2007 Annual Meeting of

Shareholders

April 24, 2007

Presidential Caterers,

Norristown, PA

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2007 Annual Meeting of

Shareholders

D. M. Takes

Interim President &

Chief Executive Officer

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Our Mission

Harleysville National Corporation will maintain

and enhance our image as a respected and

independent community-oriented financial

institution, providing needed services to our

customers, a fair return to our shareholders, and

a rewarding working experience for our

employees. We will commit our resources to the achievement of growth and economic stability of

our communities.

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History of strong performance, steady returns

•

31 years of record earnings

•

32 years of increased dividends

Recognized in America’s Finest Companies 

•

Earnings All-Star

•

Dividend All-Star

•

“Super 50” Team

•

America’s Smartest Companies®

America’s Finest Companies

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NASDAQ Dividend Achievers

Dividend Achievers List

•

Broad Dividend Achievers Index

•

Dividend Achievers 50 Index

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2006 HNBC Stock Price v.

SNL $1-5 Billion Banks change)

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2007 HNBC Stock Price v.

SNL $1-5 Billion Banks change)

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Key Achievements

•

Increased noninterest income by 42%

•

Grew diluted earnings per share 2%

•

Delivered a 4% increase in cash

dividends paid

•

Increased loans by 3.1%

•

Grew deposits by 6.4%

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Key Achievements

•

Built Commercial Loan Infrastructure

•

Real Estate Lending

•

Cash Management

•

Acquired McPherson Enterprises

•

Branch Expansion

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Challenges

•

Net Interest Margin/Earnings

•

Competition

•

 Controlling Operating Expenses

•

Stock Price

•

Credit Quality

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2007 Annual Meeting of

Shareholders

George S. Rapp

Executive Vice President,

Chief Financial Officer

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Forward-Looking Information

During the course of this presentation management make make projections

and forward-looking statements regarding events or the future financial

performance of Harleysville National Corporation.  We wish to caution

you that these forward-looking statements involve certain risks and

uncertainties, including a variety of factors that may cause Harleysville

National Corporation’s actual results to differ materially from the

anticipated results expressed in these forward-looking statements.

Investors are cautioned not to place undue reliance on these forward-

looking statements and are advised to review the risk factors that may

affect Harleysville National Corporation’s operating results in documents

filed by Harleysville National Corporation with the Securities and

Exchange Commission, including the Quarterly Report on Form 10-Q, the

Annual report on form 10-K, and other required filings.  Harleysville

National Corporation assumes no duty to update the forward-looking
statements made in this presentation.

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* Adjusted for stock dividend

Diluted Earnings Per Share

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Assets: Year End Balances

(in millions)

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Loans: Year End Balances

(in millions)

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Deposits: Year End Balances

(in millions)

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Loans / Deposits: % of Assets

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Securities / Borrowings: % of

Assets

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Net Interest Margin

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Nonperforming Assets +90

Loans / Assets

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Net Charge Offs to

Average Loans Outstanding

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* excluding gains/loss on sales of investment securities and non-recurring revenue

Other Income*(in millions)

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* Excluding gain/loss on sales of investment securities and income on life insurance

** Excluding gain on sale of branch and Cumberland       *** Excluding gain on sale of branch and credit

card portfolio

Noninterest Income / Average Assets *

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Noninterest Expense /

Average Assets

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Deposits / Employees

 (in millions)

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Efficiency Ratio

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Return on Average Equity

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* Adjusted for stock dividend

Cash Dividends Paid*

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	3/31/07	3/31/06
Diluted EPS	$.21	$.30
Net Interest Margin	2.82%	3.15%
Total Assets	$3,325	$3,202
Total Loans	$2,066	$2,003
Total Deposits	$2,527	$2,426

Key Results

(in millions)

Quarter 1 2007 Performance

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	3/31/07	3/31/06
Nonperforming Assets	19,530	10,601
Nonperforming Assets / Total Assets	0.59%	0.33%
Allowance for Loan and Lease Losses / Loans	1.01%	0.99%
Charge-offs / Average Loans	0.52%	0.24%

Asset Quality

(in millions)

Q1 2007 Performance

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2007 Annual Meeting of

Shareholders

D. M. Takes

Interim President &

Chief Executive Officer

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Key Strategic Initiatives

•

Grow Commercial Banking

Division

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Margin Analysis – Changing

Mix
($000)

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Margin Analysis – Changing

Mix
($000)

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Margin Analysis – Changing

Mix
($000)

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•

Make Millennium Wealth Management a

"core solution" commercial customers.

•

Develop our wealth management products

and services to position Millennium as a premier wealth
management provider in the markets we serve.

Use Millennium Wealth

Management to Drive Other Income

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Relationship

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Market Expansion

Bucks County

•

Warminster – 2007

•

Warrington - 2008

Montgomery County

•

East Norriton - 2007

•

Blue Bell – 2007

•

Conshohocken - 2008

•

Flourtown –2008

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Investment Considerations

•

Experienced management team

•

Demonstrated track record of consistent earnings

•

Average dividend yield over 4%

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Investment Considerations

•

Attractive market demographics

•

Strategic initiatives are aligned with

market demographics

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