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                                   Exhibit 10.8
 
                 Amendment Nos. 2 and 3 to the IBS Financial Corp.
                      Employee Stock Ownership Plan and Trust 

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                              AMENDMENT NUMBER TWO TO
                                IBS FINANCIAL CORP.
                           EMPLOYEE STOCK OWNERSHIP PLAN
 
    BY THIS AGREEMENT, the IBS Financial Corp. Employee Stock Ownership Plan
(herein referred to as the "Plan") is hereby amended as follows, effective as of
January 1, 1996;
 
    1. The second paragraph of Section 1.10 of the Plan is restated in its
entirety to read as follows:
 
    For purposes of this Section, the determination of Compensation shall be
made by:
 
        (a) excluding overtime.
 
        (b) excluding all compensation received under a restricted stock 
    plan, including but not limited to the IBS Financial Corp. Recognition 
    Plan of Inter-Boro Savings and Loan Association.
 
        (c) excluding discretionary bonuses.
 
        (d) including amounts which are contributed by the Employer pursuant 
    to a salary reduction agreement and which are not includible in the gross 
    income of the Participant under Code Sections 125, 402(e)(3), 402(h), 
    403(b) or 457, and Employee contributions described in Code Section 
    414(h)(2) that are treated as Employer contributions.
 
    2. All other provisions of the Plan shall continue in full force and effect.
 
    IN WITNESS WHEREOF, this Amendment has been executed this 20th day of
December 1996.
 

Signed, sealed, and delivered
in the presence of:
 
                               IBS FINANCIAL CORP.
 
                               By: /s/ Joseph M. Ochman, Sr. 
                                   --------------------------------------
                                   Joseph M. Ochman, Sr.
                                   President and Chief Executive Officer

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                               IBS FINANCIAL CORP. EMPLOYEE STOCK
                                 OWNERSHIP PLAN
 
                               By: /s/ Joseph M. Ochman, Sr.
                                   --------------------------------------
                                   Joseph M. Ochman, Sr., Trustee
 
                               By: /s/ Thomas J. Auchter
                                   --------------------------------------
                                   Thomas J. Auchter, Trustee
 
                               By: /s/ John A. Borden
                                   --------------------------------------
                                   John A. Borden, Trustee


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                           AMENDMENT NUMBER THREE TO
                              IBS FINANCIAL CORP.
                         EMPLOYEE STOCK OWNERSHIP PLAN
 
    BY THIS AGREEMENT, the IBS Financial Corp. Employee Stock Ownership Plan
(herein referred to as the "Plan") is hereby amended as follows, effective as of
August 4, 1997:
 
    1. The second paragraph of Section 8.4 of the Plan is restated in its
entirety to read as follows:
 
        The Trustee shall vote all shares of Company Stock held by it as part of
    the Plan assets in the Unallocated Company Stock Suspense Account in the
    same proportion for and against proposals to stockholders of the Employer as
    Participants and Beneficiaries actually vote shares of Company Stock which
    have been allocated to their individual Company Stock Accounts; provided,
    however, that notwithstanding the foregoing, if the Trustee determines that
    compliance with the Employee Retirement Income Security Act of 1974
    ("ERISA"), compliance with the fiduciary duties of the Trustee, or
    compliance with the Employer ESOP Voting Policy requires the shares held in
    the Unallocated Company Stock Suspense Account to be voted in a different
    manner, then the Trustee shall vote the shares held in the Unallocated
    Company Stock Suspense Account in a manner that complies with ERISA, the
    Trustee's fiduciary duties, and the Employer ESOP Voting Policy. In the
    event that not all shares of Company Stock which have been allocated to the
    individual Company Stock Accounts of Participants and Beneficiaries are
    voted by the Participants or Beneficiaries for or against particular
    proposals to stockholders of the Employer, the shares allocated to
    individual Company Stock Accounts which either abstained on the proposal to
    stockholders or were not actually voted on such proposal shall be
    disregarded in determining the percentage of Company Stock voted for and
    against the proposal to stockholders by Participants and Beneficiaries. The
    Trustee shall not vote those shares of Company Stock which have been
    allocated to the individual Company Stock Accounts of Participants and
    Beneficiaries for which no instructions have been received, unless the
    Trustee determines that compliance with ERISA, compliance with the fiduciary
    duties of the Trustee, or compliance with the Employer ESOP Voting Policy
    requires the Trustee to vote such shares.
 
    2. All other provisions of the Plan shall continue in full force and effect.

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    IN WITNESS WHEREOF, this Amendment has been executed this 4th day of August
1997.
 
    Signed, sealed, and delivered in the presence of:
 
                                IBS FINANCIAL CORP.
 
                                By:   /s/ JOSEPH M. OCHMAN, SR.
                                      ------------------------------------------
                                      Joseph M. Ochman, Sr.
                                      PRESIDENT AND CHIEF EXECUTIVE OFFICER
 
                                INTER-BORO SAVINGS AND LOAN ASSOCIATION
 
                                By:   /s/ JOSEPH M. OCHMAN, SR.
                                      ------------------------------------------
                                      Joseph M. Ochman, Sr.
                                      PRESIDENT AND CHIEF EXECUTIVE OFFICER
 
                                IBS FINANCIAL CORP. EMPLOYEE STOCK
                                   OWNERSHIP PLAN
 
                                By:   /s/ JOHN A. BORDEN
                                      ------------------------------------------
                                      John A. Borden, Trustee
 
                                By:   /s/ PAUL W. GLEASON
                                      ------------------------------------------
                                      Paul W. Gleason, Trustee
 
                                By:   /s/ ALBERT D. STILES, JR.
                                      ------------------------------------------
                                      Albert D. Stiles, Jr., Trustee