[X]    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES           EXCHANGE ACT OF 1934

[   ]    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES           EXCHANGE ACT OF 1934

For the transition period from __________________ to __________________



**CAPITOL FEDERAL FINANCIAL**

---

|United States(State or other jurisdiction of incorporationor organization) |  | 48-1212142(I.R.S. Employer
Identification No.)
|-------------------------------------------------------------------------- |  | ----------------------------------------------

|700 Kansas Avenue, Topeka, Kansas(Address of principal executive offices) |  | 66603(Zip Code)
|------------------------------------------------------------------------- |  | ---------------



Indicate by check mark whether the issuer (1) has filed all reports required to be filed by Section
13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months  (or for such shorter
period that the issuer was  required to  file such  reports), and (2) has been subject to such filing
requirements for the past 90 days.    Yes [X]    No [   ]

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of
the latest practicable date.

|Common StockClass |  | 80,609,732Shares Outstandingas of February 14, 2001
|----------------- |  | ---------------------------------------------------



|****PART I -- FINANCIAL INFORMATION                                                                                              | PageNumber
|-------------------------------------------------------------------------------------------------------------------------------- | ----------
|Item 1.       Financial Statements                                                                                               |           
|Consolidated Balance Sheets at December 31, 2000 and September 30, 2000                                                          | 3         
|Consolidated Statements of Income for the three months ended           
             December 31, 2000 and December 31, 1999     | 4         
|Consolidated Statement of Stockholders' Equity for the three months ended         
               December 31, 2000              | 5         
|Consolidated Statements of Cash Flows for the three months ended          
              December 31, 2000 and December 31, 1999 | 6         
|Notes to Consolidated Interim Financial Statements                                                                               | 8         
|Item 2.      Management's Discussion and Analysis of Financial Condition and Results of                  
      Operations       | 13        
|Item 3.      Quantitative and Qualitative Disclosures about Market Risk                                                          | 15        
|                                                                                                                                 |           
|**PART II -- OTHER INFORMATION**                                                                                                 |           
|Item 1.       Legal Proceedings                                                                                                  | 16        
|Item 2.       Changes in Securities and Use of Proceeds                                                                          | 16        
|Item 3.       Defaults Upon Senior Securities                                                                                    | 16        
|Item 4.       Submission of Matters to a Vote of Security Holders                                                                | 16        
|Item 5.       Other Information                                                                                                  | 16        
|Item 6.       Exhibits and Reports on Form 8-K                                                                                   | 16        
|                                                                                                                                 |           
|Signature Page                                                                                                                   | 17        

PART 1 -- FINANCIAL INFORMATION

CAPITOL FEDERAL FINANCIAL AND SUBSIDIARYCONSOLIDATED BALANCE SHEETS(dollars in thousands)

|                                                                                                                                         | December 31, |  | September 30,
|---------------------------------------------------------------------------------------------------------------------------------------- | ------------ |  | -------------
|                                                                                                                                         | 2000         |  | 2000         
|                                                                                                                                         | (Unaudited)  |  |              
|ASSETS:                                                                                                                                  |              |  |              
|Cash and cash equivalents                                                                                                                | $207,392     |  | $133,034     
|Investment securities held to maturity (market value of $15,022  and $14,808 )                                                           | 15,100       |  | 15,100       
|                                                                                                                                         |              |  |              
|Capital stock of Federal Home Loan Bank                                                                                                  | 161,250      |  | 161,250      
|Mortgage-related securities:                                                                                                             |              |  |              
|Available-for-sale (amortized cost of $788,847 and $851,374)                                                                             | 795,262      |  | 850,892      
|Held-to-maturity (market value of $1,503,986 and $1,539,247)                                                                             | 1,496,980    |  | 1,561,251    
|Loans held for sale, net                                                                                                                 | 18,377       |  | 25,742       
|Loans receivable, net                                                                                                                    | 5,529,341    |  | 5,442,445    
|Premises and equipment                                                                                                                   | 24,089       |  | 24,076       
|Real estate owned, net                                                                                                                   | 852          |  | 1,094        
|Accrued interest receivable                                                                                                              | 42,050       |  | 43,397       
|Other assets                                                                                                                             | 4,478        |  | 6,938        
|TOTAL ASSETS                                                                                                                             | $8,295,171   |  | $8,265,219   
|LIABILITIES AND STOCKHOLDERS' EQUITY:                                                                                                    |              |  |              
|Deposits                                                                                                                                 | $4,029,125   |  | $3,956,329   
|Advances from Federal Home Loan Bank                                                                                                     | 3,200,000    |  | 3,225,000    
|Advance payments by borrowers for taxes and insurance                                                                                    | 8,874        |  | 38,411       
|Accrued and deferred income taxes payable                                                                                                | 29,339       |  | 17,527       
|Accounts payable and accrued expenses payable                                                                                            | 35,062       |  | 41,745       
|Total Liabilities                                                                                                                        | 7,302,400    |  | 7,279,012    
|COMMITMENTS AND CONTINGENCIES (NOTE 9)                                                                                                   |              |  |              
|                                                                                                                                         |              |  |              
|STOCKHOLDERS' EQUITY:                                                                                                                    |              |  |              
|Preferred stock ($0.01 par value) 50,000,000 shares                                                                                      |              |  |              
|authorized; none issued                                                                                                                  | --           |  | --           
|Common stock ($0.01 par value) 450,000,000 authorized; 91,512,287                                                                        |              |  |              
|shares issued as of December 31, 2000 and September 30, 2000                                                                             | 915          |  | 915          
|Additional paid in capital                                                                                                               | 386,122      |  | 385,076      
|Retained earnings                                                                                                                        | 762,012      |  | 745,598      
|Accumulated other comprehensive income                                                                                                   | 4,074        |  | (300)        
|Unearned compensation, Employee Stock Ownership Plan                                                                                     | (25,710)     |  | (26,214)     
|Unearned compensation, Recognition and Retention Plan                                                                                    | (7,939)      |  | (8,485)      
|Less shares held in treasury: 10,929,955 shares at cost as of  December 31, 2000 and 9,830,155 shares at cost as of   September 30, 2000 | (126,703)    |  | (110,383)    
|Total Stockholders' Equity                                                                                                               | 992,771      |  | 986,207      
|TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                                                                               | $8,295,171   |  | $8,265,219   

See accompanying notes to consolidated interim financial statements.



|                                                 |                                        |        
|------------------------------------------------ | -------------------------------------- | -------
|                                                 | For the Three Months EndedDecember 31,
|                                                 | 2000                                   | 1999   
|INTEREST AND DIVIDEND INCOME:                    |                                        |        
|Loans receivable                                 | $  99,847                              | $78,980
|Mortgage-related securities                      | 40,721                                 | 32,967 
|Investment securities                            | 230                                    | 240    
|Cash and cash equivalents                        | 1,985                                  | 423    
|Capital stock of Federal Home Loan Bank          | 3,547                                  | 1,367  
|Total interest and dividend income               | 146,330                                | 113,977
|INTEREST EXPENSE:                                |                                        |        
|Deposits                                         | 54,123                                 | 49,734 
|Borrowings                                       | 50,528                                 | 23,421 
|Total interest expense                           | 104,651                                | 73,155 
|Net interest and dividend income                 | 41,679                                 | 40,822 
|Provision for loan losses                        | --                                     | 244    
|Net interest and dividend income after           |                                        |        
|provision for loan losses                        | 41,679                                 | 40,578 
|OTHER INCOME:                                    |                                        |        
|Automated teller and debit card transaction fees | 1,348                                  | 1,251  
|Checking account transaction fees                | 847                                    | 801    
|Loan fees                                        | 710                                    | 412    
|Insurance commissions                            | 549                                    | 426    
|Other, net                                       | 727                                    | 525    
|Total other income                               | 4,181                                  | 3,415  
|OTHER EXPENSES:                                  |                                        |        
|Salaries and employee benefits                   | 9,031                                  | 8,230  
|Occupancy of premises                            | 2,417                                  | 2,615  
|Office supplies and related expenses             | 754                                    | 831    
|Deposit and loan transaction fees                | 936                                    | 914    
|Advertising                                      | 496                                    | 474    
|Federal insurance premium                        | 202                                    | 595    
|Other, net                                       | 1,239                                  | 1,219  
|Total other expenses                             | 15,075                                 | 14,878 
|Income before income tax expense                 | 30,785                                 | 29,115 
|Income tax expense                               | 11,320                                 | 10,991 
|NET INCOME                                       | $19,465                                | $18,124

See accompanying notes to consolidated interim financial statements.



|                                                                                |        |            |          | Accumulated   |              |              |            |         
|------------------------------------------------------------------------------- | ------ | ---------- | -------- | ------------- | ------------ | ------------ | ---------- | --------
|                                                                                |        | Additional |          | Other         | Unearned     | Unearned     |            |         
|                                                                                | Common | Paid-In    | Retained | Comprehensive | Compensation | Compensation | Treasury   |         
|                                                                                | Stock  | Capital    | Earnings | Income (Loss) | (RRP)        | (ESOP)       | Stock      | Total   
|                                                                                |        |            |          |               |              |              |            |         
|Balance at October 1, 2000                                                      | $915   | $385,076   | $745,598 | ($300)        | ($8,485)     | ($26,214)    | ($110,383) | $986,207
|Comprehensive Income:                                                           |        |            |          |               |              |              |            |         
|Net incom
e                                                                     |        |            | 19,465   |               |              |              |            | 19,465  
|Change in Unrealized Gain on Available for          Sale Securities, net of tax |        |            |          | 4,374         |              |              |            | 4,374   
|Total Comprehensive income                                                      |        |            |          |               |              |              |            | 23,839  
|                                                                                |        |            |          |               |              |              |            |         
|Repurchase of common
stock, at cost                                             |        |            |          |               |              |              | (16,634)   | (16,634)
|Shares issued to Recognition and
   Retention plan (10,000 shares)              |        | 37         |          |               | (141)        |              | 104        | --      
|Employee stock options exercised  (28,200 shares)                               |        | (33)       |          |               |              |              | 293        | 260     
|Amortization of Recognition and Retention Plan                                  |        |            |          |               | 613          |              |            | 613     
|Forfeited Recognition and Retention Plan shares    (8,000 shares)               |        |            | 9        |               | 74           |              | (83)       | --      
|Increase in fair market value of Employee Stock
   Ownership Plan               |        | 242        |          |               |              |              |            | 242     
|Amortization of Unearned ESOP Compensation                                      |        |            |          |               |              | 504          |            | 504     
|Tax effect of dividend on unallocated ESOP shares                               |        | 800        |          |               |              |              |            | 800     
|Dividends on common stock to stockholders
   ($0.12 per share)                  |        |            | (3,060)  |               |              |              |            | (3,060) 
|                                                                                |        |            |          |               |              |              |            |         
|Balance at December 31, 2000                                                    | $915   | $386,122   | $762,012 | $4,074        | ($7,939)     | ($25,710)    | ($126,703) | $992,771
|                                                                                |        |            |          |               |              |              |            |         

See accompanying notes to consolidated interim financial statements.



CAPITOL FEDERAL FINANCIAL AND SUBSIDIARYCONSOLIDATED STATEMENTS OF CASH FLOWS(Unaudited)(dollars in thousands)

|                                                                                                                  | For the Three Months EndedDecember 31, |          
|----------------------------------------------------------------------------------------------------------------- | -------------------------------------- | ---------
|                                                                                                                  | 2000                                   | 1999     
|CASH FLOWS FROM OPERATING ACTIVITIES:                                                                             |                                        |          
|Net income                                                                                                        | $19,465                                | $18,124  
|Adjustments to reconcile net income to net cash providedby operating activities:                                  |                                        |          
|Federal Home Loan Bank stock dividends                                                                            | --                                     | (1,367)  
|Amortization of net deferred loan origination fees                                                                | (1,471)                                | (637)    
|Provision for loan losses                                                                                         | --                                     | 244      
|Net loan origination fees capitalized                                                                             | 1,457                                  | 1,028    
|Gain on the sale of loans held for sale                                                                           | (45)                                   |          
|Gain on sales of real estate owned, net                                                                           | (60)                                   | (50)     
|Originations of loans held for sale                                                                               | (1,909)                                | (1,391)  
|Proceeds from sales of loans held for sale                                                                        | 10,507                                 | --       
|Amortization and accretion of premiums and discounts on 
   mortgage-related securities and investment securities | 748                                    | 300      
|Depreciation and amortization on premises and equipment                                                           | 848                                    | 1,204    
|Increase in fair market value of Employee Stock Ownership 
   Plan shares committed to be released for allocation | 242                                    | --       
|Common stock committed to be released for allocation - ESOP                                                       | 504                                    | 505      
|Amortization of unearned compensation - RRP                                                                       | 613                                    | --       
|Changes in:                                                                                                       |                                        |          
|Accrued interest receivable                                                                                       | 1,347                                  | (1,870)  
|Other assets                                                                                                      | 2,460                                  | 1,003    
|Income taxes payable                                                                                              | 11,320                                 | 10,991   
|Accounts payable and accrued expenses                                                                             | (7,912)                                | 638      
|Net cash provided by operating activities                                                                         | 38,114                                 | 28,722   
|CASH FLOWS FROM INVESTING ACTIVITIES:                                                                             |                                        |          
|Purchases of investment securities                                                                                | --                                     | (26,664) 
|Principal collected on mortgage-related securities available-
   for-sale                                         | 61,540                                 | 81,193   
|Principal collected on mortgage-related securities held-to-
   maturity                                           | 65,506                                 | 32,732   
|Purchases of mortgage-related securities held-to-maturity                                                         | (996)                                  | (395,132)
|Loan originations net of principal collected on loans
   receivable                                               | (43,607)                               | (93,020) 
|Purchases of loans receivable                                                                                     | (44,738)                               | (150,007)
|Purchases of premises and equipment, net                                                                          | (861)                                  | (1,670)  
|Proceeds from sales of real estate owned                                                                          | 575                                    | 810      
|Net cash provided by (used in) investing activities                                                               | 37,419                                 | (551,758)

|CASH FLOWS FROM FINANCING ACTIVITIES:                                     |          |          
|------------------------------------------------------------------------- | -------- | ---------
|Dividends paid                                                            | (3,060)  | (3,650)  
|Deposits, net of payments                                                 | 72,796   | 63,147   
|Proceeds from advances from Federal Home Loan Bank                        | --       | 1,033,000
|Repayments on advances from Federal Home Loan Bank                        | (25,000) | (478,000)
|Payments for the repurchase of common stock                               | (16,634) | (24,051) 
|Stock options exercised                                                   | 260      |          
|Change in advance payments by borrowers for taxes and   insurance         | (29,537) | (27,248) 
|Net cash provided by (used in) financing activities                       | (1,175)  | 563,198  
|NET INCREASE IN CASH AND CASH EQUIVALENTS                                 | 74,358   | 40,162   
|CASH AND CASH EQUIVALENTS:                                                |          |          
|Beginning of Period                                                       | $133,034 | $22,275  
|End of Period                                                             | $207,392 | $62,437  
|SUPPLEMENTAL SCHEDULE OF NON-CASH
    INVESTING AND FINANCING ACTIVITIES: |          |          
|Loans transferred to real estate owned                                    | $275     | $933     
|Treasury stock issued to RRP, net of forfeited shares                     | $21      | --       
|                                                                          |          |          

See accompanying notes to consolidated interim financial statements.

**Notes to Consolidated Interim Financial Statements1.       Basis of Financial Statement Presentation and Significant Accounting Policies**The accompanying consolidated financial statements of
Capitol Federal Financial and subsidiaries have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and footnotes required by generally accepted accounting principles for complete financial statements.  In
in the opinion
of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included.  These statements should be read in conjunction with the consolidated financial statements and notes thereto
included in the Company's 2000 Annual Report on Form 10-K to the Securities and Exchange Commission.  Interim results are not necessarily indicative of results for a full year.

In preparing the financial statements, management is required to make estimates and assumptions that affect
the reported amounts of assets and liabilities as of the date of the balance sheet and revenues and expenses
for the period.  Material estimates that are particularly susceptible to significant change in the near-term
relate to the determination of the allowances for losses on loans and real estate owned.  While management
believes that these allowances are adequate, future additions to the allowances may be necessary based on
changes in economic conditions.

**2.       Loan Portfolio**The following table presents the Company's loan portfolio at the dates indicated.

|                             | December 31, 2000 | September 30, 2000
|---------------------------- | ----------------- | ------------------
|                             | Amount            | Percent           
|Real Estate Loans:           |                   |                   
|One- to four-family          | $5,290,138        | 95.06%            
|Multi-family                 | 50,350            | 0.90              
|Commercial                   | 10,003            | 0.18              
|Construction and development | 37,663            | 0.68              
|Total real estate loans      | 5,388,154         | 96.82             
|Consumer loans:              |                   |                   
|Savings loans                | 13,732            | 0.25              
|Home improvement             | 2,499             | 0.04              
|Automobile                   | 11,081            | 0.20              
|Home equity                  | 148,616           | 2.67              
|Other                        | 1,149             | 0.02              
|Total consumer loans         | 177,077           | 3.18              
|Total loans receivable       | 5,565,231         | 100.00%           
|Less:                        |                   |                   
|Loans in process             | 16,179            |                   
|Deferred fees and discounts  | 15,132            |                   
|Allowance for losses         | 4,579             |                   
|Total loans receivable, net  | $5,529,341        |                   

**3.       Non-Performing Loans**
The following table presents the Company's non-performing loans, including non-accrual loans
and real estate owned, at the dates indicated.

|                                             | December 31,2000 | September 30,2000
|-------------------------------------------- | ---------------- | -----------------
|Non-accruing loans:                          |                  |                  
|One-to four-family                           | $3,915           | $3,321           
|Multi-family                                 | --               | --               
|Commercial real estate                       | --               | --               
|Construction or development                  | --               | --               
|Consumer                                     | 122              | 134              
|Total                                        | $4,037           | $3,455           
|Accruing loans delinquent more than 90 days: |                  |                  
|One- to four-family                          | --               | --               
|Multi-family                                 | --               | --               
|Commercial real estate                       | --               | --               
|Construction or development                  | --               | --               
|Consumer                                     | --               | --               
|Total                                        | --               | --               
|Real Estate Owned:                           |                  |                  
|One- to four-family                          | $852             | $1,094           
|Multi-family                                 | --               | --               
|Commercial real estate                       | --               | --               
|Construction or development                  | --               | --               
|Consumer                                     | --               | --               
|Total                                        | $852             | $1,094           
|Total non-performing assets                  | $4,889           | $4,549           
|Total as a percentage of total assets        | 0.06%            | 0.06%            

**4.       Allowance for Loan Losses**The following table presents the Company's activity for loan losses at the dates and for the periods
indicated.

|                                   | For the quarter endingDecember 31,
|---------------------------------- | ----------------------------------
|                                   | 2000                              
|                                   |                                   
|Balance at the beginning of period | $4,596                            
|Charge offs:                       |                                   
|One- to four-family                | 11                                
|Multi-family                       | --                                
|Commercial real estate             | --                                
|Construction or development        | --                                
|Consumer                           | 8                                 
|Total charge-offs                  | 19                                
|Recoveries:                        |                                   
|One- to four-family                | 2                                 
|Multi-family                       | --                                
|Commercial real estate             | --                                
|Construction or development        | --                                
|Consumer                           | --                                
|Total recoveries                   | 2                                 
|Net charge-offs                    | 17                                
|Additions charged to operations    | --                                
|Balance at end of period           | $4,579                            

**5.       Deposits**The table below presents the Company's savings portfolio at the dates indicated.

|                      | December 31, 2000 | September 30, 2000
|--------------------- | ----------------- | ------------------
|                      | Amount            | % ofTotal         
|Demand deposits       | $      317,502    | 7.88%             
|Passbook and passcard | 100,120           | 2.48              
|Money market select   | 445,117           | 11.05             
|Cash fund             | 97,194            | 2.41              
|Certificates          | 3,069,192         | 76.18             
|Total deposits        | $4,029,125        | 100.00%           

**6.       Earnings Per Share**Earnings per share for the quarter ended December 31, 2000 were $0.25 per share. The Company
accounts for the 3,024,574 shares acquired by its ESOP in accordance with SOP 93-6 and the shares
acquired for its Recognition and Retention Plan in a manner similar to the ESOP shares; shares acquired
by the ESOP and the Recognition and Retention Plan are not considered in the basic average shares
outstanding until the shares are committed for allocation or vested to an employee's individual account.
The following is a reconciliation of the numerators and denominators of the basic and diluted earnings
per share calculations.

|                                                           | For the Three Months Ended
December 31,
|---------------------------------------------------------- | ---------------------------------------
|                                                           | 2000                                   
|Net Income                                                 | $19,465                                
|Average common shares outstanding                          | 76,982,562                             
|Average allocated ESOP shares outstanding                  | 403,824                                
|Total basic average common shares   
outstanding           | 77,386,386                             
|Effect of dilutive Recognition and Retention   Plan shares | 467,959                                
|Effect of dilutive stock options                           | 1,155,905                              
|Total diluted average common shares   outstanding          | 79,010,250                             
|Net earnings per share                                     |                                        
|Basic                                                      | $0.25                                  
|Diluted                                                    | $0.24                                  
|                                                           |                                        

**7.       Equity**
Stockholders' equity totaled $992.8 million at December 31, 2000 compared to $986.2 million at
September 30, 2000.  The Company declared a $0.14 per share dividend on January 23, 2001 to holders
of record on February 2, 2001 payable on February 16, 2001.  At December 31, 2000, book value per
share was $12.90 compared to $12.64 book value per share at September 30, 2000.  The total number of
treasury shares at December 31, 2000 were 10,929,955 with 76,987,444 shares outstanding.

**8.       Comprehensive Income**The only component of other comprehensive income is the change in the estimated fair value of
mortgage-related securities available-for-sale which was $4.4 million for the three months ended
December 31, 2000.

**9.       Commitments and Contingencies**
In the normal course of business, the Company and its Subsidiaries are named defendants in various
lawsuits and counter claims.  In the opinion of management, after consultation with legal counsel, none
of the suits will have a materially adverse effect on the Company's consolidated financial statements for
either the current interim period or fiscal year ending September 30, 2001.

**Item 2.	       Management's Discussion and Analysis of Financial Condition and Results of Operations**

Except for the historical information contained in this filing, the matters discussed may be deemed to be
forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995,
that involve risks and uncertainties, including changes in economic conditions in the Company's market
area, changes in policies by regulatory agencies, fluctuations in interest rates, demand for loans in the
Company's market area, competition, and other risks detailed from time to time in the Company's SEC
reports.  Actual strategies and results in future periods may differ materially from those currently
expected.  These forward-looking statements represent the Company's judgment as of the date of this
filing.  The Company disclaims, however, any intent or obligation to update these forward-looking
statements.

The following discussion is intended to assist in understanding the financial condition and results of operations of the Company.  The discussion includes comments relating to the Bank since the Bank is
wholly owned by the Company and comprises the majority of assets and principal source of income for
the Company.

**Financial Condition**

|• | $86.9 million, or 1.7%, increase in net loans receivable from $5.44 billion at September 30, 2000 to $5.53 billion at December 31, 2000,        
|- | ------------------------------------------------------------------------------------------------------------------------------------------------
|• | $74.4 million, or 55.9%, increase in cash and cash equivalents from $133.0 million at September 30, 2000 to $207.4 million at December 31, 2000,
|• | $129.9 million, or 4.2%, decrease in mortgage-related securities from $2.4 billion at September 30, 2000 to $2.3 billion at December 31, 2000.  

Total one- to four-family loan originations for the quarter ended December 31, 2000 were $182.0 million, and total loan originations were $216.5 million.  Refinancing of loans serviced by the Bank were
7.4% of originations.  Fixed-rate loan originations accounted for 71.9% of originations for the quarter.
One- to four-family loans purchased totaled $44.7 million for the quarter ending December 31, 2000, all
of which were adjustable rate.  The average yield on one- to four-family loans closed during the quarter
was 7.71% on fixed-rate loans, 7.37% on adjustable rate loans, and 7.43% on purchased loans.
Originations of consumer loans for the quarter ended December 31, 2000 totaled $34.5 million, of which
$8.1 million were fixed rate.  The average yield on fixed rate consumer loans closed during the quarter
was 9.16% compared to 10.11% for adjustable rate consumer loans closed during the quarter, all of
which are tied to prime.

We did not purchase any mortgage-related securities during the quarter as part of our capital utilization
plan.  We did purchase $996,000 of Community Reinvestment Act qualifying mortgage-related securities
backed primarily by loans to low-to-moderate income borrowers.

Our level of non-performing loans continues to be minimal because of the underwriting standards
employed on both loans we originate and purchase.  Our loan portfolio has increased $1.01 billion over
the previous year while total non-performing assets decreased $576,000.  During the last year we
originated $1.03 billion in loans and purchased $668.7 million in loans while maintain our high credit
quality.  This has contributed to a very low non-performing assets total and ratio to total assets, and
supports our low efficiency ratio.

**Liabilities.**Deposits increased $72.8 million, or 1.8%, from $3.96 billion at September 30, 2000, to
$4.03 billion at December 31, 2000.   Certificate accounts increased in balance over the period by $50.8
million.  Advances from the Federal Home Loan Bank of Topeka ("FHLB") decreased from September
30, 2000 by $25.0 million, or 0.78%.

**Equity.**       Total stockholders' equity increased $6.6 million, or 0.7%, from $986.2 million at September 30, 2000, to $992.8 million at December 31, 2000.  The increase was the result of first
quarter earnings
of $19.5 million, and an increase of $4.4 million in unrealized gain on securities available for sale,
partially offset by the purchase of the Company's stock totaling $16.6 million and dividends paid of $3.1
million. During the quarter ended December 31, 2000 the Company purchased 1,138,000 shares of stock
in the open market at an average cost of $14.62 per share.  At December 31, 2000, book value per share
was $12.90 compared to $12.64 book value per share at September 30, 2000.  Equity to assets was
11.97% at December 31, 2000 compared to 11.93% at September 30, 2000.



**General.**       For the three months ended December 31, 2000, the Company recognized net income of $19.5 million, compared to net income of $18.1 million for the three months ended December 31, 1999.
The Company's efficiency ratio for the three months ended December 31, 2000 was 32.90% compared to 33.64% for the quarter ended December 31, 1999.  Management anticipates that growth in the level of earnings will be limited during the current fiscal year.

**Net Interest Income.**       Net interest income for the three months ended December 31, 2000 was $41.7 million, an increase of $857,000, or 2.1% from the same period last year.

|• | The increase was primarily the result of an increase of $1.40 billion in the average balance of loans receivable and mortgage-related securities from $6.47 billion at December 31, 1999 to $7.87 billion at
December 31, 2000.  The average yield on these assets increased 21 basis points to 7.14% for the
quarter ended December 31, 2000 compared to 6.93% one year ago.                     
|- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|• | Total average interest bearing liabilities increased $1.63 billion from $5.54 billion at December 31, 1999 to $7.16 billion at December 31, 2000, of which the average balance of advances from the FHLB increased $1.89 billion.  The
average cost of our interest bearing liabilities increased 46 basis points to 5.75% for the quarter ended December 31, 2000 compared to 5.29% one year ago.
|• | The net interest margin for the quarter ended December 31, 2000 decreased 44 basis points from 2.48% for the quarter ended December 31, 1999 to 2.04% for the quarter ended December 31, 2000. The Company's net interest rate spread
at December 31, 2000 was 1.52% which is 17 basis points
lower than at December 31, 1999.                                                                    

**Interest and Dividend Income.**       Interest income for the three months ended December 31, 2000 was $146.3 million, up from $114.0 million for the same period in 1999.

|• | The largest component of interest income is interest on loans which increased from $79.0 million for the three months ended December 31, 1999 to $99.8 million for the three months ended December 31,
2000.  This increase of $20.8 million was the result of an increase in the average balance of loans and,
to a lesser degree, an increase in the average yield earned.  The average balance of loans receivable
increased $1.09 billion to $5.51 billion for the three months ended December 31, 2000 compared to
$4.42 billion for the same period one year ago, while the average yield on loans increased 10 basis
points to 7.24% for the quarter ended December 31, 2000 from 7.14% for the quarter ended
December 31, 1999.
|- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|• | Interest income on mortgage-related securities increased $7.7 million from $33.0 million for the
quarter ended December 31, 1999 to $40.7 million for the quarter ended December 31, 2000.  The
average balance of mortgage-related securities increased $303.3 million from $2.05 billion at
December 31, 1999 to $2.36 billion at December 31, 2000, while the average yield increased 44 basis
points, from 6.47% for the quarter ended December 31, 1999 to 6.91% for the quarter ended
December 31, 2000.                                                                                                                                                                                                                     
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|• | Dividend income on stock in the Federal Home Loan Bank ("FHLB") for the quarter ended December 31, 2000 was $3.5 million compared to $1.4 million for the quarter ended December 31, 1999 an increase of $2.1 million.  The average yield
during the quarter was 8.73% compared to 7.53% for the
same quarter one year ago, and the average balance increased $88.7 million over the same period one
year ago.  The yield received on FHLB stock during fiscal year 2000 was 7.79% compared to 6.99%
during fiscal year 1999.  We do not anticipate that the dividend yield received during the last quarter
will continue. The increase in the balance of stock in the FHLB was required to comply with FHLB
lending requirements.

**Interest Expense.**       Interest expense increased during the quarter ended December 31, 2000 to $104.7 million from $73.2 million for the same period in 1999.

|• | For the quarter ended December 31, 2000, interest expense on deposits was $54.1 million compared
to $49.7 million for the quarter ended December 31, 1999, an increase of $4.4 million.  The average
balance of deposits increased during the quarter ended December 31, 2000 to $3.94 billion compared
to $3.93 billion for the quarter ended December 31, 1999, an increase of $18.1 million, or 0.3%.  The
average rate paid on deposits for the quarter ended December 31, 2000 was 5.44% compared to
5.03% for the quarter ended December 31, 1999, an increase of 41 basis points.                                                                                                                                                                                     
|- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|• | Interest expense on borrowings for the quarter ended December 31, 2000 was $50.5 million compared
to $23.4 million for the quarter ended December 31, 1999, an increase of $27.1 million, or 115.8%.
The average balance of borrowings for the quarter ended December 31, 2000 was $3.22 billion
compared to $1.61 billion for the quarter ended December 31, 1999, an increase of $1.61 billion, or
100.0%.  The increase is due to additional long-term fixed rate callable advances from the FHLB
during the previous year to fund the origination and purchase of loans and the purchase of mortgage-related securities.  The average cost of the borrowings for the quarter ended December 31, 2000 was
6.14% compared to 5.69% for the quarter ended December 31, 1999.

**Provision for Loan Losses.**       During the quarter there was no provision for loan losses recorded.  The
provision is based on estimates of losses inherent in the loan portfolio.  The appropriateness of the
provision is reviewed by management based upon an evaluation of then-existing economic and business
conditions affecting our key lending areas and other conditions, such as credit quality trends, collateral
values, loan volumes and concentrations, specific industry conditions within portfolio segments and
recent loss experience in particular segments of the portfolio that existed as of the balance sheet date and
the impact that such conditions were believed to have had on the collectibility of loans.  The amounts
that might actually be recorded as losses can vary significantly from the estimated amounts.

**Noninterest Income.**       Total noninterest income for the quarter ended December 31, 2000 was $4.2
million, up from $3.4 million for the quarter ended December 31, 1999.

**Noninterest Expense.**       Total noninterest expense increased $197,000 to $15.1 million for the quarter
ended December 31, 2000 compared to $14.9 million for the same period in 1999. The increase was due
primarily to an increase of $801,000 in compensation expense, primarily due to expense associated with
the RRP, partially offset by decreases in federal deposit insurance expense of $393,000 and occupancy
expense of $275,000.

**Income Tax Expense.**       Income tax expense increased from $11.0 million for the quarter ended
December 31, 1999 to $11.3 million for the quarter ended December 31, 2000.  The increase is due
primarily to an increase in pre-tax earnings of $1.7 million.

**Liquidity and Commitments**

The Bank's liquidity, represented by cash and cash equivalents, investments and mortgage-related
securities available for sale, is a product of its operating, investing and financing activities.  The Bank's
primary sources of funds are deposits, advances from the FHLB, prepayments and maturities of
outstanding loans and mortgage-related securities, maturities of investment securities and other short-term investments and funds provided from operations.  While scheduled payments from the amortization
of loans and mortgage-related securities and maturing investment securities and short-term investments
are relatively predictable sources of funds, deposit flows and loan prepayments are greatly influenced by
general interest rates, economic conditions and competition.  In addition, we invest excess funds in short-term interest-earning assets, which provide liquidity to meet lending requirements.  We utilize FHLB
advances to provide funds for our lending and investment activities, as a facet to implement our capital
utilization plan, and as an interest rate risk management tool.

Liquidity management is both a daily and long-term function of business management.  Excess liquidity
is generally invested in short-term investments such as overnight deposits or U.S. agency securities.  We
use our sources of funds primarily to meet our ongoing commitments, to pay maturing certificates of
deposit and savings withdrawals, to fund loan commitments and to maintain our portfolio of mortgage-related securities and investment securities.

At December 31, 2000:

|• | The total approved loan origination and purchase commitments outstanding amounted to $114.3 million.
|- | ----------------------------------------------------------------------------------------------------
|• | The unadvanced portion of construction loans was $16.2 million.                                     
|• | Unused home equity lines of credit were $183.5 million.                                             
|• | Outstanding letters of credit totaled $760,000.                                                     
|• | Certificates of deposit scheduled to mature in one year or less totaled $2.09 billion.              
|

Based on historical experience, management believes that a significant portion of maturing deposits will
remain with the Bank.  We anticipate that we will continue to have sufficient funds, through repayments,
deposits and borrowings, to meet our current commitments.



Consistent with our goals to operate a sound and profitable financial organization, we actively seek to
maintain a "well capitalized" institution in accordance with regulatory standards.  Total equity for the
Bank was $956.4 million at December 31, 2000, or 11.4% of total assets on that date. As of December
31, 2000, the Bank exceeded all capital requirements of the Office of Thrift Supervision. The Bank's
regulatory capital ratios at December 31, 2000 were as follows: Tier I (leverage) capital, 11.4%; Tier I
risk-based capital, 26.9%; and total risk-based capital, 27.2%. The regulatory capital requirements to be
considered well capitalized are 5.0%, 6.0%, and 10.0%, respectively.

**Item 3.        Quantitative and Qualitative Disclosure About Market Risk**

For a discussion of the Company's asset and liability management policies as well as the
potential impact of interest rate changes upon the market value of the Company's portfolio, see
"Management's Discussion and Analysis of Financial Condition and Results of Operations, Asset and
Liability Management and Market Risk" in the Company's Annual Report for the year ended September
30, 2000.

Part 2 -  OTHER INFORMATION

**Item 1.       Legal Proceedings**
Not applicable

**Item 2.       Change in Securities and Use of Proceeds**Not applicable

**Item 3.       Defaults Upon Senior Securities**Not applicable

**Item 4.       Submission of Matters to a Vote of Security Holders**

At the Annual Meeting of Shareholders for the fiscal year ended September 30, 2000, held January 23,
2001, two matters were presented to shareholders.  Shareholders elected John B. Dicus and Frederick P. Reynolds to three year terms as directors.  Shareholders also ratified the appointment of
Deloitte & Touche LLP as auditors for the fiscal year ending September 30, 2001.  The votes cast as to
each matter are set forth below:

|Proposal                                                                        | Number of Votes
|------------------------------------------------------------------------------- | ---------------
|                                                                                |                
|                                                                                |                
|                                                                                | For            
|                                                                                |                
|Election of the following directors for the terms
indicated                     |                
|John B. Dicus (three years)                                                     | 72,869,513     
|Frederick P. Reynolds (three years)                                             | 72,867,603     
|The following directors had their term of office   
continue after the meeting: |                
|Robert B. Maupin                                                                |                
|Carl W. Quarnstrom                                                              |                
|Marilyn S. Ward                                                                 |                
|B. B. Andersen                                                                  |                
|John C. Dicus                                                                   |                

|Proposal                                           | Number of Votes
|-------------------------------------------------- | ---------------
|                                                   |                
|                                                   |                
|                                                   | For            
|                                                   |                
|Ratification of Deloitte & Touche LLP
as auditors. | 72,944,353     

**Item 5.       Other Information**Not applicable

**Item 6.       Exhibits and Reports on Form 8-K**Not applicable





Pursuant to the  requirement  of the  Securities  Exchange Act of 1934, the registrant  has duly  caused
this  report  to be  signed  on its  behalf by the undersigned thereunto duly authorized.

|                               | CAPITOL FEDERAL FINANCIAL                                                         
|------------------------------ | ----------------------------------------------------------------------------------
|Date:        February 14, 2001 | By:       /s/ John C. Dicus                                                       
|                               | John C. Dicus, Chairman and             Chief Executive Officer                   
|Date:        February 14, 2001 | By:       /s/ Neil F. M. McKay                                                    
|                               | Neil F. M. McKay, Executive Vice President             and Chief Financial Officer