<PAGE>   1
                       SECURITIES AND EXCHANGE COMMISSION
                              WASHINGTON D.C. 20549

                                    FORM 10-Q

[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 For the quarterly period ended June 30, 2000
                                           -------------

                                       or

[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 For the transition period from _________________ to ________________

Commission file Number  0-21292
                        -------

                MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.
--------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)

          Wisconsin                                    39-1413328
--------------------------------         ---------------------------------------
(State or other jurisdiction of          (I.R.S. Employer Identification Number)
incorporation or organization)


                    14100 West National Avenue, PO Box 511160
                        New Berlin, Wisconsin 53151-1160
--------------------------------------------------------------------------------
                     (Address of principal executive office)

                                 (262) 827-6713
--------------------------------------------------------------------------------
               Registrant's telephone number, including area code:


--------------------------------------------------------------------------------
              (Former name, former address and former fiscal year,
                         if changed since last report)

Indicate by check mark whether the Registrant (1) has filed all reports required
by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the Registrant was required
to file such reports) and (2) has been subject to such filing requirements for
the past 90 days.
Yes X   No
   ---    ---

                      Applicable Only to Corporate Issuers

Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practical date.

Common Stock, par value $1.00 per share               2,104,458 Shares
---------------------------------------     ------------------------------------
                Class                           Outstanding at August 1, 2000


<PAGE>   2
                MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.

                                    FORM 10-Q

                                      INDEX

                                                                     PAGE NUMBER

PART I.  FINANCIAL INFORMATION

Item 1.  Financial Statements

         Unaudited Consolidated Statements of Financial Condition
         as of June 30, 2000 and December 31, 1999                        3

         Unaudited Consolidated Statements of Income for the Three
         Months and the Six Months ended June 30, 2000 and 1999           4

         Unaudited Consolidated Statements of Cash Flows for the
         Six Months ended June 30, 2000 and 1999                          5

         Notes to Unaudited Consolidated Financial Statements             6


Item 2.  Management's Discussion and Analysis of Financial
         Condition and Results of Operations                              9

Item 3.  Quantitative and Qualitative Disclosure About Market Risk       18

PART II. OTHER INFORMATION

Items 1-6                                                                19

Signatures                                                               22




                                       2
<PAGE>   3
PART I. FINANCIAL INFORMATION

MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION


<TABLE>
<CAPTION>
                                                                JUNE 30,   DECEMBER 31,
                                                                 2000          1999
                                                               ---------   ------------
                                                                     (In Thousands)
<S>                                                            <C>          <C>
ASSETS
Cash and due from banks                                        $  14,808    $  15,674
Interest-bearing deposits at other banks                           1,089        4,907
Federal funds sold                                                 1,207        2,210
                                                               ---------    ---------
Cash and cash equivalents                                         17,104       22,791
Securities available-for-sale at fair value:
  Investment securities                                           30,521       32,787
  Mortgage-related securities                                     32,331       33,342
Loans receivable (net of allowance for loan losses)              409,918      363,435
Accrued interest receivable                                        2,791        2,426
Federal Home Loan Bank stock                                       2,937        2,511
Premises and equipment                                             9,937        9,613
Other assets                                                       9,897        7,478
                                                               ---------    ---------
Total assets                                                   $ 515,436    $ 474,383
                                                               =========    =========

LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
  Deposits                                                     $ 381,639    $ 377,333
  Borrowings                                                      87,439       53,398
  Accrued interest payable                                           776          777
  Advance payments by borrowers for taxes and insurance            1,278          300
  Other liabilities                                                2,718        2,149
                                                               ---------    ---------
Total liabilities                                                473,850      433,957

Stockholders' equity
  Common stock $1.00 par value; 6,000,000 shares authorized;
    Shares issued: 2,127,888; shares outstanding:
    2,104,458--2000; 2,109,773--1999                               2,128        2,128
  Additional paid-in capital                                      13,856       13,945
  Net unrealized loss on securities available-for-sale            (1,337)      (1,397)
  Retained earnings                                               27,816       26,434
  Treasury stock, at cost (23,430 shares--2000;
    18,115 shares--1999)                                            (877)        (684)
                                                               ---------    ---------
Total stockholders' equity                                        41,586       40,426
                                                               ---------    ---------
Total liabilities and stockholders' equity                     $ 515,436    $ 474,383
                                                               =========    =========
</TABLE>



See notes to unaudited consolidated financial statements.





                                       3
<PAGE>   4
MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF INCOME

<TABLE>
<CAPTION>
                                           THREE MONTHS ENDED      SIX MONTHS ENDED
                                                JUNE 30,               JUNE 30,
                                            2000        1999       2000        1999
                                          --------    --------   --------    --------
                                             (In Thousands, except per share data)
<S>                                       <C>         <C>        <C>         <C>
Interest income:
  Loans, including fees                   $  8,377    $  6,666   $ 16,036    $ 13,136
  Investment securities:
    Taxable                                    271         235        544         460
    Exempt from federal income taxes           181         177        369         353
  Mortgage-related securities                  550         543      1,098       1,101
  Other                                         68         152        157         312
                                          --------    --------   --------    --------
Total interest income                        9,447       7,773     18,204      15,362

Interest expense:
  Deposits                                   3,321       3,144      6,457       6,266
  Borrowings                                 1,373         277      2,329         589
                                          --------    --------   --------    --------
Total interest expense                       4,694       3,421      8,786       6,855

Net interest income                          4,753       4,352      9,418       8,507
Provision for loan losses                      178          68        344         136
                                          --------    --------   --------    --------
Net interest income after provision for
  loan losses                                4,575       4,284      9,074       8,371

Non-interest income:
  Service charges on deposit accounts          262         257        507         493
  Service charges on loans                     133         108        237         199
  Net gain on securities sales                   2           0          2           9
  Net gain (loss) on loan sales                 (8)          9         (9)         21
  Net gain on sales of premises                 69           0        133           0
  Other                                        358         367        705         681
                                          --------    --------   --------    --------
                                               816         741      1,575       1,403

Non-interest expenses:
  Salaries and employee benefits             2,071       1,868      4,473       4,359
  Premises and equipment                       588         505      1,210       1,107
  Data processing                              216         234        453         468
  Federal deposit insurance premiums            21          34         43          69
  Other                                        713         625      1,373       1,365
                                          --------    --------   --------    --------
                                             3,609       3,266      7,552       7,368

Income before income taxes                   1,782       1,759      3,097       2,406
Income taxes                                   576         599        979         783
                                          --------    --------   --------    --------
Net income                                $  1,206    $  1,160   $  2,118    $  1,623
                                          ========    ========   ========    ========

Basic earnings per share                  $   0.57    $   0.55   $   1.01    $   0.77
                                          ========    ========   ========    ========

Diluted earnings per share                $   0.57    $   0.54   $   1.00    $   0.75
                                          ========    ========   ========    ========

Dividends per share                       $   0.20    $   0.14   $   0.35    $   0.28
                                          ========    ========   ========    ========
</TABLE>

See notes to unaudited consolidated financial statements.



                                       4
<PAGE>   5
MERCHANTS AND MANUFACTURERS BANCORPORATION, INC. AND SUBSIDIARIES
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>
                                                                           SIX MONTHS ENDED JUNE 30,
                                                                              2000          1999
                                                                           ----------   -----------
                                                                               (In Thousands)
<S>                                                                         <C>           <C>
OPERATING ACTIVITIES
  Net income                                                                $  2,118      $  1,623
  Adjustments to reconcile net income to cash
    provided by operating activities
      Provision for loan losses                                                  344           136
      Provision for depreciation                                                 395           438
      Net amortization of investments securities premiums and discounts           49            83
      Net realized investment security gains                                      (2)           (9)
      Increase in accrued interest receivable                                   (364)          (77)
      Decrease in accrued interest payable                                        (1)         (108)
      Other                                                                   (1,492)       (1,164)
                                                                            --------      --------
Net cash provided by operating activities                                      1,047           922

INVESTING ACTIVITIES
Purchase of securities available-for-sale                                     (2,370)      (10,728)
Proceeds from sales of securities available-for-sale                           1,541         2,704
Proceeds from redemptions and maturities of securities available-for-sale      4,150         7,620
Net increase in loans                                                        (47,218)      (18,745)
Redemption (purchase) of Federal Home Loan Bank stock                           (426)           85
Purchase of premises and equipment                                              (720)         (461)
                                                                            --------      --------
Net cash used in investing activities                                        (45,043)      (19,525)

FINANCING ACTIVITIES
Net increase in deposits                                                       4,305         8,981
Net increase in borrowings                                                    34,041         1,424
Increase in advance payments by borrowers for taxes and insurance                978           866
Payment of cash dividends to stockholders                                       (736)         (582)
Purchase of treasury stock                                                      (383)         (107)
Proceeds from sale of treasury stock                                             102           243
Proceeds from issuing additional common stock                                      0            31
                                                                            --------      --------
Net cash provided by financing activities                                     38,307        10,856

Decrease in cash and cash equivalents                                         (5,689)       (7,747)
Cash and cash equivalents at beginning of period                              22,791        40,562
                                                                            --------      --------
Cash and cash equivalents at end of period                                  $ 17,102      $ 32,815
                                                                            ========      ========


Supplemental cash flow information:
  Interest paid                                                             $  7,925      $  6,887
  Income taxes paid                                                            1,056           711
  Loans transferred to other real estate owned                                   490            25
</TABLE>

See notes to unaudited consolidated financial statements




                                       5
<PAGE>   6
MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.
Notes to Unaudited Consolidated Financial Statements
June 30, 2000

NOTE A -- BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements include the
accounts of Merchants and Manufacturers Bancorporation, Inc. (the Corporation)
and its wholly owned subsidiaries, Lincoln State Bank, Franklin State Bank,
Grafton State Bank, Lincoln Community Bank (collectively, the Banks), Merchants
Merger Corp. and M&M Services, Inc. Lincoln State Bank also includes the
accounts of its wholly owned subsidiary, M&M Lincoln Investment Corporation.
Lincoln Community Bank also includes the accounts of its wholly owned
subsidiary, Lincoln Investment Management Corporation. Grafton State Bank also
includes the accounts of its wholly owned subsidiary, GSB Investments, Inc. All
significant intercompany balances and transactions have been eliminated.

The accompanying unaudited condensed consolidated financial statements have been
prepared in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-Q and Article 10 of
Regulation S-X. Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles for complete
financial statements. In the opinion of management, all adjustments (consisting
of normal recurring accruals) considered necessary for a fair presentation have
been included. Operating results for the three-month period ended June 30, 2000
are not necessarily indicative of the results that may be expected for the year
ended December 31, 2000. For further information, refer to the consolidated
financial statements and footnotes thereto included in the Corporation's Form
10-K for the year ended December 31, 1999.

This 10-Q contains various forward-looking statements concerning the Company's
prospects that are based on the current expectations and beliefs of management.
Forward-looking statements may also be made by the Corporation from time to time
in other reports and documents as well as oral presentations. When used in
written documents or oral statements, the words anticipate, believe, estimate,
expect, objective and similar expressions are intended to identify
forward-looking statements. The statements contained herein and such future
statements involve or may involve certain assumptions, risks and uncertainties,
many of which are beyond the Corporation's control, that could cause the
Corporation's actual results and performance to differ materially from what is
expected. In addition to the assumptions and other factors referenced
specifically in connection with such statements, the following factors could
impact the business and financial prospects of the Corporation: general economic
conditions; legislative and regulatory initiatives; monetary and fiscal policies
of the federal government; deposit flows; disintermidiation; the cost of funds;
general market rates of interest; interest rates or investment returns on
competing investments; demand for loan products; demand for financial services;
changes in accounting policies or guidelines; and changes in the quality or
composition of the Corporation's loan and investment portfolio.



                                       6
<PAGE>   7
NOTE B -- ACQUISITION

On December 31, 1999 the Corporation completed a merger with Pyramid
Bancorporation, Inc. (Pyramid) and its wholly owned subsidiary, Grafton State
Bank. The transaction was accounted for as a pooling of interests, and,
accordingly, all financial statements and information have been restated to
incorporate Pyramid's results on a historical basis. Each share of Pyramid
common stock was exchanged for 9 shares of the Corporation's $1 par value common
stock. This resulted in the issuance of 620,100 shares of the Corporation's
common stock.

NOTE C -- EARNINGS PER SHARE

Presented below are the calculations for basic and diluted earnings per share:

<TABLE>
<CAPTION>
                                                           Three Months Ended                      Six Months Ended
                                                                June 30,                               June 30,
Basic                                                    2000              1999                  2000              1999
------------------------------------------------------------------------------------      ----------------------------------
<S>                                                   <C>               <C>                   <C>               <C>
Net income                                            $ 1,206,248       $ 1,159,613           $ 2,117,909       $ 1,622,564
Weighted average shares outstanding                     2,104,610         2,102,654             2,104,144         2,102,596
Basic earnings per share                              $      0.57       $      0.55           $      1.01       $      0.77
                                                  ==================================      ==================================

Diluted:
------------------------------------------------------------------------------------      ----------------------------------
Net income                                            $ 1,206,248       $ 1,159,613           $ 2,117,909       $ 1,622,564
Weighted average shares outstanding                     2,104,610         2,102,654             2,104,144         2,102,596
Effect of dilutive stock options outstanding               20,599            48,118                20,894            47,260
                                                  ----------------------------------      ----------------------------------
Diluted weighted average shares outstanding             2,125,209         2,150,772             2,125,038         2,149,856
Diluted earnings per share                            $      0.57       $      0.54           $      1.00       $      0.75
                                                  ==================================      ==================================
</TABLE>

NOTE D - COMPREHENSIVE INCOME

The following table presents the Corporation's comprehensive income.

<TABLE>
<CAPTION>
                                                           Three Months Ended                      Six Months Ended
                                                                June 30,                               June 30,
Basic                                                    2000              1999                  2000              1999
                                                  ----------------------------------      ----------------------------------
<S>                                                   <C>               <C>                   <C>               <C>
Net income                                            $ 1,206,248       $ 1,159,613           $ 2,117,909       $ 1,622,564
Other comprehensive income
  Net change in unrealized securities gains
     (losses), net                                         82,160          (574,196)               59,797          (781,919)
                                                  ----------------------------------      ----------------------------------
Total comprehensive income                            $ 1,288,408       $   585,417           $ 2,177,706       $   840,645
                                                  ==================================      ==================================
</TABLE>



                                       7
<PAGE>   8
NOTE E -- LOANS RECEIVABLE

Loans are comprised of the following categories:

                                                         June 30
                                                   2000             1999
                                             ------------------------------
                                                      (In Thousands)
         Commercial business loans               $ 102,987       $  86,205
         Commercial real estate                    151,645         137,327
         Real estate mortgages                     130,978          93,542
         Installments                               27,825          16,132
         Other                                         395           1,232
                                             ------------------------------
         Total loans                               413,830         334,438
         Unearned income                               (58)            (46)
         Allowance for loan losses                  (3,854)         (3,068)
                                             ------------------------------
         Loans, net                              $ 409,918       $ 331,324
                                             ==============================

The following table presents changes in the allowance for loan losses:

                                                         June 30
                                                   2000             1999
                                             ------------------------------
                                                      (In Thousands)
              Balance at January 1               $   3,582       $   3,018
                Provisions                             344             136
                Charge-offs                            (74)           (100)
                Recoveries                               2              14
                                             ------------------------------
              Balance at June 30                 $   3,854       $   3,068
                                             ==============================

NOTE F -- STOCKHOLDERS' EQUITY

Under federal law and regulations, the Corporation is required to meet certain
capital requirements. Under the Federal Reserve Board's risk-based guidelines
the Corporation is considered to be "well capitalized." The Banks are required
to meet leverage and risk-based capital requirements. The leverage ratio, in
general, is stockholders' equity as a percentage of total assets. The risk-based
capital ratio, in general, is stockholders' equity plus general loan loss
allowances (within certain limitations) as a percentage of risk adjusted assets.



                                       8
<PAGE>   9

As of June 30, 2000, the most recent notification from Federal Deposit Insurance
Corporation categorized Lincoln Community Bank, Franklin State Bank, Lincoln
State Bank and Grafton State Bank as well capitalized under the regulatory
framework for prompt corrective action. To be categorized as well capitalized,
the Banks must maintain minimum total risk-based, Tier I risk-based and Tier I
leverage ratios as set forth in the table. There are no conditions or events
since that notification that management believes have changed the banks'
category.


<TABLE>
<CAPTION>
                                                                                              To Be Well Capitalized
                                                                        For Capital            Under Prompt Corrective
                                               Actual                Adequacy Purposes          Action Provisions
                                      -------------------------  --------------------------- --------------------------
                                         Amount       Ratio         Amount       Ratio         Amount       Ratio
                                      -------------------------  --------------------------- --------------------------
                                                                   (Dollars In Thousands)
          <S>                            <C>            <C>         <C>           <C>           <C>         <C>
          AS OF JUNE 30, 2000
          Total Capital (to Risk-
             Weighted Assets):
               Lincoln State Bank        $19,303        10.44%      $14,788       >8.00%        $18,485     >10.00%
               Lincoln Community           9,858        10.63%        7,418       >8.00%          9,272     >10.00%
               Grafton State Bank         10,393        13.50%        6,160       >8.00%          7,700     >10.00%
               Franklin State Bank         6,123        10.90%        4,496       >8.00%          5,620     >10.00%

          Tier 1 Capital (to Risk-
             Weighted Assets):
               Lincoln State Bank         17,724         9.59%        7,394       >4.00%         11,091      >6.00%
               Lincoln Community           8,994         9.70%        3,709       >4.00%          5,563      >6.00%
               Grafton State Bank          9,591        12.46%        3,080       >4.00%          4,620      >6.00%
               Franklin State Bank         5,513         9.81%        2,248       >4.00%          3,372      >6.00%

          Tier 1 Capital (to Average
             Assets):
               Lincoln State Bank         17,724         8.68%        8,171       >4.00%         10,214      >5.00%
               Lincoln Community           8,994         7.99%        4,504       >4.00%          5,630      >5.00%
               Grafton State Bank          9,591         8.01%        3,080       >4.00%          3,850      >5.00%
               Franklin State Bank         5,513         8.82%        2,501       >4.00%          3,126      >5.00%
</TABLE>


                                       9
<PAGE>   10
ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
         RESULTS OF OPERATIONS

Financial Condition

At June 30, 2000, the Corporation's consolidated total assets were $515.4
million as compared to $474.4 million at December 31, 1999. This increase was
primarily due to a $46.5 million increase in loans receivable.

Investment securities available-for-sale decreased $2.3 million, or 6.9% from
$32.8 million at December 31, 1999, to $30.5 million at June 30, 2000. The
proceeds from maturities and repayments of investment securities are being used
to fund new loans and purchase other types of securities rather than purchase
additional investment securities.

Mortgage-related securities available-for-sale decreased $1.0 million, or 3.0%
from $33.3 million at December 31, 1999, to $32.3 million at June 30, 2000.
Purchases of mortgage-related securities were offset by sales, redemptions and
maturities of this type of security.

Loans receivable increased $46.5 million, or 12.8%, from $363.4 million at
December 31, 1999 compared to $409.9 million at June 30, 2000. This increase was
primarily due to new commercial loan relationships. This movement corresponds to
the Corporation's strategic plan of emphasizing commercial business. Currently,
loans receivable consists mainly of commercial loans secured by business assets,
real estate, and guarantees as well as mortgages secured by residential
properties located in the Corporation's primary market area. At June 30, 2000
the Corporation has not designated any as loans held for sale.

Total deposits increased $4.3 million, or 1.1%, from $377.3 million on December
31, 1999 to $381.6 million on June 30, 2000. The increase in deposits can be
attributed to the growth in certificate of deposit accounts currently offered by
the Banks. The Corporation supplemented the deposit growth by increasing the
amount of borrowed funds. Total borrowings increased by $34.0 million, or 63.7%
from $53.4 million on December 31, 1999 to $87.4 million on June 30, 2000.
Borrowings consist of Federal Home Loan Bank advances as well as fed funds
borrowed from correspondent banks.

Stockholders' equity at June 30, 2000 was $41.6 million compared to $40.4
million at December 31, 1999, an increase of $1.1 million. The change in
stockholders' equity consists of net income of $2.1 million, less the net
purchase of treasury stock of $281,000, payments of dividends to shareholders of
$736,000 and the $60,000 net increase in the market value of securities
categorized as available for sale. The Corporation and the Banks continue to
exceed their regulatory capital requirements.



                                       10
<PAGE>   11
Nonperforming Assets and Allowance for Losses

Generally a loan is classified as nonaccrual and the accrual of interest on such
loan is discontinued when the contractual payment of principal or interest has
become 90 days past due or management has serious doubts about further
collectibility of principal or interest. Generally, loans are restored to
accrual status when the obligation is brought current, has performed in
accordance with the contractual terms for a reasonable period of time and the
ultimate collectibility of the total contractual principal and interest is no
longer in doubt.

Nonperforming assets are summarized, for the dates indicated, as follows:

<TABLE>
<CAPTION>

                                                                    June 30,            December 31,
                                                                      2000                  1999
                                                                -----------------     ----------------
                                                                        (dollars in thousands)
         <S>                                                    <C>                   <C>
         Non-accrual loans:
             Mortgage loans
               One-to-four family                                        $ 1,047              $ 1,693
               Commercial real estate                                          0                  291
                                                                -----------------     ----------------
                 Total mortgage loans                                      1,047                1,984

             Commercial business                                             140                  187
             Consumer and other                                              136                   80
                                                                -----------------     ----------------
                 Total non-accrual loans                                   1,323                2,251

         Other real estate owned                                             490                  107
                                                                -----------------     ----------------
                 Total nonperforming assets                              $ 1,813              $ 2,358
                                                                =================     ================

         RATIOS:
         Non-accrual loans to total loans                                   0.32%                0.61%
         Nonperforming assets to total assets                               0.35                 0.50
         Loan loss allowance to non-accrual loans                         291.38               159.08
         Loan loss allowance to total loans                                 0.93                 0.98
</TABLE>

Nonperforming assets decreased by $545,000 from $2.4 million at December 31,
1999 to $1.8 million at June 30, 2000, a decrease of 23.1%. Payments received on
past due loans as well as the sale of other real estate owned lead to the
decline. Management believes that losses will be minimal on the remaining
balances, due to the collateral position in each situation.



                                       11
<PAGE>   12
Results of Operations

Net interest income for the three months ended June 30, 2000 was $4.8 million,
an increase of 9.2% from the $4.4 million reported for the same period in 1999.
The increased volume of interest-earning assets accounted for the higher net
interest income. The weighted average yield on interest-earning assets increased
from 7.54% for the three months ended June 30, 1999 to 7.98% for the same period
in 2000. The increase in market interest rates caused the improvement. The
change in market interest rates and the increased level of borrowings also
caused the weighted average rate paid on deposits and borrowings to increase
from 3.41% for the three months ended June 30, 1999 to 4.09% for the three
months ended June 30, 2000. Net interest income for the six months ended June
30, 2000 was $9.4 million, an increase of 10.7% from the $8.5 million reported
for the same period in 1999. The increased volume of interest-earning assets was
the primary reason for the improvement in the year-to-date net interest income.

The following table sets forth the weighted average yield earned on the
Corporation's consolidated loan and investment portfolios, the weighted average
interest paid on deposits and borrowings, the net spread between yield earned
and rates paid and the net interest margin during the six and three months ended
June 30, 2000 and 1999.

<TABLE>
<CAPTION>

                                                                    During the                 During the
                                                                Three Months Ended             Six Months
                                                                     June 30,                Ended June 30,

                                                                 2000        1999           2000         1999
                                                              ----------- -----------   ------------ -----------
               <S>                                              <C>         <C>             <C>         <C>
               Weighted average yield on
                  interest-earning assets                       7.98%       7.54%           7.90%       7.55%

               Weighted average rate paid on
                  deposit accounts and borrowings               4.09        3.41            3.93        3.48
                                                              ----------- -----------    ------------ -----------

               Net interest spread                              3.89%       4.13%           3.97%       4.07%
                                                              =========== ===========    ============ ===========

               Net interest margin (net interest
                  income divided by average
                  earning assets)                               4.01%       4.23%           4.09%       4.18%
                                                              =========== ===========    ============ ===========
</TABLE>

The provision for loan losses for the three-month period ended June 30, 2000 was
$178,000 compared to $68,000 for the three months ended June 30, 1999. For the
six months ended June 30, 2000, the provision for loan losses was $344,000
compared to $136,000 for than the same period in 1999. The increased provision
was made to support the rapid growth in the loan portfolio. The Corporation uses
a risk-based assessment of its loan portfolio to determine the level of the loan
loss allowance. This procedure is based on internal reviews intended to
determine the adequacy of the loan loss allowance in view of presently known
factors. However, changes in economic conditions in the future financial
conditions of borrowers cannot be predicted and may result in increased future
provisions to the loan loss allowance.




                                       12
<PAGE>   13

Non-interest income for the three months ended June 30, 2000 was $816,000
compared to $741,000 for the three months ended June 30, 1999, an increase of
$75,000, or 10.1%. Non-interest income for the six months ended June 30, 2000
was $1.6 million compared to $1.4 million for the six months ended June 30,
1999, an increase of $172,000, or 12.3%. The increase is primarily due to the
recognition of previously deferred gain on the sale and leaseback of one of the
Corporation's banking facilities. The sale of the facility occurred on September
30, 1999.

Non-interest expense for the three months ended June 30, 2000 was $3.6 million
compared to $3.3 million for the three months ended June 30, 1999, an increase
of $343,000, or 10.5%. Non-interest expense for the six months ended June 30,
2000 was $7.6 million compared to $7.4 million for the six months ended June 30,
1999, an increase of $184,000, or 5.5%. Salaries and employee benefits increased
$203,000 or 10.9% from $1.9 million for the three-month period ended June 30,
1999 to $2.1 million for the 2000 three-month period. Salaries and employee
benefits increased $114,000 or 2.6% from $4.4 million for the six-month period
ended June 30, 1999 to $4.5 million for the six-month period ended June 30,
2000. Premises and equipment expense increased $83,000 from $505,000 for the
three-month period ended June 30, 1999 compared to $588,000 for the three-month
period ended June 30, 2000. Premises and equipment expense increased $103,000 or
9.3% from $1.2 million for the six-month period ended June 30, 1999 compared to
$1.1 million for the six-month period ended June 30, 2000. The increase in
occupancy expense can be attributed to maintenance and repairs made on the
Corporation's properties and lease payments made on sold banking facility.
Federal deposit insurance premiums decreased $13,000 from $34,000 for the
three-month period ended June 30, 1999 to $21,000 for the three-month period
ending June 30, 2000 and also decreased $26,000 for the six-month period ended
June 30, 1999 compared to 2000. The insurance premiums decreased in 2000 due to
the reduced assessment rate charged to savings institutions. Other expenses
increased $88,000 or 14.1% in the second quarter and $8,000 or 0.1% for the
six-month period ended June 30, 2000. These increases can be attributed to
changes in operating expenses such as office supplies, examination costs and
human resource expenses.

Income before taxes for the three-month period ended June 30, 2000 was $1.78
million compared to $1.76 million for the three months ended June 30, 1999, an
increase of $23,000 or 1.3%. Income before taxes for the six-month period ended
June 30, 2000 was $2.12 million compared to $1.62 million for the six months
ended June 30, 1999, an increase of $691,000 or 28.72%. The income tax expense
for the three months ended June 30, 2000 decreased $23,000 over the 1999 second
quarter tax expense. The effective tax rate for the three months ended June 30,
2000 was 32.3% compared to 34.1% for the three months ended June 30, 1999. The
income tax expense for the six months ended June 30, 2000 increased $196,000
over the same period in 1999. The effective tax rate for the six months ended
June 30, 2000 was 31.6% compared to 32.5% for the six months ended June 30,
1999. The decrease in the tax rate can be attributed to the purchase of
tax-exempt investment securities held by the Corporation and a reallocation of
expenses throughout the Corporation's subsidiaries. On an after tax basis, the
Corporation reported net income of $1.21 million for the three month period
ended June 30, 2000 compared to $1.16 million for the same period in 1999; and
for the six month period ended June 30, 2000, the Corporation reported net
income of $2.12 million compared to $1.62 million for the same period in 1999.



                                       13
<PAGE>   14

Liquidity and Capital Resources

Liquidity management involves the ability to meet the cash flow requirements of
customers who may be either depositors wanting to withdraw funds or borrowers
needing assurance that sufficient funds will be available to meet their credit
needs. The Corporation had liquid assets of $17.1 million and $22.8 million at
June 30, 2000 and December 31, 1999, respectively.

Management believes liquidity and capital levels are adequate at June 30, 2000.
For a discussion of regulatory requirements, see Note F to the Unaudited
Consolidated Financial Statements.

Asset/Liability Management

Financial institutions are subject to interest rate risk to the extent their
interest-bearing liabilities (primarily deposits) mature or reprice at different
times and on a different basis than their interest-earning assets (consisting
primarily of loans and securities). Interest rate sensitivity management seeks
to match maturities on assets and liabilities and avoid fluctuating net interest
margins while enhancing net interest income during periods of changing interest
rates. The difference between the amount of interest-earning assets maturing or
repricing within a specific time period and the amount of interest-bearing
liabilities maturing or repricing within the same time period is referred to as
an interest rate gap. A gap is considered positive when the amount of interest
rate sensitive assets exceeds the amount of interest rate sensitive liabilities.
A gap is considered negative when the amount of interest rate sensitive
liabilities exceeds the amount of interest rate sensitive assets. During periods
of rising interest rates, a negative gap tends to adversely affect net interest
income while a positive gap tends to result in an increase in net interest
income. During a period of falling interest rates, a negative gap tends to
result in an increase in net interest income while a positive gap tends to
adversely affect net interest income.



                                       14

<PAGE>   15

The following table shows the interest rate sensitivity gap for four different
time intervals as of June 30, 1999. Certain assumptions regarding prepayment and
withdrawal rates are based upon the Corporation's historical experience, and
management believes such assumptions are reasonable.

<TABLE>
<CAPTION>
                                                            AMOUNTS MATURING OR REPRICING AS OF JUNE 30, 2000
                                                ---------------------------------------------------------------------------
                                                      WITHIN     SIX TO TWELVE   ONE TO FIVE        OVER
                                                    SIX MONTHS       MONTHS         YEARS        FIVE YEARS       TOTAL
                                                ---------------------------------------------------------------------------
                                                                          (DOLLARS IN THOUSANDS)
<S>                                                    <C>            <C>           <C>             <C>          <C>
Interest-earning assets:
   Fixed-rate mortgage loans                           $27,980        $24,448       $115,852        $27,375      $195,655
   Adjustable-rate mortgage loans                       32,986         12,258         38,384              0        83,628
                                                --------------------------------------------------------------------------
         Total mortgage loans                           60,966         36,706        154,236         27,375       279,283
   Commercial business loans                            54,245          6,157         41,392          2,569       104,363
   Consumer loans                                        6,358          3,252         17,022          3,045        29,677
   Other loans                                               0            450              0              0           450
   Mortgage-related securities                          16,093              0            443         15,795        32,331
   Fixed rate investment securities and other            1,945          1,636          8,240         15,240        27,061
   Variable rate investment securities and               5,756          2,937              0              0         8,693
   other
                                                --------------------------------------------------------------------------
         Total interest-earning assets                $145,363        $51,138       $221,333        $64,024      $481,858
                                                ==========================================================================

   Interest-bearing liabilities:
   Deposits
     Time deposits                                    $106,777        $41,733        $23,852             $0      $173,362
     NOW accounts                                        2,704          2,704         27,044         12,620        45,072

     Savings accounts                                    4,140          4,140         41,403         19,321        69,004
     Money market accounts                               2,010          2,010         20,105          9,382        33,507
     Advance payments for taxes and insurance                0          1,278              0              0           713
     Borrowings                                         87,439              0              0              0        87,439
                                                --------------------------------------------------------------------------
                                                --------------------------------------------------------------------------
         Total interest-bearing liabilities           $203,070        $51,865       $112,404        $41,323      $408,662
                                                ==========================================================================
   Interest-earning assets less
   interest-bearing
     Liabilities                                      ($57,707)         ($727)      $108,929        $22,701       $73,196
                                                ==========================================================================
   Cumulative interest rate sensitivity gap           ($57,707)      ($58,434)       $50,495        $73,196
                                                ============================================================
   Cumulative interest rate sensitivity gap as
   a Percentage of total assets                        (11.20%)       (11.34%)          9.80%         14.20%
                                                ============================================================
</TABLE>

At June 30, 2000, the Corporation's cumulative interest-rate sensitive gap as a
percentage of total assets was a negative 11.2% for six months and a negative
11.3% for one-year maturities. Therefore, the Corporation is negatively gapped
and may benefit from falling interest rates.

Certain shortcomings are inherent in the method of analysis presented in the
above schedule. For example, although certain assets and liabilities may have
similar maturities or periods of repricing, they may react in different degrees
to changes in market interest rates. Also, the interest rates on certain types
of assets and liabilities may fluctuate in advance of changes in market interest
rates, while interest rates on other types may lag behind changes in market
rates. Additionally, certain assets, such as adjustable rate mortgage loans,
have features that restrict changes in interest rates, on a short term basis
over the life of the asset. Further, in the event of a change in interest rates,
prepayment and early withdrawal levels would likely deviate significantly from
those assumed in calculating the schedule.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK

         Not Applicable



                                       15
<PAGE>   16
PART II .  OTHER INFORMATION

Item 1.    Legal Proceedings

           As of June 30, 2000 there were no material pending legal
           proceedings, other than ordinary routine litigation incidental
           to the business of the Corporation, to which the Corporation or
           any of its subsidiaries was a party or to which any of their
           property was subject.

Item 2.    Changes in Securities - NONE

Item 3     Defaults upon Senior Securities - NONE

Item 4     Submission of Matters to Vote of Security Holders
           ANNUAL MEETING OF SHAREHOLDERS. On May 30, 2000, at the Annual
           Meeting of the shareholders of the Corporation, the
           Corporation's shareholders reelected Casimir Janiszewski, Jerome
           Sarnowski and David Kaczynski as directors for three-year terms
           expiring on the date of the annual shareholders meeting to be
           held in 2003.

           SHAREHOLDER VOTE WITH RESPECT TO MATTERS ACTED UPON AT THE
           ANNUAL MEETING

           ELECTION OF DIRECTORS. Under Wisconsin law, the number of
           persons corresponding to the number of director positions to be
           filled at the Annual Meeting who received the highest number of
           votes would be elected as directors. Casimir Janiszewski, Jerome
           Sarnowski and David Kaczynski were standing for reelection. The
           vote with respect to the reelection of each was as follows:

           CASIMIR JANISZEWSKI

                 2,105,549  Total votes were eligible to be cast
                 1,540,263  Votes were represented in person or by proxy at
                            the Annual Meeting
                 1,511,862  Votes were cast "FOR" the reelection of Mr.
                            Janiszewski
                         0  Votes were cast "AGAINST" the reelection of Mr.
                            Janiszewski
                    28,401  Votes abstained or were broker non-votes

           JEROME SARNOWSKI
                 2,105,549  Total votes were eligible to be cast

                 1,540,263  Votes were represented in person or by proxy
                              at the Annual Meeting
                 1,483,712  Votes were cast
                            "FOR" the reelection of Mr. Sarnowski
                         0  Votes were cast "AGAINST" the reelection of Mr.
                            Sarnowski
                    56,551  Votes abstained or were broker non-votes




           DAVID KACZYNSKI
                 2,105,549  Total votes were eligible to be cast
                 1,540,263  Votes were represented in person or by proxy at the
                            Annual Meeting
                 1,512,123  Votes were cast "FOR" the reelection of
                            Mr. Kaczynski
                         0  Votes were cast "AGAINST" the reelection of Mr.
                            Kaczynski
                    28,140  Votes abstained or were broker non-votes




                                       16
<PAGE>   17
Item 5          Other Information - NONE

Item 6          Exhibits and Reports on Form 8-K

                The Corporation did not file any reports on Form 8-K during the
                three months ended June 30, 2000. Required exhibits are
                incorporated by reference to previously filed Securities Act
                registration statements.







                                       17
<PAGE>   18


                                   SIGNATURES

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

                             MERCHANTS AND MANUFACTURERS BANCORPORATION, INC.
                             --------------------------------------------------
                                               (Registrant)



Date    August 11, 2000      /s/ James F. Bomberg
      -----------------     ----------------------------------------------------
                            James F. Bomberg
                            President & Chief Executive Officer



Date   August 11, 2000      /s/ James C. Mroczkowski
                           ------------------------------------------
 .
                           James C. Mroczkowski
                           Executive Vice President & Chief Financial Officer
                           Principal Financial Officer






                                       18