|           |   |                                                                                                                                                      |
|----------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------|
| þ |   | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934                                                                  |
|           |   | FOR THE FISCAL YEAR ENDED JUNE 30, 2010                                                                                                                   |
| or             |
| o      |   | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934                                                              |
|           |   | FOR THE TRANSITION PERIOD FROM           TO           |

|                                                          |   |                             |
|---------------------------------------------------------------|--------|----------------------------------|
| Delaware                                                      |   | 20-5714154                       |
| (State or other jurisdiction ofincorporation or organization) |   | (IRS EmployerIdentification No.) |
| 19 HARRISON AVE.SPRINGFIELD, MASSACHUSETTS                    |   | 01102(Zip Code)                  |
| (Address of principal executive offices)                      |   |                             |

----

----

HA

|                                                              |                                                                |   |   |                                                                                                               |   |   |   |   |
|-------------------------------------------------------------------|---------------------------------------------------------------------|--------|--------|--------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|
|                                                              |                                                                |   |   | Page No.                                                                                                           |
|                                                              |                                                                |   |   |                                                                                                               |   |   |   |   |
| Part I                                                       |
|                                                              |          Item 1.       |   |   | Business                                                                                                           |   |   | 4      |   |
|                                                         |          Item 1A.      |   |   | Risk Factors                                                                                                       |   |   | 31     |   |
|                                                              |          Item 1B.      |   |   | Unresolved Staff Comments                                                                                          |   |   | 36     |   |
|                                                              |          Item 2.       |   |   | Properties                                                                                                         |   |   | 37     |   |
|                                                              |          Item 3.       |   |   | Legal Proceedings                                                                                                  |   |   | 37     |   |
|                                                         |          Item 4.       |   |   | (Removed and Reserved)                                                                                             |   |   | 37     |   |
|                                                              |
| Part II                                                      |
|                                                              |          Item 5.       |   |   | Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |   |   | 38     |   |
|                                                              |          Item 6.       |   |   | Selected Financial Data                                                                                            |   |   | 41     |   |
|                                                              |          Item 7.  |   |   | Management’s Discussion and Analysis of Financial Condition and Results of Operations                        |   |   | 43     |   |
|                                                              |          Item 7A.      |   |   | Quantitative and Qualitative Disclosures about Market Risk                                                         |   |   | 56     |   |
|                                                              |          Item 8.       |   |   | Financial Statements and Supplementary Data                                                                        |   |   | 56     |   |
|                                                              |          Item 9.  |   |   | Changes in and Disagreements With Accountants on Accounting and Financial Disclosure                               |   |   | 56     |   |
|                                                              |          Item 9A(T).   |   |   | Controls and Procedures                                                                                            |   |   | 56     |   |
|                                                              |          Item 9B.      |   |   | Other Information                                                                                                  |   |   | 57     |   |
|                                                              |
| Part III                                                     |
|                                                              |          Item 10.      |   |   | Directors, Executive Officers and Corporate Governance                                                             |   |   | 58     |   |
|                                                              |          Item 11.      |   |   | Executive Compensation                                                                                             |   |   | 58     |   |
|                                                              |          Item 12.      |   |   | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters                     |   |   | 58     |   |
|                                                              |          Item 13. |   |   | Certain Relationships and Related Transactions, and Director Independence                                          |   |   | 59     |   |
|                                                              |          Item 14.      |   |   | Principal Accounting Fees and Services                                                                             |   |   | 59     |   |
|                                                              |
| Part IV                                                      |
|                                                              |          Item 15.      |   |   | Exhibits, Financial Statement Schedules                                                                            |   |   | 59     |   |
|           Signatures |                                                                |   | 61     |                                                                                                               |

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| Item 1.   | Business |
|--------------------------|----------|

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|                                | June 30,                                        |    |
|-------------------------------------|-------------------------------------------------|---------|
|                                | 2010                                            |    | 2009 |   | 2008 |   | 2007 |   | 2006 |   |
|                                | Amount                                          | Percent |   | Amount | Percent |   | Amount | Percent |   | Amount | Percent |   | Amount | Percent |   |
|                                | (Dollars In Thousands)                          |    |
| Mortgage loans / real estate:       |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |
| Residential                         |  $130,977                                  | 31.49   | % |  $123,151 | 31.76 | % |  $121,864 | 33.75 | % |  $116,178 | 35.21 | % |  $111,849 | 34.88 | % |
| Commercial                          |    138,746                       | 33.35   |   |    127,604 | 32.91 |   |    117,636 | 32.59 |   |      90,538 | 27.45 |   |      91,226 | 28.45 |   |
| Home Equity                         |      65,006            | 15.63   |   |      58,747 | 15.15 |   |      57,790 | 16.01 |   |      59,899 | 18.15 |   |      64,132 | 20.00 |   |
| Construction                        |      13,460            | 3.24    |   |      17,243 | 4.45 |   |      11,308 | 3.13 |   |      21,251 | 6.44 |   |      22,314 | 6.95 |   |
| Total mortgage loans on real estate |    348,189                       | 83.70   |   |    326,745 | 84.27 |   |    308,598 | 85.48 |   |    287,866 | 87.25 |   |    289,521 | 90.28 |   |
|                                |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other loans:                        |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Commercial                          |      42,539            | 10.23   |   |      38,918 | 10.04 |   |      32,509 | 9.00 |   |      25,472 | 7.71 |   |      22,609 | 7.05 |   |
| Consumer and other                  |      25,257            | 6.07    |   |      22,079 | 5.69 |   |      19,967 | 5.52 |   |      16,644 | 5.04 |   |        8,574 | 2.67 |   |
| Total other loans                   |      67,796            | 16.30   |   |      60,997 | 15.73 |   |      52,476 | 14.52 |   |      42,116 | 12.75 |   |      31,183 | 9.72 |   |
| Total loans                         |    415,985                       | 100.00  | % |    387,742 | 100.00 | % |    361,074 | 100.00 | % |    329,982 | 100.00 | % |    320,704 | 100.00 | % |
| Other items:                        |                                            |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net deferred loan costs             |        2,943 |    |   |        2,638 |   |   |        2,257 |   |   |        1,902 |   |   |           872 |   |   |
| Allowance for loan losses           |       (6,314)     |    |   |       (3,742) |   |   |       (3,453) |   |   |       (2,810) |   |   |       (3,695) |   |   |
| Total loans, net                    |  $412,614                                  |    |   |  $386,638 |   |   |  $359,878 |   |   |  $329,074 |   |   |  $317,881 |   |   |

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|                                             | For the Years Ended June 30,                                |
|--------------------------------------------------|-------------------------------------------------------------|
|                                             | 2010                                                        |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
|                                             | (In Thousands)                                              |
| Loans at beginning of year                       |  $ 387,742                                             |   |  $ 361,074 |   |  $ 329,982 |   |  $ 320,704 |   |  $ 272,702 |
|                                             |                                                        |   |   |   |   |   |   |   |   |
| Originations:                                    |                                                        |   |   |   |   |   |   |   |   |
| Mortage loans on real estate:                    |                                                        |   |   |   |   |   |   |   |   |
| Residential                                      |        33,148            |   |        40,962 |   |        37,975 |   |        23,833 |   |        36,133 |
| Commercial                                       |        13,973            |   |        25,734 |   |        19,435 |   |        12,309 |   |        33,350 |
| Construction                                     |        20,444            |   |        15,932 |   |        22,291 |   |        24,456 |   |        16,047 |
| Home Equity                                      |        19,927            |   |        17,365 |   |        15,383 |   |        11,794 |   |        31,913 |
| Total mortgage loans on real estate originations |        87,492            |   |        99,993 |   |        95,084 |   |        72,392 |   |      117,443 |
|                                             |                                                        |   |   |   |   |   |   |   |   |
| Other loans:                                     |                                                        |   |   |   |   |   |   |   |   |
| Commercial business                              |        23,755            |   |        22,755 |   |        14,960 |   |        12,351 |   |          7,214 |
| Consumer and other                               |          1,858 |   |          1,798 |   |          2,842 |   |          4,477 |   |          2,928 |
| Total other loan originations                    |        25,613            |   |        24,553 |   |        17,802 |   |        16,828 |   |        10,142 |
| Total loans originated                           |      113,105                       |   |      124,546 |   |      112,886 |   |        89,220 |   |      127,585 |
|                                             |                                                        |   |   |   |   |   |   |   |   |
| Purchase of manufactured home loans              |          5,769 |   |          5,644 |   |          5,726 |   |          6,497 |   |          3,156 |
|                                             |                                                        |   |   |   |   |   |   |   |   |
| Deduct:                                          |                                                        |   |   |   |   |   |   |   |   |
| Principal loan repayments and prepayments        |        72,256            |   |        78,044 |   |        71,159 |   |        73,194 |   |        75,011 |
| Loan sales                                       |        16,603            |   |        24,091 |   |        16,322 |   |        12,219 |   |          7,610 |
| Charge-offs                                      |          1,772 |   |          1,387 |   |                39 |   |          1,026 |   |              118 |
| Total deductions                                 |        90,631            |   |      103,522 |   |        87,520 |   |        86,439 |   |        82,739 |
| Net increase in loans                            |        28,243            |   |        26,668 |   |        31,092 |   |          9,278 |   |        48,002 |
| Loans at end of year                             |  $ 415,985                                             |   |  $ 387,742 |   |  $ 361,074 |   |  $ 329,982 |   |  $ 320,704 |
|                                             |                                                        |   |   |   |   |   |   |   |   |

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|                                                                                                                                      |                                                                  |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |   |                        |   |
|-------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------|--------|----------------------------------|--------|------------------------------------------------------------|--------|----------------------------------|--------|--------------------------------------------|--------|-----------------------------|--------|-----------------------------------------------------------------------|--------|-----------------------------|--------|
|                                                                                                                                      | Residential Mortgage                                                  |   | Commercial Mortgage              |   | Commercial                                                 |   | Construction                     |   |
|                                                                                                                                      | Amount                                                                |   |  Weighted Average Rate |   | Amount                                                     |   |  Weighted Average Rate |   | Amount                                     |   |  Weighted Average Rate |   | Amount *                                                              |   |  Weighted Average Rate |   |
|                                                                                                                                      | (Dollars In Thousands)                                                |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |
| Due less than one year                                                                                                                    |  $          77 |   | 5.43                             | %      |  $     4,578                 |   | 6.37                             | %      |  $     5,045 |   | 3.42                        | %      |  $     2,281                            |   | 6.01                        | %      |
| Due after one year to five years                                                                                                          |         1,334                 |   | 5.83                             |   |       52,169                 |   | 6.14                             |   |       12,366 |   | 6.54                        |   |            614 |   | 4.77                        |   |
| Due after five years                                                                                                                      |     129,566                                       |   | 5.47                             |   |       81,999                 |   | 6.26                             |   |       25,128 |   | 4.93                        |   |       10,565                            |   | 6.27                        |   |
| Total                                                                                                                                     |  $ 130,977                                                       |   | 5.50                             | %      |  $ 138,746                                            |   | 6.22                             | %      |  $   42,539            |   | 5.22                        | %      |  $   13,460                                       |   | 6.16                        | %      |
|                                                                                                                                      |                                                                  |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |   |                        |   |
|                                                                                                                                      |                                                                  |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |   |                        |   |
|                                                                                                                                      |                                                                  |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |   |                        |   |
|                                                                                                                                      | Home Equity                                                           |   | Consumer and Other               |   | Total                                                      |   |                             |   |                                       |   |
|                                                                                                                                      | Amount                                                                |   |  Weighted Average Rate      |   | Amount                                                     |   |  Weighted Average Rate      |   | Amount                                     |   |  Weighted Average Rate |   |                                                                  |   |                        |
|                                                                                                                                      | (Dollars In Thousands)                                                |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |
| Due less than one year                                                                                                                    |  $          30 |   | 5.63                             | %      |  $        323 |   | 6.04                             | %      |  $   12,334            |   | 5.08                        | %      |                                                                  |   |                        |   |
| Due after one year to five years                                                                                                          |         2,344                 |   | 4.39                             |   |         2,990      |   | 6.08                             |   |       71,817 |   | 6.13                        |   |                                                                  |   |                        |   |
| Due after five years                                                                                                                      |       62,632                            |   | 4.40                             |   |       21,944                 |   | 9.15                             |   |     331,834            |   | 5.69                        |   |                                                                  |   |                        |   |
| Total                                                                                                                                     |  $   65,006                                       |   | 4.45                             | %      |  $   25,257                            |   | 8.71                             | %      |  $ 415,985                            |   | 5.76                        | %      |                                                                  |   |                        |   |
|                                                                                                                                      |                                                                  |   |                             |   |                                                       |   |                             |   |                                       |   |                        |   |                                                                  |   |                        |   |
| * The amount of Construction loans that are due after five years are written to be permanent loans after the construction period is over. |

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|                 |                                                   |                       |                                                                                                      |                                               |                                       |            |
|----------------------|--------------------------------------------------------|----------------------------|-----------------------------------------------------------------------------------------------------------|----------------------------------------------------|--------------------------------------------|-----------------|
|                 |                                                   | Due After June 30, 2011    |
|                 |                                                   | Fixed                      |                                                                                                      | Adjustable                                         |                                       | Total           |
|                 |                                                   | (In Thousands)             |
| Residential Mortgage |  $     41,124            |                       |  $        89,776                                             |                                               |  $ 130,900                            |
| Construction         |         10,836 |                       |                  343 |                                               |       11,179 |
| Commercial mortgage  |         70,850 |                       |            63,318                                  |                                               |     134,168            |
| Commercial business  |         22,082 |                       |            15,412                                  |                                               |       37,494 |
| Home equity          |         31,605 |                       |            33,371                                  |                                               |       64,976 |
| Consumer and other   |         24,289 |                       |                  645 |                                               |       24,934 |
| Total loans          |                                                   |  $  200,786 |                                                                                                      |  $      202,865 |                                       |  $ 403,651 |
|                 |                                                   |                       |                                                                                                      |                                               |                                       |            |

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|                                                      | At June 30,                                                                                       |
|-----------------------------------------------------------|---------------------------------------------------------------------------------------------------|
|                                                      | 2010                                                                                              |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
|                                                      | (Dollars In Thousands)                                                                            |
| Non-accrual loans:                                        |                                                                                              |   |   |   |   |   |   |   |   |
| Residential mortgage                                      |  $      2,763                                                  |   |  $      2,473 |   |  $         684 |   |  $         217 |   |  $            78 |
| Commercial mortgage                                       |          1,200                                       |   |              856 |   |              703 |   |              235 |   |              588 |
| Commercial                                                |              936                 |   |              168 |   |          3,212 |   |          3,083 |   |          3,168 |
| Home equity, consumer and other                           |              793                 |   |              417 |   |              226 |   |                26 |   |              118 |
| Total non-accrual loans                                   |          5,692                                       |   |          3,914 |   |          4,825 |   |          3,561 |   |          3,952 |
|                                                      |                                                                                              |   |   |   |   |   |   |   |   |
| Loans greater than 90 days delinquent and still accruing: |                                                                                              |   |   |   |   |   |   |   |
| Residential mortgage                                      |                 - |   |                 - |   |                 - |   |                 - |   |              190 |
| Commercial mortgage                                       |                 - |   |                 - |   |                 - |   |                 - |   |              267 |
| Commercial                                                |                 - |   |                 - |   |                 - |   |                 - |   |              778 |
| Home equity, consumer and other                           |                 - |   |                 - |   |                 - |   |                 - |   |                 - |
| Total loans 90 days delinquent and still accruing         |                 - |   |                 - |   |                 - |   |                 - |   |          1,235 |
| Total non-performing loans                                |          5,692                                       |   |          3,914 |   |          4,825 |   |          3,561 |   |          5,187 |
| Other real estate owned                                   |              911                 |   |          1,362 |   |                 - |   |                 - |   |                 - |
| Total non-performing assets                               |  $      6,603                                                  |   |  $      5,276 |   |  $      4,825 |   |  $      3,561 |   |  $      5,187 |
| Troubled debt restructurings, not reported above          |  $      4,836                                                  |   |  $             - |   |  $             - |   |  $             - |   |  $             - |
|                                                      |                                                                                              |   |   |   |   |   |   |   |   |
| Ratios:                                                   |                                                                                              |   |   |   |   |   |   |   |   |
| Non-performing loans to total loans                       | 1.37%                                                                                             |   | 1.01% |   | 1.34% |   | 1.08% |   | 1.62% |
| Non-performing assets to total assets                     | 1.13%                                                                                             |   | 0.93% |   | 0.89% |   | 0.68% |   | 1.11% |
|                                                      |                                                                                              |   |   |   |   |   |   |   |   |

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|                                                             | At or For the Years Ended June 30,                                                                      |
|------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------|
|                                                             | 2010                                                                                                    |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
|                                                             | (Dollars In Thousands)                                                                                  |
| Balance at beginning of year                                     |  $      3,742                                                        |   |  $      3,453 |   |  $      2,810 |   |  $      3,695 |   |  $      3,644 |
| Charge-offs:                                                     |                                                                                                    |   |   |   |   |   |   |   |   |
| Mortgage loans on real estate                                    |              (39)                      |   |            (585) |   |              (28) |   |                 - |   |                 - |
| Other loans:                                                     |                                                                                                    |   |   |   |   |   |   |   |   |
| Commercial business                                              |         (1,695)                                                 |   |            (739) |   |                 - |   |            (991) |   |              (92) |
| Consumer and other                                               |              (38)                      |   |              (58) |   |              (11) |   |              (35) |   |              (26) |
| Total other loans                                                |         (1,733)                                                 |   |            (797) |   |              (11) |   |         (1,026) |   |            (118) |
| Total charge-offs                                                |         (1,772)                                                 |   |         (1,382) |   |              (39) |   |         (1,026) |   |            (118) |
|                                                             |                                                                                                    |   |   |   |   |   |   |   |   |
| Recoveries:                                                      |                                                                                                    |   |   |   |   |   |   |   |   |
| Mortgage loans on real estate                                    |                  2 |   |                 - |   |                26 |   |                 - |   |                 - |
| Other loans:                                                     |                                                                                                    |   |   |   |   |   |   |   |   |
| Commercial business                                              |                  3 |   |              256 |   |                 - |   |                  7 |   |                 - |
| Consumer and other                                               |                  2 |   |                  3 |   |                  5 |   |                12 |   |                19 |
| Total other loans                                                |                  5 |   |              259 |   |                  5 |   |                19 |   |                19 |
| Total recoveries                                                 |                  7 |   |              259 |   |                31 |   |                19 |   |                19 |
| Net charge-offs                                                  |         (1,765)                                                 |   |         (1,123) |   |                 (8) |   |         (1,007) |   |              (99) |
| Provision for loan losses                                        |          4,337                                             |   |          1,412 |   |              651 |   |              122 |   |              150 |
| Balance at end of year                                           |  $      6,314                                                        |   |  $      3,742 |   |  $      3,453 |   |  $      2,810 |   |  $      3,695 |
|                                                             |                                                                                                    |   |   |   |   |   |   |   |   |
| Ratios:                                                          |                                                                                                    |   |   |   |   |   |   |   |   |
| Net charge-offs to average loans outstanding                     | (0.43%)                                                                                                 |   | (0.29%) |   | (0.00%) |   | (0.32%) |   | (0.03%) |
| Allowance for loan losses to non-performing loans at end of year | 110.93%                                                                                                 |   | 95.61% |   | 71.56% |   | 78.91% |   | 71.24% |
| Allowance for loan losses to total loans at end of year          | 1.52%                                                                                                   |   | 0.97% |   | 0.96% |   | 0.85% |   | 1.15% |

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|                                |                                                                                                                       | At June 30,                                                                                                                 |
|-------------------------------------|----------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------|
|                                |                                                                                                                       | 2010                                                                                                                        |   | 2009 |   | 2008 |
|                                |                                                                                                                       |   Allowance for Loan Losses                                                                                       |   |   Loan Balance by Category |   |   Percent of Loans in Each Category to Total Loans |   |   Allowance for Loan Losses |   |   Loan Balance by Category |   |   Percent of Loans in Each Category to Total Loans |   |   Allowance for Loan Losses |   |   Loan Balance by Category |   |   Percent of Loans in Each Category to Total Loans |   |
|                                |                                                                                                                       | (Dollars In Thousands)                                                                                                      |   |
| Mortage loans on real estate:       |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Residential                         |                                                                                                                       |  $            1,391                                        |   |  $      130,977 |   | 31.49 | % |  $             887 |   |  $        123,151 |   | 31.76 | % |  $             464 |   |  $       121,864 |   | 33.75 | % |
| Construction                        |                                                                                                                       |                   224             |   |              13,460 |   | 3.24 |   |                  235 |   |              17,243 |   | 4.45 |   |                      91 |   |               11,308 |   | 3.13 |   |
| Commercial                          |                                                                                                                       |                1,766                             |   |           138,746 |   | 33.35 |   |                1,308 |   |           127,604 |   | 32.91 |   |                  850 |   |            117,636 |   | 32.59 |   |
| Home equity                         |                                                                                                                       |                   526             |   |             65,006 |   | 15.63 |   |                  458 |   |             58,747 |   | 15.15 |   |                  304 |   |             57,790 |   | 16.01 |   |
| Total mortgage loans on real estate |               3,907                                  |                                                                                                                        |           348,189 |   | 83.70 |   |               2,888 |   |          326,745 |   | 84.27 |   |                1,709 |   |          308,598 |   | 85.48 |   |
|                                |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other loans:                        |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Commercial                          |                                                                                                                       |               2,348                                   |   |             42,539 |   | 10.23 |   |                   781 |   |              38,918 |   | 10.04 |   |                 1,681 |   |             32,509 |   | 8.99 |   |
| Consumer and other                  |                     59 |                                                                                                                        |             25,257 |   | 6.07 |   |                     73 |   |             22,079 |   | 5.69 |   |                     63 |   |              19,967 |   | 5.53 |   |
| Total other loans                   |               2,407                                  |                                                                                                                        |             67,796 |   | 16.30 |   |                  854 |   |             60,997 |   | 15.73 |   |                1,744 |   |             52,476 |   | 14.52 |   |
| Total loans                         |                                                                                                                       |  $           6,314                                              |   |  $      415,985 |   | 100.00 | % |  $          3,742 |   |  $     387,742 |   | 100.00 | % |  $          3,453 |   |  $      361,074 |   | 100.00 | % |
|                                |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                |                                                                                                                       | At June 30,                                                                                                                 |   |   |   |   |   |   |   |
|                                |                                                                                                                       | 2007                                                                                                                        |   | 2006 |   |   |   |   |   |   |   |
|                                |                                                                                                                       |   Allowance for Loan Losses                                                                                  |   |   Loan Balance by Category |   |   Percent of Loans in Each Category to Total Loans |   |   Allowance for Loan Losses |   |   Loan Balance by Category |   |   Percent of Loans in Each Category to Total Loans |   |   |   |
|                                |                                                                                                                       | (Dollars In Thousands)                                                                                                      |   |   |   |   |   |   |   |
| Mortage loans on real estate:       |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Residential                         |                                                                                                                       |  $              287                              |   |  $        116,178 |   | 35.21 | % |  $             287 |   |  $        111,849 |   | 34.88 | % |   |   |   |   |   |   |
| Construction                        |                                                                                                                       |                     141 |   |               21,251 |   | 6.44 |   |                    141 |   |              22,314 |   | 6.95 |   |   |   |   |   |   |   |
| Commercial                          |                                                                                                                       |                   539             |   |             90,538 |   | 27.45 |   |                  744 |   |              91,226 |   | 28.45 |   |   |   |   |   |   |   |
| Home equity                         |                                                                                                                       |                    217       |   |             59,899 |   | 18.15 |   |                   217 |   |              64,132 |   | 20.00 |   |   |   |   |   |   |   |
| Total mortgage loans on real estate |                 1,184                      |                                                                                                                        |          287,866 |   | 87.25 |   |                1,389 |   |           289,521 |   | 90.28 |   |   |   |   |   |   |   |
|                                |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Other loans:                        |                                                                                                                       |                                                                                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Commercial                          |                                                                                                                       |                1,469                             |   |             25,472 |   | 7.71 |   |                2,123 |   |             22,609 |   | 7.05 |   |   |   |   |   |   |   |
| Consumer and other                  |                    157      |                                                                                                                        |              16,644 |   | 5.04 |   |                   183 |   |               8,574 |   | 2.67 |   |   |   |   |   |   |   |
| Total other loans                   |                1,626                            |                                                                                                                        |               42,116 |   | 12.75 |   |               2,306 |   |               31,183 |   | 9.72 |   |   |   |   |   |   |   |
| Total loans                         |                                                                                                                       |  $           2,810                                              |   |  $     329,982 |   | 100.00 | % |  $          3,695 |   |  $     320,704 |   | 100.00 | % |   |   |   |   |   |   |

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|                                     | At June 30,                                                                                       |
|------------------------------------------|---------------------------------------------------------------------------------------------------|
|                                     | 2010                                                                                              |   | 2009 |   | 2008 |
|                                     |   Amortized Cost                                                                             |   |   Fair Value |   |   Amortized Cost |   |   Fair Value |   |   Amortized Cost |   | Fair Value |
|                                     | (In Thousands)                                                                                    |
| Securities available for sale:           |                                                                                              |   |   |   |   |   |   |   |   |   |   |
| Government-sponsored enterprises         |  $      9,992                                                  |   |  $    10,027 |   |  $     9,982 |   |  $    10,105 |   |  $    36,962 |   |  $    37,196 |
| Corporate bonds and other obligations    |                 - |   |                 - |   |                 - |   |                  - |   |                 - |   |                 - |
| Residential mortgage-backed securities:  |                                                                                              |   |   |   |   |   |   |   |   |   |
|      Agency     |        88,842                                                  |   |        91,876 |   |       92,340 |   |        94,108 |   |        70,388 |   |        70,530 |
|      Non-agency |          9,024                                       |   |          9,097 |   |       11,973 |   |        11,180 |   |        15,504 |   |        14,903 |
| Total debt securities                    |     107,858                                                                   |   |      111,000 |   |     114,295 |   |      115,393 |   |      122,854 |   |      122,629 |
|                                     |                                                                                              |   |   |   |   |   |   |   |   |   |   |
| Marketable equity securities:            |                                                                                              |   |   |   |   |   |   |   |   |   |   |
| Common stock                             |             561                       |   |              379 |   |          1,018 |   |              707 |   |          1,661 |   |          1,263 |
| Total marketable equity securities       |             561                       |   |              379 |   |          1,018 |   |              707 |   |          1,661 |   |          1,263 |
| Total securities available for sale      |     108,419                                                                   |   |      111,379 |   |     115,313 |   |      116,100 |   |      124,515 |   |      123,892 |
| Restricted equity securites:             |                                                                                              |   |   |   |   |   |   |   |   |   |   |
| Federal Home Loan Bank of Boston stock   |          5,233                                       |   |          5,233 |   |          5,233 |   |           5,233 |   |          5,233 |   |          5,233 |
| Total securities                         |  $ 113,652                                                                                   |   |  $ 116,612 |   |  $ 120,546 |   |  $  121,333 |   |  $ 129,748 |   |  $ 129,125 |
|                                     |                                                                                              |   |   |   |   |   |   |   |   |   |   |

|                             | One Year or Less                                                          |   |   More Than One Year Through Five Years |   |   More Than Five Years Through Ten Years                             |   |   More Than Ten Years    |   | Total Securities                                               |   |
|----------------------------------|---------------------------------------------------------------------------|--------|----------------------------------------------|--------|---------------------------------------------------------------------------|--------|-------------------------------|--------|----------------------------------------------------------------|--------|
|                             |   Amortized Cost                                                     |   |   Weighted Average Yield                |   |   Amortized Cost                                                     |   |   Weighted Average Yield |   |   Amortized Cost                                          |   |   Weighted Average Yield |   |   Amortized Cost |   |   Weighted Average Yield |   |   Amortized Cost |   |   Weighted Average Yield |   |
|                             | (Dollars In Thousands)                                                    |
| Securities available for sale:   |                                                                      |   |                                         |   |                                                                      |   |                          |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |
| Government-sponsored enterprises |  $         -            |   | 0.00                                         | %      |  $   9,992                                            |   | 1.76                          | %      |  $         - |   |             - | % |  $         - |   |            - | % |  $    9,992 |   | 1.76 | % |
| Mortgage-backed securities:      |                                                                      |   |                                         |   |                                                                      |   |                          |   |                                                           |   |   |   |   |   |   |   |   |   |   |   |
|    Agency         |          307                 |   | 7.77                                         |   |       8,161                                 |   | 2.67                          |   |     22,144                                 |   | 3.63 |   |      58,230 |   | 3.60 |   |      88,842 |   | 3.54 |   |
|    Non-agency     |             - |   | 0.00                                         |   |             - |   | 0.00                          |   |       5,217                      |   | 4.71 |   |        3,807 |   | 3.08 |   |        9,024 |   | 4.02 |   |
| Total debt securities            |  $      307                            |   | 7.77                                         | %      |  $ 18,153                                                            |   | 2.17                          | %      |  $ 27,361                                                 |   | 3.84 | % |  $  62,037 |   | 3.57 | % |  $107,858 |   | 3.41 | % |

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|                       | Years Ended June 30,                       |   |
|----------------------------|--------------------------------------------|--------|
|                       | 2010                                       |   | 2009 |   | 2008 |   |
|                       |   Average Balance                     |   |   Percent |   |   Weighted Average Rate |   |   Average Balance |   |   Percent |   |   Weighted Average Rate |   |   Average Balance |   |   Percent |   |   Weighted Average Rate |   |
|                       | (Dollars In Thousands)                     |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Deposit type:              |                                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Demand                     |  $   47,182            |   | 11.78 | % |              - | % |  $   36,728 |   | 10.38 | % |              - | % |  $   34,335 |   | 11.09 | % |              - | % |
| Savings                    |       76,700 |   | 19.16 |   | 0.61 |   |       68,385 |   | 19.33 |   | 1.14 |   |       68,065 |   | 21.97 |   | 1.79 |   |
| Money market               |       44,309 |   | 11.07 |   | 0.67 |   |       33,124 |   | 9.36 |   | 1.17 |   |       19,958 |   | 6.44 |   | 1.70 |   |
| NOW accounts               |       23,707 |   | 5.92 |   | 0.60 |   |       19,132 |   | 5.41 |   | 0.90 |   |       16,571 |   | 5.35 |   | 0.94 |   |
| Total transaction accounts |     191,898            |   | 47.93 |   | 0.49 |   |     157,369 |   | 44.48 |   | 0.87 |   |     138,929 |   | 44.85 |   | 1.23 |   |
| Certificates of deposit    |     208,468            |   | 52.07 |   | 2.59 |   |     196,457 |   | 55.52 |   | 3.22 |   |     170,849 |   | 55.15 |   | 3.99 |   |
| Total deposits             |  $400,366                             |   | 100.00 | % | 1.52 | % |  $ 353,826 |   | 100.00 | % | 2.12 | % |  $309,778 |   | 100.00 | % | 2.75 | % |

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|          | At June 30,                                                                                     |
|---------------|-------------------------------------------------------------------------------------------------|
| Interest Rate | 2010                                                                                            |   | 2009 |   | 2008 |
|          | (In Thousands)                                                                                  |
| Less than 2%  |  $          81,604                       |   |  $    27,961 |   |  $      6,326 |
| 2.00% - 2.99% |              48,204            |   |        58,339 |   |        26,722 |
| 3.00% - 3.99% |              55,632            |   |        80,658 |   |        57,520 |
| 4.00% - 4.99% |                9,364 |   |        12,003 |   |        58,970 |
| 5% or Greater |              18,134            |   |        23,555 |   |        39,857 |
| Total         |  $       212,938                                        |   |  $ 202,516 |   |  $ 189,395 |
|          |                                                                                            |   |   |   |   |

|          | Year Ending June 30,                                                                |
|---------------|-------------------------------------------------------------------------------------|
| Interest Rate | 2011                                                                                |   | 2012 |   | 2013 |   | 2014 |   |   After June 30, 2014 |   | Total |
|          | (In Thousands)                                                                      |
| Less than 2%  |  $       74,641                             |   |  $     6,943 |   |  $          20 |   |  $            - |   |  $                - |   |  $      81,604 |
| 2.00% - 2.99% |           21,575                  |   |       15,184 |   |         8,570 |   |         1,808 |   |              1,067 |   |          48,204 |
| 3.00% - 3.99% |           21,492                  |   |       10,357 |   |         4,070 |   |         8,898 |   |           10,815 |   |          55,632 |
| 4.00% - 4.99% |              2,202 |   |            429 |   |         2,180 |   |         4,494 |   |                   59 |   |            9,364 |
| 5% or Greater |              7,548 |   |         9,670 |   |            916 |   |                - |   |                     - |   |          18,134 |
| Total         |  $     127,458                                        |   |  $  42,583 |   |  $  15,756 |   |  $  15,200 |   |  $       11,941 |   |  $   212,938 |

|                                 | At June 30, 2010                                                                                                               |
|--------------------------------------|--------------------------------------------------------------------------------------------------------------------------------|
|                                 | (In Thousands)                                                                                                                 |
| Three months or less                 |  $                 26,651            |
| Over three months through six months |                     28,808 |
| Over six months through one year     |                     18,991 |
| Over one year through three years    |                     37,328 |
| Over three years                     |                     11,549 |
| Total                                |  $               123,327                       |

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|                                          | At or For the Years Ended June 30,                     |
|-----------------------------------------------|--------------------------------------------------------|
|                                          | 2010                                                   |   | 2009 |   | 2008 |
|                                          | (Dollars In Thousands)                                 |
| Balance at end of year                        |  $    58,196                  |   |  $    72,415 |   |  $    95,477 |
| Average balance during year                   |         63,116 |   |        84,809 |   |        92,770 |
| Maximum outstanding at any month end          |         72,415 |   |        94,126 |   |        98,394 |
| Weighted average interest rate at end of year | 3.96%                                                  |   | 4.05% |   | 4.16% |
| Weighted average interest rate during year    | 4.03%                                                  |   | 4.16% |   | 4.36% |

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|                      |         |
|---------------------------|--------------|
| Item 1A.   | Risk Factors |

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|                      |                      |
|---------------------------|---------------------------|
| Item 1B.   | Unresolved Staff Comments |

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|                     |       |
|--------------------------|------------|
| Item 2.   | Properties |

|                                                                          |            | Location                   | Year Opened | Lease Expires                          |
|-------------------------------------------------------------------------------|-----------------|----------------------------|-------------|----------------------------------------|
|                                                                          |            |                       |        |                                   |
| Owned                                                                         |            |                       |        |                                   |
|                                                                          | Main Office:    |                       |        |                                   |
|                                                                          |            | 19 Harrison Avenue         | 1950        |                                   |
|                                                                          |            | Springfield, MA 01103      |        |                                   |
|                                                                          | Branch Offices: |                       |        |                                   |
|                                                                          |            | 220 Westfield Street       | 1991        |                                   |
|                                                                          |            | West Springfield, MA 01085 |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 475 Longmeadow Street      | 1976        |                                   |
|                                                                          |            | Longmeadow, MA 01106       |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 1363 Allen Street          | 1979        |                                   |
|                                                                          |            | Springfield, MA 01118      |        |                                   |
|                                                                          |            |                       |        |                                   |
| Leased                                                                        |            |                       |        |                                   |
|                                                                          |            | 820 Suffield Street        | 2001        |  2010 (1)                         |
|                                                                          |            | Agawam, MA 01001           |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 2005 Boston Road           | 2003        |   2022 (2)                   |
|                                                                          |            | Wilbraham, MA 01095        |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 1500 Main Street           | 2005        |    2010 (3)             |
|                                                                          |            | Tower Square               |        |                                   |
|                                                                          |            | Springfield, MA 01115      |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 187 Main Street            | 2007        |     2013 (4)       |
|                                                                          |            | Indian Orchard             |        |                                   |
|                                                                          |            | Springfield, MA 01151      |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            | 916 Shaker Road            | 2009        |      2014 (5) |
|                                                                          |            | Longmeadow, MA 01106       |        |                                   |
|                                                                          |            |                       |        |                                   |
|                                                                          |            |                       |        |                                   |
| (1) Hampden Bank has an option to renew for ten years.                        |            |                       |
| (2) Hampden Bank has an option to renew for two additional ten year terms.    |            |
| (3) Hampden Bank has an option to renew for five years.                       |            |                       |
| (4) Hampden Bank has an option to renew for two additional five year terms.   |            |
| (5) Hampden Bank has an option to renew for three additional five year terms. |            |

|                     |              |
|--------------------------|-------------------|
| Item 3.   | Legal Proceedings |

|                     |                   |
|--------------------------|------------------------|
| Item 4.   | (Removed and Reserved) |

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|                     |                                                                                                               |
|--------------------------|--------------------------------------------------------------------------------------------------------------------|
| Item 5.   | Market For Registrant’s Common Equity, Related Stockholder Matters And Issuer Purchases Of Equity Securities |

|                     |                                                                               |   |                                                                         |   |                                                                         |
|--------------------------|------------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------|
| Common Stock (per share) |                                                                               |   |                                                                         |   |                                                                         |
|                     | Market Price                                                                       |   |                                                                         |
|                     | High                                                                               |   | Low                                                                          |   | Dividends Declared                                                           |
| Fiscal Year 2010:        |                                                                               |   |                                                                         |   |                                                                         |
| First Quarter            |  $        11.00                       |   |  $         9.90            |   |  $         0.03            |
| Second Quarter           |            11.00            |   |           10.62            |   |             0.03 |
| Third Quarter            |            10.99            |   |             9.80 |   |             0.03 |
| Fourth Quarter           |            10.05            |   |             9.21 |   |             0.03 |
|                     |                                                                               |   |                                                                         |   |                                                                         |
|                     |                                                                               |   |                                                                         |   |                                                                         |
|                     |                                                                               |   |                                                                         |   |                                                                         |
| Common Stock (per share) |                                                                               |   |                                                                         |   |                                                                         |
|                     | Market Price                                                                       |   |                                                                         |
|                     | High                                                                               |   | Low                                                                          |   | Dividends Declared                                                           |
| Fiscal Year 2009:        |                                                                               |   |                                                                         |   |                                                                         |
| First Quarter            |  $        10.45                       |   |  $         9.65            |   |  $         0.03            |
| Second Quarter           |            10.22            |   |             8.85 |   |             0.03 |
| Third Quarter            |              9.48 |   |             7.87 |   |             0.03 |
| Fourth Quarter           |            11.20            |   |             8.90 |   |             0.03 |

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|                           |   |                                                                                                                                                                                              |   |                                                                                                                                                                                   |   | (c)                                                                                                                                                                                                                       |   |                                                                                                                                                                                                                                                          |
|--------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                           |   |                                                                                                                                                                                              |   |                                                                                                                                                                                   |   | Total Number of                                                                                                                                                                                                           |   | (d)                                                                                                                                                                                                                                                           |
|                           |   |                                                                                                                                                                                              |   |                                                                                                                                                                                   |   | Shares Purchased                                                                                                                                                                                                          |   | Maximum Number of                                                                                                                                                                                                                                             |
|                           |   | (a)                                                                                                                                                                                               |   | (b)                                                                                                                                                                                    |   | as Part of Publicly                                                                                                                                                                                                       |   | Shares that May Yet Be                                                                                                                                                                                                                                        |
|                           |   | Total Number of                                                                                                                                                                                   |   | Average Price Paid                                                                                                                                                                     |   | announced Plans or                                                                                                                                                                                                        |   | Purchased Under the                                                                                                                                                                                                                                           |
| Period                         |   | Shares Purchased                                                                                                                                                                                  |   | per Share                                                                                                                                                                              |   | Programs                                                                                                                                                                                                                  |   | Plans or Programs                                                                                                                                                                                                                                             |
| April 1, 2010 - April 30, 2010 |   |                                 - |   |  $                             - |   |                                     - |   |                                           - |
| May 1, 2010 - May 31, 2010     |   |                                 - |   |  $                             - |   |                                     - |   |                                           - |
| June 1, 2010 - June 30, 2010   |   |                       34,200                                                        |   |  $                        9.75                            |   |                          34,200                                                              |   |                              323,373                                                                         |
|                           |   |                       34,200                                                        |   |  $                        9.75                            |   |                          34,200                                                              |   |                              323,373                                                                         |

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|   |   |                  |   |   |   |   |   |   |   |   |   |
|--------|--------|-----------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|   |   | Hampden Bancorp, Inc. |   |
|   |   |                  |   |   |   |   |   |   |   |   |   |

|                  |     |         |     |     |     |     |     |     |
|-----------------------|----------|--------------|----------|----------|----------|----------|----------|----------|
|                  |     | PeriodEnding |     |
| Index                 | 01/17/07 | 06/30/07     | 12/31/07 | 06/30/08 | 12/31/08 | 06/30/09 | 12/31/09 | 06/30/10 |
| Hampden Bancorp, Inc. | 100.00   | 87.98        | 78.58    | 79.25    | 72.73    | 79.27    | 85.76    | 76.96    |
| NASDAQ Bank Index     | 100.00   | 94.15        | 79.58    | 61.29    | 60.54    | 46.18    | 49.34    | 50.23    |
| NASDAQ Composite      | 100.00   | 104.99       | 106.97   | 92.48    | 63.60    | 74.01    | 91.52    | 85.07    |

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|                     |                    |
|--------------------------|-------------------------|
| Item 6.   | Selected Financial Data |

|                                                   | At June 30,                                                 |
|--------------------------------------------------------|-------------------------------------------------------------|
|                                                   | 2010                                                        |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
|                                                   | (In Thousands)                                              |
| Selected Financial Condition Data:                     |                                                        |   |   |   |   |   |   |   |   |
| Total assets                                           |  $ 584,039                                             |   |  $  567,656 |   |  $  543,832 |   |  $ 523,937 |   |  $  468,786 |
| Loans, net (1)                                         |      413,547                       |   |       387,553 |   |      360,773 |   |     329,538 |   |      318,202 |
| Securities                                             |      111,379                       |   |       116,100 |   |      123,892 |   |     153,754 |   |      116,034 |
| Deposits                                               |      420,060                       |   |       381,477 |   |      331,441 |   |     327,341 |   |      322,714 |
| Short-term borrowings, including repurchase agreements |          6,806 |   |         12,372 |   |        13,223 |   |        13,937 |   |        30,235 |
| Long-term debt                                         |        58,196            |   |         70,915 |   |        95,477 |   |        75,334 |   |        80,824 |
| Stockholders' equity                                   |        94,773            |   |         96,658 |   |      100,448 |   |     102,018 |   |        31,274 |
|                                                   |                                                        |   |   |   |   |   |   |   |   |
| (1) Includes loans held for sale.                      |                                                        |   |   |   |   |   |   |   |   |

|                                                                                                                                                                                                                                                                                                                                                                    | For The Years Ended June 30,                                            |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                    | 2010                                                                    |   | 2009 |   | 2008 |   | 2007 |   | 2006 |
|                                                                                                                                                                                                                                                                                                                                                                    | (In Thousands, except per share data)                                   |
| Selected Operating Results:                                                                                                                                                                                                                                                                                                                                             |                                                                    |   |   |   |   |   |   |   |   |
| Interest and dividend income, including fees                                                                                                                                                                                                                                                                                                                            |  $    27,557                                   |   |  $     28,273 |   |  $    28,824 |   |  $   27,534 |   |  $    23,428 |
| Interest expense                                                                                                                                                                                                                                                                                                                                                        |          9,740             |   |         12,345 |   |        14,340 |   |        15,481 |   |        12,340 |
| Net interest income                                                                                                                                                                                                                                                                                                                                                     |        17,817                        |   |         15,928 |   |        14,484 |   |        12,053 |   |        11,088 |
| Provision for loan losses                                                                                                                                                                                                                                                                                                                                               |          4,337             |   |           1,412 |   |              651 |   |             122 |   |              150 |
| Net interest income after provision for loan losses                                                                                                                                                                                                                                                                                                                     |        13,480                        |   |         14,516 |   |        13,833 |   |        11,931 |   |        10,938 |
| Non-interest income                                                                                                                                                                                                                                                                                                                                                     |          2,735             |   |           2,300 |   |           2,434 |   |          1,963 |   |           1,426 |
| Non-interest expense (1)                                                                                                                                                                                                                                                                                                                                                |        17,101                        |   |         16,286 |   |        14,082 |   |        15,616 |   |        11,067 |
| Income (loss) before income tax expense                                                                                                                                                                                                                                                                                                                                 |            (886) |   |               530 |   |           2,185 |   |        (1,722) |   |           1,297 |
| Income tax expense (benefit) (2)                                                                                                                                                                                                                                                                                                                                        |            (533) |   |               244 |   |           1,015 |   |            (267) |   |              277 |
| Net income (loss)                                                                                                                                                                                                                                                                                                                                                       |  $        (353)            |   |  $          286 |   |  $      1,170 |   |  $    (1,455) |   |  $      1,020 |
|                                                                                                                                                                                                                                                                                                                                                                    |                                                                    |   |   |   |   |   |   |   |   |
| Basic earnings per share                                                                                                                                                                                                                                                                                                                                                |  $       (0.05)                 |   |  $         0.04 |   |  $         0.16 |   |  $      (0.20) |   | N/A (3) |
| Basic weighted average shares outstanding                                                                                                                                                                                                                                                                                                                               | 6,528,355                                                               |   |   6,826,777 |   |   7,273,069 |   | 7,333,354 |   | N/A (3) |
|                                                                                                                                                                                                                                                                                                                                                                    |                                                                    |   |   |   |   |   |   |   |   |
| Diluted earnings per share                                                                                                                                                                                                                                                                                                                                              |  $       (0.05)                 |   |  $         0.04 |   |  $         0.16 |   |  $      (0.20) |   | N/A (3) |
| Diluted weighted average shares outstanding                                                                                                                                                                                                                                                                                                                             | 6,528,355                                                               |   |   6,868,495 |   |   7,283,701 |   | 7,333,354 |   | N/A (3) |
|                                                                                                                                                                                                                                                                                                                                                                    |                                                                    |   |   |   |   |   |   |   |   |
| Dividends per share                                                                                                                                                                                                                                                                                                                                                     |  $        0.12             |   |  $         0.12 |   | 0.12 |   | N/A |   | N/A |
|                                                                                                                                                                                                                                                                                                                                                                    |                                                                    |   |   |   |   |   |   |   |   |
| (1) Includes the contribution to the Hampden Bank Charitable Foundation in the amount of $3.8 million for the year ended June 30, 2007.                                                                                                                                                                                                                                 |                                                                    |   |
| (2) Includes a tax benefit of approximately $827,000 due to the donation to the Hampden Bank Charitable Foundation for the year ended June 30, 2007. Includes a $350,000 increase to the Company's valuation reserve against the deferred tax asset set up for the utilization of the charitable contribution deduction carry-forward for the year ended June 30, 2008. |                                                                    |   |
| (3) Earnings per common share are not presented as Hampden Bancorp Inc.'s initial public offering was completed on January 16, 2007; therefore per share results would not be meaningful.                                                                                                                                                                               |                                                                    |   |

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|                                                                                                                                                                                                     | At or For The Years Ended June 30, |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------|--------|
|                                                                                                                                                                                                     | 2010                               |   | 2009 |   | 2008 |   | 2007 |   | 2006 |   |
|                                                                                                                                                                                                     |                               |   |   |   |   |   |   |   |   |   |
| Selected Ratios and Other Data:                                                                                                                                                                          |                               |   |   |   |   |   |   |   |   |   |
| Performance Ratios:                                                                                                                                                                                      |                               |   |   |   |   |   |   |   |   |   |
| Return (loss) on average assets (ratio of net income to average total assets)                                                                                                                            | (0.06)                             | %      | 0.05 | % | 0.22 | % | (0.29) | % | 0.23 | % |
| Return (loss) on equity (ratio of net income to average equity)                                                                                                                                          | (0.37)                             | %      | 0.29 | % | 1.13 | % | (3.04) | % | 3.06 | % |
| Average interest rate spread (1)                                                                                                                                                                         | 3.08                               | %      | 2.69 | % | 2.41 | % | 2.24 | % | 2.57 | % |
| Net interest margin (2)                                                                                                                                                                                  | 3.32                               | %      | 3.06 | % | 2.95 | % | 2.58 | % | 2.66 | % |
| Efficiency ratio (3)                                                                                                                                                                                     | 83.21                              | %      | 89.35 | % | 83.95 | % | 113.09 | % | 88.60 | % |
| Non-interest expense to average total assets                                                                                                                                                             | 2.98                               | %      | 2.94 | % | 2.70 | % | 3.13 | % | 2.50 | % |
| Dividend pay-out ratio (4)                                                                                                                                                                               | n/a                                |   | 333.56 | % | 81.54 | % | n/a |   | n/a |   |
| Average interest-earning assets to average interest bearing liabilities                                                                                                                                  | 113.65                             | %      | 115.73 | % | 118.48 | % | 110.38 | % | 102.91 | % |
|                                                                                                                                                                                                     |                               |   |   |   |   |   |   |   |   |   |
| Asset Quality Ratios:                                                                                                                                                                                    |                               |   |   |   |   |   |   |   |   |   |
| Non-performing assets to total assets                                                                                                                                                                    | 1.13                               | %      | 0.93 | % | 0.89 | % | 0.68 | % | 1.11 | % |
| Non-performing loans to total loans                                                                                                                                                                      | 1.37                               | %      | 1.01 | % | 1.34 | % | 1.08 | % | 1.62 | % |
| Allowance for loan losses to non-performing loans                                                                                                                                                        | 110.93                             | %      | 95.61 | % | 71.56 | % | 78.91 | % | 71.24 | % |
| Allowance for loan losses to total loans                                                                                                                                                                 | 1.52                               | %      | 0.97 | % | 0.96 | % | 0.85 | % | 1.15 | % |
| Net charge-offs to average loans outstanding                                                                                                                                                             | 0.43                               | %      | 0.29 | % | 0.00 | % | 0.32 | % | 0.03 | % |
|                                                                                                                                                                                                     |                               |   |   |   |   |   |   |   |   |   |
| Capital Ratios:                                                                                                                                                                                          |                               |   |   |   |   |   |   |   |   |   |
| Equity to total assets at end of year                                                                                                                                                                    | 16.23                              | %      | 17.03 | % | 18.47 | % | 19.47 | % | 6.67 | % |
| Average equity to average assets                                                                                                                                                                         | 16.69                              | %      | 17.69 | % | 19.79 | % | 9.61 | % | 7.52 | % |
| Risk based tier 1 capital ratio (bank only) at end of year                                                                                                                                               | 16.90                              | %      | 17.40 | % | 18.50 | % | 19.30 | % | 11.30 | % |
|                                                                                                                                                                                                     |                               |   |   |   |   |   |   |   |   |   |
| Other Data:                                                                                                                                                                                              |                               |   |   |   |   |   |   |   |   |   |
| Number of full service offices                                                                                                                                                                           | 9                                  |   | 9 |   | 8 |   | 7 |   | 7 |   |
|                                                                                                                                                                                                     |                               |   |   |   |   |   |   |   |   |   |
| (1) The average interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities for the year. |                               |   |   |
| (2) The net interest margin represents net interest income as a percent of average interest-earning assets for the year.                                                                                 |                               |   |   |
| (3) The efficiency ratio represents non-interest expense for the period divided by the sum of net interest income (before the loan loss provision) plus non-interest income.                             |                               |   |   |
| (4) Dividends declared per share divided by basic net income per common share. Comparable figures for 2006 are not available since no dividends were paid during these periods.                          |                               |   |   |

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|                     |                                                                                       |
|--------------------------|--------------------------------------------------------------------------------------------|
| Item 7.   | Management’s Discussion And Analysis Of Financial Condition And Results Of Operation |

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|                    | Options Granted in April 2008                                                                                          |
|-------------------------|------------------------------------------------------------------------------------------------------------------------|
| Fair Value              |  $                2.86            |   |
| Risk-free interest rate |                    4.25 | % |
| Expected dividend yield |                    1.16 | % |
| Expected volatility     |                  19.40            | % |
| Expected term (years)   |                    6.50 |   |

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| 1.   | A write down of the recorded investment (book value) to market value be taken; or |
|----------------|-----------------------------------------------------------------------------------|

| 2.   | An addition to the valuation reserve in an amount equal to or greater than the excess of recorded investment over market value should be established. |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------|

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|                                                                                                                                             | Years Ended June 30,                                        |   |
|--------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------|--------|
|                                                                                                                                             | 2010                                                        |   | 2009 |   | 2008 |   |
|                                                                                                                                        |  Average Outstanding Balance                           |   |  Interest |   |   Yield/Rate |   |   Average Outstanding Balance |   |  Interest |   |   Yield/Rate |   |   Average Outstanding Balance |   |  Interest |   |   Yield/Rate |   |
|                                                                                                                                             | (Dollars in Thousands)                                      |   |
| Interest-earning assets:                                                                                                                         |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loans, net (1)                                                                                                                                   |  $  405,783                                  |   |  $ 23,475 |   | 5.79 | % |  $  381,941 |   |  $22,721 |   | 5.95 | % |  $  344,563 |   |  $22,072 |   | 6.41 | % |
| Investment securities                                                                                                                            |      117,812                       |   |       4,059 |   | 3.45 | % |      123,419 |   |      5,427 |   | 4.40 | % |      132,608 |   |      6,259 |   | 4.72 | % |
| Federal funds sold and other                                                                                                                     |        12,812            |   |            23 |   | 0.18 | % |        15,713 |   |         125 |   | 0.80 | % |        14,136 |   |         493 |   | 3.49 | % |
| Total interest earning assets                                                                                                                    |      536,407                       |   |     27,557 |   | 5.14 | % |      521,073 |   |    28,273 |   | 5.43 | % |      491,307 |   |    28,824 |   | 5.87 | % |
| Non-interest earning assets                                                                                                                      |        36,666            |   |   |   |   |   |        32,370 |   |   |   |   |   |        30,696 |   |   |   |   |   |
| Total assets                                                                                                                                     |  $  573,073                                  |   |   |   |   |   |  $  553,443 |   |   |   |   |   |  $  522,003 |   |   |   |   |   |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest-bearing liabilities:                                                                                                                    |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Savings deposits                                                                                                                                 |  $    77,335                       |   |          639 |   | 0.83 | % |  $    68,967 |   |      1,014 |   | 1.47 | % |  $    68,065 |   |      1,584 |   | 2.33 | % |
| Money market                                                                                                                                     |        44,309            |   |          402 |   | 0.91 | % |        33,124 |   |         507 |   | 1.53 | % |        19,958 |   |         433 |   | 2.17 | % |
| NOW and other checking accounts                                                                                                                  |        69,143            |   |          231 |   | 0.33 | % |        54,149 |   |         173 |   | 0.32 | % |        50,906 |   |         149 |   | 0.29 | % |
| Certificates of deposit                                                                                                                          |      208,468                       |   |       5,830 |   | 2.80 | % |      196,567 |   |      6,972 |   | 3.55 | % |      170,849 |   |      7,743 |   | 4.53 | % |
| Total deposits                                                                                                                                   |      399,255                       |   |       7,102 |   | 1.78 | % |      352,807 |   |      8,666 |   | 2.46 | % |      309,778 |   |      9,909 |   | 3.20 | % |
| Borrowed funds                                                                                                                                   |        72,730            |   |       2,638 |   | 3.63 | % |        97,431 |   |      3,679 |   | 3.78 | % |      104,901 |   |      4,431 |   | 4.22 | % |
| Total interest-bearing liabilities                                                                                                               |      471,985                       |   |       9,740 |   | 2.06 | % |      450,238 |   |    12,345 |   | 2.74 | % |      414,679 |   |    14,340 |   | 3.46 | % |
| Non-interest bearing liabilities                                                                                                                 |          5,463 |   |   |   |   |   |          5,297 |   |   |   |   |   |          3,996 |   |   |   |   |   |
| Total liabilities                                                                                                                                |      477,448                       |   |   |   |   |   |      455,535 |   |   |   |   |   |      418,675 |   |   |   |   |   |
| Equity                                                                                                                                           |        95,625            |   |   |   |   |   |        97,908 |   |   |   |   |   |      103,328 |   |   |   |   |   |
| Total Liabilities and equity                                                                                                                     |  $  573,073                                  |   |   |   |   |   |  $  553,443 |   |   |   |   |   |  $  522,003 |   |   |   |   |   |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net interest income                                                                                                                              |                                                        |   |  $ 17,817 |   |   |   |   |   |  $15,928 |   |   |   |   |   |  $14,484 |   |   |   |
| Net interest rate spread (2)                                                                                                                     |                                                        |   |   |   | 3.08 | % |   |   |   |   | 2.69 | % |   |   |   |   | 2.41 | % |
| Net interest-earning assets (3)                                                                                                                  |  $    64,422                       |   |   |   |   |   |  $    70,835 |   |   |   |   |   |  $    76,628 |   |   |   |   |   |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net interest margin (4)                                                                                                                          |                                                        |   |   |   | 3.32 | % |   |   |   |   | 3.06 | % |   |   |   |   | 2.95 | % |
| Average interest-earning assets to interest-bearing liabilities                                                                                  | 113.65                                                      | %      |   |   |   |   | 115.73 | % |   |   |   |   | 118.48 | % |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                                                                                             |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (1) The average balances of loans includes nonaccrual loans, loans held for sale, and deferred fees and costs.                                   |                                                        |   |   |   |   |   |   |   |   |   |   |
| (2) Net interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-earning liabilities |
|       for the period indicated.                                                                                    |                                                        |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| (3) Net interest-earning assets represents total interest-earning assets less total interest-earning liabilities.                                |                                                        |   |   |
| (4) Net interest margin represents net interest income divided by average total interest-earning assets.                                         |                                                        |   |   |   |

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|                              | Years Ended June 30 2010 vs. 2009                                    |   | Years Ended June 30 2009 vs. 2008                                                     |
|-----------------------------------|----------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------|
|                              |                                                                 |   |                                                                                  |   |   |   |   |
|                              |  Increase(Decrease) Due to                                      |   |  Total Increase (Decrease)                                                  |   |  Increase(Decrease) Due to |   | Total Increase (Decrease) |
|                              | Volume                                                               |   | Rate                                                                                  |   |   |   | Volume |   | Rate |   |   |
|                              | (In Thousands)                                                       |
| Interest income:                  |                                                                 |   |                                                                                  |   |   |   |   |   |   |   |   |
| Loans, net (1)                    |  $  1,391                                             |   |  $    (637)                                                  |   |  $           754 |   |  $  2,291 |   |  $ (1,642) |   |  $           649 |
| Investment securities             |        (237)                      |   |     (1,131)                                                       |   |           (1,368) |   |        (419) |   |         (413) |   |              (832) |
| Federal funds sold and other      |          (20)           |   |           (82)                      |   |              (102) |   |            50 |   |         (418) |   |              (368) |
| Total interest income             |      1,134                                  |   |     (1,850)                                                       |   |              (716) |   |      1,922 |   |     (2,473) |   |              (551) |
|                              |                                                                 |   |                                                                                  |   |   |   |   |   |   |   |   |
| Interest expense:                 |                                                                 |   |                                                                                  |   |   |   |   |   |   |   |   |
| Savings deposits                  |          111            |   |         (486)                                 |   |              (375) |   |            21 |   |         (591) |   |              (570) |
| Money market                      |          140            |   |         (245)                                 |   |              (105) |   |          227 |   |         (153) |   |                  74 |
| NOW and other checking accounts   |            50 |   |               8 |   |                  58 |   |            10 |   |             14 |   |                  24 |
| Certificates of deposits          |          402            |   |     (1,544)                                                       |   |           (1,142) |   |      1,062 |   |     (1,833) |   |              (771) |
| Total deposits                    |          703            |   |     (2,267)                                                       |   |           (1,564) |   |      1,320 |   |     (2,563) |   |           (1,243) |
| Borrowed funds                    |        (901)                      |   |         (140)                                 |   |           (1,041) |   |        (302) |   |         (450) |   |              (752) |
| Total interest expense            |        (198)                      |   |     (2,407)                                                       |   |           (2,605) |   |      1,018 |   |     (3,013) |   |           (1,995) |
| Change in net interest income     |  $  1,332                                             |   |  $      557                                        |   |  $        1,889 |   |  $     904 |   |  $      540 |   |  $        1,444 |
|                              |                                                                 |   |                                                                                  |   |   |   |   |   |   |   |   |
| (1) Includes loans held for sale. |                                                                 |   |                                                                                  |   |   |   |   |   |   |   |   |

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|                              | Percentage Change in Estimated Net Interest Income over 12 months as Compared to Flat Rates |
|-----------------------------------|---------------------------------------------------------------------------------------------|
| 400 basis point increase in rates | -22.08%                                                                                     |
| 300 basis point increase in rates | -14.05%                                                                                     |
| 200 basis point increase in rates | -8.75%                                                                                      |
| 100 basis point increase in rates | -2.74%                                                                                      |
| Flat interest rates               | 0.00%                                                                                       |
| 100 basis point decrease in rates | -0.69%                                                                                      |
| 200 basis point decrease in rates | -8.30%                                                                                      |

|   |           As indicated in the table above the result of a 100 basis point increase in interest rates is estimated to decrease net interest income by 2.74%, and 8.75% for a 200 basis point increase over a 12-month horizon, when compared to the flat rate scenario. The estimated change in net interest income from the flat rate scenario for a 200 basis point decline in the level of interest rates is a decrease of 8.30%, and a decrease of 0.69% for a 100 basis point decline. Inherent in these estimates is the assumption that interest rates on interest bearing liabilities would change in direct proportion to changes in the U.S. Treasury yield curve. In all simulations, the lowest possible interest rate would be zero. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|            There are inherent shortcomings in income simulation, given the number and variety of assumptions that must be made in performing the analysis. The assumptions relied upon in making these calculations of interest rate sensitivity include the level of market interest rates, the shape of the yield curve, the degree to which certain assets and liabilities with similar maturities or periods to repricing react to changes in market interest rates, the degree to which non-maturity deposits react to changes in market rates, the expected prepayment rates on loans and mortgage-backed securities, and the degree to which early withdrawals occur on certificates of deposit and the volume of other deposit flows. As such, although the analysis shown above provides an indication of the Company's sensitivity to interest rate changes at a point in time, these estimates are not intended to and do not provide a precise forecast of the effect of changes in market interest rates on the Company's net interest income and will differ from actual results. |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   |  Contractual Obligations.    The following table presents information indicating various contractual obligations and commitments of the Company as of June 30, 2010 and the respective maturity dates: |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                      | June 30, 2010                                                                       |
|-------------------------------------------|-------------------------------------------------------------------------------------|
|                                 | Total                                                                               |   |   One Year or Less |   |   More Than One Year Through Three Years |   |   More Than Three Years Through Five Years |   | Over Five Years |
|                                      | (In Thousands)                                                                      |
| Federal Home Loan Bank of Boston advances |  $       58,196                             |   |  $    11,500 |   |  $        31,145 |   |  $          9,551 |   |  $      6,000 |
| Lease commitments                         |              2,217 |   |              238 |   |                  409 |   |                  348 |   |          1,222 |
| Data processing                           |              3,000 |   |              600 |   |               1,200 |   |               1,200 |   |                 - |
| Total contractual obligations             |  $       63,413                             |   |  $    12,338 |   |  $        32,754 |   |  $        11,099 |   |  $      7,222 |

|                                                                                                        | June 30, 2010                                                                                                                                                                     |
|-------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                        | (In Thousands)                                                                                                                                                                    |
| Commitments to grant loans (1)                                                                              |  $                      9,719                                  |
| Commercial lines of credit                                                                                  |                        23,262                                  |
| Unused portions of home equity lines of credit (2)                                                          |                        30,074                                  |
| Unused portion of construction loans (3)                                                                    |                          7,333                       |
| Unused portion of mortgage loans                                                                            |                              210 |
| Unused portion of personal lines-of-credit (4)                                                              |                          1,983                       |
| Standby letters of credit (5)                                                                               |                          2,200                       |
| Total loan commitments                                                                                      |  $                    74,781                                             |
|                                                                                                        |                                                                                                                                                                              |
| (1) Commitments for loans are generally extended to customers for up to 60 days after which they expire.    |
| (2) Unused portions of home equity lines of credit are available to the borrower for up to 10 years.        |
| (3) Unused portions of construction loans are available to the borrower for up to twelve to eighteen        |
|      months for development loans and up to one year for other construction loans. |
| (4) Unused portions of personal lines-of-credit are available to customers in "good standing" indefinitely. |
| (5) Standby letters of credit are generally available for one year or less.                                 |

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|                      |                                                       |
|---------------------------|------------------------------------------------------------|
| Item 7A.   | Quantitative and Qualitative Disclosures About Market Risk |

|                     |                                        |
|--------------------------|---------------------------------------------|
| Item 8:   | Financial Statements And Supplementary Data |

|                     |                                                                                 |
|--------------------------|--------------------------------------------------------------------------------------|
| Item 9.   | Changes In And Disagreements With Accountants On Accounting And Financial Disclosure |

|                         |                    |
|------------------------------|-------------------------|
| Item 9A(T).   | Controls And Procedures |

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|                      |              |
|---------------------------|-------------------|
| Item 9B.   | Other Information |

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|                      |                                                   |
|---------------------------|--------------------------------------------------------|
| Item 10.   | Directors, Executive Officers and Corporate Governance |

|                      |                   |
|---------------------------|------------------------|
| Item 11.   | Executive Compensation |

|                      |                                                                                           |
|---------------------------|------------------------------------------------------------------------------------------------|
| Item 12.   | Security Ownership Of Certain Beneficial Owners And Management And Related Stockholder Matters |

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| Plan Category                                                                     |                                                                                                                                                                                              |   Number of Securities to be Issued Upon Exercise of Outstanding Options, Warrants and Rights |                                                                                                                                                                            |   Weighted Average Exercise Price of Outstanding Options, Warrants and Rights |                                                                                                                                                                                                                                              | Number of Securities Remaining Available for Future Issuance Under Equity Compensation Plans (Excluding Securities Reflected in the First Column) |
|-----------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|
| Equity compensation plans    approved by security holders     | 553,000                                                                                                                                                                                           |                                                                                               | $10.90                                                                                                                                                                          |                                                                               | 241,987                                                                                                                                                                                                                                           |
|                                                                              |                                                                                                                                                                                              |                                                                                               |                                                                                                                                                                            |                                                                               |                                                                                                                                                                                                                                              |                                                                                                                                              |
| Equity compensation plans not    approved by security holders |                                 - |                                                                                               |                              - |                                                                               |                                         - |
| Total                                                                             |                                                                                                                                                                                              | 553,000                                                                                            |                                                                                                                                                                            | $10.90                                                                             |                                                                                                                                                                                                                                              | 241,987                                                                                                                                           |

|                      |                                                                      |
|---------------------------|---------------------------------------------------------------------------|
| Item 13.   | Certain Relationships And Related Transactions, and Director Independence |

|                      |                                   |
|---------------------------|----------------------------------------|
| Item 14.   | Principal Accounting Fees And Services |

|                      |                                         |
|---------------------------|----------------------------------------------|
| Item 15.   | Exhibits, Financial Statement Schedules |

|   | 1. | Financial Statements |
|--------|----|----------------------|

|   | 2. | Financial Statement Schedules |
|--------|----|-------------------------------|

|   | 3. | Exhibits: |
|--------|----|-----------|

| 3.1    |   | Certificate of Incorporation of Hampden Bancorp, Inc.(1)              |
|--------|--------|-----------------------------------------------------------------------|
| 3.2    |   | Bylaws of Hampden Bancorp, Inc.(2)                                    |
| 3.3    |   | Amendment to Amended and Restated Bylaws of Hampden Bancorp, Inc. (3) |
| 4.1    |   | Stock Certificate of Hampden Bancorp, Inc.(1)                         |
| 10.1   |   | Hampden Bank Employee Stock Ownership Plan and Trust Agreement(4)     |
| 10.2.1 |   | Hampden Bank Employee Stock Ownership Plan Loan Agreement(5)          |

----

Table of Contents

| 10.2.2  |   | Pledge Agreement(5)                                                                                   |
|---------|--------|-------------------------------------------------------------------------------------------------------|
| 10.2.3  |   | Promissory Note(5)                                                                                    |
| 10.3    |   | Hampden Bank 401(k) Profit Sharing Plan and Trust(1)                                                  |
| 10.4    |   | Hampden Bank SBERA Pension Plan(1)                                                                    |
| 10.5.1  |   | Employment Agreement between Hampden Bank and Thomas R. Burton(5)                                     |
| 10.5.2  |   | Employment Agreement between Hampden Bank and Glenn S. Welch(5)                                       |
| 10.6    |   | Form of Hampden Bank Change in Control Agreement(6)                                                   |
| 10.7    |   | Executive Salary Continuation Agreement between Hampden Bank and Thomas R. Burton(1)                  |
| 10.8    |   | Form of Executive Salary Continuation Agreement between Hampden Bank and certain specific officers(1) |
| 10.9    |   | Form of Director Supplemental Retirement Agreements between Hampden Bank and certain directors(1)     |
| 10.10.1 |   | Executive Split Dollar Life Insurance Agreement between Hampden Bank and Thomas R. Burton(1)          |
| 10.10.2 |   | Executive Split Dollar Life Insurance Agreement between Hampden Bank and Robert S. Michel(1)          |
| 10.11   |   | Amendment to Supplemental Retirement Agreement between Hampden Bank and Thomas R. Burton (7)          |
| 10.12   |   | 2008 Equity Incentive Plan (8)                                                                        |
| 10.13   |   | Form of Restricted Stock Agreement (9)                                                                |
| 10.14   |   | Form of Stock Option Grant Notice and Stock Option Agreement (9)                                      |
| 21.0    |   | List of Subsidiaries                                                                                  |
| 23.0    |   | Consent of Wolf & Company, P.C.                                                                   |
| 31.1    |   | Certification pursuant to Rule 13a-14(a)/15d-14(a) of Thomas R. Burton                                |
| 31.2    |   | Certification pursuant to Rule 13a-14(a)/15d-14(a) of Robert A. Massey                                |
| 32.0    |   | Section 1350 Certification of Chief Executive Officer and Chief Financial Officer                |

|   | (1) | Incorporated by reference to the Company’s Registration Statement on Form S-1 (File No. 333-137359), as amended, initially filed with the SEC on September 15, 2006. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | Incorporated by reference to the Company’s Current Report on Form 8-K (File No. 001-33144) as filed with the SEC on August 3, 2007. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------|

|         (3) | Incorporated by reference to the Company’s Current Report on Form 8-K (File No. 001-33144) as filed with the SEC on September 14, 2009. |
|------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

|   | (4) | Incorporated by reference to the Company’s Quarterly Report on Form 10-Q (File No. 001-33144) for the quarter ended September 30, 2006. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

|   | (5) | Incorporated by reference to the Company’s Current Report on Form 8-K (File No. 001-33144) as filed with the SEC on January 19, 2007. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | (6) | Incorporated by reference to the Company’s Current Report on Form 8-K (File No. 001-33144) as filed with the SEC on November 9, 2009. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------|

|   | (7) | Incorporated by reference to the Company’s Annual Report on Form 10-K (File No. 001-33144) for the year ended June 30, 2007. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------|

|   | (8) | Incorporated by reference to the Company’s Proxy Statement on Form DEF 14A, as filed with the SEC on December 27, 2007. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------|

|   | (9) | Incorporated by reference to the Company’s Quarterly Report on Form 10-Q (File No. 001-33144) for quarter ended March 31, 2008. |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------|

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SI

|   |   | HAMPDEN BANCORP, INC. |
|--------|--------|----------------------------|
|   |   |  By:                  |  /s/  THOMAS R. BURTON       Thomas R. BurtonPresident and Chief Executive Officer |

| Name                                                                                                        |   | Title                                                                                                           |   | Date                    |
|-------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------|--------|-------------------------|
|  /s/  THOMAS R. BURTONThomas R. Burton                                                       |   |  President, Chief Executive Officer (principal executive officer)                                          |   |  September 7, 2010 |
|  /s/  ROBERT A. MASSEY Robert A. Massey                                                 |   |  Chief Financial Officer, Senior Vice President and Treasurer (principal accounting and financial officer) |   |  September 7, 2010 |
|  /s/  STUART F. YOUNG JR.      Stuart F. Young, Jr.            |   |  Chairman of the Board of DirectorsDirector                                                                |   |  September 7, 2010 |
|  /s/  THOMAS V. FOLEYThomas V. Foley                                                         |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  JUDITH E. KENNEDY      Judith E. Kennedy                 |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  RICHARD J. KOS      Richard J. Kos                       |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  STANLEY KOWALSKI, JR.      Stanley Kowalski, Jr.         |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  KATHLEEN O’BRIEN MOORE      Kathleen O'Brien Moore |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  MARY ELLEN SCOTT      Mary Ellen Scott                   |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  ARLENE PUTNAM      Arlene Putnam                         |   |  Director                                                                                                  |   |  September 7, 2010 |
|  /s/  RICHARD D SUSKI    Richard D. Suski                                |   |  Director                                                                                                  |   |  September 7, 2010 |

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|                                                                                                              |   |            |
|-------------------------------------------------------------------------------------------------------------------|--------|-----------------|
|                                                                                                              |   | Page            |
|                                                                                                              |   |            |
|          Report of Independent Registered Public Accounting Firm     |   | F-2             |
|          Consolidated Balance Sheets                                      |   | F-3             |
|          Consolidated Statements of Operations                            |   | F-4             |
|          Consolidated Statements of Changes in Stockholders’ Equity |   | F-5             |
|          Consolidated Statements of Cash Flows                            |   | F-6 – F-7 |
|          Notes to Consolidated Financial Statements                       |   | F-8             |

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Table of Contents

| ASSETS                                                                                                                       |                                                                                                          |   |                                                                                        |
|------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------|
|                                                                                                                         | June 30,                                                                                                      |
|                                                                                                                         | 2010                                                                                                          |   | 2009                                                                                        |
|                                                                                                                         |  (In Thousands)                                                                                          |
| Cash and due from banks                                                                                                      |  $      20,770                                                             |   |  $    13,925                                                       |
| Federal funds sold and other short-term investments                                                                          |            9,263                                       |   |        22,323                                            |
|           Cash and cash equivalents                                        |          30,033                                                  |   |        36,248                                            |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
| Securities available for sale, at fair value                                                                                 |        111,379                                                             |   |      116,100                                                       |
| Federal Home Loan Bank of Boston stock, at cost                                                                              |            5,233                                       |   |         5,233                                       |
| Loans held for sale                                                                                                          |              933                             |   |            915                       |
| Loans, net of allowance for loan losses of $6,314                                                                            |                                                                                                          |   |                                                                                        |
|     at June 30, 2010 and $3,742 at June 30, 2009                                                         |        412,614                                                             |   |      386,638                                                       |
| Other real estate owned                                                                                                      |              911                             |   |         1,362                                       |
| Premises and equipment, net                                                                                                  |            5,097                                       |   |         4,379                                       |
| Accrued interest receivable                                                                                                  |            1,751                                       |   |         1,805                                       |
| Deferred tax asset                                                                                                           |            3,420                                       |   |         2,974                                       |
| Bank-owned life insurance                                                                                                    |          10,325                                                  |   |         9,909                                       |
| Other assets                                                                                                                 |            2,343                                       |   |         2,093                                       |
|                                                                                                                         |  $    584,039                                                                        |   |  $  567,656                                                                  |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                                                                         |                                                                                                          |   |                                                                                        |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
| Deposits                                                                                                                     |  $    420,060                                                                        |   |  $  381,477                                                                  |
| Securities sold under agreements to repurchase                                                                               |            6,806                                       |   |        10,872                                            |
| Short-term borrowings                                                                                                        |                   - |   |         1,500                                       |
| Long-term debt                                                                                                               |          58,196                                                  |   |        70,915                                            |
| Mortgagors' escrow accounts                                                                                                  |              849                             |   |            799                       |
| Accrued expenses and other liabilities                                                                                       |            3,355                                       |   |         5,435                                       |
|                Total liabilities                  |        489,266                                                             |   |      470,998                                                       |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
| Commitments and contigencies (Notes 12 and 14)                                                                               |                                                                                                          |   |                                                                                        |
|                                                                                                                         |                                                                                                          |   |                                                                                        |
| Preferred stock ($.01 par value, 5,000,000 shares authorized; none issued or outstanding)                                    |                   - |   |                - |
| Common stock ($.01 par value, 25,000,000 shares authorized; 7,949,879 issued;                                                |                                                                                                          |   |                                                                                        |
|        7,117,274 outstanding at June 30, 2010 and 7,446,752 outstanding at June 30, 2009) |                79                  |   |              79            |
| Additional paid-in-capital                                                                                                   |          77,959                                                  |   |        77,603                                            |
| Unearned compensation - ESOP (487,594 shares unallocated at June 30, 2010 and                                                |                                                                                                          |   |                                                                                        |
|        529,992 shares unallocated at June 30, 2009)                                       |           (4,876)                                           |   |        (5,300)                                           |
| Unearned compensation - equity incentive plan                                                                                |           (1,450)                                           |   |        (2,127)                                           |
| Retained earnings                                                                                                            |          29,781                                                  |   |        30,986                                            |
| Accumulated other comprehensive income                                                                                       |            1,869                                       |   |            507                       |
| Treasury stock, at cost (832,605 shares at June 30, 2010 and 503,127 shares at June 30, 2009)                           |           (8,589)                                           |   |        (5,090)                                           |
|                Total stockholders' equity         |          94,773                                                  |   |        96,658                                            |
|                                                                                                                         |  $    584,039                                                                        |   |  $  567,656                                                                  |
|                                                                                                                         |                                                                                                          |   |                                                                                        |

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|                                                                                                                         | Years Ended June 30,                                                                                                                  |
|------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                         | 2010                                                                                                                                  |   | 2009 |   | 2008 |
|                                                                                                                         | (In Thousands)                                                                                                                        |
| Interest and dividend income:                                                                                                |                                                                                                                                  |   |   |   |   |
|     Loans, including fees                                                                                |  $          23,475                                                             |   |  $        22,721 |   |  $   22,072 |
|     Debt securities                                                                                      |                4,049                                       |   |              5,310 |   |        5,683 |
|     Dividends                                                                                            |                    10                  |   |                 117 |   |           576 |
|     Federal funds sold and other short-term investments                                                  |                    23                  |   |                 125 |   |           493 |
|                Total interest and dividend income |              27,557                                                  |   |            28,273 |   |       28,824 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Interest expense:                                                                                                            |                                                                                                                                  |   |   |   |   |
|     Deposits                                                                                             |                7,102                                       |   |              8,666 |   |        9,909 |
|     Borrowings                                                                                           |                2,638                                       |   |              3,679 |   |        4,431 |
|                Total interest expense             |                9,740                                       |   |            12,345 |   |       14,340 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Net interest income                                                                                                          |              17,817                                                  |   |            15,928 |   |       14,484 |
| Provision for loan losses                                                                                                    |                4,337                                       |   |              1,412 |   |           651 |
| Net interest income, after provision for loan losses                                                                         |              13,480                                                  |   |            14,516 |   |       13,833 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Non-interest income:                                                                                                         |                                                                                                                                  |   |   |   |   |
|     Customer service fees                                                                                |                1,914                                       |   |              1,633 |   |        1,569 |
|     Gain (loss) on sales/impairment of securities, net                                                   |                    15                  |   |                (326) |   |             57 |
|     Gain on sales of loans, net                                                                          |                  166                             |   |                 287 |   |             86 |
|     Curtailment and settlement of defined benefit plan                                                   |                       - |   |                     - |   |           108 |
|     Increase in cash surrender value of life insurance                                                   |                  416                             |   |                 435 |   |           377 |
|     Other                                                                                                |                  224                             |   |                 271 |   |           237 |
|                Total non-interest income          |                2,735                                       |   |              2,300 |   |        2,434 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Non-interest expense:                                                                                                        |                                                                                                                                  |   |   |   |   |
|     Salaries and employee benefits                                                                       |                9,441                                       |   |              9,175 |   |        8,209 |
|     Occupancy and equipment                                                                              |                1,740                                       |   |              1,640 |   |        1,481 |
|     Data processing services                                                                             |                  885                             |   |                 853 |   |           760 |
|     Advertising                                                                                          |                  915                             |   |                 936 |   |           909 |
|     Write-down of other real estate owned                                                                |                  286                             |   |                     - |   |               - |
|     FDIC insurance and assessment expenses                                                               |                  596                             |   |                 616 |   |             36 |
|     Other general and administrative                                                                     |                3,238                                       |   |              3,066 |   |        2,687 |
|                Total non-interest expense         |              17,101                                                  |   |            16,286 |   |       14,082 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Income (loss) before income taxes                                                                                            |                 (886)                                 |   |                 530 |   |        2,185 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Income tax expense (benefit)                                                                                                 |                 (533)                                 |   | 244 |   |        1,015 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
|                 Net income (loss)            |  $              (353)                                      |   |  $             286 |   |  $     1,170 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Earnings per share                                                                                                           |                                                                                                                                  |   |   |   |   |
|                 Basic                        |  $             (0.05)                                           |   |  $            0.04 |   |  $      0.16 |
|                 Diluted                      |  $             (0.05)                                           |   |  $            0.04 |   |  $      0.16 |
|                                                                                                                         |                                                                                                                                  |   |   |   |   |
| Weighted average shares outstanding                                                                                          |                                                                                                                                  |   |   |   |   |
|                 Basic                        | 6,528,355                                                                                                                             |   | 6,826,777 |   | 7,273,069 |
|                 Diluted                      | 6,528,355                                                                                                                             |   | 6,868,495 |   | 7,283,701 |

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Table of Contents

|                                                                                                                                                                                      |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |  Unearned                                                                                                                                                      |                                        |                                                                                                                      |   |  Accumulated                                                                                                                                                   |   |                                                                                              |                                                                                |                                                                                                                            |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------|---------------|---------------------------------------------------------------------------------------------------------|----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------|---------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                      |                                                                                                                            |   |                                                                                        |          |    Additional                                                                                 |  Unearned |                                                                                                                                                                |      Compensation- |                                                                                                                                                                |  Other                                 |                                                                                                                      |   |                                                                                                                                                                |   |
|                                                                                                                                                                                      | Common Stock                                                                                                                    |   |  Paid-in                                                                               |          |      Compensation-                                                             | Equity         |                                                                                                                                                                |      Retained           |    Comprehensive                                                                                                                                     |    Treasury                       |
|                                                                                                                                                                                      | Shares                                                                                                                          |   |    Amount                                                                    |  Capital |                                                                                                    |  ESOP     |                                                                                                                                                                |      Incentive Plan     |      Earnings                                                                                                                              |      Income (Loss) |  Stock                                                                                                               |   | Total                                                                                                                                                               |
|                                                                                                                                                                                      |  (In Thousands)                                                                                                            |
| Balance  at June 30, 2007                                                                                                                                                       |    7,949,879                                                                                                     |   |  $       79                                         |          |  $  77,156                                                                               |           |  $             (6,148)                                                                        |                                        |  $                       -                  |                                        |  $     31,933                                                                               |   |  $             (1,002)                                                                        |   |  $            -                  |                                                                                |  $    102,018                                                                                          |
| Comprehensive income:                                                                                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|     Net income                                                                                                                                                        |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             1,170                                             |   |                            - |   |                 - |                                                                                |              1,170                                             |
|     Net unrealized gain on securities                                                                                                                                 |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|        available for sale, net of reclassification                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |
|        adjustment and tax effects                                                                                                                      |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                     - |   |                      625                                   |   |                 - |                                                                                |                625                                   |
|                  Total comprehensive income                                                          |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |             1,795       |
| Culmulative effect of change to accounting    for excess servicing, net of tax effect                                                                                 |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                133                             |   |                            - |   |                 - |                                                                                |                 133                             |
| Cash dividends paid ($0.12 per share)                                                                                                                                                     |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             (862)                                             |   |                            - |   |                 - |                                                                                |              (862)                                             |
| Establishment of stock incentive plan -    restricted stock                                                                                                           |                      - |   |                - |          |         3,237                                                   |           |                            - |                                        |                (3,237)                                                                   |                                        |                     - |   |                            - |   |                 - |                                                                                |                      - |
| Common stock repurchased for stock    incentive plan - restricted stock (317,996    shares)                                                       |                      - |   |                - |          |       (3,237)                                                             |           |                            - |                                        |                            - |                                        |             (243)                                             |   |                            - |   |                 - |                                                                                |          (3,480)                                                                   |
| Stock-based compensation                                                                                                                                                                  |                      - |   |                - |          |               85                  |           |                            - |                                        |                      335                                   |                                        |                     - |   |                            - |   |                 - |                                                                                |                420                                   |
| ESOP shares allocated or committed to be    allocated (42,399 shares)                                                                                                 |                      - |   |                - |          |               35                  |           |                      389                                   |                                        |                            - |                                        |                     - |   |                            - |   |                 - |                                                                                |                424                                   |
| Balance at June 30, 2008                                                                                                                                                                  |    7,949,879                                                                                                     |   |  $       79                                         |          |  $ 77,276                                                                                          |           |  $            (5,759)                                                                              |                                        |  $           (2,902)                                                                                    |                                        |  $      32,131                                                                         |   |  $               (377)                                                              |   |  $          -                              |                                                                                |  $   100,448                                                                                                |
| Comprehensive income:                                                                                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|     Net income                                                                                                                                                        |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |               286                                   |   |                            - |   |                 - |                                                                                |                286                                   |
|     Net unrealized gain on securities                                                                                                                                 |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|        available for sale, net of reclassification                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |
|        adjustment and tax effects                                                                                                                      |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                     - |   |                      884                                   |   |                 - |                                                                                |                884                                   |
|                  Total comprehensive income                                                          |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |              1,170 |
| Culmulative effect of change to accounting        for bank owned life insurance, net of        tax effect |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             (457)                                             |   |                            - |   |                 - |                                                                                |              (457)                                             |
| Cash dividends paid ($0.12 per share)                                                                                                                                                     |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             (854)                                             |   |                            - |   |                 - |                                                                                |              (854)                                             |
| Common stock repurchased                                                                                                                                                                  |       (503,127)                                                                                   |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                     - |   |                            - |   |      (5,090)                                                             |                                                                                |          (5,090)                                                                   |
| Stock-based compensation                                                                                                                                                                  |                      - |   |                - |          |            337                                   |           |                            - |                                        |                      655                                   |                                        |                     - |   |                            - |   |                 - |                                                                                |                992                                   |
| Forfeiture of restricted stock                                                                                                                                                            |                      - |   |                - |          |                  - |           |                            - |                                        |                       120                             |                                        |              (120)                                       |   |                            - |   |                 - |                                                                                |                      - |
| ESOP shares allocated or committed to be    allocated (42,399 shares)                                                                                                 |                      - |   |                - |          |              (10)                      |           |                      459                                   |                                        |                            - |                                        |                     - |   |                            - |   |                 - |                                                                                |                449                                   |
| Balance at June 30, 2009                                                                                                                                                                  |    7,446,752                                                                                                     |   |  $       79                                         |          |  $ 77,603                                                                                          |           |  $            (5,300)                                                                              |                                        |  $            (2,127)                                                                              |                                        |  $    30,986                                                                                     |   |  $                 507                                                    |   |  $ (5,090)                                                                                   |                                                                                |  $     96,658                                                                                     |
| Comprehensive income:                                                                                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|     Net loss                                                                                                                                                          |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             (353)                                             |   |                            - |   |                 - |                                                                                |              (353)                                             |
|     Net unrealized gain on securities                                                                                                                                 |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |                                                                                                                            |
|        available for sale, net of reclassification                                                                                                     |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |                                                                                |
|        adjustment and tax effects                                                                                                                      |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                     - |   |                    1,362                                             |   |                 - |                                                                                |             1,362                                                   |
|                  Total comprehensive income                                                          |                                                                                                                            |   |                                                                                        |          |                                                                                                    |           |                                                                                                                                                                |                                        |                                                                                                                                                                |                                        |                                                                                                                      |   |                                                                                                                                                                |   |                                                                                              |             1,009       |
| Cash dividends paid ($0.12 per share)                                                                                                                                                     |                      - |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |             (807)                                             |   |                            - |   |                 - |                                                                                |              (807)                                             |
| Common stock repurchased                                                                                                                                                                  |      (329,478)                                                                                         |   |                - |          |                  - |           |                            - |                                        |                            - |                                        |                     - |   |                            - |   |      (3,499)                                                             |                                                                                |          (3,499)                                                                   |
| Stock-based compensation                                                                                                                                                                  |                      - |   |                - |          |            326                                   |           |                            - |                                        |                      632                                   |                                        |                     - |   |                            - |   |                 - |                                                                                |                958                                   |
| Tax benefit from Equity Incentive      Plan vesting                                                                                                         |                      - |   |                - |          |                10            |           |                            - |                                        |                            - |                                        |                     - |   |                            - |   |                 - |                                                                                |                   10                  |
| Forfeiture of restricted stock                                                                                                                                                            |                      - |   |                - |          |                  - |           |                            - |                                        |                        45                        |                                        |               (45)                                  |   |                            - |   |                 - |                                                                                |                      - |
| ESOP shares allocated or committed to be    allocated (42,399 shares)                                                                                                 |                      - |   |                - |          |               20                  |           |                      424                                   |                                        |                            - |                                        |                     - |   |                            - |   |                 - |                                                                                |                444                                   |
| Balance at June 30, 2010                                                                                                                                                                  |      7,117,274                                                                                         |   |  $       79                                         |          |  $ 77,959                                                                                          |           |  $            (4,876)                                                                              |                                        |  $            (1,450)                                                                              |                                        |  $     29,781                                                                               |   |  $               1,869                                                              |   |  $ (8,589)                                                                                   |                                                                                |  $     94,773                                                                                     |

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|                                                                                                                                                              | Years Ended June 30,                                                                  |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|
|                                                                                                                                                              | 2010                                                                                  |   | 2009 |   | 2008 |
|                                                                                                                                                              | (In Thousands)                                                                        |
| Cash flows from operating activities:                                                                                                                             |                                                                                  |   |   |   |   |
|     Net income (loss)                                                                                                                         |  $      (353)                                      |   |  $        286 |   |  $   1,170 |
|     Adjustments to reconcile net income (loss)  to net cash                                                                         |                                                                                  |   |   |   |   |
|         provided by operating activities:                                                                                 |                                                                                  |   |   |   |   |
|             Provision for loan losses                                                                 |        4,337                                       |   |         1,412 |   |         651 |
|             Net amortization (accretion) of securities                                                |           316                       |   |          (107) |   |          (63) |
|             Depreciation and amortization                                                             |           745                       |   |           651 |   |         662 |
|             Impairment loss on securities                                                             |               - |   |           388 |   |              - |
|             Gain on sales of securities, net                                                          |            (15)                |   |            (62) |   |          (57) |
|             Loans originated for sale                                                                 |      (16,455)                                                |   |      (24,111) |   |    (16,753) |
|             Proceeds from loan sales                                                                  |       16,603                                            |   |       24,378 |   |     16,408 |
|             Gain on sales of loans, net                                                               |          (166)                           |   |          (287) |   |          (86) |
|             Write-down of other real estate owned                                                     |           286                       |   |                - |   |              - |
|             Increase in cash surrender value of                                                       |                                                                                  |   |   |   |   |
|                 life insurance                                                    |          (416)                           |   |          (434) |   |        (377) |
|             Deferred tax provision (benefit)                                                          |       (1,257)                                           |   |          (646) |   |             2 |
|             Employee Stock Ownership Plan expense                                                     |           444                       |   |           449 |   |         424 |
|             Stock-based compensation                                                                  |           958                       |   |           992 |   |         420 |
|             Net change in:                                                                            |                                                                                  |   |   |   |   |
|                 Accrued interest receivable                                       |             54            |   |           288 |   |         293 |
|                 Other assets                                                      |       (1,497)                                           |   |          (460) |   |        (190) |
|                 Accrued expenses and other liabilities                            |       (1,833)                                           |   |         1,103 |   |      (2,092) |
|                     Net cash provided by operating activities |        1,751                                       |   |         3,840 |   |         412 |
|                                                                                                                                                              |                                                                                  |   |   |   |   |
| Cash flows from investing activities:                                                                                                                             |                                                                                  |   |   |   |   |
|     Activity in available-for-sale securities:                                                                                                |                                                                                  |   |   |   |   |
|         Sales                                                                                                             |           484                       |   |           355 |   |     21,226 |
|         Maturities and calls                                                                                              |       11,981                                            |   |       40,965 |   |     43,001 |
|         Principal payments                                                                                                |       33,135                                            |   |       17,765 |   |     17,718 |
|         Purchases                                                                                                         |      (38,007)                                                |   |      (48,730) |   |    (55,574) |
|     Purchase of Federal Home Loan Bank stock                                                                                                  |               - |   |                - |   |        (626) |
|     Purchase of loans                                                                                                                         |       (5,769)                                           |   |        (5,644) |   |      (5,726) |
|     Proceeds from sale of Other Real Estate Owned                                                                                             |           254                       |   |                - |   |              - |
|     Loan originations, net                                                                                                                    |      (24,633)                                                |   |      (23,890) |   |    (25,729) |
|     Premiums paid on bank-owned life insurance                                                                                                |               - |   |                - |   |        (287) |
|     Purchase of premises and equipment                                                                                                        |       (1,463)                                           |   |          (700) |   |        (605) |
|                     Net cash used by investing activities     |      (24,018)                                                |   |      (19,879) |   |      (6,602) |

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|                                                                                                                                                  | Years Ended June 30,                                                             |
|-------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------|
|                                                                                                                                                  | 2010                                                                             |   | 2009 |   | 2008 |
|                                                                                                                                                  | (In Thousands)                                                                   |
| Cash flows from financing activities:                                                                                                                 |                                                                             |   |   |   |   |
|     Net change in deposits                                                                                                        |       38,583                                       |   |       50,036 |   |      4,100 |
|     Net change in repurchase agreements                                                                                           |        (4,066)                                |   |       (2,351) |   |         286 |
|     Net change in short-term borrowings                                                                                           |        (1,500)                                |   |        1,500 |   |     (1,000) |
|     Proceeds from long-term debt                                                                                                  |         3,443                            |   |        2,304 |   |     36,143 |
|     Repayment of long-term debt                                                                                                   |      (16,162)                                           |   |      (26,866) |   |    (16,000) |
|     Net change in mortgagors' escrow accounts                                                                                     |              50 |   |             58 |   |           28 |
|     Tax benefit from Equity Incentive Plan vesting                                                                                |              10 |   |               - |   |             - |
|     Repurchase of common stock                                                                                                    |        (3,499)                                |   |       (5,090) |   |     (3,480) |
|     Payment of dividends on common stock                                                                                          |           (807)                |   |          (854) |   |        (862) |
|                   Net cash provided by financing activities |       16,052                                       |   |       18,737 |   |     19,215 |
|                                                                                                                                                  |                                                                             |   |   |   |   |
| Net change in cash and cash equivalents                                                                                                               |        (6,215)                                |   |        2,698 |   |     13,025 |
|                                                                                                                                                  |                                                                             |   |   |   |   |
| Cash and cash equivalents at beginning of year                                                                                                        |       36,248                                       |   |       33,550 |   |     20,525 |
|                                                                                                                                                  |                                                                             |   |   |   |   |
| Cash and cash equivalents at end of year                                                                                                              |  $    30,033                                            |   |  $   36,248 |   |  $ 33,550 |
|                                                                                                                                                  |                                                                             |   |   |   |   |
| Supplemental cash flow information:                                                                                                                   |                                                                             |   |   |   |   |
|     Interest paid on deposits                                                                                                     |  $     7,102                                       |   |  $     8,666 |   |  $   9,909 |
|     Interest paid on borrowings                                                                                                   |         2,685                            |   |        3,609 |   |      4,027 |
|     Income taxes paid                                                                                                             |         1,142                            |   |           900 |   |         683 |
|     Due to broker                                                                                                                 |         1,000                            |   |        1,373 |   |             - |
|     Transfers from loans to OREO                                                                                                  | 89                                                                               |   |        1,362 |   |             - |

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| Fair Value Hierarchy |
|----------------------|

|          |         |                                                                                                                                                                                                                                                                                                                                                                                                             |
|---------------|--------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Level 1: |    | Inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available.                                                                                                                                       |
|          |         |
| Level 2:      |    | Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets; inputs to the valuation methodology include quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs to the valuation methodology that are derived principally from or can be corroborated by observable market data by correlation or other means. |
|          |         |
| Level 3:      |    | Inputs to the valuation methodology are unobservable and significant to the fair value measurement. Level 3 assets and liabilities include financial instruments whose value is determined using discounted cash flow methodologies, as well as instruments for which the determination of fair value requires significant management judgment or estimation.                                                    |

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|   | Other Real Estate Owned |
|--------|-------------------------|

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|                                                                          | Years Ended June 30,                                                                  |
|-------------------------------------------------------------------------------|---------------------------------------------------------------------------------------|
|                                                                          | 2010                                                                                  |   | 2009 |   | 2008 |
|                                                                          | (In Thousands)                                                                        |
| Unrealized holding gains on available-for-sale securities                     |  $      2,188                                      |   |  $   1,083 |   |  $   1,053 |
| Reclassification adjustment for gains realized in income                      |             (15)          |   |          (62) |   |          (57) |
| Reclassification adjustment for other-than-temporary impairment of securities |               - |   |         388 |   |           - |
| Net unrealized gains                                                          |          2,173                           |   |      1,409 |   |         996 |
| Tax effect                                                                    |             811           |   |         525 |   |         371 |
| Net-of-tax amount                                                             |  $      1,362                                      |   |  $     884 |   |  $     625 |

|                                                                   | Years Ended June 30,                                    |
|------------------------------------------------------------------------|---------------------------------------------------------|
|                                                                   | 2010                                                    |   | 2009 |
|                                                                   | (In Thousands)                                          |
| Net unrealized holding gains (losses) on available for sale securities |  $      2,959        |   |  $     786 |
| Tax effects                                                            |         (1,090) |   |        (279) |
| Net-of-tax amount                                                      |  $      1,869        |   |  $     507 |

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|   | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) |
|--------|--------------------------------------------------------|

|                                                        | Year Ended June 30,                                                                                           |
|-------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------|
|                                                        | 2010                                                                                                          |   | 2009 |   | 2008 |
|                                                        |                                                                                                          |   |   |   |   |
| Net income (loss) applicable to common stock (in thousands) |  $            (353)                          |   |  $             286 |   |  $          1,170 |
|                                                        |                                                                                                          |   |   |   |   |
| Average number of shares issued                             |       7,949,879                                                                 |   |       7,949,879 |   |       7,949,879 |
| Less: average unallocated ESOP shares                       |         (510,457)                                                     |   |         (553,287) |   |         (595,252) |
| Less: average treasury stock                                |         (698,674)                                                     |   |         (279,613) |   |                   - |
| Less: average unvested restricted stock awards              |         (212,393)                                                     |   |         (290,202) |   |           (81,558) |
| Average number of basic shares outstanding                  |       6,528,355                                                                 |   |       6,826,777 |   |       7,273,069 |
|                                                        |                                                                                                          |   |   |   |   |
| Plus: dilutive unvested restricted stock awards             |                   - |   |            41,718 |   |            10,632 |
| Plus: dilutive stock option shares                          |                   - |   |                   - |   |                   - |
| Average number of diluted shares outstanding                |       6,528,355                                                                 |   |       6,868,495 |   |       7,283,701 |
|                                                        |                                                                                                          |   |   |   |   |
| Basic (loss) earnings per share                             |  $           (0.05)                               |   |  $            0.04 |   |  $            0.16 |
| Diluted (loss) earnings per share                           |  $           (0.05)                               |   |  $            0.04 |   |  $            0.16 |

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|   | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) |
|--------|--------------------------------------------------------|

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|   | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) |
|--------|--------------------------------------------------------|

|   | 3. SECURITIES AVAILABLE FOR SALE |
|--------|----------------------------------|

|                                                                                      | June 30, 2010                                                                           |
|-------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------|
|                                                                                      |   Amortized Cost                                                                   |   |   Gross Unrealized Gains |   |   Gross Unrealized Losses |   | Fair Value |
|                                                                                      | (In Thousands)                                                                          |
| Debt securities:                                                                          |                                                                                    |   |   |   |   |   |   |
|      Government-sponsored enterprises                            |  $        9,992                            |   |  $          35 |   |  $            - |   |  $    10,027 |
|      Residential mortgage-backed securities:                     |                                                                                    |   |   |   |   |   |
|         Agency                                    |          88,842                            |   |         3,050 |   |              (16) |   |        91,876 |
|         Non-agency                                |            9,024                 |   |            184 |   |            (111) |   |          9,097 |
|          Total debt securities               |         107,858                                 |   |         3,269 |   |            (127) |   |      111,000 |
| Marketable equity securities                                                              |               561 |   |              - |   |            (182) |   |            379 |
|          Total securities available for sale |  $     108,419                                            |   |  $     3,269 |   |  $        (309) |   |  $  111,379 |

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|   | SECURITIES AVAILABLE FOR SALE (Continued) |
|--------|-------------------------------------------|

|                                                                                      | June 30, 2009                                                           |
|-------------------------------------------------------------------------------------------|-------------------------------------------------------------------------|
|                                                                                      |   Amortized Cost                                                   |   |   Gross Unrealized Gains |   |   Gross Unrealized Losses |   | Fair Value |
|                                                                                      | (In Thousands)                                                          |
| Debt securities:                                                                          |                                                                    |   |   |   |   |   |   |
|      Government-sponsored enterprises                            |  $        9,982            |   |  $        123 |   |  $            - |   |  $    10,105 |
|      Residential mortgage-backed securities:                     |                                                                    |   |   |   |   |   |
|         Agency                                    |          92,340            |   |         1,956 |   |            (186) |   |        94,108 |
|         Non-agency                                |          11,973            |   |               2 |   |            (797) |   |        11,180 |
|          Total debt securities               |         114,295                 |   |         2,081 |   |            (983) |   |      115,393 |
| Marketable equity securities                                                              |            1,018 |   |              16 |   |            (327) |   |            707 |
|          Total securities available for sale |  $     115,313                            |   |  $     2,097 |   |  $      (1,310) |   |  $  116,100 |

|                                                      | June 30, 2010                                                        |
|-----------------------------------------------------------|----------------------------------------------------------------------|
|                                                      |   Amortized Cost                                                |   | Fair Value |
|                                                      | (In Thousands)                                                       |
| Within 1 year                                             |  $          - |   |  $             - |
| Over 1 year through 5 years                               |         9,992                |   |          10,027 |
|      Total bonds and obligations |         9,992                |   |          10,027 |
| Residential mortgage-backed securities:                   |                                                                 |   |
|      Agency                      |       88,842                           |   |          91,876 |
|      Non-agency                  |         9,024                |   |            9,097 |
|      Total debt securities       |  $  107,858                                           |   |  $     111,000 |

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|                                                                          | June 30, 2010                                                                                      |
|-------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------|
|                                                                          |  Amortized Cost                                                                               |   | Fair Value |
|                                                                          | (In Thousands)                                                                                     |
|      Banks                                           |  $           100                       |   |  $          63 |
|      Biotechnology                                   |                 55 |   |              37 |
|      Electronics                                     |                 52 |   |              44 |
|      Healthcare - products                           |                 77 |   |              47 |
|      Insurance                                       |                 76 |   |              53 |
|      Media                                           |                 50 |   |              36 |
|      Retail                                          |               151            |   |              99 |
|          Total equity securities |  $           561                       |   |  $         379 |

|                                    | Less Than Twelve Months                                                                     |   | Over Twelve Months                                                         |
|-----------------------------------------|---------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------|
|                                    |  Gross Unrealized Losses                                                               |   | Fair Value                                                                 |   |  Gross Unrealized Losses |   | Fair Value |
|                                    | (In Thousands)                                                                              |
| June 30, 2010:                          |                                                                                        |   |                                                                       |   |   |   |   |
| Residential mortgage-backed securities: |                                                                                        |   |                                                                       |   |   |   |
|     Agency          |                9 |   |        1,031                            |   |                 7 |   |        1,309 |
|     Non-agency      |              42            |   |           591            |   |               69 |   |        3,002 |
| Marketable equity securities            |               -       |   |             -  |   |             182 |   |          379 |
|                                    |  $          51                       |   |  $    1,622                                       |   |  $          258 |   |  $    4,690 |
|                                    |                                                                                        |   |                                                                       |   |   |   |   |
| June 30, 2009:                          |                                                                                        |   |                                                                       |   |   |   |   |
| Residential mortgage-backed securities: |                                                                                        |   |                                                                       |   |   |   |
|     Agency          |            156                       |   |      19,193                                       |   |               30 |   |        4,120 |
|     Non-agency      |                2 |   |             82 |   |             795 |   |      11,006 |
| Marketable equity securities            |              12            |   |           101            |   |             315 |   |          522 |
|                                    |  $         170                            |   |  $   19,376                                            |   |  $       1,140 |   |  $  15,648 |

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|   | SECURITIES AVAILABLE FOR SALE (Concluded) |
|--------|-------------------------------------------|

|                                | Years Ended June 30,                                                                                     |
|-------------------------------------|----------------------------------------------------------------------------------------------------------|
|                                | 2010                                                                                                     |   | 2009 |
|                                | (In Thousands)                                                                                           |
| Fair value at the beginning of year |  $             656                 |   |  $             444 |
| Capitalized servicing assets        |                  67 |   |                153 |
| Changes in fair value               |               (222)                |   |                  59 |
| Fair value at end of year           |  $             501                 |   |  $             656 |

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|                                       | June 30,                                                    |
|--------------------------------------------|-------------------------------------------------------------|
|                                       | 2010                                                        |   | 2009 |
|                                       | (In Thousands)                                              |
| Mortgage loans on real estate:             |                                                        |   |   |
|      Residential  |  $   130,977                            |   |  $  123,151 |
|      Commercial   |      138,746                       |   |     127,604 |
|      Home equity  |        65,006            |   |       58,747 |
|      Construction |        13,460            |   |       17,243 |
|                                       |      348,189                       |   |     326,745 |
| Commercial loans                           |        42,539            |   |       38,918 |
| Consumer and other loans                   |        25,257            |   |       22,079 |
|                                       |        67,796            |   |       60,997 |
|      Total loans  |      415,985                       |   |     387,742 |
|                                       |                                                        |   |   |
| Deferred origination costs, net            |          2,943 |   |         2,638 |
| Allowance for loan losses                  |         (6,314)     |   |        (3,742) |
|                                       |  $   412,614                            |   |  $  386,638 |

|                         | Years Ended June 30,                                                      |
|------------------------------|---------------------------------------------------------------------------|
|                         | 2010                                                                      |   | 2009 |   | 2008 |
|                         | (In Thousands)                                                            |
| Balance at beginning of year |  $   3,742                                            |   |  $   3,453 |   |  $   2,810 |
| Provision for loan losses    |      4,337                                       |   |      1,412 |   |         651 |
| Recoveries                   |             7 |   |         259 |   |           31 |
| Loans charged-off            |     (1,772)                                           |   |     (1,382) |   |          (39) |
| Balance at end of year       |  $   6,314                                            |   |  $   3,742 |   |  $   3,453 |

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|                                          | June 30,                             |
|-----------------------------------------------|--------------------------------------|
|                                          | 2010                                 |   | 2009 |
|                                          | (In Thousands)                       |
| Impaired loans without a valuation allowance  |  $    5,681 |   |  $      856 |
| Impaired loans with a valuation allowance     |      10,590 |   |       1,122 |
| Total impaired loans                          |  $  16,271            |   |  $   1,978 |
| Valuation allowance related to impaired loans |  $    1,372 |   |  $       10 |
| Total non-accrual loans                       |  $    5,692 |   |  $   3,914 |

|                                                         | Years Ended June 30,                                 |
|--------------------------------------------------------------|------------------------------------------------------|
|                                                         | 2010                                                 |   | 2009 |   | 2008 |
|                                                         | (In Thousands)                                       |
| Average investment in impaired loans                         |  $  11,808                            |   |  $   3,104 |   |  $   4,242 |
| Interest income recognized on a cash basis on impaired loans |  $       524 |   |  $       88 |   |  $     102 |

|                                                           | June 30,                                             |   |                                                       |
|----------------------------------------------------------------|------------------------------------------------------|--------|------------------------------------------------------------|
|                                                           | 2010                                                 |   | 2009                                                       |   | Estimated Useful Lives |
|                                                           | (In Thousands)                                       |   |                                                       |
| Premises:                                                      |                                                 |   |                                                       |   |   |
|       Land                       |  $       763 |   |  $        763 |   |   |
|       Buildings and improvements |        5,082      |   |         4,506      |   | 5 - 39 Years |
|       Leasehold improvements     |        1,620      |   |         1,598      |   | 5 - 10 Years |
| Equipment                                                      |        5,221      |   |         4,357      |   | 3 - 10 Years |
|                                                           |       12,686           |   |       11,224                 |   |   |
| Accumulated depreciation and amortization                      |       (7,589)          |   |        (6,845)          |   |   |
|                                                           |  $     5,097           |   |  $     4,379                 |   |   |

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|                                                         | June 30,                                         |
|--------------------------------------------------------------|--------------------------------------------------|
|                                                         | 2010                                             |   | 2009 |
|                                                         | (In Thousands)                                   |
| Demand                                                       |  $    52,090            |   |  $   42,021 |
| NOW                                                          |        29,578 |   |       21,748 |
| Regular and other savings                                    |        82,040 |   |       74,721 |
| Money market deposits                                        |        43,414 |   |       40,471 |
|      Total non-certificate accounts |      207,122            |   |     178,961 |
| Term certificates less than $100,000                         |        89,611 |   |       93,212 |
| Term certificates of $100,000 and greater                    |      123,327            |   |     109,304 |
|      Total certificate accounts     |      212,938            |   |     202,516 |
|      Total deposits                 |  $  420,060                       |   |  $  381,477 |

| Year Ending June 30, |                                             |
|----------------------|--------------------------------------------------|
| 2011                 |  $  127,458                       |
| 2012                 |        42,583 |
| 2013                 |        15,756 |
| 2014                 |        15,200 |
| 2015                 |        11,941 |
|                 |  $  212,938                       |

----

Table of Contents

|                                           | Amount                                                         |   | Weighted Average Rate                     |
|------------------------------------------------|----------------------------------------------------------------|--------|-------------------------------------------|
|                                           | 2010                                                           |   | 2009                                      |   | 2010 |   | 2009 |   |
|                                           | (In Thousands)                                                 |   |                                      |   |   |   |
| Advances maturing in the years ending June 30, |                                                           |   |                                      |   |   |
|    2010                         |  $         - |   |  $ 12,000                            |   |           - | % | 4.24 | % |
|    2011                         |      11,500                           |   |     13,162            |   | 3.51 |   | 3.69 |   |
|   *2012                              |      21,895                           |   |     23,538            |   | 4.31 |   | 4.30 |   |
|    2013                         |        9,250                |   |       9,250 |   | 4.13 |   | 4.13 |   |
|   *2014                              |        4,916                |   |       3,965 |   | 4.22 |   | 4.23 |   |
|    2015                         |        4,635                |   |       3,000 |   | 3.39 |   | 3.25 |   |
|    2017                         |        2,000                |   |       2,000 |   | 4.19 |   | 4.19 |   |
|    2018                         |        4,000                |   |       4,000 |   | 3.19 |   | 3.19 |   |
| Total FHLB advances                            |  $   58,196                                |   |  $ 70,915                            |   | 3.96 | % | 4.05 | % |

----

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|                              | Years Ended June 30,                                                |
|-----------------------------------|---------------------------------------------------------------------|
|                              | 2010                                                                |   | 2009 |   | 2008 |
|                              | (In Thousands)                                                      |
| Current tax provision:            |                                                                |   |   |   |   |
|    Federal         |  $      502                      |   |  $      752 |   |  $      905 |
|    State           |          222           |   |          138 |   |          108 |
|                              |          724           |   |          890 |   |       1,013 |
|                              |                                                                |   |   |   |   |
| Deferred tax provision (benefit): |                                                                |   |   |   |
|    Federal         |         (933)               |   |         (600) |   |         (235) |
|    State           |         (324)               |   |          (46) |   |         (113) |
|                              |      (1,257)                               |   |         (646) |   |         (348) |
| Change in valuation reserve       |            - |   |            - |   |          350 |
|                              |      (1,257)                               |   |         (646) |   |             2 |
| Total tax provision (benefit)     |  $     (533)                          |   |  $      244 |   |  $   1,015 |

|                                                      | Years Ended June 30,                                                |   |
|-----------------------------------------------------------|---------------------------------------------------------------------|--------|
|                                                      | 2010                                                                |   | 2009 |   | 2008 |   |
| Statutory tax rate                                        | (34.0)                                                              | %      | 34.0 | % | 34.0 | % |
| Increase (decrease) resulting from:                       |                                                                |   |   |   |   |   |
|    State taxes, net of federal tax benefit | (7.6)                                                               |   | 11.5 |   | (0.2) |   |
|    Dividends received deduction            | (0.3)                                                               |   | (1.0) |   | (2.8) |   |
|    Bank-owned life insurance               | (16.0)                                                              |   | (26.4) |   | (5.2) |   |
|    Change in valuation reserve             |            - |   |            - |   | 16.0 |   |
|    Stock options                           | 9.1                                                                 |   |        17.8 |   |            - |   |
|    Restricted stock                        |            - |   |          5.6 |   |            - |   |
|    Change in estimated effective tax rate       | (13.8)                                                              |   | - |   |  - |   |
|    Other, net                              | 2.4                                                                 |   | 4.5 |   | 4.6 |   |
| Effective income tax rate                                 | (60.2)                                                              | %      | 46.0 | % | 46.4 | % |

----

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|   | INCOME TAXES (Concluded) |
|--------|--------------------------|

|                      | June 30,                                              |
|---------------------------|-------------------------------------------------------|
|                      | 2010                                                  |   | 2009 |
|                      | (In Thousands)                                        |
| Deferred tax assets:      |                                                  |   |   |
|    Federal |  $   4,718                        |   |  $   3,819 |
|    State   |       1,043             |   |          729 |
|                      |       5,761             |   |       4,548 |
| Valuation reserve         |         (810) |   |         (810) |
|                      |       4,951             |   |       3,738 |
| Deferred tax liabilities: |                                                  |   |   |
|    Federal |      (1,294)                 |   |         (612) |
|    State   |         (237) |   |         (152) |
|                      |      (1,531)                 |   |         (764) |
| Net deferred tax asset    |  $   3,420                        |   |  $   2,974 |

|                                                    | June 30,                                                                   |
|---------------------------------------------------------|----------------------------------------------------------------------------|
|                                                    | 2010                                                                       |   | 2009 |
|                                                    | (In Thousands)                                                             |
| Non-accrual interest income                             |  $         19            |   |  $         37 |
| Net unrealized gain on securities available for sale    |       (1,090)                                |   |          (279) |
| Depreciation                                            |           251            |   |           145 |
| Mortgage servicing rights                               |          (200)                |   |          (262) |
| Allowance for loan losses                               |        2,536                            |   |        1,509 |
| Employee benefit plans                                  |        1,827                            |   |        1,449 |
| Charitable contribution carryover                       |        1,020                            |   |        1,088 |
| Other-than-temporary impairment of securities           |             45 |   |           155 |
| Other, net                                              |          (178)                |   |            (58) |
| Valuation reserve for charitable contribution carryover |          (810)                |   |          (810) |
| Net deferred tax asset                                  |  $     3,420                                 |   |  $     2,974 |

----

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| 12.   | COMMITMENTS AND CONTINGENCIES |
|-----------------|-------------------------------|

|                                            | June 30,                                                  |
|-------------------------------------------------|-----------------------------------------------------------|
|                                            | 2010                                                      |   | 2009 |
|                                            | (In Thousands)                                            |
| Commitments to grant loans                      |  $   9,719                            |   |  $ 23,572 |
| Unadvanced funds on home equity lines-of-credit |     30,074                            |   |     28,109 |
| Unadvanced funds on personal lines-of-credit    |       1,983                 |   |      1,965 |
| Unadvanced funds on commercial lines-of-credit  |     23,262                            |   |     18,744 |
| Unadvanced funds on construction loans          |       7,333                 |   |      8,531 |
| Unadvanced funds due mortgagors                 |          210 |   |         307 |
| Standby letters of credit                       |       2,200                 |   |         756 |

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| Years Ending June 30, |   | Amount                                                                                                          |
|-----------------------|--------|-----------------------------------------------------------------------------------------------------------------|
|                  |   | (In Thousands)                                                                                                  |
| 2011                  |   |  $                238      |
| 2012                  |   |                   219 |
| 2013                  |   |                   190 |
| 2014                  |   |                   180 |
| 2015                  |   |                   168 |
| Thereafter            |   |                 1,222           |
|                  |   |  $             2,217                      |
|                  |   |                                                                                                            |

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Table of Contents

|                                                  |                                 |   |              |   |                           |   |                  |   | Minimum                        |
|-------------------------------------------------------|--------------------------------------|--------|-------------------|--------|--------------------------------|--------|-----------------------|--------|--------------------------------|
|                                                  |                                 |   |              |   |                           |   |                  |   | To Be Well                     |
|                                                  |                                 |   |              |   | Minimum                        |   | Capitalized Under     |
|                                                  |                                 |   |              |   | For Capital                    |   | Prompt Corrective     |
|                                                  | Actual                               |   | Adequacy Purposes |   | Action Provisions              |
|                                                  | Amount                               |   | Ratio             |   | Amount                         |   | Ratio                 |   | Amount                         |   | Ratio |
|                                                  | (Dollars in Thousands)               |
| As of June 30, 2010:                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Total capital (to risk weighted assets):  |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |  $  97,010            |   | 23.4              | %      |  $ 33,145                 |   | 8.0                   | %      |  N/A                      |   |  N/A |
|       Bank              |      74,139 |   | 18.1              |   |     32,643 |   |    8.0 |   |  $ 40,803                 |   | 10.0% |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Tier 1 capital (to risk weighted assets): |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |      91,815 |   | 22.1              |   |     16,573 |   |    4.0 |   |  N/A                      |   |  N/A |
|       Bank              |      69,022 |   | 16.9              |   |     16,321 |   |    4.0 |   |     24,482 |   |     6.0 |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Tier 1 capital (to average assets):       |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |      91,815 |   | 15.8              |   |     23,152 |   |    4.0 |   |  N/A                      |   |  N/A |
|       Bank              |      69,022 |   | 12.4              |   |     22,305 |   |    4.0 |   |     27,882 |   |     5.0 |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
| As of June 30, 2009:                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Total capital (to risk weighted assets):  |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |  $  98,546            |   | 24.7              | %      |  $ 31,944                 |   | 8.0                   | %      |  N/A                      |   |  N/A |
|       Bank              |      71,634 |   | 18.3              |   |     31,268 |   |    8.0 |   |  $ 39,085                 |   | 10.0% |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Tier 1 capital (to risk weighted assets): |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |      94,804 |   | 23.7              |   |     15,972 |   |    4.0 |   |  N/A                      |   |  N/A |
|       Bank              |      67,892 |   | 17.4              |   |     15,634 |   |    4.0 |   |     23,451 |   |     6.0 |
|                                                  |                                 |   |              |   |                           |   |                  |   |                           |   |   |
|   Tier 1 capital (to average assets):       |                                 |   |              |   |                           |   |                  |   |                           |   |
|       Consolidated      |      94,804 |   | 16.6              |   |     22,801 |   |    4.0 |   |  N/A                      |   |  N/A |
|       Bank              |      67,892 |   | 12.4              |   |     21,983 |   |    4.0 |   |     27,479 |   |     5.0 |

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|                                                                                               | June 30, 2010                                                                                                                                                       |
|----------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                               | Consolidated                                                                                                                                                        |   | Bank |
|                                                                                               | (In Thousands)                                                                                                                                                      |
| Total stockholders' equity per consolidated financial statements                                   |  $                  94,773                                           |   |  $            94,773 |
| Adjustments for Tier 1 capital:                                                                    |                                                                                                                                                                |   |   |
|      Holding company equity adjustment                                    |                            - |   |               (22,831) |
|      Accumulated losses on securities available for sale, net of tax      |                      (1,869)                               |   |                 (1,831) |
|      Disallowed deferred tax assets                                       |                         (857)               |   |                   (857) |
|      Net unrealized loss on equity securities available for sale          |                         (182)               |   |                   (182) |
|      Mortgage servicing rights                                            |                           (50)    |   |                     (50) |
|           Total Tier 1 capital                   |                      91,815                                |   |                69,022 |
| Adjustments for total capital:                                                                     |                                                                                                                                                                |   |   |
|       Allowance for loan losses                                      |                       5,195                           |   |                  5,117 |
|           Total capital per regulatory reporting |  $                  97,010                                           |   |  $            74,139 |
|                                                                                               |                                                                                                                                                                |   |   |
|                                                                                               |                                                                                                                                                                |   |   |
|                                                                                               |                                                                                                                                                                |   |   |
|                                                                                               | June 30, 2009                                                                                                                                                       |
|                                                                                               | Consolidated                                                                                                                                                        |   | Bank |
|                                                                                               | (In Thousands)                                                                                                                                                      |
| Total stockholders' equity per consolidated financial statements                                   |  $                  96,658                                           |   |  $            96,658 |
| Adjustments for Tier 1 capital:                                                                    |                                                                                                                                                                |   |   |
|      Holding company equity adjustment                                    |                            - |   |               (27,005) |
|      Accumulated losses on securities available for sale, net of tax      |                         (507)               |   |                   (414) |
|      Disallowed deferred tax assets                                       |                         (969)               |   |                   (969) |
|      Net unrealized loss on equity securities available for sale          |                         (312)               |   |                   (312) |
|      Mortgage servicing rights                                            |                           (66)    |   |                     (66) |
|           Total Tier 1 capital                   |                      94,804                                |   |                67,892 |
| Adjustments for total capital:                                                                     |                                                                                                                                                                |   |   |
|       Allowance for loan losses                                      |                       3,742                           |   |                  3,742 |
|           Total capital per regulatory reporting |  $                  98,546                                           |   |  $            71,634 |
|                                                                                               |                                                                                                                                                                |   |   |

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Table of Contents

|                 |                                                                                                                        |
|----------------------|-----------------------------------------------------------------------------------------------------------------------------|
| Year ending June 30, | Amount                                                                                                                      |
|                 | (In Thousands)                                                                                                              |
| 2011                 |  $                 291            |
| 2012                 |                     315 |
| 2013                 |                     339 |
| 2014                 |                     369 |
| 2015                 |                     399 |
| Thereafter           |                  3,881                 |
|                 |  $               5,594                      |
|                 |                                                                                                                        |

----

Table of Contents

|                      |   |   | June 30,                                                                                               |
|---------------------------|--------|--------|--------------------------------------------------------------------------------------------------------|
|                      |   |   | 2010                                                                                                   |   | 2009 |   | 2008 |
| Allocated                 |   |   |               124,416            |   |              83,148 |   |              42,399 |
| Committed to be allocated |   |   |                 21,200 |   |              21,200 |   |              21,200 |
| Unallocated               |   |   |               487,594            |   |            529,992 |   |            572,391 |
|                      |   |   |               633,210            |   |            634,340 |   |            635,990 |
|                      |   |   |                                                                                                   |   |   |   |   |

|                    | For Options Granted During The Year Ended June 30, 2008                                              |
|-------------------------|------------------------------------------------------------------------------------------------------|
| Fair Value              |  $              2.86      |
| Expected dividends      | 1.16%                                                                                                |
| Expected term (years)   |                 6.50 |
| Expected volatility     | 19.40%                                                                                               |
| Risk-free interest rate | 4.25%                                                                                                |

----

Table of Contents

|                                               | Shares                                                                                                                                |   |   Weighted Average Exercise Price per Share                                                                                      |   | Weighted Average Remaining Contractual Term (in Years)                                                                                                                    |
|----------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Outstanding at July 1, 2009                        |            565,000                                                             |   |  $              10.90                                      |   |                             - |
|      Granted              |                       - |   |                       - |   |                             - |
|      Exercised            |                       - |   |                       - |   |                             - |
|      Forfeited or expired |             (12,000)                                                      |   |                  10.90                           |   |                             - |
| Outstanding at June 30, 2010                       |            553,000                                                             |   |  $              10.90                                      |   |                          7.8                 |
| Options exerciseable                               |            230,500                                                             |   |  $              10.90                                      |   |                          7.8                 |
|                                               |                                                                                                                                  |   |                                                                                                                                  |   |                                                                                                                                                                      |

|                                    |   | Nonvested Shares                                                                                                                |
|-----------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------|
| Balance at July 1, 2009                 |   |              240,431                                           |
|      Granted   |   |                      - |
|      Vested    |   |               (62,893)                                    |
|      Cancelled |   |                      - |
|      Forfeited |   |                (4,402)                               |
| Balance at June 30, 2010                |   |              173,136                                           |
|                                    |   |                                                                                                                            |

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Table of Contents

----

Table of Contents

|                         NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                        |   Quoted Prices in Active Markets for Identical Assets (Level 1)                                                                 |   |   Significant Other Observable Inputs (Level 2)                                                                                   |   |   Significant Unobservable Inputs (Level 3)                                                                                 |   | Total                                                                                                                       |
|-----------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------|
|                                                                        | (Dollars in thousands)                                                                                                                |
| Debt securities:                                                            |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |                                                                                                                        |
|      Government-sponsored enterprises              |  $                    -      |   |  $             10,027                                                 |   |  $                  -             |   |  $             10,027                                 |
|      Residential mortgage-backed securities:       |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |
|         Agency                      |                       - |   |                 91,876                                      |   |                     -        |   |                 91,876                      |
|         Non-agency                  |                       - |   |                   9,097                           |   |                     -        |   |                  9,097                 |
|          Total debt securities |                       - |   |               111,000                                                 |   |                     -        |   |               111,000                                 |
| Marketable equity securities                                                |                     379           |   |                        - |   |                     -        |   |                     379 |
| Mortgage servicing rights                                                   |                       - |   |                     501                 |   |                     -        |   |                     501 |
| Total assets at fair value                                                  |  $                 379                      |   |  $           111,501                                                            |   |  $                    - |   |  $           111,880                                            |
|                                                                        |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |                                                                                                                        |

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Table of Contents

|                         NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                                                        |   Quoted Prices in Active Markets for Identical Assets (Level 1)                                                                 |   |   Significant Other Observable Inputs (Level 2)                                                                                        |   |   Significant Unobservable Inputs (Level 3)                                                                            |   | Total                                                                                                                       |
|-----------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------------------|
|                                                                        | (Dollars in thousands)                                                                                                                |
| Debt securities:                                                            |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |                                                                                                                        |
|      Government-sponsored enterprises              |  $                    -      |   |  $             10,105                                                 |   |  $                  -             |   |  $             10,105                                 |
|      Residential mortgage-backed securities:       |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |
|         Agency                      |                       - |   |                 94,108                                      |   |                     -        |   |                 94,108                      |
|         Non-agency                  |                       - |   |                 11,180                                      |   |                     -        |   |                 11,180                      |
|          Total debt securities |                       - |   |               115,393                                                 |   |                     -        |   |               115,393                                 |
| Marketable equity securities                                                |                     707           |   |                        - |   |                     -        |   |                     707 |
| Mortgage servicing rights                                                   |                       - |   |                     656                 |   |                     -        |   |                     656 |
| Total assets at fair value                                                  |  $                 707                      |   |  $           116,049                                                            |   |  $                    - |   |  $           116,756                                            |
|                                                                        |                                                                                                                                  |   |                                                                                                                                        |   |                                                                                                                             |   |                                                                                                                        |

|                    |                                                                                                                                              |   |                                                                                                                                                    |   |                                                                                                            |   | Gains (Losses)                                                                                                                                    |
|-------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|
|                    |                                                                                                                                              |   |                                                                                                                                                    |   |                                                                                                            |   | Year Ended                                                                                                                                        |
|                    | Level 1                                                                                                                                           |   | Level 2                                                                                                                                                 |   | Level 3                                                                                                         |   | June 30, 2010                                                                                                                                     |
|                    | (Dollars in thousands)                                                                                                                            |
| Impaired loans          |  $                      -      |   |  $                      -            |   |  $             5,208                      |   |  $              (2,762)                                                |
| Other real estate owned |                         - |   |                          - |   |                   911 |   |                         - |
| Total assets            |  $                      -      |   |  $                      -            |   |  $             6,119                      |   |  $              (2,762)                                                |

|                    |                                                                                                                                              |   |                                                                                                                                                    |   |                                                                                            |   | Gains (Losses)                                                                                                                                    |
|-------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------|
|                    |                                                                                                                                              |   |                                                                                                                                                    |   |                                                                                            |   | Year Ended                                                                                                                                        |
|                    | Level 1                                                                                                                                           |   | Level 2                                                                                                                                                 |   | Level 3                                                                                         |   | June 30, 2009                                                                                                                                     |
|                    | (Dollars in thousands)                                                                                                                            |
| Impaired loans          |  $                      -      |   |  $                      -            |   |  $             1,112      |   |  $                 569                                  |
| Other real estate owned |                         - |   |                          - |   |                1,362 |   |                         - |
| Total assets            |  $                      -      |   |  $                      -            |   |  $             2,474      |   |  $                 569                                  |

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|                         NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued) |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   |  The carrying amounts and related estimated fair values of the Company's financial instruments are as follows: |
|--------|---------------------------------------------------------------------------------------------------------------------|

|                                                             | June 30,                                                                                    |
|------------------------------------------------------------------|---------------------------------------------------------------------------------------------|
|                                                             | 2010                                                                                        |   | 2009 |
|                                                             |   Carrying Amount                                                                      |   | Fair Value |   |   Carrying Amount |   | Fair Value |
|                                                             | (In Thousands)                                                                              |
| Financial assets:                                                |                                                                                        |   |   |   |   |   |   |
|    Cash and cash equivalents                      |  $      30,033                                           |   |  $     30,033 |   |  $     36,248 |   |  $      36,248 |
|    Securities available for sale                  |        111,379                                           |   |       111,379 |   |       116,100 |   |        116,100 |
|    Federal Home Loan Bank stock                   |           5,233                           |   |          5,233 |   |          5,233 |   |           5,233 |
|    Loans held for sale                            |              933           |   |             933 |   |             915 |   |              915 |
|    Loans, net                                     |        412,614                                           |   |       432,845 |   |       386,638 |   |        393,355 |
|    Accrued interest receivable                    |           1,751                           |   |          1,751 |   |          1,805 |   |           1,805 |
|    Mortgage servicing rights (1)                  |              501           |   |             501 |   |             656 |   |              656 |
|                                                             |                                                                                        |   |   |   |   |   |   |
| Financial liabilities:                                           |                                                                                        |   |   |   |   |   |   |
|    Deposits                                       |        420,060                                           |   |       422,968 |   |       381,477 |   |        384,560 |
|    Securities sold under agreements to repurchase |           6,806                           |   |          6,806 |   |        10,872 |   |          10,872 |
|    Short-term borrowings                          |                - |   |               - |   |          1,500 |   |           1,500 |
|    Long-term debt                                 |         58,196                                      |   |         61,459 |   |        70,915 |   |          72,522 |
|    Mortgagors' escrow accounts                    |              849           |   |             849 |   |             799 |   |              799 |
|                                                             |                                                                                        |   |   |   |   |   |   |
| (1) Included in other assets.                                    |                                                                                        |   |   |   |   |   |   |

----

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|                                                    | June 30,                                                                                           |
|---------------------------------------------------------|----------------------------------------------------------------------------------------------------|
|                                                    | 2010                                                                                               |   | 2009 |
|                                                    | (In Thousands)                                                                                     |
| Assets                                                  |                                                                                               |   |   |
| Cash on hand                                            |  $           377                       |   |  $            202 |
| Federal funds sold and other short-term investments     |            5,700                            |   |           10,042 |
|    Cash and cash equivalents             |            6,077                            |   |           10,244 |
|                                                    |                                                                                               |   |   |
| Securities available for sale, at  fair value |          11,178                                       |   |           10,463 |
| Investment in common stock of Hampden Bank              |          71,942                                       |   |           69,653 |
| Investment in common stock of Hampden LS, Inc.          |            1,018                            |   |                744 |
| Accrued interest receivable                             |                 42 |   |                 78 |
| Deferred tax asset                                      |               969            |   |                929 |
| Other assets                                            |            3,319                            |   |             5,012 |
|                                                    |  $       94,545                                            |   |  $       97,123 |
|                                                    |                                                                                               |   |   |
| Liabilities and Stockholders' Equity                    |                                                                                               |   |   |
| Accrued expenses                                        |  $          (228)                           |   |  $            465 |
| Stockholders' equity                                    |          94,773                                       |   |           96,658 |
|                                                    |  $       94,545                                            |   |  $       97,123 |
|                                                    |                                                                                               |   |   |

|                                                                                | Years Ended June 30,                                                                                          |
|-------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------|
|                                                                                | 2010                                                                                                          |   | 2009 |   | 2008 |
|                                                                                | (In Thousands)                                                                                                |
| Income:                                                                             |                                                                                                          |   |   |   |   |
|       Dividend income                                 |  $                3      |   |  $            26 |   |  $          235 |
|       Interest on securities                          |                316                 |   |              676 |   |              889 |
|       Interest on cash and short term investments     |                   2 |   |               26 |   |              176 |
|       Non-interest income                             |                   4 |   |                 5 |   |                 1 |
|            Total income      |                325                 |   |              733 |   |           1,301 |
| Operating expenses                                                                  |             1,769                                 |   |           1,800 |   |           1,569 |
| Loss before income taxes and equity in undistributed net income of subsidiaries     |            (1,444)                                     |   |          (1,067) |   |             (268) |
| Income tax provision (benefit)                                                      |               (455)                     |   |             (308) |   |              261 |
| Loss before equity in undistributed net income of subsidiaries                      |               (989)                     |   |             (759) |   |             (529) |
| Equity in undistributed net income of Hampden Bank                                  |                362                 |   |              749 |   |           1,326 |
| Equity in undistributed net income of Hampden LS, Inc.                              |                274                 |   |              296 |   |              373 |
|            Net income (loss) |  $           (353)                                |   |  $          286 |   |  $       1,170 |
|                                                                                |                                                                                                          |   |   |   |   |

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Table of Contents

|                                                                                                                                                                                    | Years Ended June 30,                                                                                                 |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                    | 2010                                                                                                                 |   | 2009 |   | 2008 |
|                                                                                                                                                                                    | (In Thousands)                                                                                                       |
| Cash flows from operating activities:                                                                                                                                                   |                                                                                                                 |   |   |   |   |
|       Net income (loss)                                                                                                                                   |  $              (353)                     |   |  $               286 |   |  $            1,170 |
|       Adjustments to reconcile net income (loss) to net cash provided by          operating activities: |
|          Equity in undistributed net income of Hampden Bank                                                                                |                 (362)                |   |                 (749) |   |               (1,326) |
|          Equity in undistributed net income of Hampden LS, Inc.                                                                            |                 (274)                |   |                 (296) |   |                 (373) |
|          Stock-based compensation                                                                                                          |                  958            |   |                  992 |   |                  420 |
|          Deferred tax provision (benefit)                                                                                                  |                   (40)     |   |                 (498) |   |                  380 |
|       Net change in:                                                                                                                                      |                                                                                                                 |   |   |   |   |
|          Accrued interest receivable                                                                                                       |                    36 |   |                  129 |   |                    86 |
|          Other assets                                                                                                                      |                1,693                      |   |                  630 |   |                  718 |
|          Accrued expenses and other liabilities                                                                                            |                 (693)                |   |                  404 |   |                 (160) |
|       Net cash provided by operating activities                                                                                                           |                  965            |   |                  898 |   |                  915 |
|                                                                                                                                                                                    |                                                                                                                 |   |   |   |   |
| Cash flows from investing activities:                                                                                                                                                   |                                                                                                                 |   |   |   |   |
|       Activities in available-for-sale securities:                                                                                                        |                                                                                                                 |   |   |   |   |
|          Maturities                                                                                                                        |              11,188                                 |   |              17,000 |   |              10,800 |
|          Purchases                                                                                                                         |             (11,988)                                     |   |             (10,040) |   |               (1,583) |
|       Net cash provided (used) by investing activities                                                                                                    |                 (800)                |   |                6,960 |   |                9,217 |
|                                                                                                                                                                                    |                                                                                                                 |   |   |   |   |
| Cash flows from financing activities:                                                                                                                                                   |                                                                                                                 |   |   |   |   |
|       Payment from loan to Hampden LS, Inc.                                                                                                               |                  752            |   |                  752 |   |                  752 |
|       Stock repurchased for restricted stock awards                                                                                                       |               (3,499)                          |   |               (5,090) |   |               (3,480) |
|       Payment of dividends on common stock                                                                                                                |                 (807)                |   |                 (854) |   |                 (862) |
|       Other, net                                                                                                                                          |                 (778)                |   |                      8 |   |                 (910) |
|       Net cash used by financing activities                                                                                                               |               (4,332)                          |   |               (5,184) |   |               (4,500) |
|                                                                                                                                                                                    |                                                                                                                 |   |   |   |   |
| Net change in cash and cash equivalents                                                                                                                                                 |               (4,167)                          |   |                2,674 |   |                5,632 |
| Cash and cash equivalents at beginning of period                                                                                                                                        |              10,244                                 |   |                7,570 |   |                1,938 |
| Cash and cash equivalents at end of period                                                                                                                                              |  $            6,077                                 |   |  $          10,244 |   |  $            7,570 |
|                                                                                                                                                                                    |                                                                                                                 |   |   |   |   |

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Table of Contents

|                                 | 2010                                                                              |   | 2009                                                                              |
|--------------------------------------|-----------------------------------------------------------------------------------|--------|-----------------------------------------------------------------------------------|
|                                 |   Fourth Quarter                                                             |   |   Third Quarter                                                              |   |   Second Quarter |   |   First Quarter |   |   Fourth Quarter |   |   Third Quarter |   |   Second Quarter |   | First Quarter |
|                                 | (In thousands, except per share amounts)                                          |
| Interest and dividend income         |  $      6,855                                  |   |  $      6,811                                  |   |  $      6,963 |   |  $      6,928 |   |  $      6,956 |   |  $      6,914 |   |  $      7,195 |   |  $      7,110 |
| Interest expense                     |          2,239                       |   |          2,324                       |   |          2,508 |   |          2,669 |   |          2,878 |   |          2,948 |   |          3,157 |   |          3,363 |
| Net interest income                  |          4,616                       |   |          4,487                       |   |          4,455 |   |          4,259 |   |          4,078 |   |          3,966 |   |          4,038 |   |          3,747 |
| Provision for loan losses            |              300 |   |          1,395                       |   |          1,800 |   |              842 |   |              300 |   |              300 |   |              308 |   |              504 |
| Non-interest income                  |              769 |   |              626 |   |              677 |   |              663 |   |              749 |   |              538 |   |              571 |   |              540 |
| Non-interest expense                 |          4,193                       |   |          4,266                       |   |          4,330 |   |          4,312 |   |          4,375 |   |          4,168 |   |          4,028 |   |          3,714 |
| Provision (benefit) for income taxes |              270 |   |            (405)           |   |            (328) |   |              (70) |   |                46 |   |                93 |   |                83 |   |                22 |
| Net income (loss)                    |  $         622                  |   |  $        (143)                      |   |  $        (670) |   |  $        (162) |   |  $         106 |   |  $          (57) |   |  $         190 |   |  $            47 |
|                                 |                                                                              |   |                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                |  $        0.10                       |   |  $       (0.02)                           |   |  $       (0.10) |   |  $       (0.02) |   |  $        0.02 |   |  $       (0.01) |   |  $        0.03 |   |  $        0.01 |
| Diluted                              |  $        0.09                       |   |  $       (0.02)                           |   |  $       (0.10) |   |  $       (0.02) |   |  $        0.02 |   |  $       (0.01) |   |  $        0.03 |   |  $        0.01 |
|                                 |                                                                              |   |                                                                              |   |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average shares outstanding: |                                                                              |   |                                                                              |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                |  6,476,949                                                                   |   |  6,481,991                                                                   |   |  6,515,262 |   |  6,602,476 |   |  6,725,932 |   |  6,724,052 |   |  6,804,992 |   |  7,052,133 |
| Diluted                              |  6,639,997                                                                   |   |  6,481,991                                                                   |   |  6,515,262 |   |  6,602,476 |   |  6,810,285 |   |  6,724,052 |   |  6,850,086 |   |  7,089,559 |

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