Item 1.01 in this Current Report on Form 8-K.  Unless First Tennessee elects to waive this event of default, it will be entitled to declare the outstanding principal balance on this line of credit immediately due and payable and otherwise exercise its rights as a secured party against the collateral to collect, enforce or satisfy the obligations under this line of credit.
 
Item 8.01.  Other Events.
 
On July 22, 2008, the Company notified the Federal Reserve Bank of San Francisco of its election to terminate its financial holding company status.  As the sole shareholder of the Bank, the Company will remain a bank holding company within the meaning of the Bank Holding Company Act of 1956, as amended.  The Company’s management does not believe this election will have an adverse effect on the Company’s current operations as the Company does not engage in any activities that require the Company to be registered as a financial holding company.
 
Item 9.01.  Financial Statements and Exhibits.
 
(d) Exhibits.
     
Exhibit
Number
 
Description
   
10.1
 
Consent Order dated July 22, 2008 issued by the Comptroller of the Currency in the matter of Vineyard Bank, N.A., Corona, California.
10.2
 
Stipulation and Consent to the Issuance of a Consent Order dated July 22, 2008 between the Comptroller of the Currency and Vineyard Bank, N.A., Corona, California.
99.1
 
Press release of Vineyard National Bancorp dated July 28, 2008.
 

 
SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
                 
       
Vineyard National Bancorp
       
(Registrant)
       
Dated: July 28, 2008
     
By:
 
 /s/ Gordon Fong
           
Name:
 
Gordon Fong
           
Title:
 
Executive Vice President and Chief Financial Officer
 
 
EXHIBIT INDEX
 
Exhibit
Number
 
Description
   
10.1
 
Consent Order dated July 22, 2008 issued by the Comptroller of the Currency in the matter of Vineyard Bank, N.A., Corona, California.
10.2
 
Stipulation and Consent to the Issuance of a Consent Order dated July 22, 2008 between the Comptroller of the Currency and Vineyard Bank, N.A., Corona, California.
99.1
 
Press release of Vineyard National Bancorp dated July 28, 2008.