U. S. SECURITIES AND EXCHANGE COMMISSION
                Washington. D. C. 20549

                      Form 10-QSB

(Mark One)

[X]  QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF
     THE SECURITIES EXCHANGE ACT OF 1934
     For the quarterly period ended June 30, 2000.
[ ]  TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
     EXCHANGE ACT
     For the transition period from _______________ to _______________.

            Commission file number 0-22471

                   Luxemburg Bancshares, Inc.
 (Exact name of small business issuer as specified in its charter)

        Wisconsin                            39-1457904
     (State or other                     (I.R.S. Employer
     jurisdiction of                     Identification No.)
     incorporation or
      organization)

      630 Main Street, Luxemburg, Wisconsin 54217
       (Address of principal executive offices)

                    (920) 845-2345
              (Issuer's telephone number)

                          N/A
(Former name, former address and former fiscal year,
           if changed since last report)

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

State the number of shares outstanding of each issuer's
classes of common equity, as of July 21, 2000:
           540,528 shares were outstanding.

Transitional Small Business Disclosure Format (check one):  Yes  [ ]   No  [X]

<PAGE>


              LUXEMBURG BANCSHARES, INC.

                         INDEX

                                                         Page No.
  PART I - FINANCIAL INFORMATION

  Independent Accountant's Report                            3

  Consolidated Balance Sheets - June 30, 2000 and
  December 31, 1999                                          4

  Consolidated Statements of Income -
  Three Months & Six
  Months Ended June 30, 2000 and 1999                        5

  Consolidated Condensed Statements of Changes
  in Stockholders' Equity - Six Months Ended
  June 30, 2000 and 1999                                     6

  Consolidated Statements of Cash Flow -
  Six Months Ended June 30, 2000 and 1999                    7

  Notes to Consolidated Financial                        8 - 9
  Statements

  Management's Discussion and Analysis of
  Financial Condition and Results of Operations        10 - 14

  PART II - OTHER INFORMATION

  Item 2 - Changes in Securities and Use of Proceeds        15

  Item 4 - Submission of Matters to a Vote of
           Security Holders                                 15

  Item 6 - Exhibits and Reports on Form 8-K                 15

  SIGNATURES                                                15


<PAGE>

            PART I - FINANCIAL INFORMATION

                    Wipfli Ullrich
                    Bertelson LLP
             -----------------------------
             CPAs * CONSULTANTS * ADVISORS
             -----------------------------

            Independent Accountant's Report



Board of Directors and Stockholders
Luxemburg Bancshares, Inc.
Luxemburg, Wisconsin


We have reviewed the accompanying unaudited
consolidated balance sheet of Luxemburg Bancshares,
Inc. and Subsidiaries as of June 30, 2000, and the
related unaudited consolidated statements of income,
changes in stockholders' equity, and cash flows for the
six-month period then ended.  These financial
statements are the responsibility of the Company's
management.

We conducted our review in accordance with standards
established by the American Institute of Certified
Public Accountants.  A review of interim financial
information consists principally of applying analytical
procedures to financial data and making inquiries of
persons responsible for financial and accounting
matters.  It is substantially less in scope than an
audit conducted in accordance with generally accepted
auditing standards, the objective of which is the
expression of an opinion regarding the financial
statements taken as a whole.  Accordingly, we do not
express such an opinion.

Based on our review, we are not aware of any material
modifications that should be made to the accompanying
consolidated financial statements for them to be in
conformity with generally accepted accounting
principles.



/s/ Wipfli Ullrich Bertelson LLP
Wipfli Ullrich Bertelson LLP


July 31, 2000
Green Bay, Wisconsin

<PAGE>


      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
       CONSOLIDATED BALANCE SHEETS - (UNAUDITED)
          June 30, 2000 and December 31, 1999

                        ASSETS

                                            2000          1999
                                            ----          ----
Cash and due from banks               $  4,240,472  $   4,275,838
Interest-bearing deposits                  243,609        240,293
Federal funds sold                          53,000              0
                                      ------------  -------------
     Cash and cash equivalents           4,537,081      4,516,131

Investment securities available
for sale-Stated at fair value           18,384,174     18,276,824

Total loans                             93,250,839     82,366,209
     Allowance for credit losses        (1,022,412)      (895,952)
                                      ------------  -------------
Net loans                               92,228,427     81,470,257
Premises and equipment                   2,619,998      2,731,432
Other investments at cost                  323,550        318,550
Other assets                             2,599,123      2,735,318
                                      ------------  -------------
TOTAL ASSETS                          $120,691,353   $110,048,512
                                      ------------  -------------

         LIABILITIES AND STOCKHOLDERS' EQUITY


                                            2000          1999
LIABILITIES:                                ----          ----

Non-interest-bearing deposits         $ 13,124,550   $ 12,198,310
Interest-bearing deposits               92,658,596     84,761,332
                                      ------------   ------------
Total deposits                         105,783,146     96,959,642

Short-term borrowings                    2,850,953      1,373,649
Borrowed funds                              14,117         27,683
Other liabilities                          820,780        947,691
                                      ------------   ------------
     Total liabilities                 109,468,996     99,308,665
                                      ------------   ------------
STOCKHOLDERS' EQUITY:

Common stock- $1.00 par value:
     Authorized - 2,400,000 shares,
     Issued - 594,496 shares in 2000
     and 591,000 shares in 1999            594,496        591,000
Capital surplus                          4,053,202      3,986,477
Retained earnings                        7,286,154      6,891,080
Accumulated other comprehensive deficit   (367,336)      (384,551)

Less - 26,984 shares of treasury
 common stock, at cost                    (344,159)      (344,159)
                                      ------------   ------------
     Total stockholders' equity
                                        11,222,357     10,739,847
                                      ------------   ------------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY                                $120,691,353   $110,048,512
                                      ============   ============


   See accompanying notes to consolidated financial statements.

<PAGE>

      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
    CONSOLIDATED STATEMENTS OF INCOME - (UNAUDITED)

                                   Three Months            Six Months
                                   Ended June 30,         Ended June 30,
                                  2000       1999        2000        1999
  INTEREST INCOME:

  Interest and fees on loans    $1,964,072  $1,481,876  $3,774,592  $2,870,285
  Interest on investment
  securities:
       Taxable                     162,870     207,930     327,683     411,793
       Tax-exempt                   93,222      79,089     187,357     144,278
  Other interest and dividend
  income                            45,879      21,394      69,913     108,153
                                ----------  ----------  ----------  ----------
       Total interest income     2,266,043   1,790,289   4,359,545   3,534,509
                                ----------  ----------  ----------  ----------
  INTEREST EXPENSE:

  Deposits                       1,219,669     874,296   2,278,213   1,762,406
  Short-term borrowings             42,381        6784      71,214       8,327
  Borrowed funds                       452       1,626       1,056       3,601
                               -----------  ----------  ----------  ----------
       Total interest expense    1,262,502     882,706   2,350,483   1,774,334
                               -----------  ----------  ----------  ----------
  Net interest income            1,003,541     907,583   2,009,062   1,760,175
  Provision for credit losses       39,000      30,000      78,000      60,000
                               -----------  ----------  ----------  ----------
  Net interest income after
  provision for credit losses      964,541     877,583   1,931,062   1,700,175
                               -----------  ----------  ----------  ----------
  OTHER INCOME:

  Service charges on deposit
   accounts                         58,606      48,096     107,548      98,489
  Mortgage underwriting fees -
   Secondary market                 39,769      20,989      66,446      33,343
  Loan servicing fee income         16,681      17,665      27,683      47,087
  Other operating income           212,842     157,857     403,340     321,880
                               -----------  ----------  ----------  ----------
       Total other income          327,898     244,607     605,017     500,799

  OPERATING EXPENSES:

  Salaries and related benefits    532,959     413,078   1,033,928     808,243
  Net occupancy expense             58,460      51,583     121,961     102,885
  Equipment rentals,
  depreciation, and maintenance     90,022      84,013     180,470     163,127
  Data processing                   42,307      45,613      83,414      78,250
  Other operating expenses         206,094     199,593     395,169     347,546
                               -----------  ----------  ----------  ----------
       Total operating expenses    929,842     793,880   1,814,942   1,500,051
                               -----------  ----------  ----------  ----------
  Income before provision
   for income taxes                362,597     328,310     721,137     700,923
  Provision for income taxes        87,476      91,910     174,714     189,751
                               -----------  ----------  ----------  ----------
  Net income                   $   275,121  $  236,400  $  546,422  $  511,172
                               -----------  ----------  ----------  ----------
  Basic earnings per common          $0.51       $0.49       $1.01       $1.05
  share (*value reflect 2 for        -----       -----       -----       -----
  1 stock split of May 15, 2000.)


<PAGE>

      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
         CONSOLIDATED CONDENSED STATEMENTS OF
            CHANGES IN STOCKHOLDERS' EQUITY
                      (UNAUDITED)
        Six Months Ended June 30, 2000 and 1999

                                   Six Months Ended        Six Months Ended
                                    June 30, 2000            June 30, 1999

                                Shares   Equity Total    Shares   Equity Total

Balance - Beginning of period   537,032  $10,739,847     487,002  $ 9,456,433
                                -------  -----------     -------  -----------
Issuance of common stock          3,496  $    70,221
                                -------  -----------
Comprehensive income:
   Net Income                            $   546,422              $   511,172
Other comprehensive income               -----------              -----------
(deficit) - Change in net
unrealized loss on securities
available for sale                            17,215                 (337,029)
                                         -----------              -----------
Total comprehensive income                   563,637                  174,143
                                         -----------              -----------
Dividends Paid                               151,348                  126,600

Balance - End of period         540,528  $   487,002     487,002  $ 9,503,976
                                -------  -----------     -------  -----------


*  The number of shares outstanding reflects the 2 for
   1 stock split of May 15, 2000.

<PAGE>

      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
         CONSOLIDATED STATEMENTS OF CASH FLOW
                      (UNAUDITED)
        Six Months Ended June 30, 2000 and 1999


                                                         2000          1999
CASH FLOWS FROM OPERATING ACTIVITIES:

Net income                                          $    546,422  $    511,172
Adjustments to reconcile net income to net          ------------  ------------
  cash provided by operating activities:
    Depreciation and amortization                        117,964       165,692
    Accretion of discounts on securities                 ( 8,954)      (10,963)
    Amortization of premiums on securities                 3,983        11,714
    Provision for credit losses                           78,000        60,000
    Change in other operating assets                     178,902      (156,858)
    Change in other operating liabilities               (129,310)       30,708
                                                    ------------  ------------
      Total adjustments                                  240,585       100,293
                                                    ------------  ------------
Net cash provided by operating activities                787,007       611,465
                                                    ------------  ------------
CASH FLOWS FROM INVESTING ACTIVITIES:
    Proceeds from maturities of securities
     available for sale                                1,011,946     5,368,751
    Purchase of securities available for sale           (736,950)   (6,749,039)
    Net (increase) decrease in loans                 (10,836,170)   (8,777,284)
    Purchase of additional life insurance                (42,707)      (42,491)
    Proceeds from sale of other real estate                             31,652
    Capital expenditures                                  (6,530)   (1,229,580)
    Purchase of other Investments                       (354,985)      (42,500)
                                                    ------------  ------------
Net cash provided by (used in) investing activities  (10,965,396)  (11,440,491)
                                                    ------------  ------------
CASH FLOWS FROM FINANCING ACTIVITIES:
    Net increase in deposits                           8,823,504        48,665
    Net increase (decrease) in short-term borrowings   1,463,738     2,154,451
    Principal payments on borrowed funds                  (6,776)      (28,914)
    Director and Employee Stock Purchase Plans            70,221             0
    Dividends Paid                                      (151,348)     (126,600)
                                                    ------------  ------------
Net cash provided by (used in) financing activities   10,199,339     2,047,602
                                                    ------------  ------------
Net increase (decrease) in cash and cash equivalents      20,950    (8,781,424)
Cash and cash equivalents at beginning                 4,516,131    12,320,851
                                                    ------------  ------------
Cash and cash equivalents at end                    $  4,537,081  $  3,539,427
                                                    ------------  ------------
Supplemental information:

Cash paid during the period for:
    Interest                                        $  2,368,249  $  1,697,613
    Income taxes                                    $    212,986  $    173,228




   See accompanying notes to consolidated financial statements.

<PAGE>

      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
      NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                      (UNAUDITED)

The consolidated financial statements for interim
periods are unaudited; however, in the opinion of the
management of Luxemburg Bancshares, Inc. ("Company"),
all adjustments (consisting of only normal recurring
adjustments) necessary for a fair presentation have
been included. Refer to the Notes to Consolidated
Financial Statements which appear in the Company's Form
10-KSB for the Fiscal Year ended December 31, 1999 for
the Company's accounting policies which are pertinent
to these financial statements.

NOTE 1: BASIS OF PRESENTATION
The consolidated financial statements of Company, a
bank holding company, include the accounts of Company
and Subsidiaries - Bank of Luxemburg, Luxemburg
Investment Corporation, and Area Development
Corporation. All significant intercompany balances and
transactions have been eliminated in consolidation.
Goodwill acquired in a business acquisition is being
amortized on a straight-line basis over five years.

The accompanying financial statements have been
prepared in accordance with the instructions for Form
10-QSB and, therefore, do not include all information
and footnotes required by generally accepted accounting
principles in annual consolidated financial statements.

For purposes of reporting cash flows, the Company
considers cash on hand, interest-bearing and non-
interest bearing deposits in banks and federal funds
sold as cash and cash equivalents.

Earnings per common share are based upon the weighted
average number of common shares outstanding.  The
weighted average number of shares outstanding was
540,297 in June 2000 and 487,002 in June 1999. The
basic and diluted earnings per share are the same for
2000 and 1999. On March 17, 2000 the Board of Directors
approved a two (2) for one (1) stock for shareholders
of record of April 2, 2000 and issued on May 15, 2000.
The earnings per share and number of shares outstanding
reflect the stock split for comparative purposes.

NOTE 2: FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET
RISK
The Bank of Luxemburg's ("Bank's") financial statements
do not reflect various commitments and contingent
liabilities which arise in the normal course of
business and which involve elements of credit risk,
interest rate risk, and liquidity risk.  These
commitments and contingent liabilities are commitments
to extend credit and standby letters of credit.  A
summary of the Bank's commitments and contingent
liabilities at each balance sheet date is as follows:

Notional Amount
                              June 30, 2000   December 31, 1999

Commitments to extend credit    $8,547,000     $7,928,000
Credit card arrangements         1,456,000      1,451,000
Standby letters of credit         567,000        848,000

Commitments to extend credit and credit card
arrangements are agreements to lend to a customer as
long as there is no violation of any condition
established in the contract.  Commitments generally
have fixed expiration dates or other termination
clauses and may require payment of a fee. A portion of
the commitments are expected to be drawn upon, thus
representing future cash requirements. The Bank
evaluates each customer's creditworthiness on a case-by-
case basis.  The amount of collateral obtained upon
extension of credit is based on management's credit
evaluation of the counterparty.  Collateral held varies
but may include accounts receivable; inventory;
property, plant, and equipment; real estate; and stocks
and bonds. Management does not anticipate any material
losses as a result of these commitments.

Standby letters of credit are conditional commitments
issued by the Bank to guarantee the performance of a
customer to a third party.  The credit risk involved in
issuing letters of credit is essentially the same as
that involved in extending loan facilities to
customers.  The Bank holds collateral supporting those
commitments for which collateral is deemed necessary.
Because these instruments have fixed maturity dates and
because many of them expire without being drawn upon,
they do not generally present any significant liquidity
risk to the Bank. Management does not anticipate any
material losses as a result of these letters of credit.

<PAGE>

      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES
      NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                      (UNAUDITED)

NOTE 3: ACCOUNTING CHANGES
Future Accounting Changes - In June 1998, the Financial
Accounting Standards Board (FASB) issued Statement of
Financial Accounting Standards (SFAS) No. 133,
"Accounting for Derivative Instruments and Hedging
Activities."  This statement establishes accounting and
reporting standards for derivative instruments and for
hedging activities.  This statement requires an entity
to recognize all derivatives as either assets or
liabilities in the balance sheet and measure those
instruments at fair value.  The accounting for changes
in the fair value of a derivative depends on the
intended use of the derivative and the resulting
designation.  As amended by SFAS No. 137, the statement
is effective for fiscal years beginning after June 15,
2000.  Management, at this time, cannot determine the
effect adoption of this statement may have on the
consolidated financial statements of the Company as the
accounting for derivatives is dependent on the amount
and nature of derivatives in place at the time of
adoption.

<PAGE>

   MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
          CONDITION AND RESULTS OF OPERATIONS
      LUXEMBURG BANCSHARES, INC. AND SUBSIDIARIES


SELECTED QUARTERLY FINANCIAL DATA

                                   Three Months                Six Months
                                  Ended June 30,              Ended June 30,
                                2000          1999         2000         1999

Net Earnings                $   275,121  $   236,400  $   546,422  $   511,172
Average Consolidated
 Balance Sheet Items:
   Loans                     88,757,468   66,230,906   86,461,776   63,786,140
   Taxable Investment        10,544,996   13,502,533   10,604,125   13,277,014
   Fed Funds Sold             1,888,330    1,443,649    1,304,159    4,089,862
   Municipal Loans &
    Investments               9,568,602    9,192,985    9,482,088    8,879,403
   Other Earning Assets       1,184,186      676,607      888,046      959,680
                            -----------  -----------  -----------  -----------
      Total Earning Assets  110,243,582   91,046,680  108,740,194   90,992,099
   Total Assets             119,218,249   98,556,097  115,995,469   97,997,030
   Deposits                 104,356,150   86,984,883  102,056,648   86,714,930
   Shareholders' Equity      11,178,093    9,777,274   10,493,696    9,689,875

Key Ratios:
   Average Equity to
    Average Total Assets          9.38%       10.73%       9.05%        10.20%
   Return on Average
    Total Assets                  0.93%        0.96%       0.95%         1.04%
   Return on Average Equity       9.85%        9.67%      10.42%        10.55%
   Net Interest Margin            3.60%        4.00%       3.76%         3.90%


NET INTEREST INCOME

Net interest income, the principle source of earnings,
is the amount by which interest generated by earning
assets exceeds the interest costs of liabilities
obtained to fund them. As shown below, net interest
income has increased $95,958 or  10.57% to $1,003,542
for the three months ended June 30, 2000, from $907,583
for the three months ended June 30, 1999. Net interest
income has increased $248,887 or  14.14% to $2,009,062
for the six months ended June 30, 2000, from $1,760,175
for the six months ended June 30, 1999.  The increase
in net interest income reflects the loan and deposit
growth.  The increase was reduce because deposit
interest rates increased faster than loan interest
rates.


                        Three Months Ended June 30,    Six Months Ended June 30,
                           2000           1999           2000          1999
Interest Income        $ 2,266,043  $ 1,790,289      $ 4,359,545  $ 3,534,509
Interest Expense         1,262,502      882,706        2,350,483    1,774,334
                       -----------  -----------      -----------  -----------
Net Interest Income    $ 1,003,541  $   907,583      $ 2,009,062  $ 1,760,175
                       -----------  -----------      -----------  -----------
Net Interest Margin          3.60%        4.00%            3.76%        3.90%


RATE/VOLUME ANALYSIS

The impact of changes in volume and interest rates on
net interest income for the three and six months ended
June 30, 2000 is illustrated in the following table:

Three Months Ended June 30, 2000 Compared to Three Months Ended June 30, 1999.
                              Increase (Decrease) in Net Interest
 Income                  Net Change   Due To Rate    Due To Volume
Interest Income          $ 475,754    $  19,581       $ 456,173
Interest Expense           379,795       88,894         290,902
                         ---------    ---------       ---------
Net Interest Income      $  95,958    $ (69,313)      $ 165,271
                         ---------    ---------       ---------

<PAGE>

Six Months Ended June 30, 2000 Compared to Six Months Ended June 30, 1999.
                              Increase (Decrease) in Net Interest
 Income                  Net Change   Due To Rate    Due To Volume
Interest Income          $ 825,036    $ (22,585)      $ 847,621
Interest Expense           576,149      104,209         471,940
                         ---------    ---------       ---------
Net Interest Income      $ 248,887    $(126,794)      $ 375,681
                         ---------    ---------       ---------
Interest rates on the Bank's earning assets and
interest bearing liabilities were generally higher for
the three months and six months ended June 30, 2000
compared to the three months and six months ended June
30, 1999.  Earning assets increased 22.2% and 19.5%,
respectively to $111,270,838 for the three months ended
June 30, 2000 from $91,046,680 for the three months
ended June 30, 1999 and to $108,740,194 for the six
months ended June 30, 2000 from $90,992,009 for the six
months ended June 30, 1999. However, interest bearing
liabilities increased 24.6% and 20.4%, respectively to
$95,837,614 for the three months ended June 30, 2000
compared to $76,896,788 for the three months ended June
30, 1999 and to $92,672,896 for the six months ended
June 30, 2000 compared to $76,996,708 for the six
months ended June 30, 1999.

OPERATING RESULTS

Net income for the three months ended June 30, 2000,
was $275,121 compared to $236,400 for the three months
ended June 30, 1999.  The increase of $38,721 reflects
an increase in net interest income and fee income with
higher personnel costs.  The increase in net interest
income of $95,958 for the three months ended June 30,
2000, compared to the three months ended June 30, 1999
is discussed in "Net Interest Income" and "Rate/Volume
Analysis" elsewhere in this report. Mortgage
underwriting fees - Secondary market and loan service
fee income increased $17,796 to $56,450 for the three
months ended June 30, 2000, compared to $38,654 for the
three months ended June 30, 1999.  This increase is
primarily due to the Company originating $1,130,500 of
loans sold to the secondary market and collecting
service fee income on $28,029,931 of loans previously
sold to the market. Other operating income, including
other loan fees, debit card and ATM fees, increased
$54,985 or 34% to $212,842 for the three months ending
June 30, 2000 compared to $157,857 for the three months
ending June 30, 1999.

Total operating expenses increased a $135,962 or 17.1%
from $793,880 for the three months ended June 30, 1999
to $929,842 for the three months ended June 30, 2000.
Salaries and related benefits increased $119,881 or
29.0% to $532,959 for the three months ended June 30,
2000 compared to $413,078 for the three months ended
June 30, 1999. Additional staffing in the Financial
Resource Center plus increases in insurance and
training costs along with the employment expenses at
the Casco office account for the increase.  Net
occupancy expense increased $6,877 or 13.3% to $58,460
for the three months ended June 30, 2000 compared to
$51,583 for the three months ended June 30, 1999.
Equipment rentals, depreciation, and maintenance for
the three months ended June 30, 2000 increased $6,009
or 7.1% to $90,022 compared to $84,013 for the three
months ended June 30, 1999. Finally, other operating
expenses for the three months ended June 30, 2000
increased $6,051 or 3.0% to $206,094 from $199,593 for
the three months ended June 30, 1999.

Net income for the six months ended June 30, 2000, was
$546,422 compared to $511,172 for the six months ended
June 30, 1999.  The increase of $35,250 reflects an
increase in net interest income and fee income with
higher personnel costs.  The increase in net interest
income of $248,887 for the six months ended June 30,
2000, compared to the three months ended June 30, 1999
is discussed in "Net Interest Income" and "Rate/Volume
Analysis" elsewhere in this report. Other operating
income, including other loan fees, debit card and ATM
fees, increased $81,460 or 25.3% to $403,340 for the
six months ending June 30, 2000 compared to $321,880
for the six months ending June 30, 1999.  Of the
increase other loan fees accounted for $26,578,
alternative investment sales accounted for $31,348 and
card services and ATM services accounted for $12,717.

Total operating expenses increased a $314,891 or 17.3%
from $1,500,051 for the six months ended June 30, 1999
to $1,814,942 for the six months ended June 30, 2000.
Salaries and related benefits increased $225,685 or
27.9% to $1,033,928 for the six months ended June 30,
2000 compared to $808,243 for the six months ended June
30, 1999. Higher salaries and wages in addition to the
Financial Resource Center increase in sales staff plus
increases in insurance and training costs and the
employment expenses at the Casco office

<PAGE>

account for the increase.  Net occupancy expense increased
$19,076 or 18.3% to $121,961 for the six months ended
June 30, 2000 compared to $102,885 for the six months
ended June 30, 1999, largely related to the additional
depreciation and real estate taxes of the new Casco
office.  Equipment rentals, depreciation, and
maintenance for the six months ended June 30, 2000
increased $17,343 or 10.6% to $180,470 compared to
$163,127 for the six months ended June 30, 1999.
Other operating expenses for the six months ended June
30, 2000 increased $47,623 or 13.7% to $395,169 from
$347,546 for the six months ended June 30, 1999. The
additional expenses were increases in accounting fees,
telecommunication expenses and the FDIC assessments
from the first quarter of the year.

ALLOWANCE FOR LOAN LOSSES

The amount charged to the provision for loan losses by
the Bank is based on management's evaluation as to the
amounts required to maintain an allowance adequate to
provide for potential losses inherent in the loan
portfolio. The level of this allowance is dependent
upon the total amount of past due and non-performing
loans, general economic conditions and management's
assessment of potential losses based upon internal
credit evaluations of the loan portfolio and particular
loans. The Bank management allocated the allowance
based on an assigned risk factor for each category of
loans and adjusting the allocation by potential losses
of individual loans.  Loans are entirely to borrowers
in Northeast Wisconsin.

The Bank generally places loans on non-accrual status
when the loan is past due as to the payment of interest
and/or principal in excess of 90 days. The Bank also
places loans on a non-accrual status when it deems the
collection of such interest unlikely. Loans are
returned to full accrual status when the loan is
brought current according to all terms of the loan
agreement, all past due principal and interest is paid
and the Bank deems its collateral position adequate to
warrant a return to accrual status.

At June 30, 2000 the Company had $107,000 in loans past
due 90 days or more that were still accruing interest
as compared to $0 for June 30, 1999.  The loans were
adequately secured to allow for the repayment of both
the principal and interest due.  At June 30, 2000 and
1999 the Company did not have any loans that meet the
definition of "Troubled Debt Restructuring". In
addition, there were no loans considered to be
impaired.  The Bank had $399,000 of nonaccrual loans at
June 30, 2000 and $245,000 of nonaccrual loans at June
30, 1999.

During the three months ended June 30, 2000, $39,000
was charged to the provision for loan losses compared
to $30,000 for the three months ended June 30, 1999. At
June 30, 2000 the allowance was $1,022,000 or 1.12% of
total loans. This compares to an allowance of $817,000
or 1.12% of total loans as of June 30, 1999.  For the
three months ended June 30, 2000 the Bank had net
charge-offs of $6,000 compared to net charge-offs of
$7,000 for the three months ended June 30, 1999.  For
the six months ended June 30, 2000 the Bank had net
recoveries of $48,000 compared to net charge-offs
$7,000 for the six months ended June 30, 1999.

The following table summarizes loan charge-offs and
recoveries by type of loan for the three months ended
June 30, 2000 and 1999:

    Loan Type                  June 30, 2000         June 30, 1999
                           Charge-Off  Recovery   Charge-Off  Recovery

Real Estate                $      0    $      0   $      0    $      0
Commercial and Industrial         0           0          0       6,000
Agricultural                      0           0          0           0
Consumer                     12,000       6,000     14,000       1,000
                           --------    --------   --------    --------
TOTALS                     $ 12,000    $  6,000   $ 14,000    $  7,000
                           --------    --------   --------    --------

<PAGE>

The following table summarizes loan charge-offs and
recoveries by type of loan for the six months ended
June 30, 2000 and 1999:

    Loan Type                  June 30, 2000         June 30, 1999
                           Charge-Off  Recovery   Charge-Off  Recovery

Real Estate                $      0    $      0   $      0    $      0
Commercial and Industrial         0      32,000          0       6,000
Agricultural                      0      25,000          0       3,000
Consumer                     22,000      13,000     27,000       2,000
                           --------    --------   --------    --------
TOTALS                     $ 22,000    $ 70,000   $ 27,000    $ 11,000
                           --------    --------   --------    --------

The Bank has allocated its allowance for credit losses
at the end of each period presented as follows:

                                  June 30, 2000      June 30, 1999

                                           % of                % of
                                          loans               loans
Balance at End of                          to                  to
Period Applicable to:                     total               total
                                 Amount   Loans     Amount    Loans

Commercial and agricultural   $  651,048   56%   $  505,282    49%
Real Estate-construction          85,846    9%       32,813     5%
Real Estate-mortgage              90,396   20%       76,710    34%
Consumer                         145,085   15%      110,998    12%
                              ----------  ----   ----------   ----
Total Domestic                   972,014  100%      725,803   100%

Unallocated                       50,398             91,811
                              ----------         ----------
TOTALS                        $1,022,412  100%   $  817,614   100%
                              ----------  ----   ----------   ----

LIQUIDITY AND INTEREST RATE SENSITIVITY

The Company must maintain an adequate liquidity
position in order to respond to the short-term demand
for funds caused by withdrawals from deposit accounts,
extensions of credit and for the payment of operating
expenses.  Maintaining this position of adequate
liquidity is accomplished through the management of a
combination of liquid assets; those which can be
converted into cash and access to additional sources of
funds.  Primary liquid assets of the Company are cash
and due from banks, federal funds sold, investments
held as "available for sale" and maturing loans.
Federal funds purchased and loans from the Federal Home
Loan Bank system represent the Company's primary source
of immediate liquidity and were maintained at a level
to meet immediate needs.  Federal Funds Sold averaged
approximately $1,888,330 and $1,443,649 for the three
months ended June 30, 2000 and 1999, respectively.
Maturities in the Company's loan and investment
portfolios are monitored regularly to avoid matching
short-term deposits with long-term loans and
investments. Other assets and liabilities are also
monitored to provide the proper balance between
liquidity, safety, and profitability.  This monitoring
process must be continuous due to the constant flow of
cash that is inherent in a financial institution.

The Company actively manages its interest rate
sensitive assets and liabilities to reduce the impact
of interest rate fluctuations. In addition, the Bank
monitors the interest rates paid on certificates of
deposit as advertised by its competitors and strives to
pay competitive interest rates to retain and attract
certificates of deposit. Should competitive pressures
dictate, the Bank may have to increase rates paid to
retain the certificates of  deposit that mature in the
next year and any increase in interest rates paid on
certificates of deposit may reduce future Company
earnings. The Bank also monitors the assets and
liabilities that reprice each month to determine the
impact on future earnings from anticipated repricings.
At June 30, 2000 the Company's rate sensitive
liabilities exceed rate sensitive assets due within one
year by $13,316,000.

<PAGE>

As part of managing liquidity, the Company monitors its
loan to deposit ratio on a daily basis.  At June 30,
2000 the ratio was 88.1% which is within the Company's
acceptable range.

The Company experienced an increase in cash and cash
equivalents, its primary source of liquidity, of
$20,950 for the six months ended June 30, 2000. The
primary source of cash flow for the six months ended
June 30, 2000 was cash provided by financing activities
of $10,199,339 which consisted of an increase in
deposits of $8,823,504 and an increase in short term
borrowing of $1,463,738. Cash outflow for the three
months ended June 30, 2000 was primarily an increase in
loans of $10,836,170.  The Company's management
believes its liquidity sources are adequate to meet its
operating needs and does not know of any trends, events
or uncertainties that may result in a significant
adverse effect on the Company's operations or liquidity
position.

The following table illustrates the projected
maturities and the repricing mechanisms of the major
asset/liability categories of the Company as of June
30, 2000, based on certain assumptions. No prepayment
rate assumptions have been made for the loan portfolio.
Maturities and repricing dates for investments have
been projected by applying the assumptions set forth
below to contractual maturities and repricing dates.

                       1 Year    1 - 5    5 - 10   After 10
                      or Less    Years    Years      Years

Interest Earning Assets:
   Fed Funds Sold            $ 4,537,000
   Investment Securities     $ 2,050,000  $ 8,936,000  $ 5,316,000  $ 2,290,000
   Loans
      Variable Rate          $11,301,000
      Real Estate-
        Construction         $ 7,035,000  $ 1,514,000
      Real Estate-Other      $ 7,426,000  $23,500,000  $ 1,199,000
      Commercial and
        Industrial           $ 7,094,000  $16,596,000  $   347,000  $   877,000
     Agricultural            $ 2,034,000  $ 3,966,000               $   767,000
      Consumer               $ 1,244,000  $ 6,255,000  $   457,000
   Other                     $   544,000  $   330,000  $   765,000  $         0
                             -----------  -----------  -----------  -----------

Total Interest Earning
  Assets                     $43,265,000  $61,097,000  $ 8,084,000  $ 3,934,000

Interest Bearing Liabilities:
   Interest Bearing Demand                                          $ 4,394,000
   Savings Deposits          $ 5,760,000                            $13,439,000
   Money Market              $ 1,066,000                            $ 2,488,000
   Certificates of Deposit   $32,707,000  $16,080,000
   Jumbo CD's                $ 9,524,000  $ 1,703,000
   IRA's                     $ 4,659,000  $   839,000
   Other                     $ 2,865,000          -0-          -0-          -0-
                             -----------  -----------  -----------  -----------

Total Interest Bearing
 Liabilities                 $56,581,000  $18,622,000          -0-  $20,321,000
                             -----------  -----------  -----------  -----------

Interest Sensitivity Gap
 per Period                 $(13,316,000) $42,475,000  $ 8,084,000 $(16,387,000)
                            ------------  -----------  -----------  -----------
Cumulative Interest
 Sensitivity Gap            $(13,316,000) $29,159,000  $37,243,000  $20,856,000
                            ------------  -----------  -----------  -----------
Interest Sensitivity Gap
 as a Percentage of
 Earning Assets                  (11.9%)        37.9%         7.2%      (14.6%)

Cumulative Sensitivity
 Gap as a Percentage of
 Earning Assets                  (11.9%)        26.0%        33.2%       18.6%

<PAGE>

              PART II - OTHER INFORMATION

Item 2.  Changes in Securities and Use of Proceeds

         On May 15, 2000,  the Company paid a 2-for-1
stock split in the form of a stock dividend to
shareholders of record on April 2, 2000.  The issuance
of the stock was not required to be registered under
the Securities Act, because no "offer" or "sale" of
securities was involved.

On December 31, 1999, the Company sold 3,496 shares of
common stock (adjusted for the stock split).  The
details of the stock issuance are described in the
Company's report on Form 10-KSB for the year end
December 31, 1999.

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

         The annual meeting of Luxemburg Bancshares, Inc.
was held on April 29, 2000.  The following three
directors were elected:  David L. Luebbers,  Irvin G.
Vincent and Thomas J. Rueckl.  Mr. Jadin, who was
listed as a nominee in the proxy statement,  withdrew
his candidacy prior to the meeting.  David L. Luebbers
received 164,674 shares for, 1,009 against and none
abstained. Irvin G. Vincent received 165,384 shares
for, 299 against and none abstained. Thomas J. Rueckl
received 165,049 shares for, 634 against and none
abstained.

Item 6.     Exhibits and reports on Form 8-K

            (a) Exhibits

                27 Financial Data Schedule

            (b) Reports on Form 8-K

                During the quarter ended June 30, 2000, the
                registrant did not file any reports on Form 8-K.


                      SIGNATURES

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



                                          LUXEMBURG BANCSHARES, INC.
                                          (Registrant)


/s/ John A. Slatky                         /s/ John H. Kaye, C.P.A.
------------------------------------       ----------------------------
John A. Slatky,                            John H. Kaye, C. P. A.
President and Chief Executive Officer      Treasurer
                                           (Principal Accounting Officer)

Date:  8/1/00                              Date:  8/1/00