<PAGE>   1
================================================================================

                     U.S. SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

(Mark One)

[X] Quarterly report under Section 13 or 15(d) of the Securities Exchange Act
    of 1934

For the quarterly period ended September 30, 2000

[ ] Transition report under Section 13 or 15(d) of the Exchange Act

For the transition period from _______________ to ________________

Commission file number 000-22547
                       ---------

                        CITIZENS COMMUNITY BANCORP, INC.
        ----------------------------------------------------------------
        (Exact Name of Small Business Issuer as Specified in Its Charter)

             Florida                                              65-0614044
---------------------------------                            -------------------
  (STATE OR OTHER JURISDICTION                                (I.R.S. EMPLOYER
OF INCORPORATION OR ORGANIZATION)                            IDENTIFICATION NO.)

                             650 East Elkcam Circle
                           Marco Island, Florida 34145
                    ----------------------------------------
                    (ADDRESS OF PRINCIPAL EXECUTIVE OFFICES)

                                 (941) 389-1800
                ------------------------------------------------
                (ISSUER'S TELEPHONE NUMBER, INCLUDING AREA CODE)

         ---------------------------------------------------------------
         (FORMER NAME, FORMER ADDRESS AND FORMER FISCAL YEAR, IF CHANGED
                               SINCE LAST REPORT)

         Check whether the issuer: (1) filed all reports required to be filed by
Section 12, 13 or 15(d) of the Exchange Act during the past 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 [ ]

         State the number of shares outstanding of each of the issuer's classes
of common equity, as of the latest practicable date:

Common stock, par value $.01 per share                       3,377,715
--------------------------------------         ---------------------------------
               (class)                         Outstanding at September 30, 2000

================================================================================




<PAGE>   2

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                                      INDEX

<TABLE>
<CAPTION>

PART I.  FINANCIAL INFORMATION

   ITEM 1.  FINANCIAL STATEMENTS                                                                              PAGE
                                                                                                              ----
<S>                                                                                                           <C>
     Condensed Consolidated Balance Sheets -
       September 30, 2000 (unaudited) and December 31, 1999.....................................................2

     Condensed Consolidated Statements of Earnings -
       Three and Nine Months ended September 30, 2000 and 1999 (unaudited)......................................3

     Condensed Consolidated Statement of Stockholders' Equity -
       Nine Months ended September 30, 2000 (unaudited).........................................................4

     Condensed Consolidated Statements of Cash Flows -
       Nine Months ended September 30, 2000 and 1999 (unaudited)................................................5

     Notes to Condensed Consolidated Financial Statements (unaudited).........................................6-7

     Review By Independent Certified Public Accountants.........................................................8

     Report on Review by Independent Certified Public Accountants...............................................9

   ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
     AND RESULTS OF OPERATIONS..............................................................................10-14

   ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.........................................15

PART II. OTHER INFORMATION

   ITEM 2.  CHANGES IN SECURITIES AND USE OF PROCEEDS..........................................................15

   ITEM 6.  EXHIBITS AND REPORTS ON FORM 8-K...................................................................16

SIGNATURES.....................................................................................................17
</TABLE>




                                       1
<PAGE>   3

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                          PART I. FINANCIAL INFORMATION

                          ITEM 1. FINANCIAL STATEMENTS

                      CONDENSED CONSOLIDATED BALANCE SHEETS

<TABLE>
<CAPTION>

                                                                                    SEPTEMBER 30,       DECEMBER 31,
                                                                                        2000                1999
                                                                                    -------------       ------------
                                                                                     (UNAUDITED)
<S>                                                                                 <C>                 <C>
    ASSETS
Cash and due from banks ......................................................      $   4,141,755          6,035,589
Interest-bearing deposits ....................................................                 --          2,000,000
Federal funds sold and securities purchased under agreements to resell .......          1,900,852          8,892,655
                                                                                    -------------       ------------

              Cash and cash equivalents ......................................          6,042,607         16,928,244

Securities available for sale ................................................          5,200,729          6,022,103
Securities held to maturity ..................................................         13,000,000         13,000,000
Loans, net of allowance for loan losses of $1,266,412 and $885,617 ...........        122,037,529         79,987,726
Premises and equipment, net ..................................................          5,800,041          5,039,789
Federal Home Loan Bank stock, at cost ........................................            425,000            214,800
Deferred tax asset ...........................................................             23,803             32,775
Accrued interest receivable and other assets .................................          1,888,754            967,253
                                                                                    -------------       ------------

              Total assets ...................................................      $ 154,418,463        122,192,690
                                                                                    =============       ============
    LIABILITIES AND STOCKHOLDERS' EQUITY

Liabilities:
    Noninterest-bearing demand deposits ......................................         10,571,504         12,208,961
    Savings and NOW deposits .................................................         36,692,880         34,292,059
    Money-market deposits ....................................................         23,664,311         21,722,006
    Time deposits ............................................................         52,813,428         34,274,902
                                                                                    -------------       ------------

              Total deposits .................................................        123,742,123        102,497,928

    Advances from Federal Home Loan Bank .....................................         11,000,000                 --
    Official checks ..........................................................          1,306,040          1,060,366
    Accrued interest payable and other liabilities ...........................            690,861            650,769
                                                                                    -------------       ------------

              Total liabilities ..............................................        136,739,024        104,209,063
                                                                                    -------------       ------------
Stockholders' Equity:
    Preferred stock, $.01 value; 2,000,000 shares authorized,
         none issued or outstanding ..........................................                 --                 --
    Common stock, $.01 par value; 8,000,000 shares authorized, 3,377,715
         and 3,486,767 shares issued and outstanding .........................             33,777             34,868
    Additional paid-in capital ...............................................         18,479,952         19,310,313
    Accumulated deficit ......................................................           (853,333)        (1,353,625)
    Accumulated other comprehensive income (loss) ............................             19,043             (7,929)
                                                                                    -------------       ------------

              Total stockholders' equity .....................................         17,679,439         17,983,627
                                                                                    -------------       ------------

              Total liabilities and stockholders' equity .....................      $ 154,418,463        122,192,690
                                                                                    =============       ============
</TABLE>




See Accompanying Notes to Condensed Consolidated Financial Statements.




                                       2
<PAGE>   4

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                  CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS

<TABLE>
<CAPTION>

                                                       THREE MONTHS ENDED              NINE MONTHS ENDED
                                                          SEPTEMBER 30,                  SEPTEMBER 30,
                                                    -------------------------      ------------------------
                                                       2000            1999           2000           1999
                                                    ----------      ---------      ---------      ---------
                                                           (UNAUDITED)                    (UNAUDITED)
<S>                                                 <C>             <C>            <C>            <C>
Interest income:
    Loans ....................................      $2,599,587      1,430,116      6,590,363      3,710,293
    Securities ...............................         265,837        228,659        806,874        654,762
    Other interest-earning assets ............          38,420        156,066        181,025        481,226
                                                    ----------      ---------      ---------      ---------

        Total interest income ................       2,903,844      1,814,841      7,578,262      4,846,281
                                                    ----------      ---------      ---------      ---------
Interest expense:
    Deposit s ................................       1,316,860        755,682      3,244,834      1,944,807
    Advances from Federal Home Loan Bank .....         100,166             --        144,742             --
                                                    ----------      ---------      ---------      ---------

        Total interest expense ...............       1,417,026        755,682      3,389,576      1,944,807
                                                    ----------      ---------      ---------      ---------

Net interest income ..........................       1,486,818      1,059,159      4,188,686      2,901,474

        Provision for loan losses ............         220,000        103,000        465,000        357,000
                                                    ----------      ---------      ---------      ---------
Net interest income after provision for
    loan losses ..............................       1,266,818        956,159      3,723,686      2,544,474
                                                    ----------      ---------      ---------      ---------
Noninterest income:
    Service charges and fees .................          89,538         65,671        262,997        196,449
    Mortgage-brokerage fees ..................         230,260         15,947        779,814         49,876
    Other ....................................          51,561         57,823        176,184        160,204
                                                    ----------      ---------      ---------      ---------

        Total noninterest income .............         371,359        139,441      1,218,995        406,529
                                                    ----------      ---------      ---------      ---------
Noninterest expense:
    Salaries and employee benefits ...........         748,489        392,778      2,306,843      1,077,389
    Occupancy and equipment ..................         178,419        117,384        491,005        347,161
    Advertising ..............................          64,468         32,848        162,192         97,883
    Professional fees ........................          45,022         34,812        110,783        118,406
    Office supplies ..........................          37,160         26,316        104,766         87,164
    Data processing ..........................          33,422         35,798        101,028         94,508
    Other ....................................         232,605        120,276        579,918        435,708
                                                    ----------      ---------      ---------      ---------

        Total noninterest expense ............       1,339,585        760,212      3,856,535      2,258,219
                                                    ----------      ---------      ---------      ---------

Earnings before income taxes .................         298,592        335,388      1,086,146        692,784

        Income taxes .........................         114,044        126,198        411,507        246,078
                                                    ----------      ---------      ---------      ---------

Net earnings .................................      $  184,548        209,190        674,639        446,706
                                                    ==========      =========      =========      =========
Earnings per share:
    Basic ....................................      $      .05            .06            .19            .13
                                                    ==========      =========      =========      =========

    Diluted ..................................      $      .05            .06            .19            .13
                                                    ==========      =========      =========      =========
Weighted-average number of shares outstanding:
    Basic ....................................       3,454,782      3,472,327      3,481,448      3,465,974
                                                    ==========      =========      =========      =========

    Diluted ..................................       3,508,855      3,549,897      3,537,584      3,545,901
                                                    ==========      =========      =========      =========

Cash dividends per share .....................      $       --             --            .05             --
                                                    ==========      =========      =========      =========
</TABLE>




See Accompanying Notes to Condensed Consolidated Financial Statements.




                                       3
<PAGE>   5

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

            CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY

                      NINE MONTHS ENDED SEPTEMBER 30, 2000

<TABLE>
<CAPTION>

                                                                                               ACCUMULATED
                                                                                                  OTHER
                                             COMMON STOCK                                        COMPRE-
                                      -----------------------      ADDITIONAL                     HENSIVE        TOTAL
                                       NUMBER OF                    PAID-IN       ACCUMULATED     INCOME    STOCKHOLDERS'
                                        SHARES        AMOUNT        CAPITAL         DEFICIT       (LOSS)        EQUITY
                                      ----------     --------     -----------     -----------  -----------  -------------
<S>                                   <C>            <C>          <C>             <C>          <C>          <C>
Balance at December 31, 1999 .....     3,486,767     $ 34,868      19,310,313     (1,353,625)     (7,929)     17,983,627
                                                                                                             -----------
Comprehensive income:
     Net earnings (unaudited) ....            --           --              --        674,639          --         674,639
     Net change in unrealized
          gain on securities
          available for sale, net
          of tax effect of $16,263
          (unaudited) ............            --           --              --             --      26,972          26,972
                                                                                                             -----------

Comprehensive income (unaudited) .            --           --              --             --          --         701,611
                                                                                                             -----------
Repurchase of common stock
     (unaudited) .................      (109,484)      (1,095)       (833,357)            --          --        (834,452)
                                                                                                             -----------
Shares issued under stock
     option plan (unaudited) .....           432            4           2,996             --          --           3,000
                                                                                                             -----------

Cash dividends (unaudited) .......            --           --              --       (174,347)         --        (174,347)
                                      ----------     --------     -----------     ----------     -------     -----------

Balance at September 30, 2000
     (unaudited) .................     3,377,715     $ 33,777      18,479,952       (853,333)     19,043      17,679,439
                                      ==========     ========     ===========     ==========     =======     ===========
</TABLE>













See Accompanying Notes to Condensed Consolidated Financial Statements.




                                       4
<PAGE>   6

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

<TABLE>
<CAPTION>

                                                                                              NINE MONTHS ENDED
                                                                                                SEPTEMBER 30,
                                                                                      ---------------------------------
                                                                                          2000                 1999
                                                                                      ------------          -----------
                                                                                                 (UNAUDITED)
<S>                                                                                   <C>                   <C>
Cash flows from operating activities:
    Net earnings ............................................................         $    674,639              446,706
    Adjustments to reconcile net earnings to net cash
      provided by operating activities:
        Depreciation ........................................................              212,990              161,074
        Provision for loan losses ...........................................              465,000              357,000
        (Credit) provision for deferred income taxes ........................               (7,291)              37,718
        Net amortization of fees, premiums and discounts ....................               13,290             (156,471)
        Increase in accrued interest receivable and other assets ............             (921,501)            (229,222)
        Increase in accrued interest payable and
            other liabilities ...............................................               40,092              139,449
        Net increase in official checks .....................................              245,674              359,867
                                                                                      ------------          -----------

                Net cash provided by operating activities ...................              722,893            1,116,121
                                                                                      ------------          -----------
Cash flows from investing activities:
    Purchases of securities available for sale ..............................                   --           (2,879,927)
    Purchase of securities held to maturity .................................                   --          (22,432,064)
    Maturities of securities held to maturity ...............................                   --           17,996,627
    Principal paydowns of securities available for sale .....................              798,470               95,220
    Purchase of Federal Home Loan Bank stock ................................             (210,200)             (87,800)
    Net increase in loans ...................................................          (42,461,954)         (26,599,689)
    Purchase of premises and equipment ......................................             (973,242)          (1,330,846)
                                                                                      ------------          -----------

                Net cash used in investing activities .......................          (42,846,926)         (35,238,479)
                                                                                      ------------          -----------
Cash flows from financing activities:
    Net increase in deposits ................................................           21,244,195           23,755,311
    Increase in advances from Federal Home Loan Bank ........................           11,000,000                   --
    Repurchase of common stock ..............................................             (834,452)                  --
    Sale of common stock ....................................................                3,000               83,879
    Cash dividends paid .....................................................             (174,347)                  --
                                                                                      ------------          -----------

                Net cash provided by financing activities ...................           31,238,396           23,839,190
                                                                                      ------------          -----------

Net decrease in cash and cash equivalents ...................................          (10,885,637)         (10,283,168)

Cash and cash equivalents at beginning of period ............................           16,928,244           24,663,087
                                                                                      ------------          -----------

Cash and cash equivalents at end of period ..................................         $  6,042,607           14,379,919
                                                                                      ============          ===========

Supplemental disclosure of cash flow information:
    Cash paid during the period for:
        Interest ............................................................         $  3,352,465            1,819,563
                                                                                      ============          ===========

        Income taxes ........................................................         $    545,937              195,000
                                                                                      ============          ===========

    Noncash transaction-
        Change in unrealized gain on securities available
            for sale ........................................................         $     26,972                   --
                                                                                      ============          ===========
</TABLE>




See Accompanying Notes to Condensed Consolidated Financial Statements.




                                       5
<PAGE>   7

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

(1)     GENERAL. In the opinion of management, the accompanying condensed
        consolidated financial statements of Citizens Community Bancorp, Inc.
        and Subsidiaries (the "Company") contain all adjustments (consisting
        principally of normal recurring accruals) necessary to present fairly
        the financial position at September 30, 2000, and the results of
        operations for the three-month and nine-month periods ended September
        30, 2000 and 1999 and the cash flows for the nine-month periods ended
        September 30, 2000 and 1999. The results of operations for the three and
        nine months ended September 30, 2000 are not necessarily indicative of
        the results to be expected for the full year.

(2)     LOAN IMPAIRMENT AND CREDIT LOSSES. On September 30, 2000, there was one
        impaired loan with a remaining balance of $206,864 after $70,000 had
        been charged-off during the nine months ended September 30, 2000. During
        the nine months ending September 30, 2000, $9,797 in interest income was
        recognized and received. In addition an allowance of $50,000 has been
        established for this loan. No loans were identified as impaired at
        September 30, 1999. The activity in the allowance for loan losses was as
        follows:

<TABLE>
<CAPTION>

                                                                   THREE MONTHS ENDED             NINE MONTHS ENDED
                                                                      SEPTEMBER 30,                 SEPTEMBER 30,
                                                               ------------------------       -----------------------
                                                                   2000          1999            2000           1999
                                                               -----------      -------       ---------       -------
                <S>                                            <C>              <C>           <C>             <C>
                Balance at beginning of period.............    $ 1,053,485      707,211         885,617       453,211
                Provision charged to earnings..............        220,000      103,000         465,000       357,000
                Charge-offs, net of recoveries.............         (7,073)      (2,749)        (84,205)       (2,749)
                                                               -----------      -------       ---------       -------

                Balance at end of period...................    $ 1,266,412      807,462       1,266,412       807,462
                                                               ===========      =======       =========       =======
</TABLE>

(3)     EARNINGS PER SHARE. The following is a reconciliation of the numerators
        and denominators of the basic and diluted earnings per share
        computations. Options to purchase 204,477 shares of common stock between
        $7.75 and $9.50 a share issued in 2000, 1999 and 1998 were not included
        in the three and nine months ended September 30, 2000 computation of
        diluted EPS because the options exercise price was more than the average
        market price of the common shares. These options expire between August
        2008 and June 2010.
        (Dollars are in thousands, except per share amounts).

<TABLE>
<CAPTION>

                                                             FOR THE THREE MONTHS ENDED SEPTEMBER 30,
                                        -------------------------------------------------------------------------------
                                                          2000                                     1999
                                        -------------------------------------     -------------------------------------
                                          EARNINGS       SHARES     PER SHARE      EARNINGS       SHARES      PER SHARE
                                        (NUMERATOR)  (DENOMINATOR)   AMOUNT       (NUMERATOR)  (DENOMINATOR)   AMOUNT
                                        -----------  -------------  ---------     -----------  -------------  ---------
        <S>                             <C>          <C>            <C>           <C>          <C>            <C>
        Basic EPS:
            Net earnings available
              to common stockholders...    $ 185       3,454,782     $ .05           $ 209       3,472,327      $ .06

        Effect of dilutive securities-
            Incremental shares from
              assumed conversion
              of options...............       --          54,073        --              --          77,570         --
                                           -----       ---------     -----           -----      ----------      -----

        Diluted EPS:
            Net earnings available
              to common stockholders
              and assumed conversions..    $ 185       3,508,855     $ .05           $ 209       3,549,897      $ .06
                                           =====       =========     =====           =====       =========      =====
                                                                                                            (continued)
</TABLE>




                                       6
<PAGE>   8

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

        NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

(3)     EARNINGS PER SHARE, CONTINUED.

<TABLE>
<CAPTION>

                                                             FOR THE NINE MONTHS ENDED SEPTEMBER 30,
                                        -------------------------------------------------------------------------------
                                                          2000                                     1999
                                        -------------------------------------     -------------------------------------
                                          EARNINGS       SHARES     PER SHARE      EARNINGS       SHARES      PER SHARE
                                        (NUMERATOR)  (DENOMINATOR)   AMOUNT       (NUMERATOR)  (DENOMINATOR)   AMOUNT
                                        -----------  -------------  ---------     -----------  -------------  ---------
        <S>                             <C>          <C>            <C>           <C>          <C>            <C>
        Basic EPS:
            Net earnings available
              to common stockholders...    $ 675       3,481,448     $ .19           $ 447       3,465,974      $ .13

        Effect of dilutive securities-
            Incremental shares from
              assumed conversion
              of options...............       --          56,136        --              --          79,927         --
                                          ------       ---------      ----          ------      ----------      -----
        Diluted EPS:
            Net earnings available
              to common stockholders
              and assumed conversions..    $ 675       3,537,584     $ .19           $ 447       3,545,901      $ .13
                                           =====       =========     =====           =====       =========      =====
</TABLE>

(4)      REGULATORY CAPITAL. The Citizens Community Bank of Florida (the
         Company's Banking Subsidiary) ("Citizens") is required to maintain
         certain minimum regulatory capital requirements. The following is a
         summary at September 30, 2000 of the regulatory capital requirements
         and the Bank's capital on a percentage basis:

<TABLE>
<CAPTION>

                                                                                             RATIOS OF       REGULATORY
                                                                                             THE BANK        REQUIREMENT
                                                                                             ---------       -----------
                <S>                                                                          <C>             <C>
                Total capital to risk-weighted assets...........................               10.48%           8.00%

                Tier I capital to risk-weighted assets..........................                9.48%           4.00%

                Tier I capital to total assets - leverage ratio.................                8.07%           4.00%
</TABLE>













                                       7
<PAGE>   9

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

               REVIEW BY INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS

Hacker, Johnson & Smith PA, the Company's independent certified public
accountants, have made a limited review of the financial data as of September
30, 2000, and for the three- and nine-month periods ended September 30, 2000 and
1999 presented in this document, in accordance with standards established by the
American Institute of Certified Public Accountants.

Their report furnished pursuant to Article 10 of Regulation S-X is included
herein.




















                                       8
<PAGE>   10

          REPORT ON REVIEW BY INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS


The Board of Directors
Citizens Community Bancorp, Inc.
Marco Island, Florida:

         We have reviewed the accompanying condensed consolidated balance sheet
of Citizens Community Bancorp, Inc. and Subsidiaries (the "Company") as of
September 30, 2000, and the related condensed consolidated statements of
earnings for the three- and nine-month periods ended September 30, 2000 and
1999, and the condensed consolidated statement of stockholders' equity for the
nine month period ended September 30, 2000 and cash flows for the nine-month
periods ended September 30, 2000 and 1999. These financial statements are the
responsibility of the Company's management.

         We conducted our review in accordance with standards established by the
American Institute of Certified Public Accountants. A review of interim
financial information consists principally of applying analytical procedures to
financial data and making inquiries of persons responsible for financial and
accounting matters. It is substantially less in scope than an audit conducted in
accordance with generally accepted auditing standards, the objective of which is
the expression of an opinion regarding the financial statements taken as a
whole. Accordingly, we do not express such an opinion.

         Based on our review, we are not aware of any material modifications
that should be made to the condensed consolidated financial statements referred
to above for them to be in conformity with generally accepted accounting
principles.

         We have previously audited, in accordance with generally accepted
auditing standards, the consolidated balance sheet as of December 31, 1999, and
the related consolidated statements of operations, stockholders' equity and cash
flows for the year then ended (not presented herein); and in our report dated
January 14, 2000 we expressed an unqualified opinion on those consolidated
financial statements. In our opinion, the information set forth in the
accompanying condensed consolidated balance sheet as of December 31, 1999, is
fairly stated, in all material respects, in relation to the consolidated balance
sheet from which it has been derived.




HACKER, JOHNSON & SMITH PA
Tampa, Florida
October 13, 2000




                                       9
<PAGE>   11

               CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                  ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS
                OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

LIQUIDITY AND CAPITAL RESOURCES

             COMPARISON OF SEPTEMBER 30, 2000 AND DECEMBER 31, 1999

The Company's primary source of cash during the nine months ended September 30,
2000 was from net deposit inflows and advances from Federal Home Loan Bank. Cash
was used primarily for loan originations. At September 30, 2000, the Company had
outstanding commitments to fund existing and new loans of $33.7 million. It is
expected that these requirements will be funded from the sources described
above. At September 30, 2000, the Bank exceeded its regulatory liquidity
requirements.

The following table shows selected ratios for the periods ended or at the dates
indicated:

<TABLE>
<CAPTION>

                                                                                NINE MONTHS
                                                                                    ENDED                YEAR ENDED
                                                                                SEPTEMBER 30,           DECEMBER 31,
                                                                                    2000                    1999
                                                                                -------------           ------------
        <S>                                                                     <C>                     <C>
        Average equity as a percentage
           of average assets...............................................         13.54%                  17.51%

        Equity to total assets at end of period............................         11.45%                  14.72%

        Return on average assets (1).......................................          0.67%                   0.61%

        Return on average equity (1).......................................          4.95%                   3.50%

        Noninterest expense to average assets (1)..........................          3.85%                   3.22%

        Nonperforming loans and foreclosed real estate to
           total assets at end of period...................................          0.13%                     NIL
</TABLE>

-----------------

(1) Annualized for the nine months ended September 30, 2000.




                                       10
<PAGE>   12

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

RESULTS OF OPERATIONS

The following table sets forth, for the periods indicated, information regarding
(i) the total dollar amount of interest and dividend income of the Company from
interest-earning assets and the resultant average yields; (ii) the total dollar
amount of interest expense on interest-bearing liabilities and the resultant
average cost; (iii) net interest income; (iv) interest-rate spread; and (v) net
interest margin (dollar amounts in thousands).

<TABLE>
<CAPTION>

                                                                              THREE MONTHS ENDED SEPTEMBER 30,
                                                  --------------------------------------------------------------------------
                                                                  2000                                   1999
                                                  -----------------------------------    -----------------------------------
                                                                INTEREST      AVERAGE                  INTEREST      AVERAGE
                                                   AVERAGE         AND         YIELD/      AVERAGE        AND         YIELD/
                                                   BALANCE      DIVIDENDS       RATE       BALANCE     DIVIDENDS      RATE
                                                  ---------     ---------     -------    ---------     ---------     -------
                                                                              (DOLLARS IN THOUSANDS)
<S>                                               <C>           <C>           <C>        <C>           <C>           <C>
Interest-earning assets:
   Loans   .................................      $ 115,636        2,600        8.94%    $   68,456       1,430       8.29%
   Securities...............................         18,343          266        5.80         15,205         229       6.02
   Other interest-earning assets (1)........          2,385           38        6.34         12,991         156       4.76
                                                  ---------      -------                 ----------     -------

       Total interest-earning assets........        136,364        2,904        8.47         96,652       1,815       7.45
                                                                 -------                                -------
Noninterest-earning assets..................          9,934                                  9,420
                                                  ---------                              ---------

       Total assets.........................      $ 146,298                              $ 106,072
                                                  =========                              =========
Interest-bearing liabilities:
   Savings, NOW and money-market deposit
       accounts.............................         58,722          520        3.52         46,839         354       3.00
   Time deposits............................         50,617          797        6.27         30,952         402       5.15
   Other borrowings (2).....................          5,825          100        6.84             --          --
                                                  ---------      -------                 ----------     -------

       Total interest-bearing liabilities...        115,164        1,417        4.89         77,791         756       3.86
                                                                 -------                                -------
Noninterest-bearing liabilities.............         12,972                                  10,644
Stockholders' equity........................         18,162                                  17,637
                                                  ---------                               ---------
       Total liabilities and stockholders'
           equity...........................      $ 146,298                               $ 106,072
                                                  =========                               =========
Net interest income.........................                     $ 1,487                                $ 1,059
                                                                 =======                                =======
Interest-rate spread (3)....................                                    3.58%                                 3.59%
                                                                                ====                                  ====

Net interest margin (4).....................                                    4.34%                                 4.35%
                                                                                ====                                  ====
Ratio of average interest-earning assets to
   average interest-bearing liabilities.....           1.18                                   1.24
                                                  =========                               ========
</TABLE>

-----------------

(1) Includes federal funds sold, Federal Home Loan Bank stock and securities
    purchased under agreements to resell.
(2) Includes Federal Home Loan Bank borrowings and federal funds purchased.
(3) Interest-rate spread represents the difference between the average yield on
    interest-earning assets and the average rate of interest-bearing
    liabilities.
(4) Net interest margin is net interest income divided by average
    interest-earning assets. CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES




                                       11
<PAGE>   13

The following table sets forth, for the periods indicated, information regarding
(i) the total dollar amount of interest and dividend income of the Company from
interest-earning assets and the resultant average yields; (ii) the total dollar
amount of interest expense on interest-bearing liabilities and the resultant
average cost; (iii) net interest income; (iv) interest-rate spread; and (v) net
interest margin (dollar amounts in thousands).

<TABLE>
<CAPTION>

                                                                        NINE MONTHS ENDED SEPTEMBER 30,
                                                  -------------------------------------------------------------------------
                                                                  2000                                   1999
                                                  -----------------------------------    ----------------------------------
                                                                INTEREST      AVERAGE                  INTEREST     AVERAGE
                                                   AVERAGE         AND         YIELD/      AVERAGE        AND        YIELD/
                                                   BALANCE      DIVIDENDS       RATE       BALANCE     DIVIDENDS     RATE
                                                  ---------     ---------     -------    ---------     ---------    -------
                                                                              (DOLLARS IN THOUSANDS)
<S>                                               <C>           <C>           <C>        <C>           <C>           <C>
Interest-earning assets:
   Loans    ................................      $ 100,552        6,590        8.75%     $  59,378       3,710      8.35%
   Securities...............................         18,586          807        5.79         15,327         655      5.71
   Other interest-earning assets (1)........          4,057          181        5.96         13,592         481      4.73
                                                  ---------      -------                  ---------      ------

       Total interest-earning assets........        123,195        7,578        8.22         88,297       4,846      7.34
                                                                 -------                                 ------

Noninterest-earning assets..................         10,424                                   8,680
                                                  ---------                                --------

       Total assets.........................      $ 133,619                                $ 96,977
                                                  =========                                ========

Interest-bearing liabilities:
   Savings, NOW and money-market deposit
       accounts.............................         58,210        1,468        3.37         43,417         926      2.85
   Time deposits............................         40,004        1,777        5.93         25,775       1,019      5.29
   Other borrowings (2).....................          2,841          145        6.82             --          --        --
                                                  ---------      -------                   --------      ------

       Total interest-bearing liabilities...        101,055        3,390        4.48         69,192       1,945      3.76
                                                                 -------                                 ------

Noninterest-bearing liabilities.............         14,478                                  10,323
Stockholders' equity........................         18,086                                  17,462
                                                  ---------                                --------

       Total liabilities and stockholders'
           equity...........................      $ 133,619                                $ 96,977
                                                  =========                                ========

Net interest income.........................                     $ 4,188                                $ 2,901
                                                                 =======                                =======

Interest-rate spread (3)....................                                    3.74%                                3.58%
                                                                                ====                                 ====

Net interest margin (4).....................                                    4.54%                                4.39%
                                                                                ====                                 ====

Ratio of average interest-earning assets to
   average interest-bearing liabilities.....           1.22                                    1.28
                                                  =========                                ========
</TABLE>

-----------------

(1) Includes federal funds sold, Federal Home Loan Bank stock and securities
    purchased under agreements to resell.
(2) Includes Federal Home Loan Bank borrowings and federal funds purchased.
(3) Interest-rate spread represents the difference between the average yield on
    interest-earning assets and the average rate of interest-bearing
    liabilities.
(4) Net interest margin is net interest income divided by average
    interest-earning assets.




                                       12
<PAGE>   14

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

     COMPARISON OF THE THREE-MONTH PERIODS ENDED SEPTEMBER 30, 2000 AND 1999

   GENERAL. Net earnings for the three months ended September 30, 2000 were
      $185,000 or $.05 per basic and diluted share compared to net earnings of
      $209,000 or $.06 per basic and diluted share for the three months ended
      September 30, 1999. This increase in the Company's net earnings was
      primarily due to an increase in net interest income and noninterest
      income, partially offset by an increase in noninterest expense all due to
      the overall growth of the Company.

   INTEREST INCOME AND EXPENSE. Interest income increased to $2,904,000 for the
      three months ended September 30, 2000 from $1,815,000 for the three months
      ended September 30, 1999. Interest income on loans increased to $2,600,000
      in 2000 due to an increase in the average loan portfolio balance for the
      three months ended September 30, 2000 to $115.6 million compared to $68.5
      million during the 1999 period and by an increase in the weighted-average
      yield from 8.29% in 1999 to 8.94% in 2000. Interest on securities
      increased to $266,000 in 2000 due to a increase in the average securities
      portfolio during the three months ended September 30, 2000 to $18.3
      million from $15.2 million during 1999. Interest on other interest-earning
      assets decreased to $38,000 in 2000 due to a decrease in the average
      balance of such assets from 1999 to 2000.

      Interest expense on deposit accounts increased to $1,317,000 for the three
      months ended September 30, 2000 from $756,000 for the three months ended
      September 30, 1999. Interest expense increased primarily because of an
      increase in the average balance from 1999 to 2000 and an increase in the
      average rate paid on deposits. The average balance for the three months
      ended September 30, 2000 was $109.3 million compared to $77.8 million
      during 1999.

   PROVISION FOR LOAN LOSSES. The provision for loan losses is charged to
      earnings to bring the total allowance to a level deemed appropriate by
      management and is based upon historical experience, the volume and type of
      lending conducted by the Company, industry standards, the amount of
      nonperforming loans, general economic conditions, particularly as they
      relate to the Company's market areas, and other factors related to the
      collectibility of the Company's loan portfolio. The provision for the
      three months ended September 30, 2000 and 1999 was $220,000 and $103,000,
      respectively. Management believes the balance in the allowance for loan
      losses of $1,266,000 at September 30, 2000 is adequate.

   NONINTEREST INCOME. Noninterest income increased to $371,000 in 2000 from
      $139,441 in 1999 primarily due to the increase in mortgage brokerage fees
      from CCB Mortgage Company and increases in service charges on deposit
      accounts in 2000.

   NONINTEREST EXPENSE. Total noninterest expense increased to $1,340,000 for
      the three months ended September 30, 2000 from $760,000 for the three
      months ended September 30, 1999, primarily due to an increase in employee
      compensation and benefits of $356,000 as well as an increase in other
      noninterest expense and occupancy and equipment expense. The primary
      reasons for the increased expenses were the inpart of CCB Mortgage
      Corporation and the additional expenses relating to opening our fourth
      branch office in August 2000.

   INCOME TAXES. The income tax provision for the three months ended September
      30, 2000 was $114,000, an effective rate of 38.2% compared to $126,100, an
      effective rate of 37.6% for the comparable 1999 period.





                                       13
<PAGE>   15

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

     COMPARISON OF THE NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2000 AND 1999

   GENERAL. Net earnings for the nine months ended September 30, 2000 were
      $675,000 or $.19 per basic and diluted share compared to net earnings of
      $447,000 or $.13 per basic and diluted share for the nine months ended
      September 30, 1999. This increase in the Company's net earnings was
      primarily due to an increase in net interest income, partially offset by
      an increase in noninterest expenses.

   INTEREST INCOME AND EXPENSE. Interest income increased to $7,578,000 for the
      nine months ended September 30, 2000 from $4,846,000 for the nine months
      ended September 30, 1999. Interest income on loans increased to $6,590,000
      in 2000 due to an increase in the average loan portfolio balance for the
      nine months ended September 30, 2000 to $100.6 million compared to $59.4
      million during 1999 as well as an increase in the rate earned on the
      portfolio. Interest on securities increased to $807,000 in 2000 due to an
      increase in the average securities portfolio during the nine months ended
      September 30, 2000 to $18.6 million from $15.3 million during 1999.
      Interest on other interest-earning assets decreased to $181,000 in 2000
      primarily due to a decrease in the average balance of these assets from
      1999 to 2000 as the lower yielding assets were decreased to fund the
      growth in the higher-yielding loan portfolio.

      Interest expense on deposit accounts increased to $3,245,000 for the nine
      months ended September 30, 2000 from $1,945,000 for the nine months ended
      September 30, 1999. Interest expense on deposits increased primarily
      because of an increase in the average balance of deposits from 1999 to
      2000 as well as an increase in the rates paid on deposits. The average
      balance for the nine months ended September 30, 2000 was $98.2 million
      compared to $69.2 million during 1999.

   PROVISION FOR LOAN LOSSES. The provision for loan losses is charged to
      earnings to bring the total allowance to a level deemed appropriate by
      management and is based upon historical experience, the volume and type of
      lending conducted by the Company, industry standards, the amount of
      nonperforming loans, general economic conditions, particularly as they
      relate to the Company's market areas, and other factors related to the
      collectibility of the Company's loan portfolio. The provision increased to
      $465,000 for the nine months ended September 30, 2000 from $357,000 for
      the nine months ended September 30, 1999.

   NONINTEREST INCOME. Noninterest income increased to $1,219,000 in 2000 from
      $407,000 in 1999 primarily because of an increase in mortgage brokerage
      fees from CCB Mortgage Corporation and increases in service charges on
      deposit accounts in 2000.

   NONINTEREST EXPENSE. Total noninterest expense increased to $3,857,000 for
      the nine months ended September 30, 2000 from $2,258,000 for the nine
      months ended September 30, 1999, primarily due to an increase in employee
      compensation and benefits of $1,229,000. The year-over-year increases in
      operating expenses were due to the effect of CCB Mortgage Corporation and
      the additional costs related to opening our fourth branch office in August
      2000.

   INCOME TAXES. The income tax provision for the nine months ended September
      30, 2000 was $412,000, an effective rate of 37.9% compared to $246,000, an
      effective rate of 35.5% for the comparable 1999 period.




                                       14
<PAGE>   16

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Market risk is the risk of loss from adverse changes in market prices and rates.
The Company's market risk arises primarily from interest-rate risk inherent in
its lending and deposit taking activities. The Company has not engaged in and
therefore has no risk related to investment trading account activity,
commodities or foreign exchange.

Management actively monitors and manages its interest-rate risk exposure. The
primary objective in managing interest-rate risk is to limit, within established
guidelines, the adverse impact of changes in interest rates on the Company's net
interest income and capital, while adjusting the Company's asset-liability
structure to obtain the maximum yield-cost spread on that structure. Management
relies primarily on its asset-liability structure to control interest rate risk.
However, a sudden and substantial increase in interest rates could adversely
impact the Company's earnings, to the extent that the interest rates borne by
assets and liabilities do not change at the same speed, to the same extent, or
on the same basis. There have been no significant changes in the Company's
market risk exposure since December 31, 1999.

                           PART II. OTHER INFORMATION

ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS

The following sales of shares of Citizens Community Bancorp common stock, par
value $0.01 per share ("Citizens Community Bancorp"), were not registered
pursuant to the Securities Act of 1933, as amended (the "Securities Act"), but
were issued pursuant to the exemptions indicated below:

During the nine months ended September 30, 2000, one former employee of Citizens
Community Bancorp, pursuant to the exercise of options, purchased an aggregate
of 432 shares of Citizens Community Bancorp stock, for an aggregate price of
$3,000. This transaction was made in reliance on the exemption set forth in
Section 4(2) of the Securities Act.

Proceeds from the sale of the above securities were used for general corporate
purposes.















                                       15
<PAGE>   17

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

(a)   EXHIBITS. The following exhibits are filed with or incorporated by
      reference into this report. The exhibits which are marked by a single
      asterisk (*) were previously filed as a part, and are hereby incorporated
      by reference from the Company's Registration Statement on Form SB-2, as
      effective with the Securities and Exchange Commission on December 7, 1995,
      Registration No. 33-98090. The exhibits which are marked by a double
      asterisk (**) were previously filed as part of, and are hereby
      incorporated by reference from the Company's Registration Statement on
      Form SB-2 as filed with the Securities and Exchange Commission on March
      12, 1998, Registration No. 333-47813. The exhibit marked by a triple
      asterisk (***) was filed as an exhibit to the Company's for 10-KSB for
      1998. The exhibits marked with four asterisk (****) were filed as exhibits
      with the Company's 10-KSB for 1999. The exhibit numbers correspond to the
      exhibit numbers in the referenced documents.

      EXHIBIT NO.     DESCRIPTION OF EXHIBIT
      -----------     ----------------------

      *      3.1      Amended and Restated Articles of Incorporation of the
                      Company (Registration Statement)
      *      3.2      By-laws of the Company (Registration Statement)
      *      4.1      Specimen Common Stock Certificate (Registration Statement)
      *      4.2      Specimen Warrant Certificate (Registration Statement)
      *      4.4      Company's Warrant Plan (Registration Statement)
      **     10.1     1996 Incentive Stock Option Plan
      **     10.2     Company's 1998 Directors Stock Option Plan
      **     10.3     Employment Contract with Michael A. Micallef, Jr.
      ****   10.4     Employment Contract with Richard Storm, Jr.
      ****   10.5     Employment Contract with Gregory E. Smith
      ****   22.1     Citizens' 1999 Annual Report
      ****   22.2     Proxy Statement for 2000 Annual Meeting of Shareholders
             27.0     Financial Data Schedule (for SEC use only)

(B)   REPORTS ON FORM 8-K. There was one Form 8-K filed during the three months
      ended September 30, 2000. It was filed September 8, 2000 and announced the
      repurchase of 100,000 (or approximately 2.7%) of the outstanding shares of
      common stock.









                                       16
<PAGE>   18

                CITIZENS COMMUNITY BANCORP, INC. AND SUBSIDIARIES

                                   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.


                                  CITIZENS COMMUNITY BANCORP, INC.
                                           (Registrant)

Date: November 8, 2000            By: /s/ Richard Storm, Jr.
      ------------------              -----------------------------------
                                      Richard Storm, Jr., Chairman of the Board
                                      and Chief Executive Officer


Date: November 8, 2000            By: /s/ Gregory E. Smith
      ------------------              -----------------------------------------
                                      Gregory E. Smith, President and
                                      Chief Financial Officer












                                       17