Exhibit 99
<PAGE>





                          SECURITY FEDERAL SAVINGS BANK
                                 AND SUBSIDIARY

                           Consolidated Balance Sheets
                                   (Unaudited)
                                 (in thousands)
<TABLE>
<CAPTION>
                                                                            December 31,           March 31
                                                                                1996                 1997
                                                                                ----                 ----

<S>                                                                        <C>                  <C>            
Cash and due from banks                                                    $           396      $           544
Interest-earning deposits                                                            1,018                1,057
Investment securities:
   Held to maturity (market value of $613
     in 1996 and $594 in 1997)                                                         715                  720
   Available for sale (amortized cost of $599
     in 1996 and $599 in 1997)                                                         597                  594
Loans receivable, net                                                               36,808               37,222
Mortgage-backed securities:
   Available for sale (amortized cost of $5,941 in
     1996 and $5,783 in 1997)                                                        5,768                5,592
Premises and equipment, net                                                            533                  527
Real estate                                                                             60                 -
Federal Home Loan Bank stock                                                           394                  401
Interest receivable                                                                    257                  255
Other                                                                                   33                  167
                                                                           ---------------      ---------------

         Total assets                                                      $        46,579      $        47,079
                                                                           ===============      ===============

   Liabilities and Equity
   ----------------------

Deposits                                                                   $        40,765      $        41,691
Federal Home Loan Bank advances                                                        800                 -
Advance payments by borrowers for taxes and insurance                                  202                  345
Accrued expenses and other liabilities                                                 122                  148
Income taxes payable:

   Current                                                                              13                   84
   Deferred                                                                              1                    -
                                                                           ---------------      ---------------
         Total liabilities                                                          41,903               42,268
                                                                           ---------------      ---------------

Commitments and contingencies

Equity:
   Retained income, substantially restricted                                         4,784                4,929
   Unrealized losses on securities available for sale,
     net of income taxes                                                              (108)                (118)
                                                                           ---------------      ---------------
         Total equity                                                                4,676                4,811
                                                                           ---------------      ---------------

         Total liabilities and equity                                      $        46,579      $        47,079
                                                                           ===============      ===============

</TABLE>

The  accompanying  notes are an integral  part of these  consolidated  financial
statements.


<PAGE>



                          SECURITY FEDERAL SAVINGS BANK
                                 AND SUBSIDIARY

                        Consolidated Statements of Income
                                   (Unaudited)
                                 (in thousands)
<TABLE>
<CAPTION>

                                                                                  For Three Months Ended
                                                                                        March 31,
                                                                         -----------------------------------------
                                                                                1996                 1997
                                                                                ----                 ----
<S>                                                                        <C>                  <C>            
Interest income:
   Loans                                                                   $           699      $           779
   Mortgage-backed securities                                                          101                   83
   Investments                                                                          22                   24
   Interest earning deposits                                                            25                    9
                                                                           ---------------      ---------------
         Total interest income                                                         847                  895
                                                                           ---------------      ---------------

Interest expense:
   Deposits                                                                            508                  491
   Federal Home Loan Bank advances                                                       -                    3
                                                                           ----------------     ---------------
         Total interest expense                                                        508                  494
                                                                           ---------------      ---------------

         Net interest income                                                           339                  401

Provision for loan losses                                                                8                    -
                                                                           ---------------      ---------------

         Net interest income after provision
           for loan losses                                                             331                  401
                                                                           ---------------      ---------------

Noninterest income:
   Loan fees and service charges                                                        41                   35
   Other                                                                                 5                    5
                                                                           ---------------      ---------------
         Total noninterest income                                                       46                   40
                                                                           ---------------      ---------------

Noninterest expenses:
   Compensation                                                                        102                  118
   Employee benefits                                                                    13                   16
   Net occupancy expense                                                                20                   16
   Deposit insurance premiums                                                           23                    2
   Data processing                                                                      18                   19
   Other                                                                                46                   46
                                                                           ---------------      ---------------
         Total noninterest expenses                                                    222                  217
                                                                           ---------------      ---------------

         Income before income taxes                                                    155                  224

Income tax expense                                                                      53                   79
                                                                           ---------------      ---------------

         Net income                                                        $           102      $           145
                                                                           ===============      ===============
</TABLE>

The  accompanying  notes are an integral  part of these  consolidated  financial
statements.


<PAGE>




                          SECURITY FEDERAL SAVINGS BANK
                                 AND SUBSIDIARY

                      Consolidated Statements of Cash Flows
                                   (Unaudited)
                                 (in thousands)
<TABLE>
<CAPTION>
                                                                                  For Three Months Ended
                                                                                        March 31,
                                                                         -----------------------------------------
                                                                                1996                 1997
                                                                                ----                 ----
<S>                                                                        <C>                  <C>            
Operating activities:
   Net income                                                              $           102      $           145
   Adjustments to reconcile net income to net
     cash provided (used) by operating activities:
     Depreciation                                                                       14                   12
     Provision for loan losses                                                           8                 -
     Deferred income taxes (benefit)                                                  -                    -
     Net increase (decrease) in deferred loan fees                                      (4)                 (17)
     Accretion of discounts on investment securities, net                               (5)                  (5)
     Amortization of premiums on mortgage-backed securities                              4                    4
     FHLB stock dividends                                                               (6)                  (7)
     Decrease (increase) in interest receivable                                        (17)                   2
     Decrease (increase) in other assets                                               (13)                 (22)
     Increase (decrease) in accrued expenses and other liabilities                     (26)                  26
     Increase in current income taxes                                                   31                   71
                                                                           ---------------      ---------------
         Net cash provided by operating activities                                      88                  209
                                                                           ---------------      ---------------

Investing activities:
   Purchase of investment securities held to maturity                               (1,000)                -
   Maturities of investment securities available for sale                              250                 -
   Principal payments on mortgage-backed securities
     available for sale                                                                264                  154
   Net increase in loans                                                              (573)                (358)
   Purchase of equipment                                                                (7)                  (6)
                                                                           ----------------     ----------------
         Net cash provided (used) in investing activities                           (1,066)                (210)
                                                                           ---------------      ----------------

</TABLE>



                                                                     (continued)







<PAGE>





                          SECURITY FEDERAL SAVINGS BANK
                                 AND SUBSIDIARY

                Consolidated Statements of Cash Flows, Continued
                                   (Unaudited)
                                 (in thousands)
<TABLE>
<CAPTION>

                                                                                  For Three Months Ended
                                                                                        March 31,
                                                                         -----------------------------------------
                                                                                1996                 1997
                                                                                ----                 ----
<S>                                                                        <C>                  <C>            
Financing activities:
   Net increase in deposits                                                $           337      $           926
   Increase (decrease) in advance payments by borrowers
     for taxes and insurance                                                           125                  143
   Payment of conversion cost                                                         -                     (81)
   Repayment of FHLB advances                                                         -                    (800)
                                                                           ---------------      ---------------
         Net cash provided by financing activities                                     462                  188
                                                                           ---------------      ---------------

         Increase (decrease) in cash and

            cash equivalents                                                          (516)                 187

Cash and cash equivalents at beginning of year                                       2,729                1,414
                                                                           ---------------      ---------------

Cash and cash equivalents at end of year                                   $         2,213      $         1,601
                                                                           ===============      ===============

Supplemental  disclosures  of cash flow  information:  
   Cash paid during the year for:
     Interest on deposits and other borrowings                             $           533      $           491
     Income taxes                                                                        8                    7
                                                                           ===============      ===============

</TABLE>













The  accompanying  notes are an integral  part of these  consolidated  financial
statements.


<PAGE>

                          SECURITY FEDERAL SAVINGS BANK
                                 AND SUBSIDIARY

                   Notes to Consolidated Financial Statements
                                   (Unaudited)

1.   Basis of Preparation
     --------------------

     The consolidated  financial  statements included herein are for the Savings
     Bank and the Savings Bank's wholly owned subsidiary,  SFS,  Inc.(SFS).  The
     impact of SFS on the consolidated  financial  statements is  insignificant.
     SFS has no operating  activity  other than to own stock in the  third-party
     service bureau. All significant intercompany items have been eliminated.

     The accompanying  unaudited consolidated financial statements were prepared
     in  accordance  with  instructions  for Form 10-QSB and  therefore,  do not
     include  all  disclosures  necessary  for a  complete  presentation  of the
     consolidated  balance  sheets,   consolidated   statements  of  income  and
     consolidated statements of cash flows in conformity with generally accepted
     accounting  principles.  However, all adjustments which are, in the opinion
     of management, necessary for the fair presentation of the interim financial
     statements  have  been  included.  All  such  adjustments  are of a  normal
     recurring nature.  The statement of income for the three month period ended
     March 31, 1997 is not  necessarily  indicative  of the results which may be
     expected for the entire year.

     It is suggested that these unaudited  consolidated  financial statements be
     read in conjunction with the audited consolidated  financial statements and
     notes thereto for the Bank for the year ended December 31, 1996.

2.    Plan of Conversion
      ------------------

      On January 15, 1997,  the Bank's Board of  Directors  formally  approved a
      plan ("Plan") to convert from a federally-chartered mutual savings bank to
      a federally-chartered stock savings bank subject to approval by the Bank's
      members as of a still-to-be  determined  future  voting  record date.  The
      Plan,  which  includes  formation  of a holding  company,  is  subject  to
      approval by the Office of Thrift Supervision (OTS) and includes the filing
      of a registration  statement with the Securities and Exchange  Commission.
      The Bank received  regulatory  approval on April 14, 1997. As of March 31,
      1997, the Bank had incurred conversion costs of approximately  $91,000. If
      the conversion is ultimately  successful,  actual conversion costs will be
      accounted  for as a reduction  in gross  proceeds.  If the  conversion  is
      unsuccessful, the conversion costs will be expensed.

      The Plan calls for the  common  stock of the Bank to be  purchased  by the
      holding  company  and for the common  stock of the  holding  company to be
      offered to various parties in a subscription  offering at a price based on
      an independent appraisal.  It is anticipated that any shares not




<PAGE>

SFB BANCORP, INC. AND SUBSIDIARY    
                          Notes to Consolidated Financial Statements, Continued
--------------------------------------------------------------------------------

     purchased  in  the  subscription  offering  will  be  offered  in a  direct
     community  offering,  and then any remaining  shares offered to the general
     public in a solicited offering.

      The  stockholders  of the  holding  company  will be  asked to  approve  a
      proposed  stock  option  plan and a  proposed  restricted  stock plan at a
      meeting  of the  stockholders  after  the  conversion.  Shares  issued  to
      directors  and  employees  under  these plans may be from  authorized  but
      unissued  shares  of  common  stock or they may be  purchased  in the open
      market.  In the event that options or shares are issued under these plans,
      such  issuances  will be included in the earnings  per share  calculation;
      thus, the interests of existing stockholders would be diluted.

      The Bank may not  declare or pay a cash  dividend  if the  effect  thereof
      would cause its net worth to be reduced below either the amounts  required
      for the  liquidation  account  discussed  below or the regulatory  capital
      requirements imposed by federal regulations.

      At the time of conversion,  the Bank will establish a liquidation account,
      which will be a  memorandum  account  that does not appear on the  balance
      sheet,  in an amount  equal to its  retained  income as  reflected  in the
      latest consolidated balance sheet used in the final conversion prospectus.
      The  liquidation  account will be  maintained  for the benefit of eligible
      account  holders who continue to maintain  their  deposit  accounts in the
      Bank after conversion.  In the event of a complete liquidation of the Bank
      (and only in such an event),  eligible depositors who continue to maintain
      accounts shall be entitled to receive a distribution  from the liquidation
      account before any liquidation may be made with respect to common stock.