SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON D. C. 20549

                                    FORM 10-Q


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


 For Quarter Ended June 30, 1997                Commission File Number 0-14550



                       NEW ENGLAND COMMUNITY BANCORP, INC.

                           DELAWARE       06-1116165



                                OLD WINDSOR MALL
                                  P.O. BOX 130
                           WINDSOR, CONNECTICUT 06095


                            Telephone: (860) 610-3600


Indicate by check mark whether  registrant (1) has filed all reports required to
be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of 1934 during
the  preceding  twelve  months,   and  (2)  has  been  subject  to  such  filing
requirements for the past 90 days.   YES  X        NO
                                        ------       ------



The number of shares of common stock of the  registrant  outstanding  as of July
31, 1997 was 3,667,166.







The total number of pages in this report is 19.


                                    Page -1-
<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
<C>                <C>                                                                               <C>
 Part I.           FINANCIAL INFORMATION                                                             Page No.
 Item 1.           Financial Statements:

                   Consolidated Balance Sheets--June 30, 1997 and 1996 (unaudited)
                   and December 31, 1996                                                                    4

                   Consolidated Statements of Income--three and six months ended June 30, 1997
                   and 1996 (unaudited)                                                                     5

                   Consolidated Statements of Cash Flows--six months ended June 30, 1997
                   and 1996 (unaudited)                                                                     6

                   Notes to Consolidated Financial Statements                                               7

 Item 2.           Management's Discussion and Analysis of Financial Condition and
                   Results of Operations                                                                    8

Part II.           OTHER INFORMATION                                                                       18

 Item 1.           Legal Proceedings                                                                       18
 Item 2.           Changes in Securities                                                                   18
 Item 3.           Defaults Upon Senior Securities                                                         18
 Item 4.           Submission of Matters to a Vote of Security Holders                                     18
 Item 5.           Other Information                                                                       18
 Item 6.           Exhibits, Financial Statement Schedules and Reports on Form 8-K                         18

                   SIGNATURES                                                                              19
</TABLE>



                                    Page -2-
<PAGE>










                          Part I--FINANCIAL INFORMATION

                          Item 1. Financial Statements





<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>
(thousands of dollars)
                                                                                June 30,             June 30,        December 31,
                                                                                    1997                 1996                1996
                                                                             (Unaudited)          (Unaudited)
---------------------------------------------------------------------------------------------------------------------------------

<S>                                                                             <C>                  <C>                 <C>     
ASSETS:
      Cash and due from banks                                                   $ 23,798             $ 16,262            $ 21,629
      Federal funds sold                                                           9,650                9,097               9,675
                                                                                --------             --------            --------
            Cash and cash equivalents                                             33,448               25,359              31,304
      Securities held-to-maturity                                                  7,355                5,594               7,357
      Securities available-for-sale                                               85,345               77,264              85,958
      Federal Home Loan Bank stock                                                 1,753                1,176               1,753

      Loans outstanding                                                          293,562              215,722             288,996
            Less: allowance for possible loan losses                              (5,521)              (4,454)             (5,514)
                                                                                --------             --------            --------
                  Net loans                                                      288,041              211,268             283,482
      Mortgages held-for-sale                                                      1,955                2,730               1,755
      Accrued interest receivable                                                  3,068                2,475               3,206
      Premises and equipment                                                       9,411                7,539               9,369
      Other real estate owned                                                      1,173                  436               2,109
      Goodwill                                                                     4,308                  388               4,464
      Other assets                                                                 2,254                2,531               2,402
                                                                                --------             --------            --------
Total Assets                                                                    $438,109             $336,760            $433,159
                                                                                ========             ========            ========

LIABILITIES:
      Deposits:
            Noninterest bearing                                                 $ 77,220             $ 54,294            $ 78,792
            Interest bearing                                                     304,170              241,954             308,105
                                                                                --------             --------            --------
                  Total deposits                                                 381,390              296,248             386,897
      Short-term borrowings                                                        6,510                6,940               2,003
      Long-term debt                                                               6,000
      Other liabilities                                                            1,796                2,204               3,848
                                                                                --------             --------            --------
Total Liabilities                                                                395,696              305,392             392,748

SHAREHOLDERS' EQUITY:
      Common Stock, $.10 par value, authorized 10,000,000 shares:
      June 30, 1997 and December 31, 1996, 3,667,166 outstanding;
      June 30, 1996, 3,084,309 outstanding                                           367                  308                 367
      Additional paid-in capital                                                  27,943               21,522              27,943
      Retained earnings                                                           13,697                9,957              11,802
      Net unrealized (loss) gain on securities available-for-sale                    406                 (419)                299
                                                                                --------             --------            --------
Total Shareholders' Equity                                                        42,413               31,368              40,411
                                                                                --------             --------            --------
Total Liabilities & Shareholders' Equity                                        $438,109             $336,760            $433,159
                                                                                ========             ========            ========
</TABLE>

        The accompanying notes are an integral part of these statements.



                                    Page -4-
<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.
                         CONSOLIDATED INCOME STATEMENTS
                                   (Unaudited)

<TABLE>
<CAPTION>
(thousands of dollars; except per share data)
                                                                           Six Months Ended               Three Months Ended
                                                                                June 30,                       June 30,
                                                                       1997              1996            1997              1996
-------------------------------------------------------------------------------------------------------------------------------
<S>                                                                 <C>               <C>              <C>              <C>   
INTEREST INCOME:
      Loans, including fees                                         $12,912           $10,524          $6,489           $5,105
      Securities:
            Taxable interest                                          2,880             1,979           1,455            1,037
            Interest exempt from federal income taxes                    58                52              22               28
            Dividends                                                   151               216              68               46
      Federal funds sold and other interest                             140               207              92              121
                                                                    -------           -------          ------           ------
            Total interest income                                    16,141            12,978           8,126            6,337

INTEREST EXPENSE:
      Deposits                                                        5,306             4,693           2,636            2,298
      Borrowed funds                                                    237                46             137               36
                                                                    -------           -------          ------           ------
            Total interest expense                                    5,543             4,739           2,773            2,334
Net interest income                                                  10,598             8,239           5,353            4,003
Provision for possible loan losses                                      498             1,034             255              502
                                                                    -------           -------          ------           ------

Net interest income after provision for possible loan losses         10,100             7,205           5,098            3,501

NONINTEREST INCOME:
      Service charges, fees and commissions                           1,080               783             548              372
      Investment securities gains, net                                  159                (5)            163               (4)
      Gain on the sales of loans, net                                   241               137             106              117
      Other                                                              64               191              29              181
                                                                    -------           -------          ------           ------
            Total noninterest income                                  1,544             1,106             846              666

NONINTEREST EXPENSE:
      Salaries and employee benefits                                  4,134             3,139           2,073            1,581
      Occupancy                                                         804               558             395              301
      Furniture and equipment                                           545               398             283              211
      Outside services                                                  384               216             213               99
      Postage and supplies                                              338               235             157              113
      Insurance and assessments                                          70                72              36               36
      Losses, writedowns, expenses - other real estate owned            144               160             114              113
      Amortization of goodwill                                          157                14              78                7
      Other                                                           1,089               775             521              319
                                                                    -------           -------          ------           ------
            Total noninterest expense                                 7,665             5,567           3,870            2,780
                                                                    -------           -------          ------           ------
Income before taxes                                                   3,979             2,744           2,074            1,387
Income taxes                                                          1,497               878             784              444
                                                                    -------           -------          ------           ------
Net Income                                                          $ 2,482           $ 1,866          $1,290           $  943
                                                                    -------           -------          ------           ------
Net income per share                                                 $ 0.68             $0.61          $ 0.35            $0.31
Weighted average shares of Common Stock outstanding                   3,667             3,084           3,667            3,084

        The accompanying notes are an integral part of these statements.

</TABLE>


                                    Page -5-
<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (Unaudited)

<TABLE>
<CAPTION>

(thousands of dollars)
Six Months Ended June 30,                                                                              1997               1996
------------------------------------------------------------------------------------------------------------------------------
<S>                                                                                             <C>               <C>        
Operating activities:
      Net income                                                                                $     2,482       $     1,866
      Adjustment for noncash charges (credits):
         Provision for depreciation and amortization                                                    438               329
         Losses from sale or disposal and provisions to reduce the carrying value
              of other real estate owned, net                                                            29               114
         Securities losses (gains), net                                                                (159)                6
         Accretion of discounts and amortization of premiums on bonds, net                               14               113
         Accretion, net of amortization, of purchase accounting adjustments                            (107)
         Amortization of goodwill                                                                       157
         Provision for possible loan losses                                                             498             1,034
         Gain on sale of loans, net                                                                    (241)             (137)
         (Increase) decrease in accrued interest income and other assets, net                           164               (40)
         Decrease (increase) in loans held-for-sale                                                      41            (1,805)
            (Decrease) increase in accrued interest payable and other liabilities, net               (2,090)           (1,176)
                                                                                                -----------       -----------
                  Net cash provided by operating activities                                           1,226               304
                                                                                                -----------       -----------

Financing activities:
      Net decrease in noninterest-bearing accounts                                                   (1,572)           (5,651)
      Net (decrease) increase in interest-bearing accounts                                           (3,792)           (5,262)
      Increase (decrease) in short-term borrowings                                                    4,507             6,400
      Increase (decrease) in long-term borrowings                                                     6,000
      Cash dividends paid                                                                              (597)             (346)
                                                                                                -----------       -----------
                  Net cash used for financing activities                                             (4,172)           (4,859)
                                                                                                -----------       -----------

Investing activities:
      Loans originated, net of principal collections                                                 (5,811)            4,657
      Proceeds from sales of loans                                                                       38               313
      Decrease in interest-bearing time deposits                                                                        3,000
      Purchases of securities available-for-sale                                                    (20,070)          (32,025)
      Proceeds from sales of securities available-for-sale                                           12,142            12,850
      Proceeds from maturities of securities available-for-sale                                       8,856            15,009
      Purchases of securities held-to-maturity                                                                         (1,144)
      Proceeds from maturities of securities held-to-maturity                                                           4,000
      Proceeds from sales of other real estate owned                                                  1,749               537
      Purchases of premises and equipment, net                                                         (467)             (908)
      Capitalization of expenditures on other real estate owned                                         (65)
                                                                                                -----------       -----------
                  Net cash provided by (used for) investing activities                               (3,628)            6,289
                                                                                                -----------       -----------
      Increase (decrease) in cash and cash equivalents                                                2,144             1,734
                                                                                                -----------       -----------
      Cash and cash equivalents, beginning of period                                                 31,304            23,625
                                                                                                -----------       -----------
      Cash and cash equivalents, end of period                                                  $    33,448       $    25,359
                                                                                                ===========       ===========

Schedule of noncash investing and financing activities:
      Loans charged off, net of recoveries                                                      $       491       $     1,384
      Real estate acquired through foreclosure                                                          777               433
      Loans originated to facilitate sales of other real estate owned                                   834
      Income tax paid                                                                                   986             1,228
      Interest paid                                                                                   5,742             5,001

        The accompanying notes are an integral part of these statements.
</TABLE>




                                    Page -6-
<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.
              NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS

Note 1 - Basis of Presentation

The  accompanying  condensed  interim  financial  statements  are  unaudited and
include the accounts of New England  Community  Bancorp,  Inc. (the "Company" or
"NECB") and its  subsidiaries,  New England Bank and Trust Company  ("NEBT") and
The Equity  Bank  ("EQBK").  The  consolidated  financial  statements  have been
prepared in accordance with generally accepted accounting principals for interim
financial  information and with the instructions to SEC Form 10-Q and Article 10
of Regulation  S-X.  Accordingly,  they do not include all the  information  and
footnotes  required by generally  accepted  accounting  principles  for complete
financial  statements.  These financial  statements  reflect,  in the opinion of
Management,  all adjustments,  consisting of only normal recurring  adjustments,
necessary for a fair  presentation of the Company's  financial  position and the
results of its  operations and its cash flows for the periods  presented.  These
financial statements should be read in conjunction with the financial statements
and notes thereto included in the Company's 1996 Annual Report on Form 10-K.

Note 2 - Purchase Accounting

On July 11, 1996, the Company  completed an acquisition of Manchester State Bank
("MSB") by  issuing  548,857  shares of the  Company's  common  stock and paying
$3,520,000  in cash  for  all of the  outstanding  common  shares  of  MSB.  The
transaction  was  accounted  for  as  a  purchase,  and  thus,  the  comparative
statements do not include prior operating results of the acquired entity.

Note 3 - Merger Agreement

On February 25, 1997,  First Bank of West Hartford ("First Bank") entered into a
Plan and Agreement of Reorganization  (the  "Agreement") with NECB.  Pursuant to
the Agreement,  at the Effective Time (as defined in the Agreement),  First Bank
will be merged with and into NECB's  Connecticut  banking subsidiary New England
Bank & Trust Company.

Pursuant to the Agreement, each share of common stock, $0.10 par value, of First
Bank ("First Bank Common Stock") issued and outstanding immediately prior to the
Effective  Time  (excluding  dissenting  shares and shares held by NECB) will be
converted at the Effective  Time into the right to receive 0.62 shares of common
stock, $0.01 par value, of NECB ("NECB Common Stock").

Stock options which,  as of the Effective Time, are outstanding and fully vested
and  exercisable  as to all of the  shares of First Bank  Common  Stock that are
subject to such option (including options that become exercisable as a result of
the transaction  contemplated by the Agreement)  (each, a "Vested Stock Option")
shall be converted at the  Effective  Time into NECB Common Stock in  accordance
with a formula set forth in the  Agreement,  to the extent  permitted  under the
First Bank Stock  Option Plans and the  Agreement  pursuant to which such Vested
Stock Options were granted.

The  Agreement is subject to a number of conditions  including,  but not limited
to, shareholder approval and approval of regulatory agencies including the State
of Connecticut Banking Commissioner. NECB expects to account for the Merger as a
pooling of interests.

Expenses incurred by NECB in connection with the Merger will be deferred pending
completion of the transaction.  Such expenses amounted to approximately $125,000
as of June 30,  1997.  It is  anticipated  that the  Merger  will close in third
quarter.



                                    Page -7-
<PAGE>




                          Part I--FINANCIAL INFORMATION

            Item 2. Management's Discussion and Analysis of Financial
                       Condition and Results of Operations



<PAGE>


Overview

The  Company's  earnings  are largely  dependent  upon net  interest  income and
noninterest  income from its  community  banking  operations--with  net interest
income providing the majority of the Company's revenues.  Net interest income is
the difference between interest earned on the loan and investment portfolios and
interest  paid on deposits and other  sources of funds.  Noninterest  revenue is
primarily  derived from fees earned on commercial and personal checking accounts
and from gains on loan and securities sales.

During the second  quarter of 1997,  NECB  reported net income of  $1,290,000 or
$0.35 per share.  This  represents a 37% increase over the $943,000 or $0.31 per
reported in the comparable  period a year earlier.  The increased net income and
earnings  per share  during the quarter  primarily  reflect  both the  Company's
acquisition of MSB (the "MSB acquisition") and growth in loans outstanding.

Returns on average  assets and  average  equity for the  quarter  were 1.22% and
12.47%, compared to 1.13% and 12.14% for the same period a year earlier.

For the  three  months  ended  June 30,  1997,  net  interest  income on a fully
taxable-equivalent  basis totaled $5,353,000 compared to $4,003,000 in 1996. The
net interest margin for 1997 was 5.48% versus 5.28% in 1996. The increase in net
interest  income and net interest  margin is largely due to the MSB  acquisition
together with an improved mix of  interest-earning  assets and  interest-bearing
liabilities.  Provisions  for possible loan losses  amounted to $255,000 in 1997
compared to $502,000 in 1996.

Noninterest  income  increased  to $846,000 in 1997 from  $666,000 in 1996.  The
increase  is  largely  the  result of the  acquisition  coupled  with a $167,000
increase in the gain on the sale of securities  which offset  decreases in gains
from the sale of loans and other revenue. Noninterest expense totaled $3,870,000
in 1997,  compared  to  $2,780,000  in 1996.  The  increase  resulted  from both
internal growth and from the MSB acquisition, net of the cost reductions derived
from the  elimination  of  duplicate  operations  and other  expense  management
programs.

Through the first six months of 1997,  NECB reported net income of $2,482,000 or
$0.68 per share.  This represents a $616,000 increase or 33% over the $1,866,000
or $0.61 per share  reported for the same period a year  earlier.  Growth in net
income and  earnings  per share during 1997  primarily  reflects the  additional
revenue and savings  achieved in conjunction  with the Company's  acquisition of
MSB.  During  the  first  six  months of 1997,  net  interest  income on a fully
taxable-equivalent  basis totaled $10,598,000  compared to $8,239,000 in 1996. A
reduction in  provisions  for loan losses and  increases in  noninterest  income
(primarily  service charges and gains on sale of securities)  contributed to the
improved  earnings.  Noninterest  revenue  increased  by  $438,000  and  totaled
$1,544,000 in 1997 from  $1,106,000 in 1996 while  noninterest  expense  totaled
$7,665,000 in 1997 compared to $5,567,000 in 1996.

Total  assets at June 30, 1997 were  $438,109,000  compared to  $433,159,000  at
December  31, 1996.  Noteworthy  changes  from  December 31, 1996 include  loans
outstanding  which  increased by  $4,566,000,  Other Real Estate Owned  ("OREO")
which  decreased by $936,000,  total deposits which  decreased by $5,507,000 and
total  borrowings  (including  $6,000,000 in long-term  debt) which increased by
$10,507,000 from December 31, 1997. Total equity amounted to $42,413,000 at June
30, 1997 compared to $40,411,000 at December 31, 1996.


Results of Operations--Three Months Ended June 30, 1997 and 1996

For the three  months ended June 30,  1997,  the Company  reported net income of
$1,290,000 or $0.35 per share as compared to $943,000 or $0.31 per share for the
same period of 1996.  The  largest  factor in these  results was the  $1,350,000
increase in net interest income which was  supplemented by $180,000  increase in
noninterest  revenue and partly offset by the $1,090,000 increase in noninterest
expenses. Factors impacting interest income and expense are discussed below.



                                    Page -9-
<PAGE>


Net Interest Income

The  principal  earning  asset of the  Company is its loan  portfolio--which  is
comprised of loans to finance  operations of businesses located primarily within
our market  area,  mortgage  loans to finance  the  purchase or  improvement  of
properties  used by businesses and mortgage and personal  loans to  individuals.
Representing  a quarter  of the  Company's  earning  assets,  NECB's  investment
portfolio  also  plays an  important  part in the  management  of the  Company's
balance  sheet.  While  providing a source of  revenue,  these funds are used to
provide  reserves and meet the liquidity  needs of the Company.  Excess reserves
are available to meet the borrowing needs of the  communities we serve.  For the
following discussion, interest income is presented on a fully taxable-equivalent
("FTE") basis.  FTE interest  income  restates  reported  interest income on tax
exempt loans and  securities  as if such  interest  were taxed at the  statutory
Federal income tax rate of 34% for all periods presented.

(amounts in thousands)

Three Months Ended June 30,                           1997             1996
-----------------------------------------------------------------------------
Interest income (financial statements)                $8,126           $6,337
Tax equivalent adjustment                                 35               79
Interest expense                                      (2,773)          (2,334)
                                                  ----------       ---------- 
Net interest income (fully taxable equivalent)        $5,388           $4,082
                                                  ==========       ==========

For the  second  quarter  of 1997,  net  interest  income  on an FTE  basis  was
$5,388,000, a 32% increase over the $4,082,000 in the comparable period in 1996.
A key factor in the $1,306,000  increase in 1997 was the MSB  acquisition--which
added  approximately  $77,000,000 in interest earning assets and $67,000,000 and
interest bearing liabilities. In addition, internally produced loan growth added
significantly  to interest  income.  The  gradual  improvement  in the  regional
economy  coupled with the  Company's  innovative  marketing  programs  served to
increase loans outstanding by approximately $7,000,000 during the second quarter
of 1997.



<PAGE>


<TABLE>
<CAPTION>
CONSOLIDATED AVERAGE BALANCES/INTEREST EARNED OR PAID/RATES

Three Months Ended                                          June 30, 1997                                June 30, 1996
--------------------------------------------------------------------------------------------------------------------------------
                                                 Average                    Average           Average                    Average
(amounts in thousands)                           Balance       Interest        Rate           Balance       Interest        Rate
--------------------------------------------------------------------------------------------------------------------------------
<S>                                        <C>               <C>              <C>       <C>               <C>              <C>  
Assets:
   Federal funds sold                           $  6,862         $   92       5.38%          $  9,886        $   121       4.91%
   Securities held-to-maturity                     7,353            128       6.98%             5,813             91       6.28%
   Securities available-for-sale                  89,134          1,452       6.53%            74,524          1,099       5.91%
   Mortgages held for sale                         1,866             33       7.10%             3,058             58       7.58%
   Loans (A)                                     288,823          6,456       8.97%           217,836          5,047       9.29%
                                                --------         ------                      --------        -------            
        Total interest-earning assets            394,038          8,161       8.31%           311,115          6,416       8.27%

   Allowance for loan losses                      (5,684)                                      (4,538)
   Cash and due from banks                        16,463                                       13,997
   Other assets                                   20,827                                       13,047
                                                --------                                     --------
Total Assets                                    $425,644                                     $333,621
                                                ========                                     ========

Liabilities:
   Regular savings deposits                     $ 92,544         $  487       2.11%          $ 68,779        $   368       2.15%
   NOW account deposits                           47,440            154       1.30%            30,619            116       1.52%
   Money market deposits                           4,252             12       1.13%             5,527             14       1.02%
                                                --------         ------                      --------        -------            
        Total savings deposits                   144,236            653       1.82%           104,925            498       1.90%
   Time deposits                                 155,487          1,983       5.12%           136,339          1,800       5.30%
   Short-term borrowings                           3,374             43       5.11%             2,809             36       5.14%
   Long-term borrowings                            6,001             94       6.28%                 0              0        0.0%
                                                --------         ------                      --------        -------            
        Total interest bearing liabilities       309,098          2,773       3.60%           244,072          2,334       3.84%
   Demand deposits                                71,292                                       54,482
   Other liabilities                               3,774                                        3,923
                                                --------                                     --------
        Total Liabilities                        384,164                                      302,477
   Equity                                         41,480                                       31,143
Total Liabilities & Equity                      $425,644                                     $333,621
                                                ========                                     ========

Net interest income--FTE basis                                   $5,388                                       $4,082
                                                                 ======                                       ======
Net interest margin                                                           5.48%                                        5.28%
Net interest spread                                                           4.71%                                        4.44%

(A) Average loans include nonaccruing loans.
</TABLE>



                                   Page -11-
<PAGE>


The net interest  margin  measures the  difference  in yield on, and the mix of,
interest-earning assets and interest-bearing liabilities. Net interest margin is
affected by a number of factors  including  the volume,  pricing and maturity of
earning assets and interest-bearing  liabilities and interest rate fluctuations.
Changes in  nonperforming  assets,  together with interest lost and recovered on
those assets also affect comparisons of net interest income.

Several factors served to increase the net interest margin to 5.48% in 1997 from
5.28% in 1996. Most noteworthy was the improved mix of  interest-earning  assets
and  interest-bearing  liabilities.  The percentage of loans,  as a component of
earning assets, increased to 73% of earning assets in the second quarter of 1997
compared to 70% in the same quarter a year earlier. In addition,  improvement in
the yield on securities for sale in the second quarter of 1997 helped offset the
effect of a 32 basis point  decrease in the yield on the loan  portfolio.  This,
taken together with a 24 basis point decrease in the cost of funding (from 3.60%
for the  second  quarter  of  1997  compared  to  3.84%  a year  earlier)  which
translated  into a  $74,000  decrease  in  interest  expense,  helped  boost the
Company's margin.

Rate/Volume Analysis

Changes  in net  interest  income is  divided  into two  components--the  change
resulting   from  the  change  in  average   balances  of  earning   assets  and
interest-bearing liabilities (or "volume") and the change in the rates earned or
paid on these  balances.  The change in  interest  income and  interest  expense
attributable to changes in both volume and rate, which cannot be segregated, has
been  allocated  proportionately  to the  absolute  values of the changes due to
volume and rate. The following table is presented on a FTE basis.

<TABLE>
<CAPTION>
                                                                                Change due to
                                               Total                              Change in:
                                            Increase                      ---------------------------
(amounts in thousands)                     (Decrease)                      Rate                Volume
-----------------------------------------------------------------------------------------------------
<S>                                        <C>                      <C>                    <C>        
Interest earned on:
Federal funds sold                         $      (29)              $      12              $      (41)
Securities held-to-maturity                        37                      10                      27
Securities available-for-sale                     353                     115                     238
Mortgages held for sale                           (25)                     12                     (37)
Loans                                           1,409                    (178)                  1,587
                                           ----------               ---------              ----------
Total interest-earning assets                   1,745                     (29)                  1,774
                                           ----------               ---------              ----------

Interest paid on:
Regular savings deposits                   $      119               $      (6)             $      125
NOW account deposits                               38                     (17)                     55
Money market deposits                              (2)                      2                      (4)
                                           ----------               ---------              ---------- 
      Total savings deposits                      155                     (21)                    176
Time deposits                                     183                     (61)                    244
Borrowed funds                                     58                       8                      50
                                           ----------               ---------              ----------
Total interest-bearing liabilities                396                     (74)                    470
                                           ----------               ---------              ----------
Net interest income change                 $    1,349               $      46              $    1,303
                                           ==========               =========              ==========

</TABLE>

As the above  table  indicates,  for the three  months  ended June 31,  1997 net
interest  income (on a fully tax  equivalent  basis)  rose  $1,349,000.  Of this
amount,  $1,303,000  resulted  from  changes  in volume of  average  assets  and
liabilities--primarily  from  the  inclusion  of MSB in the  1997  results.  The
remaining  portion of the  change,  an increase  of  $46,000,  was derived  from
changes to interest rates earned on earning assets and paid on interest  bearing
liabilities.


Noninterest Income

For the quarter ended June 30, 1997,  noninterest income increased $180,000,  or
27%, from 1996 and totaled  $846,000  compared to $666,000 in the previous year.
Largely in response to the acquisition,  service  charges,  fees and commissions
increased  47% and  totaled  $548,000  in 1997  compared  to  $372,000  in 1996.
Included in service  charges,  fees and commissions  are fees on deposits,  loan
servicing  fees and other  fees and  charges.  In  addition,  during  the second
quarter,  realized  security gains,  chiefly from equity  securities,  increased
$167,000 from the same period a year earlier and totaled $163,000  compared to a
loss of $4,000 in 1996.  This  increase  offset the  $152,000  decrease in other
(nonrecurring) income.




                                   Page -12-
<PAGE>

The  Company  continues  to seek out  opportunities  for  enhancing  noninterest
revenue.  One such opportunity is the subsidiary banks' cash management  product
("Access")  for business.  Introduced to the market place in later part of 1996,
Access is  proving  to be a hit with  small-business  and  beginning  contribute
significantly to noninterest income. This, and other initiatives,  together with
an expanded market area should help NECB continue to grow noninterest revenue.

Gains on sales of loans decreased by $11,000 and totaled $106,000 for the second
quarter of 1997  compared  to  $117,000  for 1996.  While  demand for fixed rate
conventional  mortgage remains strong,  the run-up in rates during the Spring of
1997 hindered the Company's loan origination effort.


Noninterest Expense

Noninterest  expenses  amounted to $3,870,000 during the second quarter of 1997.
This  represents a $1,090,000  increase,  or 39%, over the  $2,780,000  reported
during the same  period in 1996.  This  increase  is  largely  the result of the
growth  related to the  addition  of MSB as well as other  Company  initiatives.
Beyond the effect of the acquisition,  expenses increased moderately in salaries
and benefits,  occupancy and other expenses while  insurance and assessments and
losses and writedowns on OREO remained substantially the same as compared to the
second  quarter of 1996.  Salaries and benefit  expense rose in response to both
merit increases and Company-paid  insurance  expense.  The increase in occupancy
expense   resulted   primarily   from   additional   lease   expense   for   new
facilities--from  both the  acquisition  of MSB and the  opening of New  England
Bank's West  Hartford  office last summer.  Expenses  related to  furniture  and
equipment  and outside  services  also rose during the period,  when compared to
1996. In addition,  goodwill amortization resulting from the use of the purchase
method of accounting for both the EQBK and MSB acquisitions, amounted to $78,000
in 1997 compared to $7,000 in 1996.

Results of Operations--six months ended June 30, 1997

For the six months  ended June 30,  1997,  the  Company  reported  net income of
$2,482,000  or $0.68 per share as compared to  $1,866,000 or $0.61 per share for
the same  period of 1996.  Increases  in net  interest  income  and  noninterest
revenue of  $2,359,000  and  $438,000,  respectively,  were partly offset by the
$2,098,000 increase in noninterest expenses.

Net Interest Income

(amounts in thousands)

Six months ended June 30,                             1997            1996
----------------------------------------------------------------------------
Interest income (financial statements)               $16,141         $12,978
Tax equivalent adjustment                                 81             132
Interest expense                                      (5,543)         (4,739)
                                                     -------         ------- 
Net interest income (fully taxable equivalent)       $10,598         $ 8,239
                                                     =======         =======

Year-to-date  1997, net interest  income on a FTE basis was  $10,598,000,  a 29%
increase over the  $8,239,000  reported in same period in 1996.  The  $2,359,000
increase in 1997  resulted  largely  from the  acquisition  added  approximately
$77,000,000 in interest  earning  assets and  $67,000,000  and interest  bearing
liabilities--and the increase in loans outstanding.

Noninterest Income

For the first six months of 1997, noninterest income increased $438,000, or 40%,
from 1996 and totaled  $1,544,000  compared to $1,106,000 in the previous  year.
Contrbuting  significantly  to this  increase  was the 38%  increase  in service
charges, fees and commissions which is largely due to the MSB acquisition.  Also
contributing  to the  increase  were  gains  on the  sale  of  securities  which
increased  $164,000 and totaled  $159,000  compared to a loss of $5,000 in 1996.
These increases  offset the $127,000  decrease in other  (nonrecurring)  income.
Reflecting a benign interest rate envirnment  (with the benchmark  30-year fixed
rate  mortgage  generally  less  than 8% for  most of  1997)  and the  Company's
expanded market area,  gains on sales of loans increased by $104,000 and totaled
$241,000 for the six months ended June 30, 1997 compared to $137,000 for 1996.


                                   Page -13-
<PAGE>

Noninterest Expense

Through  the  first  six  months  of  1997,  noninterest  expenses  amounted  to
$7,665,000.  This represents a $2,098,000 increase,  or 38%, over the $5,567,000
reported  during the same period in 1996. This increase is largely the result of
the growth related to the addition of MSB. Beyond the effect of the acquisition,
noteworthy  changes  occurred in furniture and  equipment  and outside  services
which increased by $147,000 and $168,000, respectively and goodwill amortization
which amounted to $157,000 in 1997 compared to $14,000 in 1996.


Financial Condition

Total assets at June 30, 1997 were $438,109,000,  an increase of $4,950,000 from
$433,159,000  at December  31,  1996.  During the first six months of 1997 loans
outstanding  increased  $4,566,000 or 2% to  $293,562,000.  Much of the increase
occurred in the second quarter when loans outstanding grew at an annualized rate
of 9%. Aided moderate  interest rates and NECB's innovative  marketing  programs
helped to attract many new customers to the bank  subsidiaries.  Both securities
available-for-sale and held-to-maturity changed modestly and ended the period at
$85,345,000   and   $7,355,000,   respectively,   compared  to  $85,958,000  and
$7,357,000,  respectively,  at  December  31,  1996.  Federal  funds  were  also
virtually  unchanged from December 31. Federal  funds--which are overnight loans
to other  banks--represent  excess  reserves which are the Company's most liquid
assets  and as such are  available  to meet  short  term cash flow  needs of the
Company and its customers.

Noteworthy  was  the  $936,000  reduction  in  other  real  estate  owned,  from
$2,109,000 at December 31, 1996 to $1,173,000 at June 30, 1997. During the first
six  months of the year the  Company  foreclosed  on fewer  properties  and sold
properties with a market value of $1,749,000.

Total deposits,  which constitute the principal  funding source of the Company's
assets, decreased $5,507,000 from December 31, 1996 and amounted to $381,390,000
at June 30, 1997. The Company  normally  experiences  seasonal  fluctuations  of
deposits--particularly in transaction accounts--which accounts for this change.

Short-term  borrowings  increased  by  $4,507,000  and  stood at  $6,510,000  at
quarter-end.  In addition,  in February the Company borrowed  $6,000,000 in long
term debt with  maturities  ranging from 2 to 6 years from the Federal Home Loan
Bank of Boston. Other liabilities were $1,796,000, a decrease of $2,052,000 from
$3,848,000  at December 31, 1996 and is primarily the result of the payment made
to dissenting  shareholders of EQBK. Total shareholders'  equity was $42,413,000
at June 30, 1997, an increase of $2,2002,000  over December 31, 1996. The change
included net income for the first six months of 1997 of $2,482,000 and decreases
from declared  dividends of $587,000 and a $107,000  increase in net  unrealized
loss on securities available-for-sale (net of related tax effect).



<PAGE>


Securities held-to-maturity

Securities  held-to-maturity  are shown in the  Company's  balance  sheets on an
amortized  cost basis.  Amortized  cost is the  original  cost  adjusted for the
effect of accumulated  amortization  of premiums and accretion of discounts.  As
summarized  in the  table  below,  investments  in  securities  held-to-maturity
changed modestly from December 31, 1996 and totaled  $7,355,000 at June 30, 1997
compared to $7,357,000 at December 31, 1996.


<TABLE>
<CAPTION>

                                                            June 30, 1997                                December 31, 1996
-------------------------------------------------------------------------------------------------------------------------------
                                                  Amortized                                      Amortized
                                                       Cost                 Fair                      Cost                 Fair
(in thousands)                                        Basis                Value                     Basis                Value
-------------------------------------------------------------------------------------------------------------------------------
<S>                                                  <C>                  <C>                       <C>                  <C>   
Debt securities issued by the U.S. Treasury
   and other U.S. government agencies                $4,515               $4,541                    $4,516               $4,563
Debt securities issued by states and
    political subdivisions of the states              2,840                2,887                     2,841                2,892
                                                     ------               ------                    ------               ------
                                                     $7,355               $7,428                    $7,357               $7,455
                                                     ======               ======                    ======               ======

</TABLE>

Securities available-for-sale

Securities  available-for-sale are shown in the Company's balance sheets at fair
value. The unrealized gain or loss resulting from such valuation, reduced by the
effect of income  taxes,  is reflected as a  separately  disclosed  component of
shareholders'  equity.  At June 30, 1997, the net unrealized  gain on securities
available-for-sale  was $684,000  while at December 31, 1996 the net  unrealized
gain  was  $521,000,  representing  an  increase  in net  unrealized  losses  of
$163,000.   As  shown   in  the   table   below,   investments   in   securities
available-for-sale  totaled  $85,345,000 at June 30, 1997 versus  $85,958,000 at
December 31, 1996:

<TABLE>
<CAPTION>


                                                            June 30, 1997                                   December 31, 1996
----------------------------------------------------------------------------------------------------------------------------------
                                                 Amortized                                          Amortized
                                                      Cost                 Fair                          Cost                 Fair
(in thousands)                                       Basis                Value                         Basis                Value
----------------------------------------------------------------------------------------------------------------------------------
<S>                                                 <C>                  <C>                           <C>                  <C>   
Marketable equity securities                       $ 6,409              $ 7,002                       $ 3,689              $ 4,002
Debt securities issued by the U.S. Treasury
   and other U.S. government agencies               56,272               56,328                        63,315               63,459
Corporation debt securities                          9,004                9,004                         8,122                8,117
Mortgage-backed securities                          12,976               13,011                        10,311               10,380
                                                   -------              -------                       -------              -------
                                                   $84,661              $85,345                       $85,437              $85,958
                                                   =======              =======                       =======              =======
</TABLE>


Nonperforming Assets

Nonperforming  assets  are  assets on which  income  recognition  in the form of
interest  payments  has  either  ceased  or is  limited,  thereby  reducing  the
Company's earnings. Nonperforming assets include nonaccrual loans and other real
estate owned  ("OREO").  Generally,  loans are placed in nonaccrual  status when
they are past due  greater  than  ninety  days or the  repayment  of interest or
principal is considered to be in doubt. In addition to nonperforming assets, the
asset  quality of the Company  can be  measured by the amount of the  provision,
charge-offs  and several  credit  quality  ratios  presented  in the  discussion
concerning Provision and Allowance for Loan Losses.



                                   Page -15-
<PAGE>


As shown on the table below, total nonperforming  assets decreased $2,213,000 to
$5,655,000 at June 30, 1997 from $7,868,000 at December 31, 1996.
<TABLE>
<CAPTION>

(in thousands)
                                                                          June 30, 1997                  December 31,1996
-------------------------------------------------------------------------------------------------------------------------
<S>                                                                              <C>                               <C>   
Nonaccrual loans                                                                 $4,482                            $5,759
Other real estate owned                                                           1,173                             2,109
                                                                                 ------                            ------
Total nonperforming assets                                                       $5,655                            $7,868
                                                                                 ======                            ======

Loans past due in excess of ninety days and accruing interest                    $  509                            $  395
Ratio of nonperforming assets to total loans and OREO                              1.9%                              2.7%
Ratio of nonperforming assets and loans past due in excess of
      ninety days and accruing interest to total loans and OREO                    2.1%                              2.8%
Ratio of allowance for loan losses to total loans                                  1.9%                              1.9%
Ratio of allowance for loan losses to nonperforming assets and
      loans in excess of ninety days past due and accruing interest               89.6%                             66.7%
Ratio of nonperforming assets and loans in excess of ninety days
      past due and accruing interest to total shareholders' equity                14.5%                             20.4%
Ratio of nonperforming assets to total assets                                      1.3%                              1.8%

</TABLE>

OREO consists of properties  acquired  through  foreclosure  proceedings.  These
properties  are recorded at the lower of the carrying value of the related loans
or the estimated fair market value less estimated selling costs.  Charges to the
allowance for loan losses are made to reduce the carrying amount of loans to the
fair  market  value of the  properties  less  estimated  selling  expenses  upon
reclassification  as OREO.  Subsequent  reductions when necessary are charged to
operating income.

Activity in Nonperforming Assets
(Amounts in thousands)

Six Months ending June 30,                         1997                    1996
-------------------------------------------------------------------------------
December 31, 1996 and 1995                       $7,868                  $5,453
     Additions                                    1,152                   3,202
     Reductions:
        Payments                                   (823)                 (1,381)
        Loans returned to performing status           0                    (416)
        Charge-offs and writedowns                 (853)                 (1,216)
        Sales, net                               (1,687)                   (581)
                                                 ------                  ------ 
Ending Balance, June 30, 1997 and 1996           $5,655                  $5,061
                                                 ======                  ======

Compared  to  1996,   nonperforming   assets  primarily  increased  due  to  the
acquisition  which accounted for $4,360,000 and $585,000 in nonaccural loans and
OREO, respectively.  In addition,  reduced reclassifications and increased sales
of OREO served to reduce nonperforming assets during 1997.

Provision and Allowance for Loan Losses

NECB's allowance for loan losses represents  amounts available for future credit
losses.  Management  continually  assesses the adequacy of their  allowances for
loan losses in response to current and anticipated economic conditions, specific
problem loans,  historical net charge-offs and the overall risk profile of their
loan portfolios.  Management allocates specific allowances to individual problem
loans  based upon its  analysis of the  potential  for loss  perceived  to exist
related to such loans.  In addition to the specific  allowances  for  individual
loans,  a portion of the  allowance is maintained  as a general  allowance.  The
amount of the general allowance is determined through  Management's  analysis of
the  potential for loss inherent in those loans not  considered  problem  loans.
Among the factors  considered  by Management in this analysis are the number and
type of loans,  nature and amount of collateral pledged to secure such loans and
current  economic  conditions.  Based upon these analyses,  the Company believes
that its allowance for loan losses at year-end is adequate.

The following  table  summarizes the activity in the allowance for possible loan
losses for the six months ending June 30, 1997 and 1996 was as follows:


                                   Page -16-
<PAGE>


(in thousands)
Six Months Ended June 30,                        1997                      1996
--------------------------------------------------------------------------------
Balance beginning of period                    $5,514                    $4,446
Provisions charged to operations                  498                     1,034
Recoveries on loans previously charged-off        272                        73
Loans charged-off                                (763)                   (1,098)
                                               ------                    ------ 
Balance end of period                          $5,521                    $4,454
                                               ======                    ======

Provisions  for possible  loan losses  charged to  operations  for the first six
months of 1997 were $498,000, representing an decrease of $536,000 from the same
period in 1996. During the six month period,  charge-offs decreased by $335,000.
Management's  assessment  of the  adequacy  of the  allowance  is based upon the
composition  of the  loan  portfolio,  past  due  experience,  current  economic
conditions  and  other  factors  deemed  appropriate.  Management  analyzes  the
subsidiaries'  loan  portfolios  as  part  of its  risk  management  process  to
ascertain the potential for loss from possible  nonpayment by some of the Banks'
borrowers as well as the risk of loss  inherent in the  portfolio.  Reserves are
assigned  to  specific  loans and  classes  of  loans,  and then  aggregated  to
determine the total level needed.

Capital

The Company  endeavors  to maintain an optimal  amount of capital  upon which an
attractive  return to shareholders  will be realized over the short and long run
while meeting all regulatory requirements for minimum levels of capital.

As of June 30, 1997, the Company exceeded all regulatory  capital ratios and the
subsidiaries were categorized as "well  capitalized." The various capital ratios
of the Company for June 30, 1997 and 1996 were:

                            Minimum Level           1997                 1996
                            -------------           ----                 ----
Total Risk-Based.........      8%                  13.64%               14.79%

Tier 1 Risk-Based........      4%                  12.39%               13.68%

Leverage.................      4%                   8.94%                9.50%


Liquidity

It is management's objective to ensure the continuous ability to meet cash needs
as they  arise.  Such needs may occur from time to time as a result of  seasonal
declines  in deposit  levels,  response  to changes  in  interest  rates paid on
deposits and interest rates charged for loans and fluctuations in the demand for
the Banks' various loan products.  Accordingly,  the Company maintains liquidity
that provides the flexibility to meet its cash needs. The liquidity objective is
achieved  through  the  maintenance  of readily  marketable  assets as well as a
balanced  flow of asset  maturities  and  prudent  pricing  on loan and  deposit
agreements.  The  Company  has  alternative  sources  of  liquidity,   including
repurchase  agreements  and  lines  of  credits  provided  by the  FHLBB to both
subsidiaries,  which together  provide the Company with  flexibility in managing
its liquidity position.  The maturities of investment  securities and cash flows
from the  repayments  of  outstanding  loans are expected to provide the Company
with adequate liquidity over the coming months.



                                   Page -17-
<PAGE>


Part II:  Other Information

Item 1.        Legal Proceedings - None

Item 2.        Changes in Securities - None

Item 3.        Default Upon Senior Securities - None

Item 4.        Submission of Matters to a Vote of Security Holders - None

Item 5.        Other Information - None

Item 6.        Exhibits, Financial Statement Schedules and Reports on Form 8-K

            (a)         Exhibits
                        Exhibit Number           Exhibit
                        27                       Financial Data Schedule

            (b)         Form 8-K;  Current Reports.  The following  reports were
                        filed with the Securities and Exchange Commission during
                        the quarter ended June 30, 1997:

                        (i)     Annual Meeting of Shareholders

                        The  Annual  Meeting  of  Stockholders  of  New  England
Community Bancorp, Inc. was held on Tuesday, May 20, 1997. Stockholders approved
the following proposals:

                        1. Elected ten (10)  individuals to the Company's  Board
of Directors until the next Annual Meeting and the election and qualification of
their successors:

                        2.  Ratified  the  resolution  adopted  by the  Board of
Directors  appointing  the  independent  public  accounting  firm of  Shatswell,
MacLeod & Company,  P.C. as  independent  auditors of the Company for the fiscal
year ending December 31, 1997.



<PAGE>


                       NEW ENGLAND COMMUNITY BANCORP, INC.



                                   SIGNATURES

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


                                         NEW ENGLAND COMMUNITY BANCORP, INC.


Date:  August 12, 1997             By:   s/s Anson C. Hall
                                         -----------------------------------
                                         Anson C. Hall
                                         Vice President and Treasurer