.9 million in pre - tax merger expenses during the third quarter of 2021 related to the merger , which closed on April 1 , 2021. The majority of such merger expenses relate to a change - of - control payment , severance and stay - put bonuses . This post - tax expense of $ 1.4 million represents $ 0.27 per diluted share . The Company has begun realizing savings associated with the merger and expects to realize significant additional savings over the next year . Full - time equivalent employee headcount was 215 as of April 1 , 2021 and 188 as of September 30 , 2021 . Return on average assets ( " ROAA " ) for the third quarter of 2021 declined to 0.65 % compared to 0.89 % realized in the same period in the prior year , primarily due to the significant increase in assets as a result of the merger . ROAA excluding the impact of merger expenses ( a non - GAAP financial measure ) would have been 0.95 % for the third quarter of 2021 . 1 See " Reconciliation of Certain Non - GAAP Financial Measures " at the end of this release . Page 1 of 9