|[x] | **Quarterly Report pursuant to Section 13 or 15 (d) Of The Securities Exchange Act
of 1934**
|--- | --------------------------------------------------------------------------------------------

|[  ] | **Transition Reports under Section 13 or 15(d) Of The Securities Exchange Act of
1934**
|---- | ---------------------------------------------------------------------------------------

---

|Delaware	
(State of incorporation) |  | 36-4101473(I.R.S. Employer Identification Number)
|---------------------------------- |  | -------------------------------------------------

---

---

| | Yes | X |  | No (First Filing Pursuant to Rule 15d-13(a)) | 
| | --- | - |  | -------------------------------------------- | 

|Class:                       |  | SHARES OUTSTANDING at August 14, 2001
|---------------------------- |  | -------------------------------------
|Common Stock, $.01 par value |  | 1,255,067                            

---

|ITEM 1 - | FINANCIAL STATEMENTS                                                                                               | Page
|-------- | ------------------------------------------------------------------------------------------------------------------ | ----
|         | Condensed Consolidated Statements of Financial Condition at       June
30, 2001 and December 31, 2000              | 3   
|         | Condensed Consolidated Statements of Income for the       three
months and six months ended June 30, 2001 and 2000 | 4   
|         | Condensed Consolidated Statements of Stockholders' Equity for      
the six months ended June 30, 2001 and 2000    | 5   
|         | Condensed Consolidated Statements of Cash Flows for the six months       ended June 30, 2001 and 2000              | 6   
|         | Notes to the Condensed Consolidated Financial Statements       as of
June 30, 2001                                 | 7   
|         |                                                                                                                    |     
|ITEM 2 - | MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS                              | 9   

| | Item 1. Legal Proceedings                                   | 16
| | ----------------------------------------------------------- | --
| | Item 2. Changes in Securities and use of Proceeds           | 16
| | Item 3. Defaults Upon Senior Securities                     | 16
| | Item 4. Submission of Matters to a Vote of Security Holders | 16
| | Item 5. Other Information                                   | 16
| | Item 6. Exhibits and Reports on Form 8-K                    | 16

---

---

|                                                                  | June 30, 2001                                                                                                    | December 31,2000          
|----------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------- | --------------------------
|ASSETS                                                            |                                                                                                                  |                           
|Cash on hand and in banks                                         | $ 357                                                                                                            | $ 333                     
|Interest-bearing deposit accounts in other financial institutions | 3,326                                                                                                            | 1,008                     
|                                                                  | Total cash and cash equivalents                                                                                  | 3,683                     
|Interest-bearing term deposits in other financial institutions    | 154                                                                                                              | 153                       
|Equity securities available-for-sale                              | 12,287                                                                                                           | 1,012                     
|Securities available-for-sale                                     | 16,705                                                                                                           | 35,076                    
|Mortgage-backed securities available-for-sale                     | 4,349                                                                                                            | 4,607                     
|Loans receivable, net                                             | 64,150                                                                                                           | 67,862                    
|Federal Home Loan Bank stock                                      | 2,111                                                                                                            | 2,034                     
|Premises and equipment, net                                       | 462                                                                                                              | 494                       
|Accrued interest receivable                                       | 684                                                                                                              | 1,058                     
|Other assets                                                      | 629                                                                                                              | 451                       
|                                                                  | Total assets                                                                                                     | $ 105,214                 
|                                                                  |                                                                                                                  |                           
|LIABILITIES AND STOCKHOLDERS' EQUITY                              |                                                                                                                  |                           
|Liabilities                                                       |                                                                                                                  |                           
|                                                                  | Deposits                                                                                                         | $ 57,611                  
|                                                                  | Advances from borrowers for taxes and insurance                                                                  | 691                       
|                                                                  | Advances from the Federal Home Loan Bank       and other
borrowings                                              | 30,265                    
|                                                                  | Accrued interest payable and other liabilities                                                                   | 657                       
|                                                                  |                                                                                                                  | Total liabilities         
|                                                                  |                                                                                                                  |                           
|Stockholders' Equity                                              |                                                                                                                  |                           
|                                                                  | Common stock $0.01 par value per share,       2,500,000 sharesauthorized;       2,182,125 issued and outstanding | 22                        
|                                                                  | Additional paid-in capital                                                                                       | 21,664                    
|                                                                  | Retained earnings, substantially restricted                                                                      | 7,394                     
|                                                                  | Unearned ESOP shares                                                                                             | (836)                     
|                                                                  | Unearned stock awards                                                                                            | (496)                     
|                                                                  | Treasury stock, at cost, 903,779 and 855,914      shares
respectively                                            | (11,522)                  
|                                                                  | Accumulated other comprehensive loss                                                                             | (236)                     
|                                                                  |                                                                                                                  | Total stockholders' equity
|                                                                  |                                                                                                                  |                           

---

---

|                                                                       | Six Months EndedJune 30                                   | Three Months EndedJune 30
|---------------------------------------------------------------------- | --------------------------------------------------------- | -------------------------
|                                                                       | 2001                                                      | 2000                     
|Interest income                                                        |                                                           |                          
|                                                                       | Loans                                                     | $ 2,669                  
|                                                                       | Securities                                                | 774                      
|                                                                       | Mortgage-backed securities                                | 146                      
|                                                                       | Dividend income on equity investments                     | 38                       
|                                                                       | Other interest earning assets                             | 153                      
|                                                                       |                                                           | Total interest income    
|                                                                       |                                                           |                          
|Interest expense                                                       |                                                           |                          
|                                                                       | Deposits                                                  | 1,388                    
|                                                                       | Federal Home Loan Bank advances and      other
borrowings | 1,182                    
|                                                                       |                                                           | Total interest expense   
|                                                                       |                                                           |                          
|Net interest income                                                    | 1,210                                                     | 1,865                    
|                                                                       |                                                           |                          
|Provision for loan losses                                              | -                                                         | 15                       
|                                                                       |                                                           |                          
|Net interest income after provision for loan losses                    | 1,210                                                     | 1,850                    
|                                                                       |                                                           |                          
|Noninterest income                                                     |                                                           |                          
|                                                                       | Net gain (loss) on sale of securities                     | 152                      
|                                                                       | Other operating income                                    | 45                       
|                                                                       |                                                           | Total noninterest income 
|                                                                       |                                                           |                          
|Noninterest expense                                                    |                                                           |                          
|                                                                       | Compensation and benefits                                 | 521                      
|                                                                       | Occupancy and equipment expense                           | 77                       
|                                                                       | Data processing services                                  | 56                       
|                                                                       | Professional fees                                         | 122                      
|                                                                       | Other operating expenses                                  | 159                      
|                                                                       |                                                           | Total noninterest expense
|                                                                       |                                                           |                          
|Income before income tax expense                                       | 472                                                       | 894                      
|Income tax expense (benefit)                                           | 39                                                        | 256                      
|                                                                       |                                                           |                          
|Net income                                                             | $ 433                                                     | $ 638                    
|Change in unrealized gain (loss) on      securities
available-for-sale | 315                                                       | (449)                    
|                                                                       |                                                           |                          
|Total Comprehensive Income                                             | $ 748                                                     | $ 189                    
|                                                                       | Basic earnings per share                                  | $ 0.37                   
|                                                                       | Diluted earnings per share                                | $ 0.36                   

---

---

|                                                                    | 2001       | 2000      
|------------------------------------------------------------------- | ---------- | ----------
|Six Months Ended June 30 2001 2000                                  |            |           
|**Common Stock**                                                    |            |           
|Balance at beginning of year                                        | $ 22       | $ 22      
|**Balance at June 30**                                              | $ 22       | $ 22      
|                                                                    |            |           
|**Additional Paid-In Capital**                                      |            |           
|Balance at beginning of year                                        | $ 21,655   | $ 21,644  
|Change in additional paid in capital                                | 8          | 8         
|**Balance at June 30**                                              | $ 21,664   | $ 21,652  
|                                                                    |            |           
|**Retained Earnings, Substantially Restricted**                     |            |           
|Balance at beginning of year                                        | $ 7,315    | $ 6,862   
|Net income for the period                                           | 433        | 638       
|Dividends declared, $0.30 $0.29 per share, respectively             | (354)      | (401)     
|**Balance at June 30**                                              | $ 7,394    | $ 7,099   
|                                                                    |            |           
|**Unearned ESOP Shares**                                            |            |           
|Balance at be ginning of year                                       | $ (884)    | $ (981)   
|Change in unearned ESOP shares                                      | 48         | 49        
|**Balance at June 30**                                              | $ (836)    | $ (932)   
|                                                                    |            |           
|**Unearned Stock Awards**                                           |            |           
|Balance at beginning of year                                        | $ (583)    | $ (767)   
|Stock awards earned                                                 | 87         | 88        
|**Balance at June 30**                                              | $ (496)    | $ (679)   
|                                                                    |            |           
|**Treasury Stock**                                                  |            |           
|Balance at beginning of year                                        | (10,948)   | (6,425)   
|Change in treasury stock                                            | (574)      | (4,523)   
|**Balance at June 30**                                              | $ (11,522) | $ (10,948)
|                                                                    |            |           
|**Accumulated Other Comprehensive Income**                          |            |           
|Balance at beginning of year                                        | $ (551)    | $ (1,483) 
|Change in unrealized gain (loss) on securities   available-for-sale | 315        | (449)     
|**Balance at June 30**                                              | $ (236)    | $ (1,932) 
|**Total Stockholders' Equity**                                      | $ 15,990   | $ 14,282  

---

---

|                                                 | Six months ended June 30                                                                       
|------------------------------------------------ | -----------------------------------------------------------------------------------------------
|                                                 | 2001                                                                                           
|Cash flows from operating activities             |                                                                                                
|                                                 | Net income                                                                                     
|                                                 | Adjustments to reconcile net income to net cash from operating activities                      
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                
|Cash flows from investing activities             |                                                                                                
|                                                 | Proceeds from repayment of securities available-for-sale                                       
|                                                 | Calls on equity securities available-for-sale                                                  
|                                                 | Proceeds from sale of equity securities available-for-sale                                     
|                                                 | Purchase of equity securities available-for-sale                                               
|                                                 | Proceeds from sale of mortgage-backed securities available-for-sale                            
|                                                 | Purchase of mortgage-backed securities available-for-sale                                      
|                                                
|                                                 | Calls and maturities of securities available-for-sale                                          
|                                                 | Net (increase) decrease in interest-bearing term deposits in other
      financial institutions
|                                                 | Net change in loans                                                                            
|                                                 | Capital expenditures, net                                                                      
|                                                 |                                                                                                
|                                                 |                                                                                                
|Cash flows from financing activities             |                                                                                                
|                                                 | Net increase (decrease) in deposits                                                            
|                                                 | Dividends paid                                                                                 
|                                                 | Proceeds from Federal Home Loan Bank advances and other borrowings                             
|                                                 | Repayment of Federal Home Loan Bank advances and other borrowings                              
|                                                 | Purchase of treasury stock                                                                     
|                                                 | Net increase (decrease) in advance payments by borrowers for insurance                         
|                                                 |                                                                                                
|                                                 |                                                                                                
|Decrease in cash and cash equivalents            | 2,342                                                                                          
|                                                 |                                                                                                
|Cash and cash equivalents at beginning of period | 1,341                                                                                          
|                                                 |                                                                                                
|Cash and cash equivalents at end of period       | $ 3,683                                                                                        
|                                                 |                                                                                                
|Supplemental disclosure of cash flow information |                                                                                                
|                                                 | Cash paid during the period for                                                                
|                                                 |                                                                                                
|                                                 |                                                                                                

---

---

|                                         | Six Months EndedJune 30                                                        | Three Months EndedJune 30     
|---------------------------------------- | ------------------------------------------------------------------------------ | ------------------------------
|                                         | 2001                                                                           | 2000                          
|**Basic Earnings Per Share**             |                                                                                |                               
|                                         | Net income                                                                     | $ 433,087                     
|                                         | Weighted average common       shares outstanding                               | 1,179,114                     
|                                         |                                                                                | **Basic Earnings Per Share**  
|                                         |                                                                                |                               
|**Earnings Per Share Assuming Dilution** |                                                                                |                               
|                                         | Net income                                                                     | $ 433,087                     
|                                         | Weighted average common      shares
outstanding                                | 1,179,114                     
|                                         | Add dilutive effect of assumed exercises                                       |                               
|                                         |                                                                                | Incentive stock options       
|                                         |                                                                                | Stock awards                  
|                                         | Weighted average common and dilutive      
potential common shares outstanding | 1,190,895                     
|                                         |                                                                                | **Diluted Earnings Per Share**

---

---

---

---

---

---

---

---

---

---

---

---

---

---

|Change in

InterestRates(Basis Points) | Estimated

NPVAmount | Ratio of NPV

toTotal Assets | Estimated Increase(Decrease in NPV)
|-------------------------------------- | -------------------- | ---------------------------- | -----------------------------------
|Amount                                 | Percent             
|+300                                   | 9,514                | 9.09                         | (8,542)                            
|+200                                   | 12,688               | 11.68                        | (5,368)                            
|+100                                   | 15,631               | 13.89                        | (2,425)                            
|---                                    | 18,056               | 15.60                        | ---                                
|-100                                   | 19,084               | 16.12                        | 1,028                              
|-200                                   | 20,132               | 16.65                        | 2,076                              
|-300                                   | 21,074               | 17.07                        | 3,018                              

---

---

---

---

|Item 1. | Legal Proceedings

None                                                                                                                                                                                                                                                                                                              
|------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|Item 2. | Changes in Securities and use of Proceeds

None                                                                                                                                                                                                                                                                                      
|Item 3. | Defaults Upon Senior Securities

None                                                                                                                                                                                                                                                                                                
|Item 4. | Submission of Matters to a Vote of Security Holders                                                                                                                                                                                                                                                                                  
|        | The Company's annual meeting of stockholders was held on May 16, 2001.  At the
meeting, Lorraine G. Ptak and Edward Wolak were elected for terms to expire in
2004.  The votes cast for and withheld from each such director were as follows:                                                                                        
|        | Director                                                                                                                                                                                                                                                                                                                             
|        | Lorraine G. Ptak                                                                                                                                                                                                                                                                                                                     
|        | Edward Wolak                                                                                                                                                                                                                                                                                                                         
|        | Also at the annual meeting, a proposal to ratify the appointment of Crowe, Chizek
and Company LLP as independent auditors for the fiscal year ending December 31,
2001 was approved.  The votes cast for and a against this proposal, and the number
of abstentions and broker non-votes with respect to the proposal was as follows:
|        | For                                                                                                                                                                                                                                                                                                                                  
|        | 1,177,973                                                                                                                                                                                                                                                                                                                            
|Item 5. | Other Information

None                                                                                                                                                                                                                                                                                                              
|Item 6. | Exhibits and Reports on Form 8-K                                                                                                                                                                                                                                                                                                     
|        | a.                                                                                                                                                                                                                                                                                                                                   
|        | b.                                                                                                                                                                                                                                                                                                                                   

---

|      |                 |  | PS FINANCIAL, INC.

(Registrant)
|----- | --------------- |  | --------------------------------
|      |                 |  |                                 
|Date: | August 23, 2001 |  | By:                             
|      |                 |  |                                 
|Date: | August 23, 2001 |  | By:                             

---