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<SEC-DOCUMENT>0000939057-02-000104.txt : 20021113
<SEC-HEADER>0000939057-02-000104.hdr.sgml : 20021113
<ACCEPTANCE-DATETIME>20021113121153
ACCESSION NUMBER:		0000939057-02-000104
CONFORMED SUBMISSION TYPE:	10-Q
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20020930
FILED AS OF DATE:		20021113

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			PROVIDENT FINANCIAL HOLDINGS INC
		CENTRAL INDEX KEY:			0001010470
		STANDARD INDUSTRIAL CLASSIFICATION:	SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035]
		IRS NUMBER:				330704889
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		10-Q
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-28304
		FILM NUMBER:		02818994

	BUSINESS ADDRESS:	
		STREET 1:		3756 CENTRAL AVE
		CITY:			RIVERSIDE
		STATE:			CA
		ZIP:			92506
		BUSINESS PHONE:		9096866060

	MAIL ADDRESS:	
		STREET 1:		3756 CENTRAL AVENUE
		CITY:			RIVERSIDE
		STATE:			CA
		ZIP:			92506
</SEC-HEADER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>q1021204.htm
<DESCRIPTION>PROVIDENT FINANCIAL HOLDINGS, INC. FORM 10-Q
<TEXT>
<HTML>
<HEAD>
<TITLE>FORM 10-Q</TITLE>
</HEAD>
<BODY>

<FONT SIZE=2>


<TABLE WIDTH="100%" cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">
<TR VALIGN="TOP"><TD COLSPAN="2" ALIGN="CENTER"><font size="2">UNITED STATES</font></TD>
</TR>

<TR VALIGN="TOP"><TD COLSPAN="2" ALIGN="CENTER"><FONT SIZE=2>SECURITIES AND
  EXCHANGE COMMISSION</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2" ALIGN="CENTER"><FONT SIZE=2>Washington, D.C.20549</TD>
</TR>

<TR VALIGN="TOP"><TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD></TR>

<TR VALIGN="TOP">
<TD COLSPAN="2">
<P ALIGN="CENTER"><b><FONT SIZE=2>FORM 10-Q</b></TD></TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD></TR>

<TR VALIGN="TOP">
<TD><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[X]</TD>
<TD><FONT SIZE=2>QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES <br>EXCHANGE ACT OF 1934</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD></TD>
<TD><FONT SIZE=2>For the Quarterly period ended<STRONG> <U>&nbsp;September
30, 2002</U></STRONG></TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD><FONT SIZE=2>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;]</TD>
<TD><FONT SIZE=2>TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES<br>EXCHANGE ACT OF 1934</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD></TD>
<TD><FONT SIZE=2>For the transition period from ____________________ to
___________________</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2">
<P ALIGN="CENTER"><FONT SIZE=2>Commission File Number: 000-28304</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR align=center VALIGN="TOP">
<TD COLSPAN="2">
<b>
<FONT SIZE=2>PROVIDENT FINANCIAL HOLDINGS, INC.</font></b><FONT SIZE=3><HR noshade size=2 width=92%>
</font>
<FONT SIZE=2>
(Exact name of registrant as specified in its charter)</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="2">&nbsp;</TD>
</TR>
</table>

<table width=100% cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">

<TR VALIGN="TOP">
<TD COLSPAN="5" align="center" width=50%><b><FONT SIZE=2>Delaware</font></b><FONT SIZE=3><HR noshade size=2 width=84%>
</font>
<FONT SIZE=1>
(State or other jurisdiction of<br>&nbsp;incorporation or organization)</TD>
<TD colspan=2 align="center" width=50%><b><FONT SIZE=2>33-0704889</font></b><FONT SIZE=3><HR noshade size=2 width=55%>
</font>
<FONT SIZE=1>
(I.R.S. Employer <br>I.D. Number)</TD>
</TR>



<TR VALIGN="TOP">
<TD>&nbsp;</TD>
<TD COLSPAN="5"><FONT SIZE=2> &nbsp;</TD>
<TD>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="7"><FONT SIZE=2>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="7" align=center><FONT SIZE=2>3756 Central Avenue, Riverside,
California&nbsp; 92506</font><FONT SIZE=3><HR noshade size=2 width=48%>
</font>
<FONT SIZE=1>
(Address of principal executive offices and zip code)</TD>
</TR>

<TR VALIGN="TOP"><TD COLSPAN="6">&nbsp;</TD>
<TD></TD></TR>

<TR VALIGN="TOP">
<TD COLSPAN="7" align=center><FONT SIZE=2>(909) 686-6060</font><FONT SIZE=3><HR noshade size=2 width=48%>
</font>
<FONT SIZE=1>
(Registrant's telephone number, including area code)</TD>
</TR>

<TR VALIGN="TOP"><TD COLSPAN="6">&nbsp;</TD>
<TD></TD></TR>

<TR VALIGN="TOP">
<TD COLSPAN="7" align=center><FONT SIZE=3><HR noshade size=2 width=48%>
</font>
<FONT SIZE=1>
(Former name, former address and former fiscal year, if changed since last report)</TD>
</TR>

<TR VALIGN="TOP">
<TD COLSPAN="5"></TD>
<TD>&nbsp;</TD>
<TD></TD></TR>

<TR VALIGN="TOP">
<TD COLSPAN="5"></TD>
<TD>&nbsp;</TD>
<TD></TD></TR>
</table>

<table width=723 cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">

<TR VALIGN="TOP">
<TD width="364"></TD>
<TD width="177">&nbsp;</TD>
<TD width="177"></TD></TR>
</table>

<table width=100% cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">
<TR VALIGN="TOP">
<td width=5%></td>
<TD align=justify width=95%><font size="2">Indicate by check whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the <br>Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant<br>was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.</font></TD>
</TR>

<TR VALIGN="TOP">
<td width=5%>&nbsp;</td>
<td width=95% align="justify"></td>
</tr>

<TR VALIGN="TOP">
<td width=5%>&nbsp;</td>
<td width=95% align=left><font size="2">(1)&nbsp;&nbsp; Yes <u>&nbsp; X </u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
No <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </u></font></td>
</tr>

<TR VALIGN="TOP">
<td width=5%></td>
<td width=95% align=left><font size="2">(2)&nbsp;&nbsp;&nbsp;Yes&nbsp;<U>&nbsp; X&nbsp;</U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No&nbsp;</font><U><font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></U></td>
</tr>

</table>

<table width=100% cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">
<TR VALIGN="TOP">
<td width=5%>&nbsp;</td>
<TD align=justify width=95%>&nbsp;</TD>
</TR>

<TR VALIGN="TOP">
<td width=5%></td>
<TD align=justify width=95%><font size="2">Indicate by check mark whether the registrant
is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).</font></TD>
</TR>

<TR VALIGN="TOP">
<td width=5%>&nbsp;</td>
<td width=95% align="justify"></td>
</tr>

<TR VALIGN="TOP">
<td width=5%>&nbsp;</td>
<td width=95% align=left><font size="2">&nbsp; Yes <u>&nbsp; X </u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
No <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </u></font></td>
</tr>

</table>

<P ALIGN=center><STRONG>APPLICABLE ONLY TO CORPORATE ISSUERS</STRONG></P>

<p style="margin-left: .45 in; margin-right: .45 in" align=justify>
Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest
practicable date.</p>

<FONT SIZE=3>
<div align="center">
  <center>

<table width=100% cellspacing="0" cellpadding="0" border="0" style="border-collapse: collapse" bordercolor="#111111">
<tr>
<td width=5% align=left valign=top></td>
<td width=45% align=left valign=top><font size="2">Title of class:</font><hr noshade width=57% align="left">
<STRONG><font size="2">Common stock, $ 0.01 par value</font></STRONG></td>
<td width=50% align=left valign=top>
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp; As of November 12, 2002</font>
<hr noshade width=47% align="left">
<font size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<b>5,211,169 shares* </b>
</font>
</p>
<p><font size="2">&nbsp;</font></td>
</tr>

</table>


  </center>
</div>
</font>
<P ALIGN="JUSTIFY">* Includes 344,913 shares held by the employee stock ownership plan ("ESOP") that have not been released, committed to be released, or allocated to participant accounts; and 33,329 shares held by the management recognition plan ("MRP") which have been committed to be released and allocated to participant accounts.  </P>
<P ALIGN="JUSTIFY">&lt;PAGE&gt;</P>
<P ALIGN="CENTER"></P>
</FONT><B><P ALIGN="CENTER">PROVIDENT FINANCIAL HOLDINGS, INC.</P>
<FONT SIZE=2><P ALIGN="CENTER"></P>
</FONT><P ALIGN="CENTER">Table of Contents</P>
<FONT SIZE=2><P ALIGN="CENTER"></P></B></FONT>
<TABLE CELLSPACING=0 BORDER=0 CELLPADDING=0 WIDTH=595 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<B><FONT SIZE=2><P>PART 1  -</B></FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<B><FONT SIZE=2><P>FINANCIAL INFORMATION</B></FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 1 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Financial Statements.  The Unaudited Interim Consolidated Financial Statements of </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>Provident Financial Holdings, Inc.  filed as a part of the report are as follows:</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Consolidated Statements of Financial Condition</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>as of September 30, 2002 and June 30, 2002 </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">1</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Consolidated Statements of Operations</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>for the quarter ended September 30, 2002 and 2001 </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">2</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Consolidated Statements of Changes in Stockholders' Equity</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>for the quarter ended September 30, 2002 and 2001 </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">3</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Consolidated Statements of Cash Flows</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>for the quarter ended September 30, 2002 and 2001 </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">4</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Selected Notes to Unaudited Interim Consolidated Financial Statements.</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">5</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 2 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Management's Discussion and Analysis of Financial Condition and Results of </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>Operations:</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>General </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">8</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Critical Accounting Policies </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">9</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Comparison of Financial Condition at September 30, 2002 and June
30, 2002 </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">9</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Comparison of Operating Results</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>for the Quarter Ended September 30, 2002 and 2001</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">10</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Asset Quality </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">16</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Loan Volume Activities </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">18</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Liquidity and Capital Resources  </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">18</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Commitments and Derivatives </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">20</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Stockholders' Equity </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">21</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Stock Option Plan and Management Recognition Plan </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">22</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Supplemental Information </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">22</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 3 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Quantitative and Qualitative Disclosure about Market Risk </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">22</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 4 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Controls and Procedures </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<B><FONT SIZE=2><P>PART II -</B></FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<B><FONT SIZE=2><P>OTHER INFORMATION</B></FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 1 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Legal Proceedings</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 2 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Changes in Securities </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 3 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Defaults upon Senior Securities  </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 4 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Submission of Matters to Vote of Shareholders  </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 5 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Other Information </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">ITEM 6 -</FONT></TD>
<TD WIDTH="81%" VALIGN="TOP" COLSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>Exhibits and Reports on Form 8-K </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">24</FONT></TD>
</TR>
<TR><TD WIDTH="12%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="78%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="93%" VALIGN="TOP" COLSPAN=3 HEIGHT=5>
<FONT SIZE=2>
<B><P>SIGNATURES</B> </FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">25</FONT></TD>
</TR>
<TR><TD WIDTH="93%" VALIGN="TOP" COLSPAN=3 HEIGHT=5><P></P></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="93%" VALIGN="TOP" COLSPAN=3 HEIGHT=5>
<B><FONT SIZE=2><P>CERTIFICATION LETTERS</B>.</FONT></TD>
<TD WIDTH="7%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">26</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2><P ALIGN="JUSTIFY"></P>
<P ALIGN="CENTER"></P>
</FONT><P ALIGN="left"><font size="2">&lt;PAGE&gt;</font></P>
<P ALIGN="left">&nbsp;</P>
<B><P ALIGN="CENTER">PROVIDENT FINANCIAL HOLDINGS, INC.<br>
Consolidated Statements of Financial Condition<br></B><FONT SIZE=2>
(Unaudited)<br>
Dollars In Thousands</P>
<B><P ALIGN="CENTER"></P></B></FONT>
<TABLE BORDER=0 CELLSPACING=0 CELLPADDING=0 WIDTH=590 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<B><FONT SIZE=2><P ALIGN="CENTER">September 30,</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="CENTER"> </FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<B><FONT SIZE=2><P ALIGN="CENTER">June 30,</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<B><FONT SIZE=2><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<B><FONT SIZE=2><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<B><FONT SIZE=2><P>Assets</B></FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Cash</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$      32,663</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$      27,700</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Investment securities  held to maturity, at amortized cost</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;          (fair value $168,637 and $157,705, respectively) </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">168,087</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">157,122</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Investment securities  available for sale at fair value</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">135,730</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">         114,826</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loans held for investment, net of allowance for loan losses of</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;          $6,794 and $6,579, respectively </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">626,967</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">593,554</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loans held for sale, at lower of cost or market </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">10,177</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,747</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Receivable from sale of loans </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">78,130</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">67,241</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Accrued interest receivable</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">6,669</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">5,591</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Real estate held for investment, net</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">11,036</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">11,150</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Other real estate owned, net</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">649</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">313</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Federal Home Loan Bank stock</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">13,123</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">13,000</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Premises and equipment, net</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">8,069</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">8,119</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Prepaid expenses and other assets</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,957</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,955</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=8 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>               &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;               Total assets</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,098,257</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,005,318</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">                              </FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<B><FONT SIZE=2><P>Liabilities and Stockholders' Equity</B></FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>Liabilities:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" HEIGHT=11>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Non-interest-bearing deposits</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=11>
<FONT SIZE=2><P ALIGN="RIGHT">$      32,776</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=11><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=11><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=11>
<FONT SIZE=2><P ALIGN="RIGHT">$      31,076</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=11><P></P></TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Interest-bearing deposits</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">675,584</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">646,372</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>               &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;               Total deposits</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">708,360</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">677,448</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Borrowings</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">262,459</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">202,466</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Accounts payable, accrued interest and other liabilities</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">26,383</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">22,373</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>               &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;               Total liabilities</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">997,202</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">902,287</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>Stockholders' equity:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" ROWSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Preferred stock, $.01 par value; authorized 2,000,000 shares;<br>
&nbsp;&nbsp;&nbsp;&nbsp;
none issued and outstanding</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" ROWSPAN=3 HEIGHT=15>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Common stock, $.01 par value; authorized 15,000,000 shares;<br>
&nbsp;&nbsp;&nbsp;&nbsp;
issued 7,712,515 and 7,712,515 shares, respectively;<br>
&nbsp;&nbsp;&nbsp;&nbsp;
outstanding 5,221,057 and 5,463,199 shares, respectively </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">77</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">77</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Additional paid-in capital.</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">52,352</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">52,178</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Retained earnings.</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">86,226</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">82,805</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" ROWSPAN=2 HEIGHT=5>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Treasury stock at cost (2,491,458 and 2,249,316 shares,<br>
&nbsp;&nbsp;&nbsp;&nbsp;
respectively)</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(35,816</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="JUSTIFY">)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(30,027</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="64%" VALIGN="TOP" HEIGHT=18>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Unearned stock compensation</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=18>
<FONT SIZE=2><P ALIGN="RIGHT">(2,861</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=18>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=18><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=18>
<FONT SIZE=2><P ALIGN="RIGHT">(2,866</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=18>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Accumulated other comprehensive income, net of tax</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,077</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">864</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>               &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;               Total stockholders' equity</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">101,055</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">103,031</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="64%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>               &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;               Total liabilities and stockholders' equity.</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,098,257</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,005,318</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=2>

<B><P ALIGN="CENTER"></P>
</B><P>The accompanying notes are an integral part of these financial statements.</P>

<P align="center">1</P>

<P>&lt;PAGE&gt;</P>

<P>&nbsp;</P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=594 style="border-collapse: collapse" bordercolor="#111111" height="980">
<TR><TD VALIGN="TOP" COLSPAN=5 HEIGHT=106>
<B><P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">PROVIDENT FINANCIAL HOLDINGS, INC.<br>
Consolidated Statements of Operations<br>
</B><FONT SIZE=2>(Unaudited)<br>
In Thousands, Except Earnings Per Share</P>
</FONT></TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="25%" VALIGN="TOP" COLSPAN=3 ROWSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1" height="38">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Three Months Ended<br>
September 30,</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2><P></FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3; border-top-style:solid; border-top-width:1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>Interest income:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loans receivable, net </FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">$ 11,734</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">$ 14,553</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Investment securities </FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">2,679</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">3,371</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Federal Home Loan Bank stock</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">192</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">201</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Interest-earning deposits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">6</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">458</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Total interest income</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">14,611</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">18,583</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>Interest expense:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Checking and money market deposits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">436</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">799</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp; Savings deposits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">931</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">873</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp; Time deposits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">3,156</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">5,926</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Borrowings</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">3,017</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,157</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Total interest expense</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">7,540</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">11,755</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>Net interest income</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">7,071</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">6,828</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>Provision for loan losses</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">200</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">120</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Net interest income after provision for loan losses</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,871</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,708</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>Non-interest income:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loan servicing and other fees</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">489</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">557</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp; Gain on sale of loans, net</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">4,110</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">2,260</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Real estate operations, net</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">208</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">159</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Deposit account fees</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">443</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">369</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp; Gain on sale of investment securities</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">266</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp; Other</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">545</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">337</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Total non-interest income</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,061</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">3,682</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>Non-interest expense:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Salaries and employee benefits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">4,277</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">4,098</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Premises and occupancy</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">617</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">563</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Equipment</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">490</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">526</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Professional expenses</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">167</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">177</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Sales and marketing expenses</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">232</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">186</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Other</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">912</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">1,069</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Total non-interest expense</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">6,695</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">6,619</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>Income before taxes</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">6,237</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">3,771</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>Provision for income taxes</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">2,543</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">1,573</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">
<FONT SIZE=2><P>     &nbsp;&nbsp; Net income</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">
<FONT SIZE=2><P ALIGN="RIGHT">$   3,694</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">
<FONT SIZE=2><P ALIGN="RIGHT">$   2,198</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="21">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P>Basic earnings per share </B></FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P ALIGN="RIGHT">$     0.74</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P ALIGN="RIGHT">$     0.42</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="72%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P>Diluted earnings per share </B></FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P ALIGN="RIGHT">$     0.69</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" height="19">
<FONT SIZE=2>
<B><P ALIGN="RIGHT">$     0.39</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="72%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<B><FONT SIZE=2><P>Cash dividends per share </FONT></B></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2>
<B><P ALIGN="RIGHT">$     0.05</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2>
<B><P align="right">         -</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3" height="20">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=1><P></P>

</FONT><FONT SIZE=2><P>The accompanying notes are an integral part of these financial statements.  </P>
<P align="center">2</P>
<P>&lt;PAGE&gt;</P>
<P>&nbsp;</P>
<P ALIGN="CENTER"></P>
</FONT><B><P ALIGN="CENTER">PROVIDENT FINANCIAL HOLDINGS, INC.<br>
Consolidated Statements of Changes in Stockholders' Equity</B><FONT SIZE=2><br>
(Unaudited)<br>
Dollars In Thousands, Except Shares<br>
<B>For the Quarters Ended September 30, 2002 and 2001</P>
</B></FONT><FONT SIZE=1>
<P>                                            </P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=630 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom" COLSPAN=3>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">Common<br>
Stock</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">Additional<br>
Paid-In</FONT></TD><TD WIDTH="8%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Retained</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Treasury</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">Unearned<br>
Stock</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER">Accumulated<br>
Other<br>
Comprehensive</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="top" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="top" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Shares</FONT></TD>
<TD WIDTH="1%" VALIGN="top" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="top" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Amount</FONT></TD>
<TD WIDTH="10%" VALIGN="top" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Capital</FONT></TD>
<TD WIDTH="8%" VALIGN="top" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Earnings</FONT></TD>
<TD WIDTH="8%" VALIGN="top" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Stock</FONT></TD>
<TD WIDTH="10%" VALIGN="top" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Compensation</FONT></TD>
<TD WIDTH="12%" VALIGN="top" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Income, net of tax</FONT></TD>
<TD WIDTH="11%" VALIGN="top" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Total</FONT></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>Balance at June 30, 2002 </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">5,463,199</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 77</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 52,178</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 82,805</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ (30,027</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ (2,866</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$&nbsp;&nbsp; 864</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 103,031</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>Comprehensive income:</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>     &nbsp;&nbsp;     Net income</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3,694</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3,694</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=13>
<FONT SIZE=1><P>&nbsp;&nbsp; Unrealized holding gain on<br>
&nbsp;&nbsp;&nbsp;&nbsp;
securities available for sale,
<br>&nbsp;&nbsp;&nbsp;&nbsp; net of tax </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=13 align="right"><font size="1">213</font></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13 align="right"></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=13 align="right" style="border-bottom-style: solid; border-bottom-width: 1"><font size="1">213</font></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=13></TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>Total comprehensive income</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">3,907</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>Purchase of treasury stock </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(254,700</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(6,046</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(6,046</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>Amortization and grants for MRP </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">12,558</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">257</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">(81</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">176</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P>Allocations of contribution to ESOP</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">174</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">86</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">260</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Cash dividends </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">(273</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">(273</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Balance at September 30, 2002 </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">5,221,057</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 77</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 52,352</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 86,226</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ (35,816</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ ( 2,861</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,077</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 101,055</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=1>
<P>&nbsp;</P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=630 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom" COLSPAN=3>
<FONT SIZE=1><P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Common<br>
Stock</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">Additional Paid-In</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Retained</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Treasury</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">Unearned Stock</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=1><P ALIGN="CENTER">Accumulated<br>
Other<br>
Comprehensive</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Shares</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Amount</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Capital</FONT></TD>
<TD WIDTH="8%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Earnings</FONT></TD>
<TD WIDTH="8%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Stock</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Compensation</FONT></TD>
<TD WIDTH="12%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Income, net of tax</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="CENTER">Total</FONT></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>Balance at June 30, 2001</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">5,716,306</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 77</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 51,518</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 73,697</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ (24,993</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ (3,766</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$&nbsp;&nbsp; 725</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">$ 97,258</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>Comprehensive income:</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>     &nbsp;&nbsp;     Net income</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2,198</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2,198</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>     &nbsp;&nbsp;     Unrealized holding gain on<BR>
&nbsp;&nbsp;&nbsp;&nbsp; securities available for sale,<BR>
&nbsp;&nbsp;&nbsp;&nbsp; net of tax.</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">       616</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">616</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">
<FONT SIZE=1><P>Total comprehensive income</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">2,814</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>Purchase of treasury stock </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(62,550</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(999</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P ALIGN="RIGHT">(999</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14>
<FONT SIZE=1><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P>Issuance of shares under stock-</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P>&nbsp; option plan&nbsp;  </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">2,250</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">23</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">23</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR><TD WIDTH="26%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P>Amortization for MRP </FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">185</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">185</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Allocations of contribution to ESOP</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">93</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="7%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="9%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">68       </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">161</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="26%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Balance at September 30, 2001</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">5,656,006</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 77</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 51,634</FONT></TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 75,895</FONT></TD>
<TD WIDTH="7%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ (25,992</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="9%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ ( 3,513</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,341</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 99,442</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=2><P>The accompanying notes are an integral part of these financial statements.</P>
<P align="center">3</P>
<P>&lt;PAGE&gt; </P>
<P>&nbsp;</P>
<P ALIGN="CENTER"></P>
</FONT><B><P ALIGN="CENTER"> PROVIDENT FINANCIAL HOLDINGS, INC.<br>
Consolidated Statements of Cash Flows<br>
</B><FONT SIZE=2>
(Unaudited)<br>
In Thousands</P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=602 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2>
<B><P></B></FONT></TD>
<TD WIDTH="32%" VALIGN="TOP" COLSPAN=5 ROWSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Three Months Ended<br>
September 30,</B></FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P></FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Cash flows from operating activities:</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=14>
<FONT SIZE=2><P>Net income  </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=14>
<FONT SIZE=2><P ALIGN="RIGHT">$      3,694</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=14><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=14><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=14>
<FONT SIZE=2><P ALIGN="RIGHT">$     2,198</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=14><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>Adjustments to reconcile net income to net<br>
&nbsp;&nbsp;
cash (used for) provided by  operating activities:</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Depreciation and amortization </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,052</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">890</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Provision for loan losses</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">200</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">120</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Provision for real estate losses</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">20</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Gain on sale of loans</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(4,110</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(2,260</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P>&nbsp;&nbsp; Gain on sale on investment securities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P ALIGN="RIGHT">(266</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=17><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=17><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P>&nbsp;&nbsp; Increase in accounts payable and other liabilities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P ALIGN="RIGHT">3,862</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=17><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=17><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=17>
<FONT SIZE=2><P ALIGN="RIGHT">441</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=17><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>&nbsp;&nbsp; (Increase) decrease in prepaid expense and other
assets</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(3,080</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">529</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>Loans originated for sale</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">(255,951</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">(269,055</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>Proceeds from sale of loans </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">240,742</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">339,195</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Stock based compensation </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">436</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">346</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash (used for)
provided by operating activities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(13,421</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">72,424</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=12><P></P></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=12><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=12><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=12><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=12><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>Cash flows from investing activities:</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Net (increase) decrease in loans held for investment</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(34,176</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">54,291</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Maturity and call of investment securities held to maturity </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">70,904</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">67,938</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Maturity and call of investment securities available for
sale </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">16,500</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">32,238</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Principal payments from mortgage backed securities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">7,663</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">224</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Purchase of investment securities held to maturity</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(82,337</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(83,625</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Purchase of investment securities available for sale</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(54,859</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(66,126</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">

<FONT SIZE=2><P>     &nbsp;&nbsp; Proceeds from sales of investment securities
  available for sale</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">10,237</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">

<FONT SIZE=2><P>     &nbsp;&nbsp;     (Purchase) sales of Federal Home Loan Bank stock</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(123</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">639</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Net sales of other real estate owned</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">288</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">638</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Purchases of premises and equipment</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(299</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(1,378</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash (used for) provided by investing activities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(66,202</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,839</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>Cash flows from financing activities:</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Net increase (decrease) in deposits </FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">30,912</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(22,741</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Repayment of Federal Home Loan Bank advances</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(1,346,407</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(10,004</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Proceeds of Federal Home Loan Bank advances</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,406,400</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,696</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>     &nbsp;&nbsp; Exercise of stock options</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">23</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>     &nbsp;&nbsp; Cash dividends</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">(273</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Treasury stock purchases</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(6,046</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(999</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash provided by (used
for) financing activities</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">84,586</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(32,025</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Net increase in cash and cash equivalents</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,963</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">45,238</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Cash and cash equivalents at beginning of period</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">27,700</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">26,839</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Cash and cash equivalents at end of period</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$     32,663</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$    72,077</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>Supplemental information:</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Cash paid for interest</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$     7,885</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$    11,594</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="68%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Cash paid for income taxes</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">860</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">2,000</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="68%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Real estate acquired in settlement of loans</FONT></TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">649</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">119</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=2>
<P>The accompanying notes are an integral part of these financial statements.</P>

<P align="center">4</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="CENTER">&nbsp;</P>
</FONT><B><P ALIGN="CENTER">PROVIDENT FINANCIAL HOLDINGS, INC.<br>
<FONT SIZE=2>SELECTED NOTES TO UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS<br>
September 30, 2002</P>

<P>Note 1: Basis of Presentation</P>
</FONT>
</B>
<FONT SIZE=2>
<P ALIGN="JUSTIFY">The unaudited interim consolidated financial statements included herein reflect all adjustments which are, in the opinion of management, necessary to present a fair statement of the results of operations for the interim periods presented.  All such adjustments are of a normal, recurring nature.  The balance sheet data at June 30, 2002 is derived from the audited consolidated financial statements of Provident Financial Holdings, Inc. (the "Corporation").  Certain information and note disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been omitted pursuant to the rules and regulations of the Securities and Exchange Commission.  It is suggested that these unaudited interim consolidated financial statements be read in conjunction with the audited consolidated financial statements and notes thereto included in the Annual Report on Form 10-K for the year ended June 30, 2002 (SEC File No. 
000-28304) of the Corporation.   Certain amounts in the prior periods' financial statements have been reclassified to conform to the current period's presentation.  The results of operations for the interim periods are not indicative of results for the full year.</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">Note 2: Earnings Per Share</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Basic earnings per share ("EPS") excludes dilution and is computed by dividing income available to common stockholders by the weighted average number of shares outstanding for the period.  Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that would then share in the earnings of the entity.  The following tables provide the basic and diluted EPS computations for the quarter ended September 30, 2002 and 2001, respectively.</P>

<P>&nbsp;</P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=577 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="30%" VALIGN="TOP" COLSPAN=3 ROWSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">For the Quarter Ended<br>
September 30,</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Numerator:</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" ROWSPAN=3 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>&nbsp;&nbsp; Net income  numerator for basic earnings<br>
&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; per share and diluted earnings per share-<br>
&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; income available to common stockholders</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=3 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=3 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR><TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR>
  <TD WIDTH="14%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 3,694,324</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 2,198,341</FONT></TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">
<FONT SIZE=2><P>Denominator:</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15>
<FONT SIZE=2><P>     &nbsp;&nbsp;     Denominator for basic earnings per share:<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Weighted-average shares</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="14%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">4,968,484</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">5,176,612</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Effect of dilutive securities:</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">
<FONT SIZE=2><P>         &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock option dilution</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">323,343</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">168,638</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>         &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock award dilution</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">50,762</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">116,606</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Denominator for diluted earnings per share:</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Adjusted weighted-average shares<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; and assumed conversions</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">5,342,589</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT"></P>
<P ALIGN="RIGHT">5,461,856</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="bottom">
<FONT SIZE=2><P>Basic earnings per share</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;        0.74       </FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;        0.42</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Diluted earnings per share</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;        0.69</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="14%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;        0.39</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
</TABLE>

<FONT SIZE=2>
<P align="center">5</P>
<P>&lt;PAGE&gt;</P>
<P>&nbsp;</P>
<B><P>Note 3: Operating Segment Reports</P>
</B>
<P ALIGN="JUSTIFY">The Corporation operates in two business segments: community banking (Provident Bank) and mortgage banking (Provident Bank Mortgage, a division of Provident Bank).  The following tables set forth condensed income statements and total assets for the Corporation's operating segments for the quarter ended September 30, 2002 and 2001, respectively.</P>
</FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=573 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="57%" VALIGN="bottom" COLSPAN=8 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">For the Quarter Ended September 30, 2002</B></FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom" HEIGHT=4><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=4 HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=3 HEIGHT=4 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Provident</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=4>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Provident</B></FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=3>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Bank</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Consolidated</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=4 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Bank</B></FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=3 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Mortgage</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Totals</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>Net interest income</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6,260</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;    611</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6,871</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>Non-interest income:</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loan servicing and other fees</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">(608</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">1,097</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">489</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Gain on sale of loans, net</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">17</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">4,093</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">4,110</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp; Real estate operations, net</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">193</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">15</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">208</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Deposit account fees </FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">443</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">443</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp; Gain on sale of investment securities</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">266</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">266</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Other</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">545</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">545</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Total non-interest income</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">856</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">5,205</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,061</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>Non-interest expense:</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp; Salaries and employee benefits</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">2,855</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">1,422</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">4,277</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp; Premises and occupancy</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">480</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">137</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">617</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Operating and administrative expenses</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,136</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">665</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,801</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total
non-interest expense</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,471</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">2,224</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,695</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Income before taxes</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 2,645</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 3,592</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="17%" VALIGN="bottom" HEIGHT=14 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6,237</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Total assets, end of period</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,018,750</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=3 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$  79,507&nbsp;&nbsp; </FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,098,257</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2>
<P>&nbsp;</P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=572 style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="57%" VALIGN="bottom" COLSPAN=6 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">For the Quarter Ended September 30, 2001</B></FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=3 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Provident</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=3>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Provident</B></FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Bank</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Consolidated</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=3 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Bank</B></FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Mortgage</B></FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Totals</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=3 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>Net interest income</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6,128</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp; 580</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 6,708</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom" HEIGHT=10>
<FONT SIZE=2><P>Non-interest income:</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 HEIGHT=10><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=10><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=10><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=10><P></P></TD>
<TD WIDTH="17%" VALIGN="bottom" HEIGHT=10><P></P></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loan servicing and other fees </FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">141</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">416</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">557</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Gain on sale of loans, net</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">38</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">2,222</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">2,260</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Real estate operations, net</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">171</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">(12</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">159</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Deposit account fees </FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">369</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">369</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Other</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">337</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">337</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total
non-interest income</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,056</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">2,626</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">3,682</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>Non-interest expense:</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Salaries and employee benefits</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">3,119</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">979</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">4,098</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp; Premises and occupancy</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2>
<FONT SIZE=2><P ALIGN="RIGHT">440</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">123</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">563</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Operating and administrative expenses</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,319</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">639</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,958</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Total non-interest expense</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">4,878</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,741</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6,619</FONT></TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Income before taxes</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" COLSPAN=2 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 2,306</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp; 1,465</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 3,771</FONT></TD>
</TR>
<TR><TD WIDTH="43%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="43%" VALIGN="bottom" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Total assets, end of period</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,011,208</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="19%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 78,023</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,089,231</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2>
<P align="center">6</P>
<P>&lt;PAGE&gt;</P>
<P>&nbsp;</P>
<B>
<P>Note 4: Recent Accounting Pronouncements</P>
</B>
<U><P align="justify">SFAS No. 141:<br>
</U>SFAS No. 141, "Business Combinations," requires that the purchase method of accounting be used for all business combinations initiated after June 30, 2001; the use of the pooling-of-interest method is no longer allowed.  The adoption of this statement had no material impact on the Corporation's financial position, results of operations or cash flows.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SFAS No. 142:<br>
</U>SFAS No. 142, "Goodwill and Other Intangible Assets," requires that amortization of goodwill ceases and as an alternative, the carrying value of goodwill be evaluated for impairment on at least an annual basis.   Intangible assets will continue to be amortized over their useful lives and reviewed for impairment in accordance with SFAS No. 121, "Accounting for the Impairment of Long-Lived Assets and for Long-Lived Assets to Be Disposed Of."  SFAS No. 142 is effective for fiscal years beginning after December 15, 2001.  The adoption of this statement did not have a material impact on the Corporation's financial position, results of operations or cash flows.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SFAS No. 144:<br>
</U>SFAS No. 144, "Accounting for the Impairment or Disposal of Long-Lived Assets," replaces SFAS No. 121.  SFAS No. 144 requires that long-lived assets be measured at the lower of the carrying amount or fair value less cost to sell, whether reported in continuing operations or in discontinued operations.  It also expands the reporting of discontinued operations to include all components of an entity with operations that can be distinguished from the rest of the entity and that will be eliminated from the ongoing operations of the entity in a disposal transaction.  SFAS No. 144 is effective for financial statements issued for fiscal years beginning after December 15, 2001.  The adoption of this statement
did not have a material impact on the Corporation's financial position, results of operations or cash flows.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SFAS No. 146:<br>
</U>SFAS No. 146, "Accounting for Costs Associated with Exit or Disposal Activities," addresses financial accounting and reporting for costs associated with exit or disposal activities and supersedes Emerging Issues Task Force ("EITF") Issue 94-3, "Liability Recognition for Certain Employee Termination Benefits and Other Costs to Exit an Activity (including Certain Costs Incurred in a Restructuring)."  SFAS No. 146 requires that a liability for a cost associated with an exit or disposal activity be recognized when the liability is incurred.  Under EITF<B> </B>94-3, a liability for an exit cost as defined in EITF 94-3 was recognized at the date of an entities' commitment to an exit plan.  SFAS
No. 146 also establishes that the liability should initially be measured and
recorded at fair value.&nbsp; The provisions of this statement shall be
effective for exit or disposal activities initiated after December 31, 2002.&nbsp;
The adoption of this statement is not expected to have a material impact on the
Corporation's financial position, results of operations or cash flows.</P>
<P ALIGN="JUSTIFY"></P>
<U><P ALIGN="JUSTIFY">SFAS No. 147:<br>
</U>In October 2002, the FASB issued SFAS No. 147,<I> </I>"Acquisitions of Certain Financial Institutions," which provides guidance on the accounting for the acquisition of a financial institution.&nbsp; This statement requires that the excess of the fair value of liabilities assumed over the fair value of tangible and identifiable intangible assets acquired in a business combination represents goodwill that should be accounted for under SFAS No. 142,<I> </I>"Goodwill and Other Intangible Assets."&nbsp; Thus, the specialized accounting guidance in paragraph 5 of SFAS No. 72,<I> </I>"Accounting for Certain Acquisitions of Banking or Thrift Institutions," will not apply after September 30, 2002.&nbsp; If certain criteria in SFAS No. 147 are met, the amount of the unidentifiable intangible asset will be reclassified to goodwill upon adoption of the statement.&nbsp; Financial institutions meeting conditions outlined in SFAS No. 147 will be required to restate previously issued financial statements.&nbsp; Additio
nally, the scope of SFAS No. 144, "Accounting for the Impairment or Disposal of Long-Lived Assets," is amended to include long-term customer-relationship intangible assets such as depositor- and borrower-relationship intangible assets and credit cardholder intangible assets.&nbsp; This statement is effective for the Bank beginning October 1, 2002.&nbsp; The Corporation has adopted the new standard as of October 1, 2002 and the adoption of this standard did not have a material impact on the Company's financial position or results of operation.</P>

<P align="center">7</P>

<P>&lt;PAGE&gt;</P>

<P>&nbsp;</P>

<P ALIGN="JUSTIFY"></P>
<B><P align="justify">Note 5: Subsequent Event<br>
</B>Provident Financial Holdings, Inc. announced on October 28, 2002 that the Corporation's Board of Directors declared a quarterly cash dividend of $0.05 per share on the Corporation's outstanding shares of common stock.   Shareholders of record at the close of business on November 15, 2002 will be entitled to receive the cash dividend.  The cash dividend will be payable on December 6, 2002.</P>
<P ALIGN="JUSTIFY"></P>
<B><P>ITEM 2  Management's Discussion and Analysis of Financial Condition and Results of Operations</P>
</B>
<B><P align="justify">General<br>
</B>Provident Financial Holdings, Inc. (the "Corporation"), a Delaware corporation, was organized in January 1996 for the purpose of becoming the holding company for Provident Savings Bank, F.S.B. (the "Bank") upon the Bank's conversion from a federal mutual to a federal stock savings bank ("Conversion").  The Conversion was completed on June 27, 1996.  At September 30, 2002, the Corporation had total assets of $1.1 billion, total deposits of $708.4 million and total stockholders' equity of $101.1 million.  The Corporation has not engaged in any significant activity other than holding the stock of the Bank.  Accordingly, the information set forth in this report, including financial statements and related data, relates primarily to the Bank and its subsidiaries.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank, founded in 1956, is federally chartered and headquartered in Riverside, California.  The Bank is regulated by the Office of Thrift Supervision ("OTS"), its primary federal regulator, and the Federal Deposit Insurance Corporation ("FDIC"), the insurer of its deposits.  The Bank's deposits are federally insured up to applicable limits by the FDIC (under the Savings Association Insurance Fund ("SAIF")).  The Bank has been a member of the Federal Home Loan Bank ("FHLB") System since 1956.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank's business consists of community banking activities and mortgage banking activities.  Community banking activities primarily consist of accepting deposits from customers within the communities surrounding the Bank's full service offices and investing these funds in single-family loans, multi-family loans, commercial real estate loans, construction loans, commercial business loans, consumer loans and other real estate loans.  In addition, the Bank also offers business checking accounts, other business banking services and services loans for others.  Mortgage banking activities consist of the origination and sale of mortgage and consumer loans secured primarily by single-family residences.  The Bank's revenues are derived principally from interest on its loan and investment portfolios and fees generated through its community banking and mortgage banking activities.  There are various risks inherent in the Bank's business.  The Bank's business is subject to, among other risks, intere
st rate changes and the prepayment of loans and investments.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Corporation, from time to time, may repurchase its common stock as a way to enhance the Corporation's earnings per share.  The Corporation considers the repurchase of its common stock if the market value of the stock is lower than its book value and/or the Corporation believes that the current stock price is under valued as compared to its current and future income projections.  Consideration is also given to the Corporation's liquidity and capital requirements and its future capital needs based on the Corporation's current business plans.  The Corporation's Board of Directors authorizes each stock repurchase program, the duration of which is normally one year.  Once the stock repurchase program is authorized, Management may repurchase the Corporation's common stock from time to time in the open market, depending upon market conditions and the factors described above.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">In July 2002, the Board of Directors of the Corporation approved a quarterly cash dividend policy, with the first quarterly cash dividend of $0.05 per share distributed on August 30, 2002 to shareholders of record on August 7, 2002.  Future declarations or payments of dividends will be subject to determination by the Corporation's Board of Directors, which will take into account the Corporation's financial condition, results of operations, tax considerations, capital requirements, industry standards, economic conditions and other factors, including the regulatory restrictions which affect the payment of dividends by the Bank to the Corporation.   Under Delaware law, dividends may be paid either out of surplus or, if there is no surplus, out of net profits for the fiscal year in which the dividend is declared and/or the preceding fiscal year.</P>

<P align="center">8</P>

<P>&lt;PAGE&gt;</P>

<P>&nbsp;</P>

<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Management's discussion and analysis of financial condition and results of operations is intended to assist in understanding the financial condition and results of operations of the Corporation.  The information contained in this section should be read in conjunction with the Unaudited Interim Consolidated Financial Statements and accompanying Selected Notes to Unaudited Interim Consolidated Financial Statements.</P>
<B><P ALIGN="JUSTIFY">Critical Accounting Policies</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The discussion and analysis of the Corporation's financial condition and results of operations are based upon our consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the United States of America.  The preparation of these financial statements requires management to make estimates and judgments that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent assets and liabilities at the date of the financial statements.  Actual results may differ from these estimates under different assumptions or conditions.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Accounting for the allowance for loan losses involves significant judgments and assumptions by management, which have a material impact on the carrying value of net loans.  Management considers this accounting policy to be a critical accounting policy. The allowance is based on two principles of accounting:&nbsp; (i) Statement of Financial Accounting Standards, or SFAS, No. 5, "<I>Accounting for Contingencies,</I>" which requires that losses be accrued when they are probable of occurring and estimable; and (ii) SFAS No. 114, "<I>Accounting by Creditors for Impairment of a Loan</I>" and SFAS No. 118, "<I>Accounting by Creditors for Impairment of a Loan-Income Recognition and Disclosures</I>," which requires that losses be accrued based on the differences between the value of collateral, present value of future cash flows or values that are observable in the secondary market and the loan balance.  The allowance has three components: (i) a formula allowance for groups of homogenous loans (ii)
  a
specific allowance for identified problem loans and (iii) an unallocated allowance. Each of these components is based upon estimates that can change over time.  The formula allowance is based primarily on historical experience and as a result can differ from actual losses incurred in the future.  This history is reviewed at least quarterly and adjustments are made as needed.  Various techniques are used to arrive at specific loss estimates.  Historical loss information, discounted cash flows and fair market value of collateral.  The use of these values is inherently subjective and the actual losses could be greater or less than the estimates.  Also see "Provision for Loan Losses." </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">SFAS No.133 requires that off-balance sheet derivatives of the Corporation are recorded in the Consolidated Financial Statements at fair value.  The Bank's derivatives are primarily the result of its mortgage banking activities in the form of commitments to extend credit, commitments to sell loans and option contracts to hedge the risk of the commitments.  Estimates of the percentage of commitments to extend credit on loans to be held for sale that will not fund are based upon historical data and current market trends.  The fair value adjustments of the derivatives are recorded in the Consolidated Statements of Operations with offsets to other assets or other liabilities in the Consolidated Statements of Financial Condition.</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">Comparison of Financial Condition at September 30, 2002 and June 30, 2002</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">Total assets as of September 30, 2002 increased $93.0 million to $1.10 billion from $1.01 billion at June 30, 2002.  This increase was primarily a result of increases in loans held for investment, loans held for sale, receivable from sale of loans and investment securities.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Total loans held for investment increased $33.4 million, or 6
percent, to $627.0 million at September 30, 2002 from $593.6 million at June 30,
2002. Despite a large number of loan repayments during the first quarter of
fiscal 2003 ($94.6 million, or 15 percent of the average loans held for
investment), the Bank was able to add $129.3 million of loans held for
investment, of which $46.8 million were &quot;preferred&quot; loans (multi-family,
commercial real estate, construction and commercial business loans). The
increase in the preferred loans reflects the Corporation's strategies stated in
the Form 10-K for the year ended June 30, 2002. Of the total new loans held for
investment, $12.1 million were purchased loans, all of which were </P>

<P align="center">9</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">preferred loans. Total purchased loans serviced by others at
September 30, 2002 were $36.5 million or 6 percent of the loans held for
investment, compared to $33.7 million or 6 percent of the loans held for
investment at June 30, 2002.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Total loans held for sale increased $8.5 million to $10.2 million at September 30, 2002 from $1.7 million at June 30, 2002.  This increase was primarily a result of the timing between the loan funding dates versus the loan sale dates.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Total receivable from the sale of loans increased $10.9 million to $78.1 million at September 30, 2002 from $67.2 million at June 30, 2002.  The increase in the receivable was primarily a result of the timing between the loan sale dates versus settlement dates.</P>
<P ALIGN="JUSTIFY"> </P>
<P ALIGN="JUSTIFY">Total investment securities increased $31.9 million, or 12 percent, to $303.8 million at September 30, 2002 from $271.9 million at June 30, 2002.  For the first three months of fiscal 2003, $87.4 million of investment securities were called by the issuers and $10.0 million of investment securities were sold for a gain, while $134.9 million of investment securities were purchased.  The high volume of called securities was the result of the significant decline in interest rates during the period and the result of intended purchases of callable short-term investments which have coupon rates higher than market rates ("cushion bonds").  The types of securities called were government agency callable bonds and were primarily issued by the FHLB, the Federal National Mortgage Association ("FNMA") or the Federal Home Loan Mortgage Corporation ("FHLMC").</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Total deposits increased $31.0 million, or 5 percent, to $708.4 million at September 30, 2002 from $677.4 million at June 30, 2002.  This increase was primarily attributable to an increase of $12.8 million in transaction deposits and an increase of $18.1 million in certificates of deposit.  The Corporation continued its focus on building client relationships through checking accounts and fee generating products and services.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Borrowings, which consist entirely of FHLB advances, increased $60.0 million, or 30 percent, to $262.5 million at September 30, 2002 from $202.5 million at June 30, 2002.  The average maturity of the Corporation's existing FHLB advances was approximately 44 months (26 months, based on put dates) at September 30, 2002 as compared to the average maturity of 46 months (27 months, based on put dates) at June 30, 2002.  </P>
<P ALIGN="JUSTIFY"> </P>
<P ALIGN="JUSTIFY">Total stockholders' equity decreased $1.9 million, or 2 percent, to $101.1 million at September 30, 2002, from $103.0 million at June 30, 2002 due primarily to the stock repurchases and the impact of stock based compensation accruals, partly offset by the net income during the first three months of fiscal 2003.  A total of 254,700 shares, with an average price of $23.74 per share, were repurchased during the first three months of fiscal 2003.  As a result of these stock repurchases, the March 2002 Stock Repurchase Plan was completed earlier than anticipated and a total of 277,200 shares were purchased at an average cost of $22.81 per share.  Subsequent to the Stock Repurchase Plan announced on September 17, 2002, a total of 75,000 shares have been repurchased at an average cost of $25.00 per share.  During the first three months of fiscal 2003, the Corporation awarded 12,558 shares of common stock to outside directors and certain officers pursuant to the Management Recognition Plan ("MRP")
.  </P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Comparison of Operating Results for the Quarter Ended September 30, 2002 and 2001</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">The Corporation's net income for the quarter ended September 30, 2002 was $3.7 million, an increase of $1.5 million, or 68 percent, from $2.2 million during the same quarter of fiscal 2002.  This increase was primarily attributable to an increase in the gain on sale of loans.</P>
<P ALIGN="JUSTIFY"> </P>
<P ALIGN="JUSTIFY">The Corporation's net interest income before loan loss
provision increased by $243,000, or 4 percent to $7.1 million for the quarter
ended September 30, 2002 from $6.8 million during the comparable period of
fiscal 2002. This increase was the result of a higher net interest margin, which
was partly offset by a decrease in the average earning assets. The net interest
margin improved to 2.94 percent in the first quarter of fiscal 2003 from 2.60
percent during the same period of fiscal 2002. The increase in the net interest </P>

<P align="center">10</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">margin during the first three months of fiscal 2003 was
primarily a result of the decline in the average cost of funds, which outpaced
the decline in the average yield of the earning assets.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Corporation's efficiency ratio improved to 51 percent in the first quarter of fiscal 2003 from 63 percent in the same period of fiscal 2002.  Return on average assets for the quarter ended September 30, 2002 increased to 1.46 percent from 0.79 percent in the same period last year.  Return on average equity for the quarter ended September 30, 2002 increased to 14.25 percent from 8.93 percent in the same period last year.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Diluted earnings per share for the quarter ended September 30, 2002 were $0.69, an increase of 77 percent from $0.39 for the quarter ended September 30, 2001.  The increase in the diluted earnings per share was the result of the higher net income recorded during the three months ended September 30, 2002 and the shares purchased while executing the Corporation's stock repurchase program during the last 12 months.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"> </P>
<B><P ALIGN="JUSTIFY">Interest Income.  </B>Total interest income decreased by $4.0 million, or 22 percent, to $14.6 million for the quarter of fiscal 2003 from $18.6 million during the same quarter of fiscal 2002.  This decrease was primarily the result of a lower average loan balance and a lower average loan yield.  The average earning assets during the first quarter of fiscal 2003 were $962.1 million, a decrease of  $89.8 million or 9 percent, from $1.05 billion during the same period of fiscal 2002.  The average yield on earning assets during the first quarter of fiscal 2003 was 6.07 percent, 100 basis points lower than the average yield of 7.07 percent during the same period of fiscal 2002.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Loan interest income decreased $2.9 million, or 20 percent, to $11.7 million in the quarter ended September 30, 2002 as compared to $14.6 million for the same quarter of fiscal 2002.  This decrease was attributable to a lower average loan balance and a lower average loan yield.  The average balance of loans outstanding, including the receivable from sale of loans and the loans held for sale decreased $93.6 million, or 12 percent, to $672.7 million during the first quarter of fiscal 2003 from $766.3 million during the same quarter of fiscal 2002.  The average loan yield during the first quarter of fiscal 2003 was 6.98 percent as compared to 7.60 percent during the same quarter last year.  The decline of the average loan balance and the average loan yield were primarily attributable to loan prepayments and loans repriced to lower interest rates resulting from the significant decline in mortgage interest rates, in addition to new mortgage loans with lower interest rates.</P>
<P ALIGN="JUSTIFY"> </P>
<P ALIGN="JUSTIFY">Interest income from investment securities decreased $692,000, or 21 percent, to $2.7 million during the quarter ended September 30, 2002 from $3.4 million during the same quarter of fiscal 2002.  This decrease was primarily due to a decrease in the average yield, which was partly offset by an increase in the average balance.  The yield on the investment securities portfolio decreased 235 basis points from 6.24 percent during the quarter ended September 30, 2001 to 3.89 percent during the quarter ended September 30, 2002.  The average balance of investment securities increased $59.2 million, or 27 percent, to $275.4 million in the first quarter of fiscal 2003 from $216.2 million in the same quarter of fiscal 2002.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">FHLB stock dividends decreased by $9,000, or 4 percent, to $192,000 in the first quarter of fiscal 2003 from $201,000 in the same period of fiscal 2002.  This decrease was attributable to a lower average balance, which was partly offset by a higher average yield.  The average balance of FHLB stock declined $3.6 million to $12.4 million during the first quarter of fiscal 2003 from $16.0 million during the same period of fiscal 2002.  The average yield on FHLB stock increased 117 basis points to 6.18 percent during the first quarter of fiscal 2003 from 5.01 percent during the same period last year.  The increase in the average yield in the first quarter of fiscal 2003 was primarily the result of an additional $58,000 in dividend income received in August 2002.  Excluding the dividend income adjustment, the yield in the first quarter of fiscal 2003 would have been 4.31 percent, a decrease of 70 basis points from the same period last year.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Interest income from interest-earning deposits decreased
$452,000 to $6,000 in the first quarter of fiscal 2003 from $458,000 in the same
period of fiscal 2002. This decrease was attributable to a lower average balance
and a lower average yield. The average balance of interest-earning deposits
decreased to $1.5 million during the first quarter of fiscal 2003 from $53.3
million during the same period of fiscal 2002. The decrease in the average
balance was primarily attributable to a decrease of federal funds investments,
resulting from the investment of excess funds in short-term investment
securities. The average yield on the </P>

<P align="center">11</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">interest-bearing deposits decreased 187 basis points to 1.57
percent during the first quarter of fiscal 2003 from 3.44 percent during the
same period last year. The decline in the average yield was mainly due to the
decline in the federal funds rate during the first quarter of fiscal 2003 as
compared to the same period of fiscal 2002.</P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Interest Expense.  </B>Total interest expense for the quarter ended September 30, 2002 was $7.5 million as compared to $11.8 million for the same period of fiscal 2002, a decrease of $4.3 million, or 36 percent.  This decrease was primarily attributable to a decrease in the average balance and the average cost.  The average cost of liabilities was 3.38 percent during the quarter ended September 30, 2002, down 138 basis points compared to 4.76 percent during the same period of fiscal 2002.  The average balance of interest-bearing liabilities declined $94.5 million, or 10 percent, to $884.7 million during the first quarter of fiscal 2003 from $979.2
million during the same period last year.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Interest expense on deposits for the quarter ended September 30, 2002 was $4.5 million as compared to $7.6 million for the same period of fiscal 2002, a decrease of $3.1 million, or 41 percent.  Average deposits decreased $35.5 million, or 5 percent, to $685.1 million during the quarter ended September 30, 2002 from $720.6 million during the same period of fiscal 2002.  The average cost of deposits decreased to 2.62 percent during the quarter ended September 30, 2002 from 4.18 percent during the same quarter of fiscal 2002, a decline of 156 basis points.  The decline in the average cost was attributable to the general decline in interest rates and also to the change in the composition of the deposits.  The average balance of transaction deposits increased to 51 percent of total deposits in the first quarter of fiscal 2003, compared to 40 percent of the total deposits in the same period last year.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Interest expense on borrowings for the quarter ended September 30, 2002 was $3.0 million as compared to $4.2 million for the same period of fiscal 2002, a decrease of $1.2 million, or 29 percent.  The average balance of borrowings was $199.6 million during the quarter ended September 30, 2002 as compared to $258.7 million for the same quarter of fiscal 2002, a decrease of $59.1 million, or 23 percent.  The average cost of borrowings decreased to 6.00 percent for the quarter ended September 30, 2002 from 6.38 percent in the same quarter of fiscal 2002, a decline of 38 basis points.  The Bank prepaid $20.0 million of FHLB advances requiring a $298,000 interest penalty during the first quarter of fiscal 2003 and $10.0 million of FHLB advances requiring a $55,000 interest penalty during the same period last year.  Excluding the prepayments, the average cost of borrowings would have been 5.46 percent in the first quarter of fiscal 2003 and 6.30 percent in the same period last year.</P>

<P align="center">12</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<P>The following table depicts the average balance sheets for the quarter ended September 30, 2002 and 2001, respectively:</P>

<B><P>Average Balance Sheets<br>
</B>(Dollars in thousands)<B></P>
</FONT><FONT SIZE=1><P ALIGN="CENTER"></P></B></FONT>
<P ALIGN="CENTER"><CENTER>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="32%" VALIGN="bottom" COLSPAN=5>
<FONT SIZE=1>
<B><P ALIGN="CENTER">Quarter Ended</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="35%" VALIGN="bottom" COLSPAN=5>
<FONT SIZE=1>
<B><P ALIGN="CENTER">Quarter Ended</B></FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="32%" VALIGN="bottom" COLSPAN=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">September 30, 2002</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="35%" VALIGN="bottom" COLSPAN=5 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">September 30, 2001</B></FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Average</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Yield/</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Average</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Yield/</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Balance</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Interest</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Cost</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Balance</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Interest</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1>
<B><P ALIGN="CENTER">Cost</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=1><P>Interest-earning assets:</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Loans receivable, net (1)</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">$    672,666</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">$ 11,734</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.98%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">$    766,296</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">$ 14,553</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">7.60%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Investment securities</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">275,430</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2,679</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3.89%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">216,232</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3,371</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.24%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>FHLB stock (2) </FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">12,425</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">192</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.18%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">16,034</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">201</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">5.01%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Interest-earning deposits</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">1,532</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">6</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">1.57%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">53,326</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">458</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3.44%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Total interest-earning assets</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">962,053</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">14,611</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.07%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">1,051,888</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">18,583</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">7.07%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Non-interest-earning assets</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">47,806</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">56,364</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=9 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Total assets</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,009,859</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,108,252</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=14 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Interest-bearing liabilities:</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Checking and money market deposits </FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">179,885</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">436</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">0.96%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">164,512</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">799</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">1.93%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Savings deposits</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">172,202</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">931</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.14%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">121,284</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">873</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.86%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Time deposits</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">333,005</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">3,156</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3.76%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">434,784</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">5,926</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">5.41%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Total deposits</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">685,092</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">4,523</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.62%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">720,580</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">7,598</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">4.18%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Borrowings (3) </FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">199,646</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">3,017</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.00%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">258,655</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">4,157</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">6.38%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Total interest-bearing liabilities</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">884,738</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">7,540</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">3.38%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">979,235</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">11,755</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">4.76%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P>Non-interest-bearing liabilities</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">21,450</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=1><P ALIGN="RIGHT">30,588</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Total liabilities</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">906,188</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">1,009,823</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: none; border-bottom-width: medium">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">
<FONT SIZE=1><P>Stockholders' equity</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">
<FONT SIZE=1>
  <P ALIGN="RIGHT">103,671</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">
<FONT SIZE=1><P ALIGN="RIGHT">98,429</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1; border-left-style:none; border-left-width:medium; border-right-style:none; border-right-width:medium; border-top-style:none; border-top-width:medium">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Total liabilities and stockholders'<br>
&nbsp;
equity</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=11><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=11><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" ROWSPAN=2 HEIGHT=11 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="12%" VALIGN="bottom" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,009,859</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$ 1,108,252</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Net interest income</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$   7,071</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">$   6,828</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Interest rate spread (4)</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.69%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.30%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Net interest margin (5)</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.94%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">2.60%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12>
<FONT SIZE=1><P>Ratio of average interest-earning<br>
&nbsp;
assets to average interest-bearing<br>
&nbsp;
liabilities</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="10%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=3 HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR><TD WIDTH="8%" VALIGN="bottom" HEIGHT=12><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12><P></P></TD>
</TR>
<TR><TD WIDTH="8%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">108.74%</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=12>
<FONT SIZE=1><P ALIGN="RIGHT">107.42%</FONT></TD>
</TR>
<TR><TD WIDTH="32%" VALIGN="bottom">
<FONT SIZE=1><P>Return on average assets</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">1.46%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom">
<FONT SIZE=1><P ALIGN="RIGHT">0.79%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P>Return of average equity</FONT></TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">14.25%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=1><P ALIGN="RIGHT">8.93%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="32%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="8%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR></table>
<table width=100%>
<TR>
<td width=5% valign=top align="left"><font size="1">(1)</font></td>
<td width=95% valign=top align=justify><FONT SIZE=1>Includes loans held for sale, net, and receivable from sale of loans.</FONT></TD>
</TR>
<TR>
<td width=5% valign=top align="left"><font size="1">(2)</font></td>
<td width=95% valign=top align=justify>
<FONT SIZE=1>The increase in the average yield in the first quarter of fiscal 2003 was primarily the result of an additional $58,000 in dividend income received in August 2002. Excluding the income adjustment, the yield would have been 4.31 percent.</FONT></TD>
</TR>
<TR>
<td width=5% valign=top align="left"><font size="1">(3)</font></td>
<td width=5% valign=top align=justify><FONT SIZE=1>Includes the FHLB interest penalties of $298 in the first quarter of fiscal 2003 and $55 in the first quarter of fiscal 2002; excluding the prepayments, the cost of borrowings would have been 5.46 percent and 6.30 percent, respectively.</FONT></TD>
</TR>
<TR>
<td width=5% valign=top align="left"><font size="1">(4)</font></td>
<td width=95% valign=top align=justify><FONT SIZE=1>Represents the difference between weighted average yield on all interest-earning assets and weighted average rate on all interest-bearing liabilities.        </FONT></TD>
</TR>
<TR>
<td width=5% valign=top align="left"><font size="1">(5)</font></td>
<td width=95% valign=top align=justify><FONT SIZE=1>Represents net interest income before provision for loan losses as a percentage of average interest-earning assets.</OL>
</FONT></TD>
</TR>
</TABLE>
</CENTER></P>

<FONT SIZE=2>

<P align="center">13</P>

<P>&lt;PAGE&gt;</P>

<P> &nbsp;</P>
<P> The following table provides the rate/volume variances for the quarters ended September 30, 2002 and 2001, respectively:</P>
<B><P ALIGN="CENTER"></P>
<P>Rate/Volume Variance<br>
</B>(Dollars in thousands)<B> </P>
</B></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="56%" VALIGN="TOP" COLSPAN=11>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Quarter Ended September 30, 2002 Compared</B></FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="56%" VALIGN="TOP" COLSPAN=11>
<FONT SIZE=2>
<B><P ALIGN="CENTER">to Quarter Ended September 30, 2001</B></FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="56%" VALIGN="TOP" COLSPAN=11 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Increase (Decrease) Due to</B></FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="TOP" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="CENTER">Rate/</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" COLSPAN=2 style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">Rate</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">Volume</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">Volume</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" COLSPAN=2 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">Net</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Interest income:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Loans receivable (1)</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$ (1,185</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$ (1,779</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$  145 </FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$ (2,819</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Investment securities</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(1,267</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">923</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(348</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(692</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     FHLB stock </FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">47</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(45</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(11</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(9</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Interest-bearing deposits</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(249</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(445</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">242</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(452</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Total net change in income<br>
&nbsp; on interest-earning assets</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="11%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(2,654</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(1,346</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">28</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(3,972</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P> </FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>Interest-bearing liabilities:</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Savings accounts</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(400</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">75</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(38</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(363</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Demand and NOW accounts</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(217</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">367</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(92</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">58</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="44%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Certificates of deposit</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(1,805</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(1,388</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">423</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(2,770</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     FHLB advances</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(248</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="10%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(949</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">57</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(1,140</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Total net change in expense on<br>
&nbsp;&nbsp; interest-bearing liabilities</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(2,670</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(1,895</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">350</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(4,215</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Net change in net interest<br>
&nbsp;&nbsp; (loss) income</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" ROWSPAN=2 HEIGHT=15 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 16</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="10%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp; 549           </FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ (322</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;&nbsp;&nbsp;     243</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="44%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="11%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="12%" VALIGN="TOP" COLSPAN=2>&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP" COLSPAN=3>&nbsp;</TD>
</TR></table>
<table width=100%>
<TR>
<td width=5% valign=top><font size="1">(1)</font></td>
<td width=95% valign=top align=full><FONT SIZE=1>Includes loans held for sale and receivable from sale of loans.  For purposes of calculating volume, rate and rate/volume variances, non-accrual loans were included in the weighted average balance outstanding.</OL>
</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2>

<B>
<P>&nbsp;</P>
<P ALIGN="JUSTIFY">Provision for Loan Losses.  </B>A $200,000 loan loss provision was recorded during the first quarter of fiscal 2003, as compared to $120,000 during the same period of fiscal 2002.  The allowance for loan losses was $6.8 million at September 30, 2002 as compared to $6.6 million at June 30, 2002.  The allowance for loan losses as a percentage of gross loans held for investment was 1.07 percent at September 30, 2002 as compared to 1.10 percent at June 30, 2002.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The allowance for loan losses is maintained at a level sufficient to provide for estimated losses based on evaluating known and inherent risks in the loan portfolio and upon management's continuing analysis of the factors underlying the quality of the loan portfolio.  These factors include changes in the size and composition of the loan portfolio, actual loan loss experience, current economic conditions, detailed analysis of individual loans for which full collectibility may not be assured, and determination of the realizable value of the collateral securing the loans.  Provisions for losses are charged against operations on a monthly basis as necessary to maintain the allowance at appropriate levels.  Management believes that the amount maintained in the allowance will be adequate to absorb losses inherent in the portfolio.  Although management believes it uses the best information available to make such determinations, there can be no assurance that regulators, in reviewing the Corporati
on's loan portfolio, will not request the Corporation to increase significantly its allowance for loan losses.  Future adjustments to the allowance for loan losses may be necessary and results of operations could be significantly and adversely affected due to economic, operating, regulatory, and other conditions beyond the control of the Corporation.</P>

<P align="center">14</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">The following table is provided to disclose additional details on the Corporation's allowance for loan losses and asset quality:</P>
</FONT><B><P ALIGN="CENTER"></P>
<FONT SIZE=2><P>Allowance for Loan Losses</P>
<P ALIGN="CENTER"></P></B></FONT>
<P ALIGN="RIGHT">
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="65%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="32%" VALIGN="bottom" COLSPAN=4>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Three Months Ended</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="32%" VALIGN="bottom" COLSPAN=4 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">September 30,</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>(Dollars in thousands)</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3; border-top-style:solid; border-top-width:1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Allowance at beginning of period </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 6,579</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 6,068</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Provision for loan losses </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">200</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">120</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Recoveries:</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Mortgage loans:</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Single-family </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Multi-family</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">67</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Commercial real estate </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Construction </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Commercial business loans </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Consumer loans </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">20</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Total recoveries</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">20</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">67</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Charge-offs:</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Mortgage loans:</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Single-family</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Multi-family</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Commercial real estate </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Construction </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">
<FONT SIZE=2><P>Commercial business loans </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Consumer loans </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(5</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Total charge-offs </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(5</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Net recoveries </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">15</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">67</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Balance at end of period </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 6,794</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 6,255</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15>
<FONT SIZE=2><P>Allowance for loan losses as a percentage of gross loans held for<br>
&nbsp;&nbsp;
investment.       </FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">1.07%</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">0.97%</FONT></TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15>
<FONT SIZE=2><P>Net recoveries as a percentage of average loans outstanding<br>
&nbsp;&nbsp;
during the period</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="15%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(0.01)%</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(0.03)%</FONT></TD>
</TR>
<TR><TD WIDTH="65%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="65%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Allowance for loan losses as a percentage of non-performing loans<br>
&nbsp;&nbsp;
at the end of the period.</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" ROWSPAN=2 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="15%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">766.82%</FONT></TD>
<TD WIDTH="15%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">231.67%</FONT></TD>
</TR>
</TABLE>
</P>

<FONT SIZE=2>

<B><P ALIGN="CENTER"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">Non-Interest Income.  </B>Total non-interest income increased $2.4 million, or 65 percent, to $6.1 million during the quarter ended September 30, 2002 from $3.7 million during the same period of fiscal 2002.  The increase in non-interest income was primarily attributable to an increase in the gain on sale of loans.</P>
<P ALIGN="JUSTIFY"> </P>
<P ALIGN="JUSTIFY">The gain on sale of loans increased $1.8 million, or 78
percent, to $4.1 million for the quarter ended September 30, 2002 from $2.3
million during the same quarter of fiscal 2002. This increase was primarily the
result of a higher average loan sale margin in the first quarter of fiscal 2003
compared to the same quarter of fiscal 2002. The average loan sale margin during
the first quarter of fiscal 2003 was 1.44 percent as compared to 0.82 percent
during the same period of fiscal 2002. Total loans originated for sale during
the first quarter of fiscal 2003 decreased $13.1 million, or 5 percent, to
$256.0 million as compared    </P>

<P align="center">15</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">to $269.1 million in the same period of fiscal 2002. The
decrease in the loans originated for sale was a result of a larger portion of
loan origination volume retained as loans held for investment. Total loan
originations, which included $12.1 million of purchased loans, were $385.2
million in the first quarter of fiscal 2003, compared to $308.8 million, which
included $9.8 million of purchased loans, in the same period last year. Loan
originations held for investment, including purchased loans, were $129.3 million
in the first quarter of fiscal 2003, compared to $39.8 million in the same
period last year.    </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"> </P>
<B><P ALIGN="JUSTIFY">Non-Interest Expense.  </B>Total non-interest expense increased $76,000, or 1 percent, to $6.7 million during the quarter ended September 30, 2002 from $6.6 million in the same period of fiscal 2002.  This increase was primarily attributable to an increase in loan production related expenses, such as commissions paid to loan agents, employee incentives and marketing expenses.  These increases were partially offset by a decrease in equipment, professional and other operating expenses.  The efficiency ratio in the first quarter of fiscal 2003 improved to 51 percent as compared to 63 percent during the same period last year.</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">Income taxes.  </B>Income tax expense was $2.5 million for the quarter ended September 30, 2002 as compared to $1.6 million during the same period of fiscal 2002.  The effective tax rate for the quarters ended September 30, 2002 and 2001 was approximately 41 percent and 42 percent, respectively.</P>
<B><P ALIGN="JUSTIFY">Asset Quality.  </B>Non-accrual loans, which primarily consisted of single-family loans, declined $1.8 million to $886,000 at September 30, 2002 from $2.7 million at September 30, 2001.  No interest accruals were made for loans that were past due 90 days or more.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The non-accrual and 90 days or more past due loans as a percentage of net loans held for investment decreased to 0.14 percent at September 30, 2002 from 0.42 percent at September 30, 2001.  Non-performing assets, including real estate owned, as a percentage of total assets decreased to 0.14 percent at September 30, 2002 from 0.26 percent last year.  The improvement in the non-performing assets was due primarily to fewer mortgage loans classified as non-accrual, and the payoff of three loans classified at September 30, 2001.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Restructured loans declined from $1.4 million at September 30, 2001 to zero at September 30, 2002, which is attributable to the payoff of the single remaining loan restructured in prior periods.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Corporation reviews significant loans individually and identifies when impairment has occurred.  Loans are identified as impaired when it is deemed probable that the borrower will be unable to meet the scheduled principal and interest payments under the terms of the loan agreement.  Impairment is based on the present value of expected future cash flows discounted at the loan's effective interest rate, except that as a  practical expedient, a creditor may  measure impairment  based on a loan's observable market price or the fair value of the collateral if the loan is collateral dependent. </P>

<P align="center">16</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P>The following table is provided to disclose details on asset quality (dollars in thousands):</P>
<B><P ALIGN="CENTER"></P></B></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111" height="795">
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="19">
<FONT SIZE=2>
<B><P ALIGN="CENTER">At September 30, </B></FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2>
<B>
<div style="border-bottom-style: solid; border-bottom-width: 1; padding-bottom: 1">
  <P ALIGN="CENTER">At September 30,</B></FONT></div>
  </TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="17"></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3" height="18">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="17"></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="17">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">
<FONT SIZE=2><P>Loans accounted for on a non-accrual basis:</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Mortgage loans:</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Single-family</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">$   746</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">$  1,828</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Multi-family</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                    -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Commercial real estate</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                  -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Construction</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Commercial business loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">75</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     819</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Consumer loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">65</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                53</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>Other loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">                    -</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Total</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">886</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">             2,700</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="30">
<FONT SIZE=2><P>Accruing loans which are contractually<br>
past due 90 days or more:</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="30">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="30">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="30">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Mortgage loans:</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Single-family</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Multi-family</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Commercial real estate </FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Construction</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Commercial business loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                    -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>Consumer loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="16">
<FONT SIZE=2><P>Other loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="16">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="16">
<FONT SIZE=2><P ALIGN="RIGHT"> </FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="16">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Total</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">                     -</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Total of non-accrual and 90 days past due loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">886</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">             2,700</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P>Real estate owned</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">649</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">             123</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2><P>     &nbsp;&nbsp;&nbsp;Total non-performing assets</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,535</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="20">
<FONT SIZE=2><P ALIGN="RIGHT">$ 2,823</FONT></TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1" height="20">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">
<FONT SIZE=2><P>Restructured loans</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,424</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" ROWSPAN=2 HEIGHT=45>
<FONT SIZE=2><P>Non-accrual and 90 days or more past due loans<br>
&nbsp;&nbsp; as a percentage of loans held for<br>
&nbsp;&nbsp; investment, net</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=23><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=2 HEIGHT=45><P></P></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=23><P></P></TD>
</TR>
<TR><TD WIDTH="20%" VALIGN="bottom" HEIGHT=22>
<FONT SIZE=2><P ALIGN="RIGHT">             </P>
<P ALIGN="RIGHT">0.14%</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=22>
<FONT SIZE=2><P ALIGN="RIGHT">                   </P>
<P ALIGN="RIGHT">0.42%</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" ROWSPAN=2 HEIGHT=30>
<FONT SIZE=2><P>Non-accrual and 90 days or more past due loans<br>
&nbsp;&nbsp; as a percentage of total assets</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="3%" VALIGN="bottom" ROWSPAN=2 HEIGHT=30><P></P></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="20%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">0.08%</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">0.25%</FONT></TD>
</TR>
<TR><TD WIDTH="56%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" height="19">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" height="19">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="56%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="31">
<FONT SIZE=2><P>Non-performing assets as a percentage of<br>
&nbsp;&nbsp; total assets</FONT></TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="31">
<FONT SIZE=2><P ALIGN="RIGHT">                 </P>
<P ALIGN="RIGHT">0.14%</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="31">&nbsp;</TD>
<TD WIDTH="20%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3" height="31">
<FONT SIZE=2><P ALIGN="RIGHT">                      </P>
<P ALIGN="RIGHT">0.26%</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2>

<B><P ALIGN="JUSTIFY"></P>
</B>

<P align="center">17</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">The following table is provided to disclose details related to the volume of loans originated, purchased and sold:</P>
</FONT><B><P ALIGN="CENTER"></P>
<FONT SIZE=2><P>Loan Volume Activities<br>
</B>(In thousands)</P>
<B><P ALIGN="CENTER"></P></B></FONT>
<P ALIGN="RIGHT">
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="31%" VALIGN="TOP" COLSPAN=4>
<FONT SIZE=2>
<B><P ALIGN="CENTER">For the Quarter Ended</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="31%" VALIGN="TOP" COLSPAN=4 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">September 30,</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" COLSPAN=2 HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2001</B></FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>Loans originated for sale:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Retail originations</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$   97,261</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">$ 102,241</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp; Wholesale originations</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">158,690</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">166,814</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total loans
originated for sale</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">255,951</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">269,055</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>Loans sold:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Servicing released</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(234,267</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(335,435</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Servicing retained</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(5,594</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(1,500</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total loans sold</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(239,961</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(336,935</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>Loans originated for portfolio:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Mortgage loans:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Single-family</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">81,552</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">8,204</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Multi-family</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">375</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,696</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial real
estate </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">14,430</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">4,150</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">18,943</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">14,327</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp; Commercial business loans</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,011</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P>     &nbsp;&nbsp; Consumer loans</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5>
<FONT SIZE=2><P ALIGN="RIGHT">497</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5><P></P></TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Other loans</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">871</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">1,055</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">

<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Total loans originated for portfolio</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">117,182</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">29,929</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>Loans purchased for portfolio:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>     &nbsp;&nbsp;     Mortgage loans:</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Multi-family</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">1,590</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Commercial real
estate</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">5,062</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">-</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Construction</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">7,027</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">8,245</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>          &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;          Total loans purchased</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">12,089</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">9,835</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=4 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>Mortgage loan principal repayments</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(94,576</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(93,263</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>Real estate acquired in settlement of loans </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(649</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(93</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR><TD WIDTH="67%" VALIGN="TOP">
<FONT SIZE=2><P>(Increase) decrease in receivable from sale of loans </FONT></TD>
<TD WIDTH="15%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">(10,889</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="1%" VALIGN="TOP">&nbsp;</TD>
<TD WIDTH="13%" VALIGN="TOP">
<FONT SIZE=2><P ALIGN="RIGHT">66,766</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Increase (decrease) in other items, net (1)</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">2,696</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">(1,773</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="67%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Net increase (decrease) in loans held for investment and held
for sale</FONT></TD>
<TD WIDTH="15%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$   41,843</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$  (56,479</FONT></TD>
<TD WIDTH="2%" VALIGN="TOP" HEIGHT=5 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>)</FONT></TD>
</TR>
</TABLE>
</P>
<table width=100%>
<tr>
<td width=5% valign=top align=full><font size="2">(1)</font></td>
<td width=95% valign=top align=full><font size="2">Includes changes in loans in process, discounts, deferred fees and costs and loan loss reserves.
</font>
</td></tr>
</table>

<B>
<P ALIGN="JUSTIFY"><font size="2">Liquidity and Capital Resources. </font>  </B>
<font size="2">The Corporation's primary sources of funding include deposits, proceeds from loan principal and interest payments, sales of loans, the maturity of and interest income on investment securities, and FHLB advances.  While maturities and scheduled amortization of loans are predictable sources of funds, deposit flows, loan sales, and mortgage prepayments are greatly influenced by interest rates, economic conditions, and competition.</font></P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><font size="2">The Bank has a standard credit facility available from the FHLB of San Francisco equal to 40 percent of its total assets, collateralized by loans and securities.  As of September 30, 2002, the Bank's available credit facility from the FHLB is $198.6 million.  In addition to the FHLB credit facility, the Bank has an unsecured line of credit of $45.0 million with its correspondent bank.
</font>  </P>

<FONT SIZE=2>

<P align="center">18</P>

<P>&lt;PAGE&gt;</P>

</FONT>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><font size="2">The Bank must maintain an adequate level of liquidity to ensure the availability of sufficient funds to support loan growth and deposit withdrawals, to satisfy financial commitments and to take advantage of investment opportunities.  The Bank generally maintains sufficient cash to meet short-term liquidity needs.  At September 30, 2002, cash and cash equivalents totaled $32.7 million, or 3 percent of total assets.  Depending on market conditions and the pricing of deposit products and FHLB borrowings, the Bank may rely on FHLB borrowings or unsecured lines of credit for its liquidity needs.</font></P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><font size="2">Although the OTS eliminated the minimum liquidity requirement for savings institutions in April 2001, the rule still requires thrifts to maintain adequate liquidity to assure safe and sound operation.  The Bank's average liquidity ratio for the quarter ended September 30, 2002 decreased to 26 percent from 31 percent during the same period ending September 30, 2001.  This decrease was primarily due to the redeployment of available cash flows into loans held for investment or non-qualifying investments.</font></P>
</FONT><FONT FACE="CG Times" SIZE=2><P ALIGN="JUSTIFY"></P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY">The Bank has been experiencing a large volume of loan prepayments in its loan portfolio and it has become increasingly difficult to reinvest these cash flows in assets that carry similar or better interest rate risk characteristics.  The recent refinance market has been dominated by fixed rate loans and the Bank does not add long-term fixed rate loans to its portfolio particularly when interest rates are at or near historical lows.  Therefore, while the Bank has taken steps to address the issue of rising liquidity levels, the Bank finds that a larger percentage of its earning assets are invested at significantly lower rates than the Bank would like.  The Bank has mitigated the impact of this in several ways.  The Bank has increased the balance of the investment securities portfolio, generated more loans for portfolio from its mortgage banking, business banking and major loan divisions, and purchased commercial real estate and construction loans from other financial inst
itutions.  Also, the Bank has reduced the average balance of certificates of deposit and the average balance of FHLB advances.  This has been accomplished with prudent interest-rate-risk management practices.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank is committed to changing the loan portfolio composition with more emphasis on multi-family, commercial real estate, construction and commercial business loans ("preferred loans").  These loans generally have higher yields as compared to single-family loans.  During the first three months of fiscal 2003, the volume of loans generated for portfolio increased $89.5 million, or 225 percent, to $129.3 million as compared to $39.8 million in the comparable period last year.  Of the total loans generated for portfolio, $46.8 million, or 36 percent were preferred loans.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank is subject to various regulatory capital requirements administered by federal banking agencies.  Failure to meet minimum requirements can initiate certain mandatory actions by regulators that, if undertaken, could have a direct material effect on the Bank's financial statements.  Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet certain specific capital guidelines that involve quantitative measures of the Bank's assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices.  The Bank's capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk-weightings, and other factors.  </P>

<P align="center">19</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The Bank's actual and required capital amounts and ratios as of September 30, 2002 are as follows (dollars in thousands):</P>

<P>&nbsp;</P></FONT>
<P ALIGN="CENTER"><CENTER>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=432 style="border-collapse: collapse" bordercolor="#111111">
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Amount</B></FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Percent</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="60%" VALIGN="bottom">
<FONT SIZE=2><P>Tangible capital</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 80,293</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">7.38%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Requirement</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">21,753</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">2.00%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Excess over requirement</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 58,540</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">5.38%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="60%" VALIGN="bottom">
<FONT SIZE=2><P>Tier 1 (core) capital</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 80,293</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">7.38%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Requirement to be "Well Capitalized" </FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">$ 54,382</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">5.00%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Excess over requirement</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 25,911</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">2.38%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="60%" VALIGN="bottom">
<FONT SIZE=2><P>Total risk-based capital</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 87,394</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">15.28%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Requirement to be "Well Capitalized" </FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">$ 57,181</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">10.00%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Excess over requirement</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 30,213</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">5.28%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="60%" VALIGN="bottom">
<FONT SIZE=2><P>Tier 1 risk-based capital</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 80,293</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">14.04%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Requirement to be "Well Capitalized" </FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">$ 34,309</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">6.00%</FONT></TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="60%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Excess over requirement</FONT></TD>
<TD WIDTH="21%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 45,984</FONT></TD>
<TD WIDTH="4%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="15%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">8.04%</FONT></TD>
</TR>
</TABLE>
</CENTER></P>

<FONT SIZE=2>
<P>&nbsp;</P>
<B><P ALIGN="JUSTIFY">Commitments and Derivatives.  </B>The Corporation is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers.  These financial instruments include commitments to extend credit, in the form of originating loans or providing funds under existing lines of credit, and forward loan sale agreements to third parties.  These instruments involve, to varying degrees, elements of credit and interest-rate risk in excess of the amount recognized in the accompanying consolidated statements of financial condition.  The Corporation's exposure to credit loss, in the event of non-performance by the counter party to these financial instruments, is represented by the contractual amount of these instruments.  The Corporation uses the same credit policies in making commitments to extend credit as it does for on-balance sheet instruments.</P>
</FONT><FONT SIZE=1><P ALIGN="JUSTIFY"></P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="62%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">September 30,</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">June 30,</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="62%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P>Commitments</B></FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">2002</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="62%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2><P>(In Thousands)</FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16><P></P></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P>Undisbursed loan funds  Construction loans </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">$ 32,952</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">$ 30,536</FONT></TD>
</TR>
<TR><TD WIDTH="62%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P>Undisbursed lines of credit  Commercial business loans </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">9,845</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">10,285</FONT></TD>
</TR>
<TR>
  <TD WIDTH="62%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Undisbursed lines of credit  Consumer loans </FONT></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">11,065</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">11,730</FONT></TD>
</TR>
<TR>
  <TD WIDTH="62%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="17%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 53,862</FONT></TD>
<TD WIDTH="3%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="18%" VALIGN="TOP" HEIGHT=17 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 52,551</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=1><P ALIGN="JUSTIFY"></P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY">Commitments to extend credit are agreements to lend money to a customer at some future date as long as all conditions have been met in the agreement.  These commitments generally have expiration dates within 60 days of the commitment date and may require the payment of a fee.  Since some of these commitments are expected to expire, the total commitment amount outstanding does not necessarily represent future cash requirements.  The Corporation evaluates each customer's creditworthiness on a case-by-case basis prior to issuing a commitment.  Interest rates on commitments to extend credit ranged from 5.00% to 11.50% at September 30, 2002 as compared to 6.00% to 14.50% at June 30, 2002.  Commitments to extend credit on loans to be held for investment were $28.3 million at September 30, 2002 as compared to $18.2 million at June 30, 2002.</P>

<P align="center">20</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">In an effort to minimize its exposure to interest rate fluctuations on commitments to extend credit where the underlying loan will be sold, the Corporation enters into forward loan sale agreements to sell certain dollar amounts of fixed rate and adjustable rate loans to third parties.  These agreements specify the minimum maturity of the loans, the yield to the purchaser, the servicing spread to the Corporation (if servicing is retained), the maximum principal amount of all loans to be delivered and the maximum principal amount of individual loans to be delivered.  The Corporation typically satisfies these forward loan sale agreements with its current loan production; at September 30, 2002 and June 30, 2002 the aggregate amount of loans held for sale and of commitments to extend credit on loans to be held for sale exceeded the Corporation's forward loan sale agreements.  Interest rates on forward loan sale agreements ranged from 5.00% to 6.50% at September 30, 2002 as compared to 5.50% to 
7.00% at June 30, 2002.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">In addition to the instruments described above, the Corporation also purchases over-the-counter put option contracts (with expiration dates that generally coincide with the terms of the commitments to extend credit) which mitigate the interest rate risk inherent in commitments to extend credit.  The contract amount of these instruments reflects the extent of involvement the Corporation has in this particular class of financial instruments.  The Corporation's exposure to loss on these financial instruments is limited to the premiums paid for the put option contracts.  Put options are adjusted to market in accordance with SFAS No. 133.  </P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">In accordance with SFAS No. 133 and interpretations of the Derivative Implementation Group, the fair value of the commitments to extend credit on loans to be held for sale, forward loan sale agreements and put option contracts are recorded at fair value on the balance sheet, and are included in other assets or (other liabilities).  The Corporation is not applying hedge accounting to its derivative financial instruments; therefore, all changes in fair value are recorded in earnings.  The net impact of derivative financial instruments on the consolidated statements of operations during the quarters ended September 30, 2002 and 2001 was a gain of $286,000 and a loss of $298,000, respectively.</P>
<P ALIGN="JUSTIFY"> </P>
</FONT><FONT SIZE=1><P ALIGN="JUSTIFY"></P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" COLSPAN=3 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER"> September 30,<BR>
2002</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="23%" VALIGN="bottom" COLSPAN=3 HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER"> June 30,<BR>
2002</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Fair</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Fair</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="50%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Derivative financial instruments</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Amount</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Value</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Amount</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Value</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="50%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1">
<FONT FACE="Times" SIZE=2><P>(In Thousands)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>Commitments to extend credit on loans to be held for</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>  &nbsp;  sale, including servicing released premiums (1) </FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp;   82,608</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,484</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$&nbsp; 56,738</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">$  779</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15><P></P></TD>
</TR>
<TR><TD WIDTH="50%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>Forward loan sale agreements </FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">80,565</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(524</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">45,709</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P ALIGN="RIGHT">(237</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15>
<FONT SIZE=2><P>)</FONT></TD>
</TR>
<TR>
  <TD WIDTH="50%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P>Put option contracts</FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">17,000</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">47</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">11,000</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1">
<FONT SIZE=2><P ALIGN="RIGHT">17</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=15 style="border-bottom-style: solid; border-bottom-width: 1"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="50%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Total </FONT></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 180,173</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 1,007</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 113,447</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="11%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$ 559</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1; border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
</TABLE>

<table width=100%>
<tr>
<td width=5% valign=top align=full><font size="2">(1)</font></td>
<td width=95% valign=top align=full><font size="2">Net of an estimated 34.3% of commitments at September 30, 2002 and 26.7% of commitments at June 30, 2002, which may not fund.</font></td>
</tr></table>

</DIR>

<P ALIGN="JUSTIFY"><b><font size="2">Stockholders' Equity.  </B></font></b>
<font size="2">The ability of the Corporation to pay dividends depends  primarily on the ability of the Bank to pay dividends to the Corporation.  The Bank may not declare or pay a cash dividend if the effect thereof would cause its net worth to be reduced below either the amounts required for its liquidation account or the regulatory capital requirements imposed by federal and state regulation.  On July 24, 2002, the Corporation's Board of Directors declared a quarterly dividend of $0.05 per share on the Corporation's outstanding shares of common stock; a total of $273,000 was paid on August 30, 2002 to shareholders of record on August 7, 2002.  On September 17, 2002, the Corporation's Board of Directors authorized the purchase of up to 10 percent of its common stock, or approximately 529,600 shares.  During the first quarter of fiscal 2003, the Bank paid cash dividends of paid a paid $12.6 million to the Corporation for the primary purpose of funding the Stock Repurchase Plan and cash dividends declared to
 shareholders.  A total of 254,700 shares were repurchased at an average cost of 23.74 per share.  The March 2002 Stock Repurchase Plan was completed during the quarter and as of September 30, 2002, 75,000 shares of the September 2002 Stock Repurchase Plan were repurchased.</font></P>
<FONT SIZE=2>

<P align="center">21</P>

<P>&lt;PAGE&gt;</P>

</FONT>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY"><font size="2">Stock Option Plan and Management Recognition Plan.
</font>  </B><font size="2">Pursuant to the Stock Option Plan, options vest at a rate of 20 percent per year over a five-year period.  In the first quarter of fiscal 2003, a total of 5,000 options were granted to outside directors.  As of September 30, 2002, a total of 654,500 options were outstanding with an average exercise price of $11.54 per share and an average remaining life of 5.63 years.</font></P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><font size="2">Pursuant to the Management Recognition Plan, the restricted shares awarded under the plan vest at a rate of 20 percent per year over a five-year period.  In the first quarter of fiscal 2003, the Corporation awarded 12,558 restricted shares of common stock to certain officers and outside directors.  As of September 30, 2002, a total of 90,148 shares were outstanding, pending their respective distribution schedule.</font></P>

<B><P><font size="2">Supplemental Information</font></P>
</B><P ALIGN="JUSTIFY"></P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR>
  <TD WIDTH="42%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">September 30,<BR>
2002</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">June 30,<br>
2002</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">September 30,<BR>
2001</FONT></TD>
</TR>
<TR>
  <TD WIDTH="42%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-top-style: solid; border-top-width: 1">&nbsp;</TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="JUSTIFY">Loans serviced for others (in thousands)</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 123,589</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 136,059</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">
<FONT SIZE=2><P ALIGN="RIGHT">$ 190,720</FONT></TD>
</TR>
<TR><TD WIDTH="42%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="3%" VALIGN="bottom">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom">&nbsp;</TD>
</TR>
<TR>
  <TD WIDTH="42%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Book value per share</FONT></TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$     19.25</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="16%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$     18.86</FONT></TD>
<TD WIDTH="3%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">&nbsp;</TD>
<TD WIDTH="17%" VALIGN="bottom" style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="RIGHT">$     17.58</FONT></TD>
</TR>
</TABLE>

<FONT SIZE=2>

<B><P ALIGN="CENTER"></P>
<P ALIGN="CENTER">&nbsp;</P>
<P ALIGN="CENTER">Forward-Looking Statements</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Certain matters in this quarterly report on Form 10-Q for the quarterly period ended September 30, 2002 constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  These forward-looking statements relate to, among others, expectations of the business environment in which the Corporation operates, projections of future performance, perceived opportunities in the market, potential future credit experience, and statements regarding the Corporation's mission and vision.  These forward-looking statements are based upon current management expectations, and may, therefore, involve risks and uncertainties.  The Corporation's actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements due to a wide range of factors including, but not limited to, the general business environment, interest rates, the California real estate market, competitive conditions between banks
 and non-bank financial services providers, regulatory changes, and other risks detailed in the Corporation's reports filed with the Securities and Exchange Commission, including the Annual Report on Form 10-K for the fiscal year ended June 30, 2002.  Forward-looking statements are effective only as of the date that they are made and the Corporation assumes no obligation to update this information.</P>
<B>
<P>ITEM 3  Quantitative and Qualitative Disclosures about Market Risk</P>
</B><P ALIGN="JUSTIFY"></P>
</FONT><FONT FACE="CG Times" SIZE=2><P ALIGN="JUSTIFY">The principal financial objective of the Corporation's interest rate risk management function is to achieve long-term profitability while limiting its exposure to the fluctuation of interest rates.  The Bank, through its Asset and Liability Committee ("ALCO"), has sought to reduce the exposure of its earnings to changes in market interest rates by managing the mismatch between asset and liability maturities.  The principal element in achieving this objective is to manage the interest-rate sensitivity of the Bank's assets by holding loans with interest rates subject to periodic market adjustments.  In addition, the Bank maintains a liquid investment portfolio comprised of government agency securities, including mortgage backed securities, and investment grade securities.  The Bank relies on retail deposits as its primary source of funding while utilizing FHLB advances as a secondary source of funding.  As part of its interest rate risk management strategy
, the Bank promotes transaction accounts and certificates of deposit with terms up to five years.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Through the use of an internal interest rate risk model, the Bank is able to analyze its interest rate risk exposure by measuring the change in Net Portfolio Value ("NPV") over a variety of interest rate scenarios.  NPV is the net present value of expected cash flows from assets, liabilities and off-balance sheet contracts.  The calculation is intended to illustrate the change in NPV
that would occur in the event </P>
<FONT SIZE=2>

<P align="center">22</P>

<P>&lt;PAGE&gt;</P>

</FONT>
<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">of an immediate change in interest rates of at least 100
basis points with no effect given to any steps which management might take to
counter the effect of that interest rate movement.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">The following table represents the NPV based on the indicated changes in interest rates as of September 30, 2002 (dollars in thousands).  </P>
<P ALIGN="JUSTIFY"></P></FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR><TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">NPV as Percentage</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16><P></P></TD>
</TR>
<TR><TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Net</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">NPV</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Portfolio</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">of Portfolio Value</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Sensitivity</B></FONT></TD>
</TR>
<TR><TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P>Basis Points ("bp")</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Portfolio</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Change</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Value of</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Assets</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2>
<B><P ALIGN="CENTER">Measure</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P>Change in Rates</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" COLSPAN=2 HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Value</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">(1)</B></FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" COLSPAN=2 HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">Assets</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">(2)</B></FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2>
<B><P ALIGN="CENTER">(3)</B></FONT></TD>
</TR>
<TR>
  <TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">+ 300 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT"> $   90,963 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT"> $ (17,991</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT"> $ 1,060,112 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">8.58%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-117 bp</FONT></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">+200 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">      100,165 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   (8,789</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   1,081,973 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">9.26%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-49 bp</FONT></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">+100 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">    105,248 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   (3,706</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   1,100,434 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">9.56%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-19 bp</FONT></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">0 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">108,954</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   1,117,215 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">9.75%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16><P></P></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-100 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">108,273</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">     (681</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   1,130,053 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">9.58%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-17 bp</FONT></TD>
</TR>
<TR><TD WIDTH="10%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-200 bp</FONT></TD>
<TD WIDTH="10%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">95,540</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   (13,414</FONT></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>)</FONT></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">   1,135,028 </FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">8.42%</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">-133 bp</FONT></TD>
</TR>
<TR>
  <TD WIDTH="20%" VALIGN="bottom" COLSPAN=2 HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" COLSPAN=2 HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="12%" VALIGN="bottom" COLSPAN=2 HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="2%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="14%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="21%" VALIGN="bottom" COLSPAN=2 HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="13%" VALIGN="bottom" HEIGHT=16 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
</TABLE>

<FONT FACE="CG Times" SIZE=2><P ALIGN="JUSTIFY"></P>
<table width=100%>
<tr>
<td width=5% valign=top align=center><font size="2">(1)</font></td>
<td width=95% valign=top align=justify><font size="2">Represents the (decrease) of the NPV at the indicated interest rate change in comparison to the NPV at September 30, 2002 ("base case").</font></td>
</tr>
<tr>
<td width=5% valign=top align=center><font size="2">(2)</font></td>
<Td width=95% valign=top align=justify><font size="2">Calculated as the NPV divided by the Portfolio Value of Assets.</font></td></tr>
<tr>
<td width=5% valign=top align=center><font size="2">(3)</font></td>
<td width=95% valign=top align=justify><font size="2">Calculated as the change in the NPV ratio from the base case amount assuming the indicated change in interest rates (expressed in basis points).</font></td></tr>
</table>


<P>The following table represents the change in the NPV at a -200 basis point rate shock at September 30, 2002 and a +200 basis point rate shock at June 30, 2002.</P>
</FONT>
<TABLE BORDER="0" CELLSPACING=0 CELLPADDING=0 WIDTH=100% style="border-collapse: collapse" bordercolor="#111111">
<TR>
  <TD WIDTH="46%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P>Risk measure: +/- 200 basis point rate shock</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">At September 30, 2002</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3">
<FONT SIZE=2><P ALIGN="CENTER">At June 30, 2002*</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
<TR>
  <TD WIDTH="46%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16 style="border-top-style: solid; border-top-width: 1"><P></P></TD>
</TR>
<TR><TD WIDTH="46%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>Pre-shock NPV ratio: NPV as a % of PV assets</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">                9.75 </FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>%</FONT></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">11.71</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>%</FONT></TD>
</TR>
<TR><TD WIDTH="46%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>Post-shock NPV ratio: NPV as a % of PV assets</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">8.42</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>%</FONT></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">10.33</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>%</FONT></TD>
</TR>
<TR><TD WIDTH="46%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>Sensitivity measure: Change in NPV ratio</FONT></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=16><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">133</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>bps.</FONT></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P ALIGN="RIGHT">138</FONT></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=16>
<FONT SIZE=2><P>bps.</FONT></TD>
</TR>
<TR>
  <TD WIDTH="46%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="1%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="24%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="19%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
<TD WIDTH="5%" VALIGN="bottom" HEIGHT=17 style="border-bottom-style: solid; border-bottom-width: 3"><P></P></TD>
</TR>
</TABLE>

<FONT FACE="CG Times" SIZE=2><P ALIGN="JUSTIFY">(*) Based on IRR analysis provided by the OTS.</P>
<P ALIGN="JUSTIFY"></P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY">The results of the internal IRR model are reconciled with the results provided by the OTS on a quarterly basis.  Any significant deviations are researched and adjusted where applicable.  Historically, the internal model has generally reflected a more conservative position.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">As with any method of measuring interest rate risk, certain shortcomings are inherent in the method of analysis presented in the foregoing table.  For example, although certain assets and liabilities may have similar maturities or periods to repricing, they may react in different degrees to changes in market interest rates.  Also, the interest rates on certain types of assets and liabilities may fluctuate in advance of changes in market interest rates, while interest rates on other types of assets and liabilities may lag behind changes in market interest rates.  Additionally, certain assets, such as adjustable rate mortgage ("ARM") loans, have features, which restrict changes in interest rates on a short-term basis and over the life of the asset.  Further, in the event of a change in interest rates, expected rates of prepayments on loans and early withdrawals from certificates of deposit could likely deviate significantly from those assumed when calculating the tables above.  It is also po
ssible that, as a result of an interest rate increase; the higher mortgage payments required from ARM borrowers could result in an increase in delinquencies and defaults.  Changes in market interest rates may also affect the volume and profitability of the Corporation's mortgage banking operations.  Accordingly, the data presented in the tables above should not be relied upon as indicative of actual results in the event of changes in interest rates.  Furthermore, the NPV
presented in the foregoing </P>

<P align="center">23</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY">tables is not intended to present the fair market value of
the Bank, nor does it represent amounts that would be available for distribution
to stockholders in the event of the liquidation of the Corporation.</P>
<B>
<P>ITEM 4  Controls and Procedures</P>
</B><P ALIGN="JUSTIFY"></P>
<table width=100%>
<tr>
<td width="6%" valign=top align=center><b><font size="2">(a)</font></b></td>
<td width="94%" valign=top align=justify><b><font size="2">Evaluation of Disclosure Controls and Procedures.</font></b><font size="2">  </B>An evaluation of the Registrant's disclosure controls and procedure (as defined in Section 13(a)-14(c) of the Securities Exchange Act of 1934 (the "Act")) was carried out under the supervision and with the participation of the Registrant's Chief Executive Officer, Chief Financial Officer and several other members of the Registrant's senior management within the 90-day period preceding the filing date of this quarterly report.  The Registrant's Chief Executive Officer and Chief Financial Officer concluded that the Registrant's disclosure controls and procedures as currently in effect are effective in ensuring that the information required to be disclosed by the Registrant in the reports it files or submits under the Act is (i) accumulated and communicated to the Registrant's management (including the Chief Executive Officer and Chief Financial Officer) in a timely manner,
 and (ii) recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms.<br></font></td></tr>
<tr>
<td width="6%" valign=top align=center><b><font size="2">(b)</font></b></td>
<td width="94%" valign=top align=justify><B><font size="2">Changes in Internal Controls.
</font>  </B><font size="2">In the quarter ended September 30, 2002, the Registrant did not make any significant changes in, nor take any corrective actions regarding, its internal controls or other factors that could significantly affect these controls.</font></td></tr>
</table>


<P ALIGN="CENTER">&nbsp;</P>
<B><U><P ALIGN="JUSTIFY">PART II  OTHER INFORMATION</P>
</B></U><P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">Item 1.  Legal Proceedings</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">From time to time the Corporation or its subsidiaries are engaged in legal proceedings in the ordinary course of business, none of which are currently considered to have a material impact on the Corporation's financial position or results of operations.</P>
<P ALIGN="JUSTIFY"></P>
<B><P ALIGN="JUSTIFY">Item 2.  Changes in Securities</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Not applicable.</P>
<B><P ALIGN="JUSTIFY">Item 3.  Defaults Upon Senior Securities</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">Not applicable.</P>
<B>
<P ALIGN="JUSTIFY">Item 4.  Submission of Matters to a Vote of Shareholders</P>
<P ALIGN="JUSTIFY"></P>
</B><P ALIGN="JUSTIFY">None.</P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Item 5.  Other Information</P>
</B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">None.</P>
<B><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Item 6.  Exhibits and Reports on Form 8-K</P>
<P ALIGN="JUSTIFY"></P>

</B><P ALIGN="JUSTIFY">a)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Exhibits :<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
99.1 Certifications pursuant to Section 906 of the Sarbanes-Oxley Act.</P>

<P align="center">24</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">b)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reports on Form 8-K:</LI></P>

<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
(1)&nbsp;&nbsp;&nbsp; On July 24, 2002: A quarterly cash dividend of $0.05 per share on the Corporation's outstanding shares of common stock.<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp; On August 30, 2002: The purchase of approximately $9.3 million of deposits from Valley Bank in Sun City, California.<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)&nbsp;&nbsp;&nbsp; On September 17, 2002: The Corporation's Board of Directors approved a 10 percent common stock repurchase plan.</P>


<P>&nbsp;</P>
<B><U><P>SIGNATURES</P>
</B></U><P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P><DIR>

<P ALIGN="JUSTIFY">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Provident Financial Holdings, Inc.</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
</DIR>

<P ALIGN="JUSTIFY">November 12, 2002&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>/s/ Craig G. Blunden&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br>
</U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Craig G. Blunden<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chairman, President and Chief Executive Officer<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (Principal Executive Officer)</P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY">&nbsp;</P>
</DIR>

<P ALIGN="JUSTIFY">November 12, 2002&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<U>/s/
Donavon P. Ternes&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; <br>
</U>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Donavon P. Ternes<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Senior Vice President and Chief Financial Officer<br>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (Principal
Financial and Accounting Officer)</P>

<P align="center">&nbsp;</P>

<P align="center">25</P>

<P>&lt;PAGE&gt;</P>

<P ALIGN="JUSTIFY">&nbsp;</P>

<B><P ALIGN="CENTER">CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER<br>
PURSUANT TO 18 U.S.C.  SECTION 1350,<br>
AS ADOPTED PURSUANT TO<br>
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002</P>
</B>

<P><FONT SIZE="-1">I, Craig G. Blunden, certify that:</FONT><br><BR>
<TABLE BORDER="0" WIDTH="723" cellspacing="0" cellpadding="0" style="border-collapse: collapse" bordercolor="#111111"></FONT></LI>

<TR VALIGN="TOP"><TD width="40"><FONT SIZE="-1"></UL>
  <p>1.</FONT></TD>
<TD COLSPAN="2" width="683" valign="bottom" align="justify"><FONT SIZE="-1">I have reviewed this quarterly report on Form 10-Q of
Provident Financial Holdings, Inc.;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">2.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or
omit to state a material fact necessary to make the statements made, in light of the circumstances under
which such statements were made, not misleading with respect to the period covered by this quarterly report;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">3.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">Based on my knowledge, the financial statements, and other financial information included in this quarterly
report, fairly present in all material respects the financial condition, results of operations and cash flows of
the registrant as of, and for, the periods presented in this quarterly report;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">4.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we
have:</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">a)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">designed such disclosure controls and procedures to ensure that material information relating to
the registrant, including its consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this quarterly report is being prepared;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">b)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">evaluated the effectiveness of the registrant's disclosure controls and procedures as of a date
within 90 days prior to the filing date of this quarterly report (the "Evaluation Date"); and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">c)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">presented in this quarterly report our conclusions about the effectiveness of the disclosure controls
and procedures based on our evaluation as of the Evaluation Date;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">5.</FONT></TD>
<TD COLSPAN="2" width="683">
<p align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the
registrant's auditors and the audit committee of registrant's board of directors (or persons performing the
equivalent function):</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">a)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">all significant deficiencies in the design or operation of internal controls which could adversely
affect the registrant's ability to record, process, summarize and report financial data and have
identified for the registrant's auditors any material weaknesses in internal controls; and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">b)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">any fraud, whether or not material, that involves management or other employees who have a
significant role in the registrant's internal controls; and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">6.</FONT></TD>
<TD COLSPAN="2" width="683">
<p align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I have indicated in this quarterly report whether or not there
were significant changes in internal controls or in other factors that could significantly affect internal
controls subsequent to the date of our most recent evaluation, including any corrective actions with regard
to significant deficiencies and material weaknesses.</FONT></TD></TR></TABLE>

<P><FONT SIZE="-1">Date: November 12, 2002</FONT></P>

<P><FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<u>/s/ Craig G. Blunden&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</u></FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Craig G. Blunden</FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Chairman, President and Chief Executive Officer</FONT></P>

<FONT SIZE=2>

<P align="center">26</P>

<P>&lt;PAGE&gt;</P>

<P>&nbsp;</P>

</FONT>

</FONT><FONT SIZE=2>
<B>
</B>
</FONT><FONT SIZE=2>
<B>
<P ALIGN="CENTER">CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER<br>
PURSUANT TO 18 U.S.C.  SECTION 1350,<br>
AS ADOPTED PURSUANT TO<br>
SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002</P>
</B>

<P><FONT SIZE="-1">I, Donavon P. Ternes, certify that:</FONT><br><BR>

<TABLE BORDER="0" WIDTH="723" cellspacing="0" cellpadding="0" style="border-collapse: collapse" bordercolor="#111111"></FONT></LI>

<TR VALIGN="TOP"><TD width="40"><FONT SIZE="-1"></UL>
  <p>1.</FONT></TD>
<TD COLSPAN="2" width="683" valign="bottom" align="justify"><FONT SIZE="-1">I have reviewed this quarterly report on Form 10-Q of
Provident Financial Holdings, Inc.;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">2.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">Based on my knowledge, this quarterly report does not contain any untrue statement of a material fact or
omit to state a material fact necessary to make the statements made, in light of the circumstances under
which such statements were made, not misleading with respect to the period covered by this quarterly report;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">3.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">Based on my knowledge, the financial statements, and other financial information included in this quarterly
report, fairly present in all material respects the financial condition, results of operations and cash flows of
the registrant as of, and for, the periods presented in this quarterly report;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">4.</FONT></TD>
<TD COLSPAN="2" width="683" align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure
controls and procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) for the registrant and we
have:</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">a)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">designed such disclosure controls and procedures to ensure that material information relating to
the registrant, including its consolidated subsidiaries, is made known to us by others within those
entities, particularly during the period in which this quarterly report is being prepared;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">b)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">evaluated the effectiveness of the registrant's disclosure controls and procedures as of a date
within 90 days prior to the filing date of this quarterly report (the "Evaluation Date"); and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">c)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">presented in this quarterly report our conclusions about the effectiveness of the disclosure controls
and procedures based on our evaluation as of the Evaluation Date;</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">5.</FONT></TD>
<TD COLSPAN="2" width="683">
<p align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the
registrant's auditors and the audit committee of registrant's board of directors (or persons performing the
equivalent function):</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">a)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">all significant deficiencies in the design or operation of internal controls which could adversely
affect the registrant's ability to record, process, summarize and report financial data and have
identified for the registrant's auditors any material weaknesses in internal controls; and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></TD>
<TD width="32"></FONT><FONT SIZE="-1">b)</FONT></TD>
<TD width="651" align="justify"><FONT SIZE="-1">any fraud, whether or not material, that involves management or other employees who have a
significant role in the registrant's internal controls; and</FONT></TD></TR>
<TR VALIGN="TOP"><TD COLSPAN="3" width="723">&nbsp;</TD></TR>
<TR VALIGN="TOP"><TD width="40"></FONT><FONT SIZE="-1">6.</FONT></TD>
<TD COLSPAN="2" width="683">
<p align="justify"><FONT SIZE="-1">The registrant's other certifying officers and I have indicated in this quarterly report whether or not there
were significant changes in internal controls or in other factors that could significantly affect internal
controls subsequent to the date of our most recent evaluation, including any corrective actions with regard
to significant deficiencies and material weaknesses.</FONT></TD></TR></TABLE>

<P><FONT SIZE="-1">Date: November 12, 2002</FONT></P>

<P><FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<u>/s/ Donavon P. Ternes&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</u></FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Donavon P. Ternes</FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;							Chief
Financial Officer</FONT></P>

<FONT SIZE=2>

<P align="center">&nbsp;</P>

<P align="center">27</P>

<P>&lt;PAGE&gt;</P>

</FONT>
<P>&nbsp;</P>
<P ALIGN="CENTER"><font size="2">Exhibit 99.1</font></P>
<P ALIGN="CENTER"></P>
<B><P ALIGN="CENTER"><font size="2">CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER<br>
PURSUANT TO 18 U.S.C.  SECTION 1350,<br>
AS ADOPTED PURSUANT TO<br>
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002</font></P>
</B>
</FONT><FONT FACE="Times" SIZE=2><P ALIGN="JUSTIFY">In connection with the accompanying quarterly report on Form 10-Q of Provident Financial Holdings, Inc.  (the "Corporation") for the period ending September 30, 2002 (the "Report"), I, Craig G. Blunden, Chairman, President and Chief Executive Officer of the Corporation, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:</P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY"></P>
<OL>

<P ALIGN="JUSTIFY"><LI>the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and</LI></P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><LI>the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Corporation.</LI></OL>

<P><FONT SIZE="-1">Date: November 12, 2002</FONT></P>

<P><FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<u>/s/ Craig G. Blunden&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</u></FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Craig G. Blunden</FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Chairman, President and Chief Executive Officer</FONT></P>

<P align="center">&nbsp;</P>

<P align="center">28</P>

<P>&lt;PAGE&gt;</P>

<P>&nbsp;</P>

<B><P ALIGN="CENTER">CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER<br>
PURSUANT TO 18 U.S.C.  SECTION 1350,<br>
AS ADOPTED PURSUANT TO<br>
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002</P>
</B>
<P>&nbsp;</P>
</FONT><FONT FACE="Times" SIZE=2><P ALIGN="JUSTIFY">In connection with the accompanying quarterly report on Form 10-Q of Provident Financial Holdings, Inc.  (the "Corporation") for the period ending September 30, 2002 (the "Report"), I, Donavon P. Ternes, Chief Financial Officer of the Corporation, hereby certify pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:</P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY"></P>

</FONT>
<OL>

<FONT SIZE=2><LI>the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and</LI></P>
<P ALIGN="JUSTIFY"></P>
<P ALIGN="JUSTIFY"><LI>the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Corporation.</LI></P></OL>

</FONT><FONT FACE="Times" SIZE=2><P ALIGN="JUSTIFY"></P>
</FONT><FONT SIZE=2><P ALIGN="JUSTIFY">&nbsp;</P>

<P><FONT SIZE="-1">Date: November 12, 2002</FONT></P>

<P><FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
<u>/s/ Donavon P. Ternes&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Donavon P. Ternes</FONT><br>
<FONT SIZE="-1">							&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Chief Financial Officer</FONT></P>

<P align="center">&nbsp;</P>

<P align="center">29</P>

<P>&lt;PAGE&gt;</P>

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