| x | QUARTERLY      REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES  EXCHANGE      ACT OF 1934 |
|---|--------------------------------------------------------------------------------------------------------|

| o | TRANSITION      REPORT UNDER SECTION 13 OR 15(d) OF THE EXCHANGE  ACT |
|---|-----------------------------------------------------------------------|

| United      States of America        | 61-1484858                                |
|--------------------------------------|-------------------------------------------|
| (State      or other jurisdiction of | (I.R.S.      Employer Identification No.) |
| incorporation      or organization)  |                                      |

| Large      accelerated filer o                     | Accelerated      filer  o   |
|----------------------------------------------------|----------------------------------|
| Non-accelerated      filer  o                 | Smaller      Reporting Company x |
| (Do      not check if a smaller reporting company) |                             |

----

|         |                     |                                                                                                       | Page   |
|--------------|--------------------------|------------------------------------------------------------------------------------------------------------|--------|
| PART      I  | -      ITEM 1            | FINANCIAL      INFORMATION                                                                                 |   |
|         |                     |                                                                                                       |   |
|         |                     | Consolidated      Balance Sheets                                                                           | 3      |
|         |                     |                                                                                                       |   |
|         |                     | Consolidated      Statements of Operations                                                                 | 4      |
|         |                     |                                                                                                       |   |
|         |                     | Consolidated      Statements of Comprehensive Income (Loss)                                                | 5      |
|         |                     |                                                                                                       |   |
|         |                     | Consolidated      Statements of Cash Flows                                                                 | 6      |
|         |                     |                                                                                                       |   |
|         |                     | Notes      to Consolidated Financial Statements                                                            | 8      |
|         |                     |                                                                                                       |   |
|         | ITEM      2              | Management’s      Discussion and Analysis of      Financial Condition      and Results of Operations | 17     |
|         |                     |                                                                                                       |   |
|         | ITEM      3              | Quantitative      and Qualitative Disclosures About Market      Risk                                  | 21     |
|         |                     |                                                                                                       |   |
|         | ITEM      4              | Controls      and Procedures                                                                               | 21     |
|         |                     |                                                                                                       |   |
| PART      II | -      OTHER INFORMATION | 22                                                                                                         |
|         |                     |                                                                                                       |   |
| SIGNATURES   |                     | 23                                                                                                         |

----

|                                                               |   | September      30, |    |   | June      30, |   |
|--------------------------------------------------------------------|--------|--------------------|---------|--------|---------------|--------|
| ASSETS                                                             |   | 2010               |    |   | 2010          |   |
|                                                               |   |               |    |   |          |   |
| Cash      and due from financial institutions                      |   | $                  | 1,016   |   |          | $      | 1,118 |   |
| Interest-bearing      demand deposits                              |   |               | 7,073   |   |          |   | 7,244 |   |
| Cash      and cash equivalents                                     |   |               | 8,089   |   |          |   | 8,362 |   |
|                                                               |   |               |    |   |          |   |   |   |
| Interest-bearing      deposits in other financial institutions     |   |               | 100     |   |          |   | 100 |   |
| Securities      available for sale                                 |   |               | 244     |   |          |   | 246 |   |
| Securities      held-to-maturity, at amortized cost- approximate   |   |               | 8,821   |   |          |   | 9,435 |   |
| fair      value of $9,368 and $10,026 at September 30, and         |   |               |    |   |          |   |   |   |
| June      30, 2010, respectively                                   |   |               |    |   |          |   |   |   |
| Loans      held for sale                                           |   |               | 589     |   |          |   | 370 |   |
| Loans                                                              |   |               | 192,180 |   |          |   | 192,153 |   |
| Allowance      for loan and lease losses                           |   |               | (1,519  | )      |          |   | (1,535 | ) |
| Real      estate owned, net                                        |   |               | 820     |   |          |   | 748 |   |
| Premises      and equipment, net                                   |   |               | 2,701   |   |          |   | 2,731 |   |
| Federal      Home Loan Bank stock                                  |   |               | 5,641   |   |          |   | 5,641 |   |
| Accrued      interest receivable                                   |   |               | 511     |   |          |   | 518 |   |
| Bank-owned      life insurance                                     |   |               | 2,541   |   |          |   | 2,518 |   |
| Goodwill                                                           |   |               | 14,507  |   |          |   | 14,507 |   |
| Other      intangible assets                                       |   |               | 185     |   |          |   | 218 |   |
| Prepaid      FDIC assessments                                      |   |               | 492     |   |          |   | 542 |   |
| Prepaid      expenses and other assets                             |   |               | 389     |   |          |   | 385 |   |
| Total      assets                                                  |   | $                  | 236,291 |   |          | $      | 236,939 |   |
|                                                               |   |               |    |   |          |   |   |   |
| LIABILITIES      AND SHAREHOLDERS’ EQUITY                    |   |               |    |   |          |   |   |   |
|                                                               |   |               |    |   |          |   |   |   |
| Deposits                                                           |   | $                  | 144,648 |   |          | $      | 144,969 |   |
| Federal      Home Loan Bank advances                               |   |               | 31,293  |   |          |   | 32,009 |   |
| Advances      by borrowers for taxes and insurance                 |   |               | 595     |   |          |   | 335 |   |
| Accrued      interest payable                                      |   |               | 144     |   |          |   | 145 |   |
| Other      liabilities                                             |   |               | 1,920   |   |          |   | 1,749 |   |
| Total      liabilities                                             |   |               | 178,600 |   |          |   | 179,207 |   |
|                                                               |   |               |    |   |          |   |   |   |
| Commitments      and contingencies                                 |   |               | -       |   |          |   | - |   |
|                                                               |   |               |    |   |          |   |   |   |
| Shareholders’      equity                                    |   |               |    |   |          |   |   |   |
| Preferred      stock, 500,000 shares authorized, $.01 par value;   |   |               |    |   |          |   |   |   |
| no      shares issued                                              |   |               | -       |   |          |   | - |   |
| Common      stock, 20,000,000 shares authorized, $.01 par value;   |   |               |    |   |          |   |   |   |
| 8,596,064      shares issued and outstanding                       |   |               | 86      |   |          |   | 86 |   |
| Additional      paid-in capital                                    |   |               | 36,623  |   |          |   | 36,597 |   |
| Retained      earnings                                             |   |               | 31,418  |   |          |   | 31,363 |   |
| Unearned      employee stock ownership plan (ESOP)                 |   |               | (2,317  | )      |          |   | (2,366 | ) |
| Treasury      shares at cost, 806,375 and 745,530 common shares at |   |               |    |   |          |   |   |   |
| September      30, and June 30, 2010, respectively                 |   |               | (8,123  | )      |          |   | (7,952 | ) |
| Accumulated      other comprehensive income                        |   |               | 4       |   |          |   | 4 |   |
| Total      shareholders’ equity                              |   |               | 57,691  |   |          |   | 57,732 |   |
| Total      liabilities and shareholders’ equity              |   | $                  | 236,291 |   |          | $      | 236,939 |   |

----

|                                              |   | Three      Months Ended |   |
|---------------------------------------------------|--------|-------------------------|--------|
|                                              |   | September      30,      |   |
|                                              |   | 2010                    |   |   | 2009 |   |
| Interest      income                              |   |                    |   |   |   |   |
| Loans                                             |   | $                       | 2,582  |   |   | $ | 2,648 |   |
| Mortgage-backed      securities                   |   |                    | 101    |   |   |   | 129 |   |
| Other      securities                             |   |                    | -      |   |   |   | 47 |   |
| Interest-bearing      deposits and other          |   |                    | 63     |   |   |   | 70 |   |
| Total      interest income                        |   |                    | 2,746  |   |   |   | 2,894 |   |
|                                              |   |                    |   |   |   |   |   |   |
| Interest      expense                             |   |                    |   |   |   |   |   |   |
| Deposits                                          |   |                    | 739    |   |   |   | 950 |   |
| Borrowings                                        |   |                    | 243    |   |   |   | 416 |   |
| Total      interest expense                       |   |                    | 982    |   |   |   | 1,366 |   |
|                                              |   |                    |   |   |   |   |   |   |
| Net      interest income                          |   |                    | 1,764  |   |   |   | 1,528 |   |
|                                              |   |                    |   |   |   |   |   |   |
| Provision      for loan losses                    |   |                    | 25     |   |   |   | 968 |   |
| Net      interest income after provision          |   |                    |   |   |   |   |   |   |
| for      loan losses                              |   |                    | 1,739  |   |   |   | 560 |   |
|                                              |   |                    |   |   |   |   |   |   |
| Non-interest      income                          |   |                    |   |   |   |   |   |   |
| Earnings      on bank-owned life insurance        |   |                    | 23     |   |   |   | 23 |   |
| Gain      on sale of loans                        |   |                    | 28     |   |   |   | 28 |   |
| Net      gain (loss) on sale of real estate owned |   |                    | 2      |   |   |   | (12 | ) |
| Other                                             |   |                    | 27     |   |   |   | 28 |   |
| Total      non-interest income                    |   |                    | 80     |   |   |   | 67 |   |
|                                              |   |                    |   |   |   |   |   |   |
| Non-interest      expense                         |   |                    |   |   |   |   |   |   |
| Salaries      and employee benefits               |   |                    | 798    |   |   |   | 745 |   |
| Occupancy      and equipment                      |   |                    | 84     |   |   |   | 71 |   |
| Franchise      and other taxes                    |   |                    | 49     |   |   |   | 46 |   |
| Data      processing                              |   |                    | 63     |   |   |   | 54 |   |
| Federal      deposit insurance                    |   |                    | 54     |   |   |   | 42 |   |
| Audit      and accounting                         |   |                    | 38     |   |   |   | 34 |   |
| Amortization      of intangible assets            |   |                    | 33     |   |   |   | 32 |   |
| Foreclosure      costs                            |   |                    | 21     |   |   |   | -- |   |
| Legal      fees                                   |   |                    | 32     |   |   |   | 13 |   |
| Other      operating                              |   |                    | 154    |   |   |   | 140 |   |
| Total      non-interest expense                   |   |                    | 1,326  |   |   |   | 1,177 |   |
| Income      (loss) before income taxes            |   |                    | 493    |   |   |   | (550 | ) |
|                                              |   |                    |   |   |   |   |   |   |
| Income      tax expense (benefit)                 |   |                    | 160    |   |   |   | (188 | ) |
|                                              |   |                    |   |   |   |   |   |   |
| NET      INCOME (LOSS)                            |   | $                       | 333    |   |   | $ | (362 | ) |
|                                              |   |                    |   |   |   |   |   |   |
| EARNINGS      (LOSS) PER SHARE                    |   |                    |   |   |   |   |   |   |
| Basic      and diluted                            |   | $                       | 0.04   |   |   | $ | (0.05 | ) |
|                                              |   |                    |   |   |   |   |   |   |
| DIVIDENDS      PER SHARE                          |   | $                       | 0.10   |   |   | $ | 0.10 |   |
|                                              |   |                    |   |   |   |   |   |   |

----

|                                                                    |   | Three      months ended |   |
|-------------------------------------------------------------------------|--------|-------------------------|--------|
|                                                                    |   | September      30,      |   |
|                                                                    |   | 2010                    |   |   | 2009 |   |
|                                                                    |   |                    |   |   |   |   |
| Net      income (loss)                                                  |   | $                       | 333    |   |   | $ | (362 | ) |
|                                                                    |   |                    |   |   |   |   |   |   |
| Other      comprehensive income (loss), net of tax-related effects:     |   |                    |   |   |   |   |   |   |
| Unrealized      holding gains (losses) on securities available for sale |   |                    |   |   |   |   |   |   |
| during      the year, net of tax (benefit) of $- and $11 during the     |   |                    |   |   |   |   |   |   |
| respective      periods.                                                |   |                    | -      |   |   |   | (22 | ) |
|                                                                    |   |                    |   |   |   |   |   |   |
| Comprehensive      income (loss)                                        |   | $                       | 333    |   |   | $ | (384 | ) |

----

|                                                                       |   | Three      months ended |   |
|----------------------------------------------------------------------------|--------|-------------------------|--------|
|                                                                       |   | September      30,      |   |
|                                                                       |   | 2010                    |   |   | 2009 |   |
|                                                                       |   |                    |   |   |   |   |
| Cash      flows from operating activities:                                 |   |                    |   |   |   |   |
| Net      income (loss)                                                     |   | $                       | 333    |   |   | $ | (362 | ) |
| Adjustments      to reconcile net income (loss) to net cash                |   |                    |   |   |   |   |   |   |
| provided      by operating activities:                                     |   |                    |   |   |   |   |   |   |
| Amortization      of premiums and discounts on investment securities - net |   |                    | -      |   |   |   | -- |   |
| Depreciation                                                               |   |                    | 44     |   |   |   | 42 |   |
| Amortization      of deferred loan origination (fees) costs                |   |                    | (10    | ) |   |   | (1 | ) |
| Amortization      of premiums on FHLB advances                             |   |                    | (38    | ) |   |   | (113 | ) |
| Amortization      of core deposit intangibles                              |   |                    | 33     |   |   |   | 32 |   |
| Net      gain on sale of loans                                             |   |                    | (28    | ) |   |   | (28 | ) |
| Net      loss (gain) on sale of real estate owned                          |   |                    | (2     | ) |   |   | 12 |   |
| ESOP      compensation expense                                             |   |                    | 49     |   |   |   | - |   |
| Amortization      of stock benefit plans and stock options expense         |   |                    | 26     |   |   |   | 141 |   |
| Earnings      on bank-owned life insurance                                 |   |                    | (23    | ) |   |   | (23 | ) |
| Provision      for loan losses                                             |   |                    | 25     |   |   |   | 968 |   |
| Origination      of loans held for sale                                    |   |                    | (980   | ) |   |   | (1,628 | ) |
| Proceeds      from loans held for sale                                     |   |                    | 789    |   |   |   | 1,886 |   |
| Increase      (decrease) in cash, due to changes in:                       |   |                    |   |   |   |   |   |   |
| Accrued      interest receivable                                           |   |                    | 7      |   |   |   | 41 |   |
| Prepaid      expenses and other assets                                     |   |                    | 46     |   |   |   | (9 | ) |
| Accrued      interest payable                                              |   |                    | (1     | ) |   |   | -- |   |
| Accounts      payable and other liabilities                                |   |                    | 171    |   |   |   | (397 | ) |
| Net      cash provided by operating activities                             |   |                    | 441    |   |   |   | 561 |   |
|                                                                       |   |                    |   |   |   |   |   |   |
| Cash      flows from investing activities:                                 |   |                    |   |   |   |   |   |   |
| Investment      securities maturities, prepayments and calls:              |   |                    |   |   |   |   |   |   |
| Held      to maturity                                                      |   |                    | 614    |   |   |   | 3,493 |   |
| Available      for sale                                                    |   |                    | 2      |   |   |   | 44 |   |
| Loans      originated for investment, net of principal collected           |   |                    | (470   | ) |   |   | (505 | ) |
| Proceeds      from sale of real estate owned                               |   |                    | 342    |   |   |   | 42 |   |
| Additions      to premises and equipment, net                              |   |                    | (14    | ) |   |   | (15 | ) |
| Net      cash provided by investing activities                             |   |                    | 474    |   |   |   | 3,059 |   |
|                                                                       |   |                    |   |   |   |   |   |   |
| Cash      flows from financing activities:                                 |   |                    |   |   |   |   |   |   |
| Net      change in deposits                                                |   |                    | (321   | ) |   |   | 1,568 |   |
| Payments      by borrowers for taxes and insurance, net                    |   |                    | 260    |   |   |   | 152 |   |
| Proceeds      from Federal Home Loan Bank advances                         |   |                    | 5,000  |   |   |   | 1,000 |   |
| Repayments      on Federal Home Loan Bank advances                         |   |                    | (5,678 | ) |   |   | (7,038 | ) |
| Dividends      paid on common stock                                        |   |                    | (278   | ) |   |   | (283 | ) |
| Treasury      stock repurchases                                            |   |                    | (171   | ) |   |   | -- |   |
| Net      cash used in financing activities                                 |   |                    | (1,188 | ) |   |   | (4,601 | ) |
|                                                                       |   |                    |   |   |   |   |   |   |
| Net      increase (decrease) in cash and cash equivalents                  |   |                    | (273   | ) |   |   | (981 | ) |
|                                                                       |   |                    |   |   |   |   |   |   |
| Beginning      cash and cash equivalents                                   |   |                    | 8,362  |   |   |   | 4,217 |   |
|                                                                       |   |                    |   |   |   |   |   |   |
| Ending      cash and cash equivalents                                      |   | $                       | 8,089  |   |   | $ | 3,236 |   |

----

|                                                   |   | Three      months ended |   |
|--------------------------------------------------------|--------|-------------------------|--------|
|                                                   |   | September      30,      |   |
|                                                   |   | 2010                    |   |   | 2009 |   |
|                                                   |   |                    |   |   |   |   |
| Supplemental      disclosure of cash flow information: |   |                    |   |   |   |   |
| Cash      paid during the period for:                  |   |                    |   |   |   |   |
| Federal      income taxes                              |   | $                       | 100    |   |   | $ | 200 |   |
|                                                   |   |                    |   |   |   |   |   |   |
| Interest      on deposits and borrowings               |   | $                       | 1,021  |   |   | $ | 1,479 |   |
|                                                   |   |                    |   |   |   |   |   |   |
| Transfers      from loans to real estate acquired      |   |                    |   |   |   |   |   |   |
| through      foreclosure, net                          |   | $                       | 412    |   |   | $ | 91 |   |
|                                                   |   |                    |   |   |   |   |   |   |
| Loans      made on sale of real estate acquired        |   |                    |   |   |   |   |   |   |
| through      foreclosure                               |   | $                       | 61     |   |   | $ | -- |   |
|                                                   |   |                    |   |   |   |   |   |   |
| Capitalization      of mortgage servicing rights       |   | $                       | 6      |   |   | $ | 10 |   |
|                                                   |   |                    |   |   |   |   |   |   |

----

----

|                                                                            | Three      months ended September 30, |   |
|---------------------------------------------------------------------------------|---------------------------------------|--------|
|                                                                            | 2010                                  |   |   | 2009 |   |
|                                                                            |                                  |   |   |   |   |   |
| Net      income (loss)                                                          |                                  | $      | 333 |   |   | $ | (362 | ) |
| Less      earnings (loss) allocated to unvested shares                          |                                  |   | 4 |   |   |   | (2 | ) |
|                                                                            |                                  |   |   |   |   |   |   |   |
| Net      income (loss) allocated to common shareholders, basis and      diluted |                                  | $      | 329 |   |   | $ | (360 | ) |

|                                                           |   | Three      months ended September 30, |      |
|----------------------------------------------------------------|--------|---------------------------------------|-----------|
|                                                           |   | 2010                                  |      |   | 2009 |   |
|                                                           |   |                                  |      |   |   |   |
| Basic                                                          |   |                                  |      |   |   |   |
| Weighted-average      common shares including unvested         |   |                                  |      |   |   |   |
| Common      shares outstanding                                 |   |                                  | 7,500,847 |   |   |   | 7,564,579 |   |
| Less:      Weighted-average unvested common shares             |   |                                  | 25,900    |   |   |   | 51,800 |   |
| Weighted-average      common shares outstanding                |   |                                  | 7,474,947 |   |   |   | 7,512,779 |   |
|                                                           |   |                                  |      |   |   |   |   |   |
| Diluted                                                        |   |                                  |      |   |   |   |   |   |
| Add:      Dilutive effect of assumed exercise of stock options |   |                                  | -         |   |   |   | - |   |
|                                                           |   |                                  |      |   |   |   |   |   |
| Weighted-average      common shares outstanding (diluted)      |   |                                  | 7,474,947 |   |   |   | 7,512,779 |   |

----

|                                     |   | September      30, 2010   |   |
|------------------------------------------|--------|---------------------------|--------|
|                                     |   |                      |   |   | Gross |   |   | Gross |   |   | Estimated |   |
|                                     |   | Amortized                 |   |   | unrealized |   |   | unrealized |   |   | fair |   |
|                                     |   | cost                      |   |   | gains |   |   | losses |   |   | value |   |
|                                     |   |  (In      thousands) |   |
| Available-for-sale      Securities       |   |                      |   |   |   |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $                         | 238    |   |   | $ | 7 |   |   | $ | (1 | ) |   | $ | 244 |   |
|                                     |   |                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Held-to-maturity      Securities         |   |                      |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $                         | 8,821  |   |   | $ | 547 |   |   | $ | - |   |   | $ | 9,368 |   |

|                                     |   | June      30, 2010         |   |
|------------------------------------------|--------|----------------------------|--------|
|                                     |   |                       |   |   | Gross |   |   | Gross |   |   | Estimated |   |
|                                     |   | Amortized                  |   |   | unrealized |   |   | unrealized |   |   | fair |   |
|                                     |   | cost                       |   |   | gains |   |   | losses |   |   | value |   |
|                                     |   |   (In      thousands) |   |
| Available-for-sale      Securities       |   |                       |   |   |   |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $                          | 240    |   |   | $ | 7 |   |   | $ | (1 | ) |   | $ | 246 |   |
|                                     |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Held-to-maturity      Securities         |   |                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $                          | 9,435  |   |   | $ | 591 |   |   | $ | - |   |   | $ | 10,026 |   |

----

|                                         |   | September      30,  |    |   | June      30, |   |
|----------------------------------------------|--------|---------------------|---------|--------|---------------|--------|
|                                         |   | 2010                |    |   | 2010          |   |
|                                         |   | (In      thousands) |    |
| Residential      real estate                 |   |                |    |   |          |   |
| One-      to four-family                     |   | $                   | 163,183 |   |          | $      | 165,818 |   |
| Multi-family                                 |   |                | 8,217   |   |          |   | 6,689 |   |
| Construction                                 |   |                | 1,643   |   |          |   | 1,916 |   |
| Nonresidential      real estate and land     |   |                | 12,265  |   |          |   | 10,943 |   |
| Loans      on deposits                       |   |                | 2,409   |   |          |   | 2,754 |   |
| Consumer      and other                      |   |                | 5,049   |   |          |   | 4,802 |   |
|                                         |   |                | 192,766 |   |          |   | 192,922 |   |
| Less:                                        |   |                |    |   |          |   |   |   |
| Undisbursed      portion of loans in process |   |                | 640     |   |          |   | 631 |   |
| Deferred      loan origination fees (cost)   |   |                | (54     | )      |          |   | 138 |   |
| Allowance      for loan losses               |   |                | 1,519   |   |          |   | 1,535 |   |
|                                         |   | $                   | 190,661 |   |          | $      | 190,618 |   |

|                                                   |   | September      30,  |   |   | June      30, |   |
|--------------------------------------------------------|--------|---------------------|--------|--------|---------------|--------|
|                                                   |   | 2010                |   |   | 2010          |   |
|                                                   |   | (In      thousands) |   |
|                                                   |   |                |   |   |          |   |
| Loans      with no allocated allowance for loan losses |   | $                   | 1,737  |   |          | $      | 1,348 |   |
| Loans      with allocated allowance for loan losses    |   |                | 4,957  |   |          |   | 5,370 |   |
| Total                                                  |   | $                   | 6,694  |   |          | $      | 6,718 |   |
|                                                   |   |                |   |   |          |   |   |   |
| Amount      of allowance for loan losses allocated     |   | $                   | 865    |   |          | $      | 904 |   |

----

|                                                   |   | September      30,  |   |   | June      30, |   |
|--------------------------------------------------------|--------|---------------------|--------|--------|---------------|--------|
|                                                   |   | 2010                |   |   | 2010          |   |
|                                                   |   | (In      thousands) |   |
|                                                   |   |                |   |   |          |   |
| Nonaccrual      loans                                  |   | $                   | 6,670  |   |          | $      | 7,671 |   |
| Restructured      loans                                |   |                | 203    |   |          |   | -- |   |
| Loans      past due 90 days or more and still accruing |   |                | 38     |   |          |   | 112 |   |
| Total                                                  |   | $                   | 6,911  |   |          | $      | 7,783 |   |

|                               |   | For      the Three Months Ended |   |
|------------------------------------|--------|---------------------------------|--------|
|                               |   | September      30,              |   |   | September      30, |   |
|                               |   | 2010                            |   |   | 2009 |   |
|                               |   | (In      thousands)             |   |
|                               |   |                            |   |   |   |   |
| Beginning      balance             |   | $                               | 1,535  |   |   | $ | 678 |   |
| Provision      for losses on loans |   |                            | 25     |   |   |   | 968 |   |
| Charge-offs                        |   |                            | (41    | ) |   |   | (47 | ) |
|                               |   |                            |   |   |   |   |   |   |
| Ending      balance                |   | $                               | 1,519  |   |   | $ | 1,599 |   |

----

|                                     |   |            |   |   | Fair      Value Measurements at September 30, 2010 |   |
|------------------------------------------|--------|-----------------|--------|--------|----------------------------------------------------|--------|
|                                     |   |            |   |   |                                               |   |   | (in      thousands) |   |   |   |   |
|                                     |   |            |   |   | Quotes      Prices                                 |   |   |   |   |   |   |   |
|                                     |   |            |   |   | in      Active                                     |   |   | Significant |   |   |   |   |
|                                     |   |            |   |   | Markets      for                                   |   |   | Other |   |   | Significant |   |
|                                     |   |            |   |   | Identical                                          |   |   | Observable |   |   | Unobservable |   |
|                                     |   |            |   |   | Assets                                             |   |   | Inputs |   |   | Inputs |   |
| Description                              |   | Fair      Value |   |   | (Level      1)                                     |   |   | (Level      2) |   |   | (Level      3) |   |
|                                     |   |            |   |   |                                               |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $               | 244    |   |                                               | $      | - |   |   | $ | 244 |   |   | $ | - |   |

----

|                                     |   |            |   |   | Fair      Value Measurements at June 30, 2010 |   |
|------------------------------------------|--------|-----------------|--------|--------|-----------------------------------------------|--------|
|                                     |   |            |   |   |                                          |   |   | (in      thousands) |   |   |   |   |
|                                     |   |            |   |   | Quotes      Prices                            |   |   |   |   |   |   |   |
|                                     |   |            |   |   | in      Active                                |   |   | Significant |   |   |   |   |
|                                     |   |            |   |   | Markets      for                              |   |   | Other |   |   | Significant |   |
|                                     |   |            |   |   | Identical                                     |   |   | Observable |   |   | Unobservable |   |
|                                     |   |            |   |   | Assets                                        |   |   | Inputs |   |   | Inputs |   |
| Description                              |   | Fair      Value |   |   | (Level      1)                                |   |   | (Level      2) |   |   | (Level      3) |   |
|                                     |   |            |   |   |                                          |   |   |   |   |   |   |   |
| Agency      mortgage-backed: residential |   | $               | 246    |   |                                          | $      | - |   |   | $ | 246 |   |   | $ | - |   |

|                |   |            |   |   | Fair      Value Measurements at September 30, 2010 |   |
|---------------------|--------|-----------------|--------|--------|----------------------------------------------------|--------|
|                |   |            |   |   |                                               |   |   | (in      thousands) |   |   |   |   |
|                |   |            |   |   | Quotes      Prices                                 |   |   |   |   |   |   |   |
|                |   |            |   |   | in      Active                                     |   |   | Significant |   |   |   |   |
|                |   |            |   |   | Markets      for                                   |   |   | Other |   |   | Significant |   |
|                |   |            |   |   | Identical                                          |   |   | Observable |   |   | Unobservable |   |
|                |   |            |   |   | Assets                                             |   |   | Inputs |   |   | Inputs |   |
| Description         |   | Fair      Value |   |   | (Level      1)                                     |   |   | (Level      2) |   |   | (Level      3) |   |
|                |   |            |   |   |                                               |   |   |   |   |   |   |   |
| Impaired      loans |   | $               | 4,092  |   |                                               | $      | - |   |   | $ | - |   |   | $ | 4,092 |   |

|                |   |            |              |   | Fair      Value Measurements at June 30, 2010 |   |
|---------------------|--------|-----------------|-------------------|--------|-----------------------------------------------|--------|
|                |   |            |              |   |                                          |   |   | (in      thousands) |   |   |   |   |
|                |   |            |              |   | Quotes      Prices                            |   |   |   |   |   |   |   |
|                |   |            |              |   | in      Active                                |   |   | Significant |   |   |   |   |
|                |   |            |              |   | Markets      for                              |   |   | Other |   |   | Significant |   |
|                |   |            |              |   | Identical                                     |   |   | Observable |   |   | Unobservable |   |
|                |   |            |              |   | Assets                                        |   |   | Inputs |   |   | Inputs |   |
|                     |   | Fair      Value |              |   | (Level      1)                                |   |   | (Level      2) |   |   | (Level      3) |   |
|                |   |            |              |   |                                          |   |   |   |   |   |   |   |
| Impaired      loans |   | $               | 4,466   |   |                                          | $      | - |   |   | $ | - |   |   | $ |  4,466 |   |

----

|   | Cash and cash      equivalents and interest-bearing deposits:  The carrying      amounts presented in the consolidated statements of financial condition      for cash and cash equivalents are deemed to approximate fair      value. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Held-to-maturity      securities:  For held-to-maturity securities, fair value      is estimated by using pricing models, quoted price of securities with      similar characteristics, which is level 2  pricing. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Loans held for      sale:  Loans originated and intended for sale in the      secondary market are determined by FHLB pricing  schedules. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Loans:  The      loan portfolio has been segregated into categories with similar      characteristics, such as one- to four-family residential, multi-family      residential and nonresidential real estate.  These loan      categories were further delineated into fixed-rate and adjustable-rate      loans.  The fair values for the resultant loan categories were      computed via discounted cash flow analysis, using current interest rates      offered for loans with similar terms to borrowers of similar credit      quality.  For loans on deposit accounts and consumer and other      loans, fair values were deemed to equal the historic carrying      values. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Federal Home Loan Bank      stock:  It is not practicable to determine the fair value      of FHLB stock due to restrictions placed on its      transferability. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Accrued interest      receivable:  The carrying amount is the estimated fair      value. |
|--------|----------------------------------------------------------------------------------------------------|

|   | Deposits:  The      fair value of NOW accounts, passbook accounts, and money market deposits      are deemed to approximate the amount payable on demand.  Fair      values for fixed-rate certificates of deposit have been estimated using a      discounted cash flow calculation using the interest rates currently      offered for deposits of similar remaining  maturities. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | Advances from the      Federal Home Loan Bank:  The fair value of these advances      is estimated using the rates currently offered for similar advances of      similar remaining maturities or, when available, quoted market      prices. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                               |   | September      30, 2010 |    |   | June      30, 2010 |   |
|----------------------------------------------------|--------|-------------------------|---------|--------|--------------------|--------|
|                                               |   | Carrying                |    |   | Fair               |   |   | Carrying |   |   | Fair |   |
|                                               |   | value                   |    |   | value              |   |   | value |   |   | value |   |
|                                               |   | (In      Thousands)     |    |
| Financial      assets                              |   |                    |    |   |               |   |   |   |   |   |   |   |
| Cash      and cash equivalents                     |   | $                       | 8,089   |   |               | $      | 8,089 |   |   | $ | 8,362 |   |   | $ | 8,362 |   |
| Interest-earning      deposits                     |   |                    | 100     |   |               |   | 100 |   |   |   | 100 |   |   |   | 100 |   |
| Available-for-sale      securities                 |   |                    | 244     |   |               |   | 244 |   |   |   | 246 |   |   |   | 246 |   |
| Held-to-maturity      securities                   |   |                    | 8,821   |   |               |   | 9,368 |   |   |   | 9,435 |   |   |   | 10,026 |   |
| Loans      held for sale                           |   |                    | 589     |   |               |   | 602 |   |   |   | 370 |   |   |   | 383 |   |
| Loans      receivable - net                        |   |                    | 190,661 |   |               |   | 197,801 |   |   |   | 190,618 |   |   |   | 198,203 |   |
| Federal      Home Loan Bank stock                  |   |                    | 5,641   |   |               |   | n/a |   |   |   | 5,641 |   |   |   | n/a |   |
| Accrued      interest receivable                   |   |                    | 511     |   |               |   | 511 |   |   |   | 518 |   |   |   | 518 |   |
|                                               |   |                    |    |   |               |   |   |   |   |   |   |   |   |   |   |   |
| Financial      liabilities                         |   |                    |    |   |               |   |   |   |   |   |   |   |   |   |   |   |
| Deposits                                           |   | $                       | 144,648 |   |               | $      | 146,769 |   |   | $ | 144,969 |   |   | $ | 147,280 |   |
| Advances      from the Federal Home Loan Bank      |   |                    | 31,293  |   |               |   | 30,450 |   |   |   | 32,009 |   |   |   | 30,590 |   |
| Advances      by borrowers for taxes and insurance |   |                    | 595     |   |               |   | 595 |   |   |   | 335 |   |   |   | 335 |   |
| Accrued      interest payable                      |   |                    | 144     |   |               |   | 144 |   |   |   | 145 |   |   |   | 145 |   |

----

|                                                                                                                                                                                                                                                                                                                                                                              |   | Three      Months Ended September 30, |    |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|---------|
|                                                                                                                                                                                                                                                                                                                                                                              |   | 2010                                  |    |   | 2009 |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   | AverageBalance                        |    |   | InterestAndDividends |   |   | Yield/Cost |   |   | Average      Balance |   |   | InterestAnd      Dividends |   |   | Yield/Cost |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   | (Dollars      in thousands)           |    |
| Interest-earning      assets:                                                                                                                                                                                                                                                                                                                                                     |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Loans                                                                                                      |   | $                                     | 192,549 |   |   | $ | 2,582 |   |   |   | 5.36 | % |   | $ | 190,458 |   |   | $ | 2,648 |   |   |   | 5.56 | % |
|    Mortgage-backed      securities                                                                            |   |                                  | 9,463   |   |   |   | 101 |   |   |   | 4.27 |   |   |   | 12,079 |   |   |   | 129 |   |   |   | 4.27 |   |
|    Other      securities                                                                                      |   |                                  | --      |   |   |   | -- |   |   |   | -- |   |   |   | 5,476 |   |   |   | 47 |   |   |   | 3.43 |   |
|    Other      interest-earning      assets                                                                    |   |                                  | 14,060  |   |   |   | 63 |   |   |   | 1.79 |   |   |   | 9,674 |   |   |   | 70 |   |   |   | 2.89 |   |
|       Total      interest-earning      assets                                                  |   |                                  | 216,072 |   |   |   | 2,746 |   |   |   | 5.08 |   |   |   | 217,687 |   |   |   | 2,894 |   |   |   | 5.32 |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Less:      Allowance for loan losses                                                                                                                                                                                                                                                                                                                                              |   |                                  | (1,532  | ) |   |   |   |   |   |   |   |   |   |   | (678 | ) |   |   |   |   |   |   |   |   |
| Non-interest-earning      assets                                                                                                                                                         |   |                                  | 22,836  |   |   |   |   |   |   |   |   |   |   |   | 21,025 |   |   |   |   |   |   |   |   |   |
|       Total      assets                                                                                                                                                                                                                                                                                                                             |   | $                                     | 237,376 |   |   |   |   |   |   |   |   |   |   | $ | 238,034 |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest-bearing      liabilities:                                                                                                                                                                                                                                                                                                                                                |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Demand      deposits                                                                                                                                                                                                                                                                                                                                            |   | $                                     | 13,091  |   |   | $ | 26 |   |   |   | 0.79 | % |   | $ | 11,584 |   |   | $ | 33 |   |   |   | 1.14 | % |
|    Savings                                                                                                                                                                                                                                                                                                                                                         |   |                                  | 29,563  |   |   |   | 74 |   |   |   | 1.00 |   |   |   | 29,716 |   |   |   | 75 |   |   |   | 1.01 |   |
|    Certificates      of deposit                                                                                                                                                                                                                                                                                                                                    |   |                                  | 101,277 |   |   |   | 639 |   |   |   | 2.52 |   |   |   | 98,815 |   |   |   | 842 |   |   |   | 3.41 |   |
|   Total      deposits                                                                                                                                                                                                                                                                                                                                                   |   |                                  | 143,931 |   |   |   | 739 |   |   |   | 2.05 |   |   |   | 140,115 |   |   |   | 950 |   |   |   | 2.71 |   |
|   Borrowings                                                                                                                                                                                                                                                                                                                                                            |   |                                  | 32,537  |   |   |   | 243 |   |   |   | 2.99 |   |   |   | 35,879 |   |   |   | 416 |   |   |   | 4.64 |   |
|       Total      interest-bearing liabilities                                                                                                                                                                                                                                                                                                       |   |                                  | 176,468 |   |   |   | 982 |   |   |   | 2.23 |   |   |   | 175,994 |   |   |   | 1,366 |   |   |   | 3.11 |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|    Noninterest-Bearing      demand deposits                                                                                                                                                                                                                                                                                                                   |   |                                  | 1,088   |   |   |   |   |   |   |   |   |   |   |   | 983 |   |   |   |   |   |   |   |   |   |
| Noninterest-bearing      liabilities                                                                                         |   |                                  | 3,416   |   |   |   |   |   |   |   |   |   |   |   | 2,850 |   |   |   |   |   |   |   |   |   |
|       Total      liabilities                                                                                                                                                                                                                                                                                                                   |   |                                  | 179,884 |   |   |   |   |   |   |   |   |   |   |   | 179,827 |   |   |   |   |   |   |   |   |   |
|                                                                                                                                                                                                                                                                                                                                                                              |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Shareholders’      equity                                                                                                                                                                                                                                                                                                                                              |   |                                  | 57,492  |   |   |   |   |   |   |   |   |   |   |   | 58,207 |   |   |   |   |   |   |   |   |   |
|       Total      liabilities and shareholders’ equity                                                                                                                                                                                                                                                                                         |   | $                                     | 237,376 |   |   |   |   |   |   |   |   |   |   | $ | 238,034 |   |   |   |   |   |   |   |   |   |
| Net      interest income/average yield                                                                                                                                                                                                                                                                                                                                            |   |                                  |    |   |   | $ | 1,764 |   |   |   | 2.85 | % |   |   |   |   |   | $ | 1,528 |   |   |   | 2.21 | % |
| Net      interest margin                                                                                                                                                                                                                                                                                                                                                     |   |                                  |    |   |   |   |   |   |   |   | 3.27 | % |   |   |   |   |   |   |   |   |   |   | 2.81 | % |
| Average      interest-earning assets to average      interest-bearing liabilities                                                                                                                                                                                                                                                                                                 |   |                                  |    |   |   |   |   |   |   |   | 122.44 | % |   |   |   |   |   |   |   |   |   |   | 123.69 | % |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                              |   | Number |   |   |     |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|--------|--------|----------|--------|
|                                                                                                                                                                                                                                                                                                                                                                                                                              |   | of     |   |   | Carrying |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                              |   | Loans  |   |   | Value    |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |     |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                              |   |   |   |   |     |   |
| 1-4      family, owner occupied                                                                                                                                                                                                                                                                                                                                                                                              |   |   | 32     |   |     | $      | 1,880 |   |
| 1-4      family, non-owner occupied                                                                                                                                                                                                                                                                                                                                                                                               |   |   | 22     |   |     |   | 4,856 |   |
| Multi-family,      non-owner      occupied                                                                                      |   |   | 1      |   |     |   | 667 |   |
|       Total      substandard      loans                                                           |   |   | 55     |   |     | $      | 7,403 |   |

----

----

|                      |   | For      the Three Months Ended |   |
|---------------------------|--------|---------------------------------|--------|
|                      |   | September      30,              |   |   | September      30, |   |
|                      |   | 2010                            |   |   | 2009 |   |
|                      |   |                            |   |   |   |   |
| Interest      rate spread |   |                            | 2.85   | % |   |   | 2.21 | % |
| Net      interest margin  |   |                            | 3.27   | % |   |   | 2.81 | % |

----

----

| Period                    |   | Total #      of shares purchased |   |   | Average price      paid per share (incl commissions) |   |   | Total      # of shares purchased as part of publicly announced      plans or programs |   |   | Maximum      # of shares that may yet be purchased under the plans or      programs |   |
|---------------------------|--------|--------------------------------------------|--------|--------|---------------------------------------------------------------------|--------|--------|-----------------------------------------------------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------------------|--------|
|                      |   |                                       |   |   |                                                                |   |   |                                                                                                      |   |   |                                                                                               |   |
| July      1-31, 2010      |   |                                       | 20,000 |   |                                                                | $      | 8.57   |                                                                                                      |   |   | 20,000                                                                                             |   |   |   | 97,500 |   |
| August      1-31, 2010    |   |                                       | --     |   |                                                                | $      | --     |                                                                                                      |   |   | --                                                                                                 |   |   |   | 97,500 |   |
| September      1-30, 2010 |   |                                       | --     |   |                                                                | $      | --     |                                                                                                      |   |   | --                                                                                                 |   |   |   | 97,500 |   |

| 3.11 | Charter      of Kentucky First Federal Bancorp                                        |
|------|---------------------------------------------------------------------------------------|
| 3.21 | Bylaws      of Kentucky First Federal Bancorp                                         |
| 4.11 | Specimen      Stock Certificate of Kentucky First Federal Bancorp                     |
| 31.1 | CEO      Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002 |
| 31.2 | CFO      Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of      2002 |
| 32.1 | CEO      Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002 |
| 32.2 | CFO      Certification Pursuant to Section 906 of the Sarbanes-Oxley Act of      2002 |

----

----

|                                          | KENTUCKY      FIRST FEDERAL BANCORP |                                                   |
|-----------------------------------------------|-------------------------------------|--------------------------------------------------------|
|                                          |                                |                                                   |   |
| Date:       November 15,      2010  | By:                                 | /s/ Tony      D. Whitaker                         |   |
|                                          |                                | Tony      D. Whitaker                                  |   |
|                                          |                                | Chairman      of the Board and Chief Executive Officer |   |
|                                          |                                |                                                   |   |

|                                          |        |                                            |
|-----------------------------------------------|--------|-------------------------------------------------|
|                                          |   |                                            |   |
| Date:       November 15,      2010  | By:    | /s/ R. Clay Hulette                        |   |
|                                          |   | R.      Clay Hulette                            |   |
|                                          |   | Vice      President and Chief Financial Officer |   |
|                                          |   |                                            |   |

----