EXECUTION COPY



                            BANK EMPLOYMENT AGREEMENT


                  This EMPLOYMENT AGREEMENT ("Agreement") is made and entered
into as of June 1, 1999, by and between CARVER FEDERAL SAVINGS BANK, a savings
bank organized and operating under the federal laws of the United States and
having an office at 75 West 125th Street, New York, New York 10027 ("Bank") and
DEBORAH C. WRIGHT, an individual residing at 31 East 12th Street, Apartment 6A,
New York, New York 10003 ("Executive"). For purposes of this Agreement Carver
Bancorp, Inc. will be referred to as (the "Holding Company").


                              W I T N E S S E T H :


                  WHEREAS, subject to the approval of the applicable federal
bank regulators, for purposes of securing the Executive's services for the Bank,
the Board of Directors of the Bank has approved and authorized the execution of
this Agreement with the Executive; and

                  WHEREAS,  the  Executive  is  willing to serve the Bank on the
terms and conditions hereinafter set forth;

                  NOW, THEREFORE, in consideration of the premises and the
mutual covenants and conditions hereinafter set forth and, the Bank and the
Executive hereby agree as follows:


                  SECTION 1.        EMPLOYMENT.
                                    ----------

                  The Bank agrees to employ Executive, and the Executive hereby
agrees to such employment, during the period and upon the terms and conditions
set forth in this Agreement.


                  SECTION 2.        EMPLOYMENT PERIOD; REMAINING UNEXPIRED
                                    EMPLOYMENT PERIOD.
                                    --------------------------------------

                  (a) The terms and conditions of this Agreement shall be and
remain in effect during the period of employment established under this Section
2 ("Employment Period"). The Employment Period shall be for an initial term of
three years beginning on June 1, 1999 (the "Effective Date"). The Board shall
review the Executive's performance of services under this Agreement on an annual
basis. Prior to the second anniversary of the date of this Agreement and on each
anniversary date thereafter (each, an "Anniversary Date"), the Board shall
review the terms of this Agreement and the Executive's performance of services
hereunder and may, in the absence of objection from the Executive, approve a
one-year extension of the Employment Agreement. In such event, the Employment
Agreement shall be extended to the second anniversary of the relevant
Anniversary Date.


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                  (b) For all purposes of this Agreement, the term "Remaining
Unexpired Employment Period" as of any date shall mean the period beginning on
such date and ending on the Anniversary Date on which the Employment Period (as
extended pursuant to Section 2(a) of this Agreement) is then scheduled to
expire.

                  (c) Nothing in this Agreement shall be deemed to prohibit the
Bank at any time from terminating Executive's employment during the Employment
Period with or without prior notice for any reason; provided, however, that the
relative rights and obligations of the Bank and Executive in the event of any
such termination shall be determined under this Agreement, subject to applicable
provisions of federal law.


                  SECTION 3.        DUTIES.
                                    ------

                  Executive shall serve as President and Chief Executive Officer
of the Bank, and as a member of the Board, having such power, authority and
responsibility, including without limitation the power to hire and dismiss any
employees of the Bank, and performing such duties as are prescribed by or under
the By-Laws of the Bank and as are customarily associated with such positions.
Executive shall devote her full business time and attention (other than during
weekends, holidays, approved vacation periods, and periods of illness or
approved leaves of absence) to the business and affairs of the Bank and shall
use her best efforts to advance the interests of the Bank.


                  SECTION 4.        BASE SALARY.
                                    -----------

                  In consideration for the services to be rendered by Executive
hereunder, the Bank shall pay to Executive a base salary at an initial annual
rate of Two Hundred and Thirty-Five Thousand Dollars ($235,000.00) payable in
approximately equal installments in accordance with the Bank's customary payroll
practices for senior officers. Each May, prior to the Anniversary Date of the
Effective Date of this Agreement occurring during the Employment Period, the
Board shall review Executive's annual rate of salary and may, in its discretion,
approve an increase therein.


                  SECTION 5.        INCENTIVE COMPENSATION.
                                    ----------------------

                  (a) Upon the Effective Date of this Agreement, the Executive
shall be granted incentive stock options under the Holding Company's 1995 Stock
Option Plan to purchase up to Thirty Thousand (30,000) shares of the Holding
Company's common stock, par value $.01 per share ("Options") at an exercise
price equal to the "Market Value" (as such term is defined in the 1995 Stock
Option Plan) of a share of the Holding Company's common stock on the date of
grant. Of the foregoing Option grant, Options granted with respect to the
purchase of Fifteen Thousand (15,000) shares of the Holding Company's common
stock shall vest and become immediately exercisable on the Effective Date and
the balance of these Options shall vest and become exercisable in equal
installments over a three-year period, with Five Thousand (5,000) Options
becoming 100% vested and fully exercisable on the first anniversary of the
Effective Date and Five Thousand (5,000) additional Options becoming 100% vested
and fully exercisable on the second and third immediately succeeding
anniversaries of the Effective Date. The foregoing grant of Options to the
Executive (and

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all rights and privileges relating to such Options) shall be memorialized in a
written stock option agreement to be entered into by and between the Holding
Company and the Executive which shall be governed by, and incorporate by
reference, the terms and provisions of the Holding Company's 1995 Stock Option
Plan and the terms of this Agreement, as applicable. In addition, each May,
prior to the anniversary of the Effective Date of this Agreement, the Board of
Directors of the Holding Company shall review the Executive's performance under
this Agreement and may, in its discretion, grant additional stock option awards
to the Executive under the 1995 Stock Option Plan; provided, however, that no
fewer than Thirty Thousand (30,000) Options shall be granted to the Executive on
June 1, 2000 and such Options shall vest in three annual installments on each
anniversary of such grant date. The Executive acknowledges and agrees that the
grant of all additional stock option awards may be subject to the approval of
the Holding Company's shareholders to the proposed amendment to the 1995 Option
Plan to increase its share reserve.

                  (b) The Executive shall also be eligible to receive an annual
incentive compensation payment ("Incentive Compensation Award") in a dollar
amount to be determined by the Board based upon the Executive's performance
during the applicable Incentive Compensation Award measurement period
("Measurement Period") agreed upon by the Board and the Executive. The Board's
determination of the dollar amount of the Executive's Incentive Compensation
Award for any Measurement Period shall be based upon the Executive's level of
achievement versus specified threshold, target and exceptional performance goals
established and agreed to by the Board and Executive for the Measurement Period.
The dollar amount of the Incentive Compensation Award payable to the Executive
with respect to the applicable Measurement Period shall be determined by the
Board in May of each year or as soon as practicable after the release of the
audited consolidated financial statements of the Holding Company and the Bank.
The Incentive Compensation Award shall be paid to the Executive (less all
applicable tax withholding) in the form of a single sum cash payment or grant of
restricted stock, or any combination of the foregoing determined by the Board,
as soon as administratively feasible after the date the dollar amount of the
Incentive Compensation Award has been determined by the Board.

         (c) Upon the Effective Date of this Agreement, the Executive shall also
be granted a restricted stock award ("Restricted Stock Award") under the Holding
Company's Management Recognition Plan with respect to Seventy-Five Hundred
(7,500) shares of the Holding Company's common stock. The Restricted Stock Award
(and all rights and privileges relating to such Award) shall be memorialized in
a written Restricted Stock Award Notice and Agreement to be entered into between
the Holding Company and the Executive which shall be governed by, and
incorporate by reference, the terms and provisions of the Holding Company's
Management Recognition Plan and the terms of this Agreement, as applicable. The
Restricted Stock Award shall vest in equal installments over a three-year
period, with Twenty-Five Hundred (2,500) shares of the Restricted Stock Award
becoming vested and distributable to the Executive on each of the first, second
and third immediately succeeding anniversaries of the Effective Date of this
Agreement; provided, however, that the vesting of all or a portion of the
Restricted Stock Award shall be accelerated in accordance with a schedule
established and agreed to by the Board and Executive based on Executive's
attainment of specified performance goals for a Measurement Period as
established and agreed to by the Board and Executive for the Measurement Period.



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                  SECTION 6.        EMPLOYEE BENEFIT PLANS AND PROGRAMS.
                                    -----------------------------------

                  During the Employment Period, Executive shall be treated as an
employee of the Bank and shall be entitled to participate in and receive
benefits under any and all qualified or non- qualified retirement, pension,
savings, profit-sharing or stock bonus plans, any and all group life, health
(including hospitalization, medical and major medical), dental, accident and
long term disability insurance plans, and any other employee benefit and
compensation plans (including, but not limited to, any incentive compensation
plans or programs, stock option and appreciation rights plans and restricted
stock plans) (collectively, "Benefit Plans") as may from time to time be
maintained by, or cover employees of, the Bank, in accordance with the terms and
conditions of such employee benefit plans and programs and compensation plans
and programs and consistent with the Bank's customary practices. In addition,
the Bank shall provide to the Executive at the Bank's expense, with a term life
insurance policy in the amount of One Million Dollars ($1,000,000) payable to
the beneficiary designated by the Executive. Nothing paid to the Executive under
any such policy, plan or arrangement will be deemed to be in lieu of any other
compensation to which the Executive is entitled under this Agreement.


                  SECTION 7.        SUPPLEMENTAL EXECUTIVE RETIREMENT BENEFITS.
                                    ------------------------------------------

                  Without limiting the generality of Section 6 hereof, in the
event that the amount of benefits or contributions Executive would have received
or accrued under the benefit formulas of the tax-qualified Benefit Plans of the
Bank is limited by Sections 401(a)(17), 401(k)(3), 401(m), 402(g) or 415 of the
Internal Revenue Code of 1986 ("Benefit Limitations"), the Bank shall provide
Executive with supplemental benefits equal to the benefits attributable to
employer contributions that she would have received if the Benefit Limitations
did not apply. Such supplemental benefits shall be provided on a non-qualified,
deferred compensation basis and shall be determined under the benefit formulas
and actuarial assumptions of the applicable Benefit Plans. Payment of such
supplemental benefits shall be made in the same manner and at the same time as
payment of the Executive's benefits under the applicable Benefit Plan.


                  SECTION 8.        INDEMNIFICATION.
                                    ---------------

                  (a) To the maximum extent permitted under Section 545.121 of
regulations issued by the Office of Thrift Supervision (the "OTS"), during the
Employment Period and for a period of six (6) years thereafter, the Bank shall
cause Executive to be covered by and named as an insured under any policy or
contract of insurance obtained by it to insure directors and officers against
personal liability for acts or omissions in connection with service as an
officer or director of the Bank, or service in other capacities at the request
of the Bank. The coverage provided to Executive pursuant to this Section 8 shall
be of the same scope and on the same terms and conditions as the coverage (if
any) provided to other officers or directors of the Bank.

                  (b) To the maximum extent permitted under Section 545.121 of
regulations issued by the OTS, during the Employment Period and for a period of
six (6) years thereafter, the Bank shall indemnify Executive against and hold
Executive harmless from any costs, liabilities, losses and exposures to the
fullest extent and on the most favorable terms and conditions that similar

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indemnification is offered to any director or officer of the Bank or affiliate
thereof. This Section 8(b) shall not be applicable where Section 21 is
applicable.


                  SECTION 9.        OUTSIDE ACTIVITIES.
                                    ------------------

                  Executive may serve as a member of the boards of directors of
such business, community and charitable organizations as Executive may disclose
to and as may be approved by the Board (which approval shall not be unreasonably
withheld); provided, however, that such service shall not materially interfere
with the performance of her duties under this Agreement. Executive may also
engage in personal business and investment activities which do not materially
interfere with the performance of her duties hereunder; provided, however, that
such activities are not prohibited under any code of conduct or investment or
securities trading policy established by the Bank and generally applicable to
all similarly situated executives. The Executive may also serve as an officer or
director of the Holding Company on such terms and conditions as the Bank and the
Holding Company may mutually agree upon, and such service shall not be deemed to
materially interfere with the Executive's performance of her duties hereunder or
otherwise to result in a material breach of this Agreement.


                  SECTION 10.       WORKING FACILITIES AND EXPENSES.
                                    -------------------------------

                  Executive's principal place of employment shall be at the
Bank's executive offices at the address first above written, or at such other
location within New York City at which the Bank shall maintain its principal
executive offices, or at such other location as the Bank and Executive may
mutually agree upon. The Bank shall provide Executive at her principal place of
employment with a private office, secretarial services, reimbursement or direct
payment for business-related car expenses not to exceed Fifteen Hundred Dollars
($1,500.00) per month and other support services and facilities suitable to her
position with the Bank and necessary or appropriate in connection with the
performance of her assigned duties under this Agreement. The Bank shall
reimburse the Executive for her ordinary and necessary business expenses plus
membership fees, dues, capital contributions or such other business-related
charges required for, or related to, membership or participation in such clubs
and organizations as Executive and the Bank shall mutually agree are necessary
and appropriate for business purposes, and her travel and entertainment expenses
incurred in connection with the performance of her duties under this Agreement,
in each case upon presentation to the Bank of an itemized account of such
expenses in such form as the Bank may reasonably require. The Bank shall pay the
reasonable legal fees and expenses of Latham & Watkins, counsel to the
Executive, in connection with the negotiation of this Agreement.


                  SECTION 11.       TERMINATION OF EMPLOYMENT.
                                    -------------------------

                  Executive shall be entitled to the severance benefits
described in Section 12 hereof in the event that her employment with the Bank
terminates during the Employment Period under any of the following
circumstances:

                  (a) prior to a Change in  Control,  as  defined  in Section 15
hereof:

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                           (i) the termination by the Bank of the Executive's
                  employment hereunder for any reason other than Disability, as
                  defined in Section 13 hereof, Retirement, as defined in
                  Section 14(d) hereof, or Cause, as defined in Section 14(a)
                  hereof; or

                           (ii) Executive's voluntary resignation from
                  employment with the Bank upon (60) days written notice given
                  within six full calendar months following:

                                    (A) the failure of the Board to appoint or
                           re-appoint or elect or re-elect Executive to the
                           office of President and Chief Executive Officer of
                           the Bank or the failure of the Board of the Holding
                           Company to appoint or re-appoint or elect or re-elect
                           Executive to the office of President and Chief
                           Executive Officer of the Holding Company; or

                                    (B) the failure of the stockholders of the
                           Bank to elect or re-elect Executive as a member of
                           the Board, or the failure of the Board (or the
                           nominating committee thereof) to nominate Executive
                           for such election or re-election; or

                                    (C) the expiration of a thirty (30) day
                           period following the date on which Executive gives
                           written notice to the Bank of its the material
                           failure, whether by amendment of the Bank's Federal
                           Stock Charter or By-laws, action of the Board, or the
                           Bank's stockholders or otherwise, to vest in
                           Executive the functions, duties, or responsibilities
                           attributable to the positions described in Section 3
                           of this Agreement, unless, during such thirty (30)
                           day period, the Bank cures such failure in a manner
                           determined by Executive, in her discretion, to be
                           satisfactory; or

                                    (D) the expiration of a thirty (30) day
                           period following the date on which Executive gives
                           written notice to the Bank of its material breach of
                           any term, condition or covenant contained in this
                           Agreement (including, without limitations, any
                           reduction of Executive's rate of base salary in
                           effect from time to time, any change in the terms and
                           conditions of any compensation or benefit program in
                           which Executive participates, or change in
                           Executive's fringe benefits and perquisites, which,
                           either individually or together with other changes,
                           has a material adverse effect on the aggregate value
                           of her total compensation package), unless, during
                           such thirty (30) day period, the Bank cures such
                           failure in a manner determined by Executive, in her
                           discretion, to be satisfactory; or

                                    (E) the relocation of Executive's principle
                           place of employment by more than 30 miles from its
                           location at the effective

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                           date of this Agreement or any change in working
                           conditions at such principal place of employment
                           which Executive, in her reasonable discretion,
                           determines to be embarrassing, derogatory or
                           otherwise adverse; or

                  (b) subsequent to a Change in Control, as defined in Section
15 hereof, but not later than one year from the effective date of the Change in
Control:

                           (i) termination of Executive's employment hereunder
                  by the Bank, for any reason, other than death, Disability or
                  Cause; or

                           (ii) termination of Executive's employment hereunder
                  by the Executive following:

                                    (A) Executive's demotion or loss of title,
                           office or significant authority or responsibility, or
                           following any reduction in any element of her package
                           of compensation and benefits;

                                    (B) any relocation of Executive's principal
                           place of employment, any change in working conditions
                           at such principal place of employment which
                           Executive, in her reasonable discretion, determines
                           to be embarrassing, derogatory or otherwise adverse
                           or any action or inaction that substantially
                           interferes with or impedes Executives's ability to
                           carry out the duties and responsibilities of her
                           position; or

                                    (C) the failure of any successor to the
                           Company in the Change in Control to include Executive
                           in any compensation or benefit program maintained by
                           it or covering any of its executive officers, unless
                           Executive is already covered by a substantially
                           similar plan of the Company which is at least as
                           favorable to her.

                  SECTION 12.       SEVERANCE BENEFITS.
                                    ------------------

                  Upon the termination of Executive's employment with the Bank
under the circumstances described in Section 11 of this Agreement, the Bank
shall pay and provide to Executive (or, in the event of her death following her
termination of employment, to her estate):

                  (a) her earned but unpaid compensation (including, without
         limitation, all items which constitute wages under Section 190.1 of the
         New York Labor Law and the payment of which is not otherwise provided
         for under this Section 12) as of the date of the termination of her
         employment with the Bank, such payment to be made at the time and in
         the manner prescribed by law applicable to the payment of wages but in
         no event later than thirty (30) days after termination of employment;


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                  (b) the benefits, if any, to which Executive is entitled as a
         former employee under the Benefit Plans maintained by the Bank for
         their officers and employees;

                  (c) continued group life, health (including hospitalization,
         medical and major medical), dental, accident and long term disability
         insurance benefits, and continued benefits under the term life
         insurance policy described in Section 6, in addition to that provided
         pursuant to Section 12(b), and after taking into account the coverage
         provided by any subsequent employer, if and to the extent necessary to
         provide coverage for Executive and her family equivalent to the
         coverage to which Executive would be entitled under the applicable
         Benefit Plans (as in effect on the date of her termination of
         employment, or, if her termination of employment occurs after a Change
         in Control, on the date of such Change in Control, whichever benefits
         are greater), if Executive had continued working for the Bank during
         the Remaining Unexpired Employment Period, and during such period,
         Executive received the highest annual rate of compensation achieved
         during that portion of the Employment Period prior to Executive's
         termination of employment, such benefits to be provided without regard
         to whether Executive's continued participation in the applicable
         Benefit Plans is prohibited during such period and to include
         continuation coverage for Executive and members of Executive's family
         following the expiration of the Remaining Unexpired Employment Period
         equivalent to the continuation coverage that they would be entitled to
         under the Consolidated Omnibus Budget Reconciliation Act ("COBRA") if
         such benefits were provided under the applicable Benefit Plans; and

                  (d) within thirty (30) days following her termination of
         employment with the Bank, a lump sum payment, in an amount equal to the
         present value of the salary that Executive would have earned if
         Executive had continued working for the Bank during the Remaining
         Unexpired Employment Period at the highest annual rate of salary
         achieved during that portion of the Employment Period which is prior to
         Executive's termination of employment with the Bank, where such present
         value is to be determined using a discount rate equal to the applicable
         short-term federal rate prescribed under Section 1274(d) of the
         Internal Revenue Code of 1986 ("Code"), compounded using the
         compounding period corresponding to the Bank's regular payroll periods
         for its officers;

                  (e) within thirty (30) days following her termination of
         employment with the Bank, a lump sum payment in an amount equal to the
         excess, if any, of:

                           (i) the present value of the aggregate benefits to
                  which Executive would be entitled under any and all qualified
                  and non-qualified defined benefit pension plans maintained by,
                  or covering employees of, the Bank, if Executive were 100%
                  vested thereunder and had continued working for the Bank
                  during the Remaining Unexpired Employment Period, such
                  benefits to be determined as of the date of termination of
                  employment by adding to the service actually recognized under
                  such plans an additional period equal to the

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                  Remaining Unexpired Employment Period and by including in the
                  compensation recognized under such plans all amounts payable
                  under Sections 12(a), (d), (h), (i) and (j) which would be
                  credited under such plans had they been paid over the
                  Remaining Unexpired Employment Period; over

                           (ii) the present value of the benefits to which
                  Executive is actually entitled under such defined benefit
                  pension plans as of the date of her termination;

         where such present values are to be determined using the mortality
         table ("Applicable Mortality Table") and interest rate ("Applicable
         Interest Rate") prescribed under Section 417(e)(3) of the Code;

                  (f) within thirty (30) days following her termination of
         employment with the Bank, a lump sum payment in an amount equal to the
         present value of the additional employer contributions to which
         Executive would have been entitled under any and all qualified and
         non-qualified defined contribution plans maintained by, or covering
         employees of, the Bank, and if Executive were 100% vested thereunder
         and had continued working for the Bank and the Bank during the
         Remaining Unexpired Employment Period at the highest annual rate of
         compensation achieved during that portion of the Employment Period
         which is prior to Executive's termination of employment and making the
         maximum amount of employee contributions, if any, required under such
         plan or plans, such present value to be determined on the basis of a
         discount rate, compounded using the compounding period that corresponds
         to the frequency with which employer contributions are made to the
         relevant plan, equal to the Applicable Interest Rate;

                  (g) within thirty (30) days following her termination of
         employment with the Bank, a lump sum payment in an amount equal to the
         fair market value (determined as of the date of her termination of
         employment, or, if her termination of employment occurs after a Change
         in Control, on the date of such Change in Control, whichever value is
         greater) of any stock that would have been allocated or awarded to
         Executive under any and all stock-based qualified or non-qualified
         employee benefit plan or plans maintained by, or covering employees of,
         the Bank, if Executive were 100% vested thereunder and continued
         working for the Bank during the Remaining Unexpired Employment Period
         at the highest annual rate of compensation achieved during that portion
         of the Employment Period which is prior to the Executive's termination
         of employment;

                  (h) the payments that would have been made to Executive under
         any cash bonus or long-term or short-term cash incentive compensation
         plan maintained by, or covering employees of, the Bank if Executive had
         continued working for the Bank during the Remaining Unexpired
         Employment Period and had earned a bonus or incentive award for each
         fiscal year that occurs during the Remaining Unexpired Employment
         Period equal to the average bonus or incentive award earned by
         Executive for each of the three fiscal years preceding the fiscal year
         in which her

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         termination of employment occurs (or if Executive has been employed for
         less than three fiscal years, for the number of fiscal years during
         which Executive was employed) and assuming a pro rata portion of such
         average bonus or incentive award would have been paid for any partial
         fiscal year that occurs during the Remaining Employment Term. Such
         payments shall be made (without discounting for early payment)within
         thirty (30) days following Executive's termination of employment;

                  (i) at the election of Executive made within thirty (30) days
         following her termination of employment, upon the surrender of options
         or appreciation rights issued to Executive under any stock option and
         appreciation rights plan or program maintained by, or covering
         employees of, the Bank, a lump sum payment in an amount equal to the
         product of:

                           (i) the excess of (A) the fair market value of a
                  share of stock of the same class as the stock subject to the
                  option or appreciation right, determined as of the date of
                  termination of employment, over (B) the exercise price per
                  share for such option or appreciation right, as specified in
                  or under the relevant plan or program; multiplied by

                           (ii) the number of shares with respect to which
                  options or appreciation rights are being surrendered.

         For purposes of this Section 12(i) and for purposes of determining
         Executive's right following her termination of employment with the Bank
         to exercise any options or appreciation rights not surrendered pursuant
         hereto, Executive shall be deemed fully vested in all options and
         appreciation rights under any stock option or appreciation rights plan
         or program maintained by, or covering employees of, the Bank, even if
         Executive is not vested under such plan or program;

                  (j) at the election of Executive made within thirty (30) days
         following Executive's termination of employment, upon the surrender of
         any shares awarded to Executive under any restricted stock plan
         maintained by, or covering employees of, the Bank, a lump sum payment
         in an amount equal to the product of:

                           (i) the fair market value of a share of stock of the
                  same class of stock granted under such plan, determined as of
                  the date of Executive's termination of employment; multiplied
                  by

                           (ii) the number of shares which are being
                  surrendered.

         For purposes of this Section 12(j) and for purposes of determining
         Executive's right following her termination of employment with the Bank
         to any stock not surrendered pursuant hereto, Executive shall be deemed
         fully vested in all shares awarded under any restricted stock plan
         maintained by, or covering employees of, the Bank, even if Executive is
         not vested under such plan;


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                  (k) within thirty (30) days following her termination of
         employment with the Bank, a lump sum payment in an amount equal to the
         present value of the additional benefits to which the Executive would
         have been entitled under Section 7 of this Agreement if Executive had
         continued working for the Bank during the Remaining Unexpired
         Employment Period at the highest annual rate of salary achieved during
         that portion of the Employment Period which is prior to Executive's
         termination of employment, where such present value is to be determined
         using the Applicable Mortality Table and Applicable Interest Rate and
         assuming that the Benefit Limitations as in effect at the time of
         Executive's termination remained in effect during the Remaining
         Unexpired Employment Period.

The Bank and Executive hereby stipulate that the damages which may be incurred
by Executive following any termination of employment under the circumstances
described in Section 11 of this Agreement are not capable of accurate
measurement as of the date first above written and that the payments and
benefits contemplated by this Section 12 constitute reasonable damages under the
circumstances and shall be payable without any requirement of proof of actual
damage and without regard to Executive's efforts, if any, to mitigate damages.
The Bank and the Executive further agree that the Bank may condition the payment
and benefits (if any) due under Sections 12(c), (d), (e), (f), and (h) on the
receipt of the Executive's resignation from any and all positions which she
holds as an officer, director or committee member with respect to the Bank, the
Holding Company, or any subsidiary or affiliate of either of them.


                  SECTION 13.       TERMINATION FOR DISABILITY.
                                    --------------------------

                  (a) If, as a result of Executive's incapacity due to physical
or mental illness, she shall have been absent from her duties with the Bank on a
full-time basis for six (6) consecutive months, and within thirty (30) days
after written notice of potential termination is given she shall not have
returned to the full-time performance of her duties, the Bank may terminate
Executive's employment for "Disability" and she shall be entitled to the
payments and benefits provided for under Sections 13(b) and (c). For purposes of
this Section 13(a), "Disability" shall have the same meaning set forth in the
group long-term disability policy or plan maintained by the Bank for employees
as in effect on the effective date of this Agreement, or if no such plan or
policy is maintained on such date, "Disability" shall mean a condition of total
incapacity, mental or physical, for the performance of the Executive's stated
duties hereunder, which incapacity shall have been determined, by a doctor
selected by the Bank and acceptable to the Executive or her legal
representatives, is likely to be permanent.

                  (b) The Bank will pay Executive, as disability pay,
three-quarters (3/4) of Executive's rate of salary as in effect pursuant to
Section 4 on the effective date of such termination, payable in approximately
equal installments in accordance with the Bank's customary payroll practices.
These disability payments shall commence on the effective date of Executive's
termination and will end on the earlier of (i) the date Executive returns to the
full-time employment of the Bank in the same capacity as she was employed prior
to her termination for Disability and pursuant to an employment agreement
between Executive and the Bank; (ii) Executive's full-time employment by another
employer; (iii) Executive attaining the age of 65; (iv) Executive's death; or

                                  Page 11 of 21


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(v) the expiration of the term of this Agreement. The disability pay shall be
reduced by the amount, if any, paid to the Executive under any plan of the Bank
providing disability benefits to the Executive.

                  (c) The Bank will cause to be continued life, medical, dental
and disability coverage substantially identical to the coverage maintained by
the Bank for Executive prior to her termination for Disability. This coverage
and payments shall cease upon the earlier of (i) the date Executive returns to
the full-time employment of the Bank, in the same capacity as she was employed
prior to her termination for Disability and pursuant to an employment agreement
between Executive and the Bank; (ii) Executive's full-time employment by another
employer; (iii) Executive's attaining the age of 65; (iv) the Executive's death;
or (v) the expiration of the term of this Agreement.

                  (d) Notwithstanding the foregoing, there will be no reduction
in the compensation otherwise payable to Executive during any period during
which Executive is incapable of performing her duties hereunder by reason of
temporary disability.


                  SECTION 14.       TERMINATION WITHOUT ADDITIONAL BANK
                                    LIABILITY.
                                    -----------------------------------

                  In the event that Executive's employment with the Bank shall
terminate during the Employment Period on account of:

                  (a) the discharge of Executive for "Cause," which, for
         purposes of this Agreement, shall mean personal dishonesty,
         incompetence, willful misconduct, breach of fiduciary duty involving
         personal profit, intentional failure to perform stated duties, willful
         violation of any law, rule or regulation (other than traffic violations
         or similar offenses), or final cease and desist order, or any material
         breach of this Agreement; provided, however, that the Executive shall
         not be deemed to have been discharged for Cause unless and until (i)
         she shall have received a written initial notice of termination from
         the Board, accompanied by a resolution, duly adopted by affirmative
         vote of a majority of the entire Board at a meeting called and held for
         such purpose, finding that in the good faith opinion of the Board
         grounds exist for discharging the Executive for Cause, (ii) she is
         provided one reasonable opportunity to make an oral and written
         presentation to the members of the Board, on her own behalf or through
         legal counsel or other representative, to refute the grounds for the
         termination for Cause and (iii) if Executive requests a review of the
         initial termination for Cause, the Board by affirmative vote of a
         majority of the entire Board at a meeting called for such purpose
         resolves to uphold its initial termination for Cause; and further
         provided, that (i) if Executive requests the Board's review of its
         initial termination for Cause, the Board's final determination of
         termination for Cause shall be made within 60 days of its initial
         notice of termination for Cause, and (ii) if a final determination of
         the Board is not made within 30 days of the Executive's initial notice
         of termination for Cause, all payments of compensation to the Executive
         shall be suspended, subject to reinstatement of all suspended amounts
         in the event the Board's final determination does not find that grounds
         for discharge for Cause existed;. or

                                  Page 12 of 21


<PAGE>



                  (b) Executive's voluntary resignation from employment with the
         Bank for reasons other than those specified in Section 11;

                  (c) Executive's death; or

                  (d) Executive's "Retirement," which, for purposes of this
         Agreement, shall mean Executive's voluntary termination at a time when
         she is eligible for a normal retirement benefit under the qualified
         defined benefit pension plan or plans of the Bank or the Bank, or if no
         such plan is currently maintained, the Executive's voluntary
         termination at or after the attainment of age 65;

then the Bank shall have no further obligations under this Agreement, other than
the payment to Executive (or, in the event of her death, to her estate) of her
earned but unpaid salary and, in the event of the Executive's death or
Retirement, her earned but unpaid Incentive Compensation Award, as of the date
of the termination of her employment, and the provision of such other benefits,
if any, to which Executive is entitled as a former employee under the employee
benefit plans and programs and compensation plans and programs maintained by, or
covering employees of, the Bank.


                  SECTION 15.        CHANGE IN CONTROL.
                                     -----------------

                  A Change in Control of the Bank ("Change in Control") shall be
deemed to have occurred upon the happening of any of the following events:

                  (a) approval by the stockholders of the Bank of a transaction
         that would result in the reorganization, merger or consolidation of the
         Bank, respectively, with one or more other persons following which:

                           (i) at least fifty-one percent (51%) of the equity
                  ownership interests of the entity resulting from such
                  transaction are beneficially owned (within the meaning of Rule
                  13d-3 promulgated under the Exchange Act) in substantially the
                  same relative proportions by persons who, immediately prior to
                  such transaction, beneficially owned (within the meaning of
                  Rule 13d-3 promulgated under the Exchange Act) at least
                  fifty-one percent (51%) of the outstanding equity ownership
                  interests in the Bank; and

                           (ii) at least fifty-one percent (51%) of the
                  securities entitled to vote generally in the election of
                  directors of the entity resulting from such transaction are
                  beneficially owned (within the meaning of Rule 13d-3
                  promulgated under the Exchange Act) in substantially the same
                  relative proportions by persons who, immediately prior to such
                  transaction, beneficially owned (within the meaning of Rule
                  13d-3 promulgated under the Exchange Act) at least fifty-one
                  percent (51%) of the securities entitled to vote generally in
                  the election of directors of the Bank;


                                  Page 13 of 21


<PAGE>



                  (b) the acquisition of all or substantially all of the assets
         of the Bank or beneficial ownership (within the meaning of Rule 13d-3
         promulgated under the Exchange Act) of twenty percent (20%) or more of
         the outstanding securities of the Bank entitled to vote generally in
         the election of directors by any person or by any persons acting in
         concert, or approval by the stockholders of the Bank of any transaction
         which would result in such an acquisition;

                  (c) a complete liquidation or dissolution of the Bank, or
         approval by the stockholders of the Bank of a plan for such liquidation
         or dissolution;

                  (d) the occurrence of any event if, immediately following such
         event, at least fifty percent (50%) of the members of the Board do not
         belong to any of the following groups:

                           (i) individuals who were members of the Board on the
                  date of this Agreement, i.e., June 1, 1999; or

                           (ii) individuals who first became members of the
                  Board after the date of this Agreement, i.e., June 1, 1999
                  either:

                                    (A) upon election to serve as a member of
                           the Board by affirmative vote of three-quarters of
                           the members of such Board, or of a nominating
                           committee thereof, in office at the time of such
                           first election; or

                                    (B) upon election by the stockholders of the
                           Bank to serve as a member of the Board, but only if
                           nominated for election by affirmative vote of
                           three-quarters of the members of the Board, or of a
                           nominating committee thereof, in office at the time
                           of such first nomination;

         provided, however, that such individual's election or nomination did
         not result from an actual or threatened election contest (within the
         meaning of Rule 14a-11 of Regulation 14A promulgated under the Exchange
         Act) or other actual or threatened solicitation of proxies or consents
         (within the meaning of Rule 14a-11 of Regulation 14A promulgated under
         the Exchange Act) other than by or on behalf of the Board; or

                  (e) any event which would be described in Section 14(a), (b),
         (c) or (d) if the term "Holding Company" were substituted for the term
         "Bank" therein.

In no event, however, shall a Change in Control be deemed to have occurred as a
result of any acquisition of securities or assets of the Bank, the Holding
Company, or a subsidiary of either of them, by the Bank, the Holding Company, or
a subsidiary of either of them, or by any employee benefit plan maintained by
any of them. For purposes of this Section 15, the term "person" shall have the
meaning assigned to it under Section 13(d)(3) or 14(d)(2) of the Exchange Act.


                                  Page 14 of 21


<PAGE>



                  SECTION 16.       COVENANT NOT TO COMPETE.
                                    -----------------------

                  Executive hereby covenants and agrees that, in the event of
her termination of employment with the Bank prior to the expiration of the
Employment Period for any reason other than the circumstances provided under
Section 11 hereof, for a period of one (1) year following the date of her
termination of employment with the Bank (or, if less, for the Remaining
Unexpired Employment Period), Executive shall not, without the written consent
of the Bank, become an officer, employee, consultant, director or trustee of any
savings bank, savings and loan association, savings and loan holding company,
bank or bank holding company, or any direct or indirect subsidiary or affiliate
of any such entity, that competes with the business of the Bank in any city,
town or county in which the Bank has an office or has filed an application for
regulatory approval to establish an office as of the date of Executive's
termination of employment; provided, however, that if Executive's employment
shall be terminated on account of Disability as provided in Section 13 of this
Agreement, this Section 16 shall not prevent Executive from accepting any
position or performing any services if (a) Executive first offers, by written
notice, to accept a similar position with, or perform similar services for, the
Bank on substantially the same terms and conditions and (b) the Bank declines to
accept such offer within ten (10) days after such notice is given.


                  SECTION 17.       CONFIDENTIALITY.
                                    ---------------

                  Unless Executive obtains the prior written consent of the
Bank, Executive shall keep confidential and shall refrain from using for the
benefit of herself, or any person or entity other than the Bank or any entity of
which the Bank is a subsidiary, any material document or information obtained
from the Bank, or from its parent or subsidiaries, in the course of her
employment with any of them concerning their properties, operations or business
(unless such document or information is readily ascertainable from public or
published information or trade sources or has otherwise been made available to
the public through no fault of her own) until the same ceases to be material (or
becomes so ascertainable or available); provided, however, that nothing in this
Section 17 shall prevent Executive, with or without the Bank's consent, from
participating in or disclosing documents or information in connection with any
judicial or administrative investigation, examination, inquiry or proceeding to
the extent that such participation or disclosure is required under applicable
law.


                  SECTION 18.       NO EFFECT ON EMPLOYEE BENEFIT PLANS OR
                                    PROGRAMS.
                                    --------------------------------------

                  The termination of Executive's employment during the term of
this Agreement or thereafter, whether by the Bank or by Executive, shall have no
effect on the rights and obligations of the parties hereto under the Bank's
qualified or non-qualified retirement, pension, savings, thrift, profit-sharing
or stock bonus plans, group life, health (including hospitalization, medical and
major medical), dental, accident and long term disability insurance plans or
such other employee benefit plans or programs, or compensation plans or
programs, as may be maintained by, or cover employees of, the Bank from time to
time, except that in the event of Executive's termination for Cause, Executive's
rights under any such plans shall be subject to Section 563.39 of regulations
issued by the OTS.



                                  Page 15 of 21


<PAGE>



                  SECTION 19.       SUCCESSORS AND ASSIGNS.
                                    ----------------------

                  This Agreement will inure to the benefit of and be binding
upon Executive, her legal representatives and testate or intestate distributees,
the Bank and its successors and assigns, including any successor by merger or
consolidation or a statutory receiver or any other person or firm or corporation
to which all or substantially all of the assets and business of the Bank may be
sold or otherwise transferred. Failure of the Bank to obtain from any successor
its express written assumption of the Bank's obligations hereunder at least
sixty (60) days in advance of the scheduled effective date of any such
succession shall be deemed a material breach of this Agreement.


                  SECTION 20.       NOTICES.
                                    -------

                  Any communication required or permitted to be given under this
Agreement, including any notice, direction, designation, consent, instruction,
objection or waiver, shall be in writing and shall be deemed to have been given
at such time as it is delivered personally, or five (5) days after mailing if
mailed, postage prepaid, by registered or certified mail, return receipt
requested, addressed to such party at the address listed below or at such other
address as one such party may by written notice specify to the other party:

                  If to Executive:

                           Ms. Deborah C. Wright
                           31 East 12th Street, Apartment 6A
                           New York, New York  10003

                           WITH A COPY TO:

                           Latham & Watkins
                           885 Third Avenue
                           Suite 1000
                           New York, New York  10022-4802
                           Attention:       Sharon Y. Bowen, Esq.

                  If to the Bank:

                           Carver Federal Savings Bank
                           75 West 125th Street
                           New York, New York  10027

                           Attention:   Chairman of the Compensation Committee
                                        of the Board of Directors


                                  Page 16 of 21


<PAGE>



                           WITH A COPY TO:

                           Thacher Proffitt & Wood
                           Two World Trade Center
                           New York, New York 10048

                           Attention: Kofi Appenteng, Esq.


                  SECTION 21.       INDEMNIFICATION FOR ATTORNEYS' FEES.
                                    -----------------------------------

                  To the maximum extent permitted under applicable law,
including Section 545.121 of regulations issued by the OTS, the Bank shall
indemnify, hold harmless and defend Executive against reasonable costs,
including legal fees, incurred by Executive in connection with or arising out of
any action, suit or proceeding in which Executive may be involved, as a result
of her efforts, in good faith, to defend or enforce the terms of this Agreement;
provided, however, that the Executive shall have substantially prevailed on the
merits pursuant to a judgment, decree, or order of a court of competent
jurisdiction or of an arbitrator in an arbitration proceeding, or in a
settlement. For purposes of this Agreement, any settlement agreement which
provides for payment of any amounts in settlement of the Bank's obligations
hereunder shall be conclusive evidence of Executive's entitlement to
indemnification hereunder, and any such indemnification payments shall be in
addition to amounts payable pursuant to such settlement agreement, unless such
settlement agreement expressly provides otherwise.


                  SECTION 22.       SEVERABILITY.
                                    ------------

                  A determination that any provision of this Agreement is
invalid or unenforceable shall not affect the validity or enforceability of any
other provision hereof.


                  SECTION 23.       WAIVER.
                                    ------

                  Failure to insist upon strict compliance with any of the
terms, covenants or conditions hereof shall not be deemed a waiver of such term,
covenant, or condition. A waiver of any provision of this Agreement must be made
in writing, designated as a waiver, and signed by the party against whom its
enforcement is sought. Any waiver or relinquishment of any right or power
hereunder at any one or more times shall not be deemed a waiver or
relinquishment of such right or power at any other time or times.


                  SECTION 24.       COUNTERPARTS.
                                    ------------

                  This Agreement may be executed in two (2) or more
counterparts, each of which shall be deemed an original, and all of which shall
constitute one and the same Agreement.



                                  Page 17 of 21


<PAGE>



                  SECTION 25.       GOVERNING LAW.
                                    -------------

                  This Agreement shall be governed by and construed and enforced
in accordance with the federal laws of the United States and, to the extent that
federal law is inapplicable, in accordance with the laws of the State of New
York applicable to contracts entered into and to be performed entirely within
the State of New York.


                  SECTION 26.       HEADINGS AND CONSTRUCTION.
                                    -------------------------

                  The headings of Sections in this Agreement are for convenience
of reference only and are not intended to qualify the meaning of any Section.
Any reference to a Section number shall refer to a Section of this Agreement,
unless otherwise stated.


                  SECTION 27.       ENTIRE AGREEMENT; MODIFICATIONS.
                                    -------------------------------

                  This instrument contains the entire agreement of the parties
relating to the subject matter hereof, and supersedes in its entirety any and
all prior agreements, understandings or representations relating to the subject
matter hereof, including all terms of the Prior Agreement between the Bank and
Executive. No modifications of this Agreement shall be valid unless made in
writing and signed by the parties hereto. No provision of this Agreement shall
be interpreted to mean that Executive is subject to receiving fewer benefits
than those available to her without reference to this Agreement.


                  SECTION 28.       REQUIRED REGULATORY PROVISIONS.
                                    ------------------------------

                  The following provisions are included for the purpose of
complying with various laws, rules and regulations applicable to the Bank:

                  (a) Notwithstanding anything herein contained to the contrary,
         in no event shall the aggregate amount of compensation payable to the
         Executive under Section 12 hereof exceed three times the Executive's
         average annual total compensation for the last five consecutive
         calendar years to end prior to her termination of employment with the
         Bank (or for her entire period of employment with the Bank if less than
         five calendar years) as determined in accordance with OTS RB27a, as
         such may be amended from time to time.

                  (b) Notwithstanding anything herein contained to the contrary,
         any payments to the Executive by the Bank, whether pursuant to this
         Agreement or otherwise, are subject to and conditioned upon their
         compliance with Section 18(k) of the Federal Deposit Insurance Act
         ("FDI Act"), 12 U.S.C. ss.1828(k), and any regulations promulgated
         thereunder.

                  (c) Notwithstanding anything herein contained to the contrary,
         if the Executive is suspended from office and/or temporarily prohibited
         from participating in the conduct of the affairs of the Bank pursuant
         to a notice served under Section 8(e)(3) or 8(g)(1) of the FDI Act, 12
         U.S.C. ss.1818(e)(3) or 1818(g)(1), the Bank's obligations under this
         Agreement shall

                                  Page 18 of 21


<PAGE>



         be suspended as of the date of service of such notice, unless stayed by
         appropriate proceedings. If the charges in such notice are dismissed,
         the Bank, in its discretion, may (i) pay to the Executive all or part
         of the compensation withheld while the Bank's obligations hereunder
         were suspended and (ii) reinstate, in whole or in part, any of the
         obligations which were suspended.

                  (d) Notwithstanding anything herein contained to the contrary,
         if the Executive is removed and/or permanently prohibited from
         participating in the conduct of the Bank's affairs by an order issued
         under Section 8(e)(4) or 8(g)(1) of the FDI Act, 12 U.S.C.
         ss.1818(e)(4) or (g)(1), all prospective obligations of the Bank under
         this Agreement shall terminate as of the effective date of the order,
         but vested rights and obligations of the Bank and the Executive shall
         not be affected.

                  (e) Notwithstanding anything herein contained to the contrary,
         if the Bank is in default (within the meaning of Section 3(x)(1) of the
         FDI Act, 12 U.S.C. ss.1813(x)(1), all prospective obligations of the
         Bank under this Agreement shall terminate as of the date of default,
         but vested rights and obligations of the Bank and the Executive shall
         not be affected.

                  (f) Notwithstanding anything herein contained to the contrary,
         all prospective obligations of the Bank hereunder shall be terminated,
         except to the extent that a continuation of this Agreement is necessary
         for the continued operation of the Bank: (i) by the Director of the
         Office of Thrift Supervision ("OTS") or her designee or the Federal
         Deposit Insurance Corporation ("FDIC"), at the time the FDIC enters
         into an agreement to provide assistance to or on behalf of the Bank
         under the authority contained in Section 13(c) of the FDI Act, 12
         U.S.C. ss.1823(c); (ii) by the Director of the OTS or her designee at
         the time such Director or designee approves a supervisory merger to
         resolve problems related to the operation of the Bank or when the Bank
         is determined by such Director to be in an unsafe or unsound condition.
         The vested rights and obligations of the parties shall not be affected.

If and to the extent that any of the foregoing provisions shall cease to be
required by applicable law, rule or regulation, the same shall become
inoperative as though eliminated by formal amendment of this Agreement.

                  SECTION 29.       BOARD ACTION.
                                    ------------

                  Whenever this Agreement requires an action of the Board, such
action shall require the consideration and vote of such members of the Board as
is required under the By-laws of the Company with respect to the matter being
considered for such action to be valid hereunder, unless otherwise specifically
provided herein.


                                  Page 19 of 21


<PAGE>



                  IN WITNESS WHEREOF, the Bank has caused this Agreement to be
executed and Executive has hereunto set her hand, all as of the day and year
first above written.




                                               /s/ Deborah C. Wright
                                               ---------------------------------
                                                   DEBORAH C. WRIGHT








ATTEST:                                           CARVER FEDERAL SAVINGS BANK.

By   /s/ Walter Bond
     ----------------------
         Secretary                             By /s/ Frederick O. Terrell
                                                  ------------------------------
                                                  NAME:  Frederick O. Terrell
                                                  TITLE:   Chairman of the Board

[Seal]



                                  Page 20 of 21


<PAGE>




STATE OF NEW YORK        )
                         : ss.:
COUNTY OF NEW YORK       )

                  On this 30th day of April , 2001, before me personally came
DEBORAH C. WRIGHT, to me known, and known to me to be the individual described
in the foregoing instrument, who, being by me duly sworn, did depose and say
that she resides at the address set forth in said instrument, and that she
signed her name to the foregoing instrument.



                                                     /s/ Margaret D. Peterson
                                                     ---------------------------
                                                         Notary Public
[Seal]





STATE OF NEW YORK        )
                         : ss.:
COUNTY OF NEW YORK       )

                  On this 30th day of April , 2001, before me personally came
Frederick O. Terrell , to me known, who, being by me duly sworn, did depose and
say that he is Chairman of the Board of Directors of CARVER FEDERAL SAVINGS
BANK, the savings bank described in and which executed the foregoing instrument;
that he knows the seal of said corporation; that the seal affixed to said
instrument is such seal; that it was so affixed by order of the Board of
Directors of said savings bank; and that he signed his name thereto by like
order.



                                                     /s/ Margaret D. Peterson
                                                     ---------------------------
                                                         Notary Public
[Seal]

                                  Page 21 of 21