Note 7 – Director Compensation

On December 15, 2009, the board of directors approved an increase in its compensation from 150 shares of our restricted common stock for each quarter of service to 250 restricted shares quarterly effective as of January 1, 2010. The directors' quarterly compensation was adjusted to 375 restricted shares in April 2011 due to the one for two stock dividend distributed by the Company (see Note 16 for further information). The shares awarded become unrestricted upon a director leaving the board. Directors who also serve as officers of Corning are not compensated for their service as directors. On November 9, 2010, directors were issued compensatory shares for service from July 2010 through September 30, 2010. Since these shares are restricted, in recording compensation expense, the expense accrued is 25% less than the closing price of the stock on the day the stock was awarded. Management of the Company believes this discount is reasonable for thinly traded stock such as that of the Company. The Company did not discount the value of the stock paid to the directors who resigned from the board since those shares became unrestricted when held by a non-affiliate for at least six months. On April 29, 2011, shares were issued for service for the quarters ended December 31, 2010 and March 31, 2011. Joseph Mirabito, William Mirabito and John Williamson III were each paid 247 shares of common stock for the quarter ended December 31, 2010 because they served for a portion of that quarter. Information regarding shares of stock awarded to directors in fiscal 2011 is summarized below.

	Fees Earned or Paid		11/9/2010
	in Cash		Stock Awards		Stock Awards		Total
	($)		(@ $14.99/Share)		($)		($)
3 Directors		-		750		11,243		11,243

	Fees Earned or Paid		11/9/2010
	in Cash		Stock Awards		Stock Awards		Total
	($)		(@ $19.99/Share)		($)		($)
3 Former Directors		-		656		13,113		13,113

	Fees Earned or Paid		4/29/2011
	in Cash		Stock Awards		Stock Awards		Total
	($)		(@ $18.00/Share)		($)		($)
6 Directors		-		4,116		74,088		74,088