UNITED STATES
                       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 December 31, 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: 0-22444


                               WVS Financial Corp.
 -------------------------------------------------------------------------------
             (Exact name of registrant as specified in its charter)


          Pennsylvania                                        25-1710500
----------------------------------------             ---------------------------
  (State or other jurisdiction of                         (I.R.S. Employer
  incorporation or organization)                       Identification Number)


        9001 Perry Highway
      Pittsburgh, Pennsylvania                                    15237
----------------------------------------                    -----------------
(Address of principal executive offices)                       (Zip Code)


                                 (412) 364-1911
               ---------------------------------------------------
              (Registrant's telephone number, including area code)


            Indicate  by check mark  whether  the  registrant  (1) has filed all
reports  required to be filed by Section 13 or 15(d) of the Securities  Exchange
Act of 1934 during the preceding 12 months (or for such shorter  period that the
registrant was required to file such reports),  and (2) has been subject to such
filing requirement for the past 90 days.

YES [ X ]  NO [   ]

         Shares  outstanding  as of February 8, 2001:  2,783,608  shares  Common
Stock, $.01 par value.


<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY

                                      INDEX

PART I.     Financial Information                          Page
-------     ---------------------                          ----

Item 1.     Financial Statements

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

            Consolidated Statements of Income
            for the Three and Six Months Ended
            December 31, 2000 and 1999 (Unaudited)           4

            Consolidated Statements of Cash Flows
            for the Six Months Ended December 31,
            2000 and 1999 (Unaudited)                        5

            Consolidated Statements of Changes in
            Stockholders' Equity for the Six Months
            Ended December 31, 2000 (Unaudited)              7

            Notes to Unaudited Consolidated
            Financial Statements                             8

Item 2.     Management's Discussion and Analysis of
            Financial Condition and Results of
            Operations for the Three and Six Months
            Ended December 31, 2000                         10

Item 3.     Quantitative and Qualitative Disclosures
            about Market Risk                               16

PART II.    Other Information                              Page
--------    -----------------                              ----

Item 1.     Legal Proceedings                               21
Item 2.     Changes in Securities                           21
Item 3.     Defaults upon Senior Securities                 21
Item 4.     Submission of Matters to a Vote of
            Security Holders                                21
Item 5.     Other Information                               21
Item 6.     Exhibits and Reports on Form 8-K                21
  --        Signatures                                      22

                                       2

<PAGE>


                       WVS FINANCIAL CORP. AND SUBSIDIARY
                 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                                   (UNAUDITED)
                                 (In thousands)
<TABLE>
<CAPTION>
                                                                    December 31, 2000     June 30, 2000
                                                                    -----------------    ---------------
          Assets
          ------
<S>                                                                   <C>                <C>
Cash and due from banks                                               $     920          $     788
Interest-earning demand deposits                                          1,842              2,127
Investment securities available-for-sale (amortized cost of
   $1,380 and $1,380)                                                     1,337              1,296
Investment securities held-to-maturity (market value of
   $139,915 and $129,272)                                               140,447            136,206
Mortgage-backed securities available-for-sale (amortized cost of
   $9,431 and $10,150)                                                    9,537              9,936
Mortgage-backed securities held-to-maturity (market value of
   $60,985 and $61,943)                                                  60,837             63,737
Federal Home Loan Bank stock, at cost                                     8,882              5,225
Net loans receivable (allowance for loan losses of $1,985
   and $1,973)                                                          184,603            183,295
Accrued interest receivable                                               4,612              4,375
Premises and equipment                                                    1,012              1,050
Deferred taxes and other assets                                           1,202              1,583
                                                                      ---------          ---------
          TOTAL ASSETS                                                $ 415,231          $ 409,618
                                                                      =========          =========

          Liabilities and Stockholders' Equity
          ------------------------------------

Liabilities:
Savings Deposits:
   Non-interest-bearing accounts                                      $  11,928          $  10,485
   NOW accounts                                                          17,849             18,158
   Savings accounts                                                      34,802             36,995
   Money market accounts                                                 12,488             12,802
   Certificates of deposit                                               92,405             91,068
                                                                      ---------          ---------
    Total savings deposits                                              169,472            169,508
Federal Home Loan Bank advances                                         176,780            104,500
Other borrowings                                                         32,803            101,025
Advance payments by borrowers for taxes and insurance                     2,201              3,350
Accrued interest payable                                                  4,889              2,704
Other liabilities                                                         1,837              1,620
                                                                      ---------          ---------
     TOTAL LIABILITIES                                                  387,982            382,707

Stockholders' equity:
Preferred stock:
   5,000,000 shares, no par value per share, authorized; none
   outstanding                                                               --                 --
Common stock:
   10,000,000 shares, $.01 par value per share, authorized;
   3,689,480 and 3,685,280 shares issued                                     37                 37
Additional paid-in capital                                               19,569             19,548
Treasury stock: 911,572 and 808,444 shares at cost, respectively        (13,030)           (11,770)
Retained earnings, substantially restricted                              20,805             19,513
Accumulated other comprehensive gain (loss)                                  42               (197)
Unallocated shares - Recognition and Retention Plans                       (174)              (220)
Unallocated shares - Employee Stock Ownership Plan                           --                 --
                                                                      ---------          ---------
     TOTAL STOCKHOLDERS' EQUITY                                          27,249             26,911
                                                                      ---------          ---------
          TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                  $ 415,231          $ 409,618
                                                                      =========          =========
</TABLE>
          See accompanying notes to consolidated financial statements.

                                       3
<PAGE>


                       WVS FINANCIAL CORP. AND SUBSIDIARY
                        CONSOLIDATED STATEMENTS OF INCOME
                                   (UNAUDITED)
                      (In thousands, except per share data)

<TABLE>
<CAPTION>
                                                             Three Months Ended                             Six Months Ended
                                                                December 31,                                  December 31,
                                                    ---------------------------------           ----------------------------------
                                                         2000                 1999                  2000                  1999
                                                    ------------         ------------           ------------          ------------
<S>                                                 <C>                  <C>                    <C>                   <C>
INTEREST AND DIVIDEND INCOME:
     Loans                                          $      3,662         $      3,481           $      7,363          $      6,897
     Investment securities                                 2,446                1,992                  4,860                 3,845
     Mortgage-backed securities                            1,260                1,311                  2,549                 2,527
     Interest-earning deposits with other
         institutions                                         13                   13                     22                    20
     Federal Home Loan Bank stock                            137                  134                    241                   251
                                                    ------------         ------------           ------------          ------------
          Total interest and dividend income               7,518                6,931                 15,035                13,540
                                                    ------------         ------------           ------------          ------------
INTEREST EXPENSE:
     Deposits                                              1,717                1,555                  3,390                 3,138
     Borrowings                                            3,280                2,504                  6,588                 4,684
     Advance payments by borrowers for taxes
       and insurance                                           8                    8                     14                    14
                                                    ------------         ------------           ------------          ------------
          Total interest expense                           5,005                4,067                  9,992                 7,836
                                                    ------------         ------------           ------------          ------------

NET INTEREST INCOME                                        2,513                2,864                  5,043                 5,704
PROVISION FOR LOAN LOSSES                                    ---                  ---                    ---                   ---
                                                    ------------         ------------           ------------          ------------
NET INTEREST INCOME AFTER PROVISION
   FOR LOAN LOSSES                                         2,513                2,864                  5,043                 5,704
                                                    ------------         ------------           ------------          ------------
NON-INTEREST INCOME:
     Service charges on deposits                             100                   72                    191                   148
     Other                                                    85                   72                    168                   131
                                                    ------------         ------------           ------------          ------------
          Total non-interest income                          185                  144                    359                   279
                                                    ------------         ------------           ------------          ------------
NON-INTEREST EXPENSE:
     Salaries and employee benefits                          621                  804                  1,230                 1,560
     Occupancy and equipment                                  96                   87                    183                   178
     Deposit insurance premium                                 9                   26                     18                    51
     Data processing                                          36                   45                     94                    88
     Correspondent bank service charges                       36                   36                     74                    71
     Other                                                   208                  205                    364                   366
                                                    ------------         ------------           ------------          ------------
          Total non-interest expense                       1,006                1,203                  1,963                 2,314
                                                    ------------         ------------           ------------          ------------
INCOME BEFORE INCOME TAXES                                 1,692                1,805                  3,439                 3,669
INCOME TAXES                                                 591                  625                  1,238                 1,352
                                                    ------------         ------------           ------------          ------------
NET INCOME                                        $        1,101       $        1,180          $       2,201         $       2,317
                                                  ==============       ==============          =============         =============

EARNINGS PER SHARE:
     Basic                                                 $0.39                $0.40                  $0.78                 $0.77
     Diluted                                               $0.39                $0.39                  $0.78                 $0.76

AVERAGE SHARES OUTSTANDING:
     Basic                                             2,814,033            2,977,411              2,816,167             3,016,909
     Diluted                                           2,829,455            3,004,701              2,831,621             3,044,478
</TABLE>

          See accompanying notes to consolidated financial statements.

                                       4

<PAGE>





                       WVS FINANCIAL CORP. AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)
                                 (In thousands)
<TABLE>
<CAPTION>

                                                                                   Six Months Ended
                                                                                     December 31,
                                                                              -------------------------
                                                                                 2000            1999
                                                                                 ----            ----
<S>                                                                            <C>            <C>
OPERATING ACTIVITIES

Net income                                                                     $  2,201       $  2,317
Adjustments to reconcile net income to cash provided by operating
 activities:
   Depreciation and amortization, net                                                56             58
   Amortization of discounts, premiums and deferred loan fees                      (113)           (32)
   Amortization of ESOP, RRP and deferred and unearned
      compensation                                                                   46            280
   Increase in accrued interest receivable                                         (237)          (671)
   Increase in accrued interest payable                                           2,185            416
   Increase (decrease) in accrued and deferred taxes                                199            (84)
   Other, net                                                                       276             (6)
                                                                               --------       --------
         Net cash provided by operating activities                                4,613          2,278
                                                                               --------       --------

INVESTING ACTIVITIES

Available-for-sale:
   Purchases of investments and mortgage-backed securities                           --         (1,351)
   Proceeds from repayments of investments and mortgage-backed securities           721          1,375
Held-to-maturity:
   Purchases of investments and mortgage-backed securities                      (10,617)       (33,464)
   Proceeds from repayments of investments and mortgage-backed securities         9,489         10,001
Increase in net loans receivable                                                 (1,409)        (6,008)
Increase in FHLB stock                                                           (3,657)        (1,710)
Purchases of premises and equipment                                                 (18)            (6)
Other, net                                                                           --            (21)
                                                                               --------       --------
         Net cash used for investing activities                                  (5,491)       (31,184)
                                                                               --------       --------
</TABLE>



                                       5

<PAGE>


                       WVS FINANCIAL CORP. AND SUBSIDIARY
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (UNAUDITED)
                                 (In thousands)
<TABLE>
<CAPTION>
                                                                                             Six Months
                                                                                          Ended December 31,
                                                                                     -----------------------------
                                                                                       2000                 1999
                                                                                       ----                 ----
<S>                                                                                  <C>                   <C>
         FINANCING ACTIVITIES

         Net decrease in transaction and passbook accounts                            (1,373)                (219)
         Net increase(decrease) in certificates of deposit                             1,337               (2,337)
         Net increase in FHLB borrowings                                              72,280               12,100
         Net (decrease)increase in other borrowings                                  (68,222)              24,385
         Net decrease in advance payments by borrowers for taxes and insurance        (1,149)                (970)
         Net proceeds from issuance of common stock                                       21                    1
         Funds used for purchase of treasury stock                                    (1,260)              (2,898)
         Cash dividends paid                                                            (909)                (967)
                                                                                    --------             --------
                  Net cash provided by financing activities                              725               29,095
                                                                                    --------             --------
                  (Decrease)increase in cash and cash equivalents                       (153)                 189

         CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD                          2,915                1,893
                                                                                    --------             --------
         CASH AND CASH EQUIVALENTS AT END OF THE PERIOD                             $  2,762             $  2,082
                                                                                    ========             ========

         SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

            Cash paid during the period for:

               Interest on deposits, escrows and borrowings                         $  7,807             $  7,420
               Income taxes                                                         $    933             $  1,366
</TABLE>




          See accompanying notes to consolidated financial statements.

                                       6


<PAGE>


                       WVS FINANCIAL CORP. AND SUBSIDIARY
           CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY
                                   (UNAUDITED)
                                 (In thousands)

<TABLE>
<CAPTION>
                                                                                                     Accum.
                                                                                                     Other
                                                                                                     Compre-   Retained
                                                 Add'l.                 Unallocated  Unallocated     hensive   Earnings
                                     Common     Paid-In    Treasury     Shares Held  Shares Held     Income  Substantially
                                     Stock      Capital     Stock         by ESOP      by RRP        (Loss)   Restricted     Total
                                     -----      -------     -----         -------      ------        ------   ----------     -----
<S>                                <C>         <C>        <C>            <C>           <C>           <C>        <C>         <C>
Balance at June 30, 2000           $    37     $19,548    $(11,770)      $   ---       $ (220)       $ (197)    $19,513     $26,911

Comprehensive income:

   Net Income                                                                                                     2,201       2,201
   Other comprehensive
     income:
      Change in unrealized
          holding losses on
          securities, net of
          income tax benefit
          of $123                                                                                       239                     239
                                                                                                                           --------

Comprehensive income                                                                                                          2,440
Purchase of shares for
   treasury stock                                           (1,260)                                                          (1,260)

Release of earned
   Employee Stock
   Ownership Plan (ESOP)
   shares                                          ---                       ---                                                ---

Accrued compensation
   expense for Recognition
   and Retention Plans (RRP)                                                               46                                    46

Exercise of stock options                           21                                                                           21

Cash dividends declared
   ($0.32 per share)                                                                                             (909)         (909)
                                   -------     -------    --------        ------       ------        ------     -------     -------
Balance at Dec. 31, 2000           $    37     $19,569    $(13,030)       $  ---       $ (174)       $   42     $20,805     $27,249
                                   =======     =======    ========        ======       ======        ======     =======     =======

</TABLE>


          See accompanying notes to consolidated financial statements.

                                       7
<PAGE>

                       WVS FINANCIAL CORP. AND SUBSIDIARY
                       ----------------------------------
              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

1.          BASIS OF PRESENTATION
            ---------------------
            The accompanying  unaudited  consolidated  financial statements have
            been prepared in accordance with the  instructions for Form 10-Q and
            therefore do not include  information  or footnotes  necessary for a
            complete presentation of financial condition, results of operations,
            and cash flows in  conformity  with  generally  accepted  accounting
            principles.  However,  all  adjustments  (consisting  only of normal
            recurring  adjustments)  which,  in the opinion of  management,  are
            necessary for a fair presentation have been included. The results of
            operations for the three and six months ended December 31, 2000, are
            not necessarily  indicative of the results which may be expected for
            the entire fiscal year.

2.          RECENT ACCOUNTING PRONOUNCEMENTS
            --------------------------------
            In June  1998,  the  Financial  Accounting  Standards  Board  issued
            Statement of Financial Accounting Standards No. 133, "Accounting for
            Derivative  Instruments  and  Hedging  Activities".   The  statement
            provides   accounting   and  reporting   standards  for   derivative
            instruments,  including certain derivative  instruments  embedded in
            other  contracts,  by requiring  the  recognition  of those items as
            assets  or  liabilities  in the  statement  of  financial  position,
            recorded   at  fair   value.   Statement   No.   133   precludes   a
            held-to-maturity  security  from being  designated as a hedged item,
            however,  at the date of initial  application of this statement,  an
            entity is permitted to transfer any  held-to-maturity  security into
            the available-for-sale or trading categories. The unrealized holding
            gain or  loss  on such  transferred  securities  shall  be  reported
            consistent with the  requirements of Statement No. 115,  "Accounting
            for  Certain  Investments  in  Debt  and  Equity  Securities".  Such
            transfers do not raise an issue regarding an entity's intent to hold
            other debt  securities to maturity in the future.  In June 1999, the
            Financial  Accounting  Standards Board issued Statement of Financial
            Accounting Standards No. 137, "Accounting for Derivative Instruments
            and  Hedging  Activities  - Deferral of the  Effective  Date of FASB
            Statement  No. 133 - an amendment of FASB  Statement  No. 133." This
            statement  delayed the  effective  date of Statement No. 133 for one
            year,  to  fiscal  years  beginning  after  June 15,  2000.  Earlier
            adoption is permitted  for any fiscal  quarter that begins after the
            issue date of this statement.

            The  Company  does not  believe  the effect of the  adoption of this
            accounting statement will be material.


                                       8
<PAGE>

3.          EARNINGS PER SHARE
            ------------------
            The following  table sets forth the computation of basic and diluted
            earnings per share.

<TABLE>
<CAPTION>

                                                    Three Months Ended                     Six Months Ended
                                                       December 31,                          December 31,
                                             -------------------------------         -------------------------------

                                                 2000                1999               2000                1999
                                             -----------         -----------         -----------         -----------
<S>                                            <C>                 <C>                 <C>                 <C>
Weighted average common shares
   outstanding                                 3,689,480           3,668,220           3,668,779           3,668,165

Average treasury stock shares                   (875,447)           (653,964)           (852,612)           (610,379)

Average unearned ESOP shares                          --             (36,845)                 --             (40,877)
                                             -----------         -----------         -----------         -----------

Weighted average common shares
   and common stock equivalents
   used to calculate basic earnings
   per share                                   2,814,033           2,977,411           2,816,167           3,016,909

Additional common stock
   equivalents (stock options) used
   to calculate diluted earnings per
   share                                          15,422              27,290              15,454              27,569
                                             -----------         -----------         -----------         -----------

Weighted average common shares
   and common stock equivalents
   used to calculate diluted earnings
   per share                                   2,829,455           3,004,701           2,831,621           3,044,478
                                             ===========         ===========         ===========         ===========

Net income                                   $ 1,100,552         $ 1,180,008         $ 2,201,024         $ 2,316,869
                                             ===========         ===========         ===========         ===========

Earnings per share:
     Basic                                   $      0.39         $      0.40         $      0.78         $      0.77
     Diluted                                 $      0.39         $      0.39         $      0.78         $      0.76
                                             ===========         ===========         ===========         ===========
</TABLE>

                                       9

<PAGE>

ITEM 2.

MANAGEMENT'S  DISCUSSION  AND  ANALYSIS OF  FINANCIAL  CONDITION  AND RESULTS OF
OPERATIONS FOR THE THREE AND SIX MONTHS ENDED DECEMBER 31, 2000



FORWARD LOOKING STATEMENTS

            When used in this Form 10-Q,  or, in future  filings by the  Company
with the Securities and Exchange Commission,  in the Company's press releases or
other public or shareholder communications,  or in oral statements made with the
approval of an authorized  executive officer,  the words or phrases "will likely
result",  "are expected to",  "will  continue",  "is  anticipated",  "estimate",
"project"  or similar  expressions  are  intended to  identify  "forward-looking
statements" within the meaning of the Private  Securities  Litigation Reform Act
of 1995.  Such  statements  are  subject  to  certain  risks  and  uncertainties
including changes in economic  conditions in the Company's market area,  changes
in policies by regulatory  agencies,  fluctuations in interest rates, demand for
loans in the  Company's  market area and  competition  that could  cause  actual
results  to differ  materially  from  historical  earnings  and those  presently
anticipated  or projected.  The Company  wishes to caution  readers not to place
undue reliance on any such  forward-looking  statements,  which speak only as of
the date made.  The Company  wishes to advise  readers  that the factors  listed
above  could  affect the  Company's  financial  performance  and could cause the
Company's  actual  results  for  future  periods to differ  materially  from any
opinions or statements  expressed  with respect to future periods in any current
statements.

            The Company  does not  undertake,  and  specifically  disclaims  any
obligation, to publicly release the result of any revisions which may be made to
forward-looking  statements to reflect events or circumstances after the date of
statements or to reflect the occurrence of anticipated or unanticipated events.

GENERAL

            WVS Financial  Corp.  ("WVS" or the "Company") is the parent holding
company of West View  Savings  Bank ("West  View" or the  "Savings  Bank").  The
Company was  organized  in July 1993 as a  Pennsylvania-chartered  unitary  bank
holding  company and  acquired  100% of the common  stock of the Savings Bank in
November 1993.

            West View  Savings  Bank is a  Pennsylvania-chartered,  SAIF-insured
stock  savings  bank  conducting  business  from six  offices in the North Hills
suburbs of Pittsburgh. The Savings Bank converted to the stock form of ownership
in November 1993. The Savings Bank had no subsidiaries at December 31, 2000.

            The operating  results of the Company depend  primarily upon its net
interest  income,  which is  determined  by the  difference  between  income  on
interest-earning  assets,  principally  loans,  mortgage-backed  securities  and
investment  securities,  and interest expense on  interest-bearing  liabilities,
which consist primarily of deposits and borrowings.  The Company's net income is
also  affected by its  provision  for loan  losses,  as well as the level of its
non-interest   income,   including  loan  fees  and  service  charges,  and  its
non-interest expenses, such as compensation and employee benefits, income taxes,
deposit insurance and occupancy costs.

            The  Company's   strategy   focuses  on   community-based   lending,
maintaining asset quality and generating consistent earnings growth.

                                       10

<PAGE>

FINANCIAL CONDITION

            The Company's assets totaled $415.2 million at December 31, 2000, as
compared to $409.6  million at June 30, 2000.  The $5.6 million or 1.4% increase
in total assets was  primarily  comprised of a $7.9 million or 5.6%  increase in
investment  securities,  including  Federal Home Loan Bank ("FHLB") stock, and a
$1.3  million or 0.7%  increase in net loans  receivable,  which were  partially
offset by a $3.3 million or 4.5%  decrease in  mortgage-backed  securities.  The
Company's  investment  securities  increased due to increased  purchases of bank
qualified municipal bonds. The Company's  mortgage-backed  securities  decreased
due to principal amortization.

            The Company's  total  liabilities  increased $5.3 million or 1.4% to
$388.0 million as of December 31, 2000, from $382.7 million as of June 30, 2000.
The $5.3 million  increase in total  liabilities  was  primarily  comprised of a
$72.3  million or 69.2%  increase in FHLB  advances  and a $2.2 million or 80.8%
increase in accrued  interest  payable  which were  partially  offset by a $68.2
million or 67.5%  decrease in other  borrowings  and a $1.1 million  decrease in
advance payments by borrowers for taxes and insurance. The Company utilized both
short-term and  intermediate-term  FHLB advances to reduce short-term borrowings
during the quarter ended December 31, 2000.

            Total stockholders'  equity increased $338 thousand or 1.3% to $27.2
million as of December 31, 2000, from $26.9 million as of June 30, 2000. Capital
expenditures  for the  Company's  stock  repurchase  program and cash  dividends
totaled  $1.3  million and $909  thousand,  respectively,  which were  primarily
funded by Company net income of $2.2 million for the six months  ended  December
31, 2000.

                                       11
<PAGE>

RESULTS OF OPERATIONS

              General. WVS reported net income of $1.1 million, or $0.39 diluted
earnings per share,  and $2.2 million,  or $0.78 diluted earnings per share, for
the three and six months ended  December 31, 2000,  respectively.  For the three
months ended December 31, 2000, net income decreased by $79 thousand or 6.7% and
diluted earnings per share remained the same when compared to the same period in
1999. The decrease was primarily attributable to a $351 thousand decrease in net
interest  income  which was  partially  offset by a $197  thousand  decrease  in
non-interest  expense, a $41 thousand increase in non-interest  income and a $34
thousand  decrease in income tax expense.  For the six months ended December 31,
2000,  net income  decreased by $116  thousand or 5.0% and diluted  earnings per
share  increased  $0.02 or 2.6% when  compared to the same  period in 1999.  The
decrease was principally the result of a $661 thousand  decrease in net interest
income,  which was partially offset by a $351 thousand  decrease in non-interest
expense,  a $114  thousand  decrease in income tax  expense,  and a $80 thousand
increase in non-interest income.

              Net Interest  Income.  The Company's net interest income decreased
by $351  thousand or 12.3% for the three  months ended  December 31, 2000,  when
compared to the same period in 1999. For the six months ended December 31, 2000,
net interest  income  decreased by $661 thousand or 11.6%,  when compared to the
same period in 1999. Both decreases were  principally  attributable to increased
wholesale  borrowing costs due to increases in both the volume and rates paid on
borrowings which was partially offset by increases in interest income associated
with the Company's investment, mortgage-backed securities and loan portfolios.

              Interest Income.  Interest and dividend income on interest-bearing
deposits with other institutions,  investment  securities and FHLB stock ("other
investment securities") increased by $457 thousand or 21.4% for the three months
ended December 31, 2000,  when compared to the same period in 1999. The increase
was primarily attributable to a $27.6 million increase in the average balance of
investment securities  outstanding and a 15 basis point increase in the weighted
average  yield  earned  on  investment  securities  for the three  months  ended
December 31, 2000,  when compared to the same period in 1999.  Interest on other
investment  securities  increased $1.0 million or 24.5% for the six months ended
December 31,  2000,  when  compared to the same period in 1999.  The increase in
interest  income on investment  securities was  attributable  to a $28.7 million
increase in the average  balance of investment  securities  outstanding and a 26
basis  point  increase  in the  weighted  average  yield  earned  on  investment
securities for the six months ended December 31, 2000, when compared to the same
period in 1999.  The increases in the average  balance of investment  securities
during  both the three and six month  periods  ended  December  31,  2000,  were
principally  attributable  to  purchases  of  investment  securities  under  the
Company's  investment growth program. The increase in the weighted average yield
earned was consistent with market  conditions for the three and six months ended
December 31, 2000.

              Interest on net loans  receivable  increased  by $181  thousand or
5.2% for the three months ended  December  31, 2000,  when  compared to the same
period in 1999. The increase was attributable to an increase of $11.4 million in
the average  balance of net loans  receivable  outstanding,  which was partially
offset by a decrease of 10 basis points in the weighted  average yield earned on
net loans receivable for the three months ended December 31, 2000, when compared
to the same period in 1999.  Interest on net loans receivable  increased by $466
thousand or 6.8% for the six months ended  December 31, 2000,  when  compared to
the same  period in 1999.  The  increase  was  attributable  to a $11.3  million
increase  in the  average  balance of  outstanding  loans,  and a 2 basis  point
increase in the weighted  average yield earned on outstanding  loans for the six
months  ended  December  31,  2000.  The  increases  in the average loan balance
outstanding for the three and six months ended December 31, 2000, were primarily
attributable  to an increased level of mortgage  originations  due to a stronger
local demand for permanent  mortgage  financing and an emphasis on multi-family,
commercial  and consumer  loan  products in order to earn  returns  greater than
those offered in the single-family  residential  mortgage market.  The Company's
weighted  average  loan  yield  continued  to be  impacted  by $3.8  million  of
previously  disclosed  in  prior  filings  nonaccrual  real  estate  loans  to a
retirement village.

                                       12
<PAGE>
              Interest on mortgage-backed  securities  decreased by $51 thousand
or 3.9% for the three months ended December 31, 2000,  when compared to the same
period in 1999. The decrease was  attributable to a $5.1 million decrease in the
average balance of mortgage-backed  securities,  which was partially offset by a
21 basis point increase in the weighted average yield earned on  mortgage-backed
securities  for the three months ended  December 31, 2000,  when compared to the
same  period in 1999.  Interest  on  mortgage-backed  securities  increased  $22
thousand or 0.9% for the six months ended  December  31, 2000.  The increase was
primarily  attributable  to a 32 basis point  increase in the  weighted  average
yield earned on mortgage-backed  securities which was partially offset by a $2.8
million   decrease  in  the  average  balance  of   mortgage-backed   securities
outstanding  for the six months  ended  December 31, 2000,  when compared to the
same period in 1999.

              Interest  Expense.   Interest  expense  on  deposits  and  escrows
increased by $162  thousand or 10.4% and by $252  thousand or 8.0% for the three
and six months ended December 31, 2000, respectively,  when compared to the same
periods in 1999.  The  increase in interest  expense on deposits and escrows was
principally  attributable to a 39 basis point increase in the average yield paid
on deposits and escrows,  and a $473 thousand increase in the average balance of
interest-bearing  deposits and escrows for the three  months ended  December 31,
2000,  when  compared  to the same  period  in 1999.  For the six  months  ended
December 31, 2000, the increase in interest  expense on deposits and escrows was
primarily attributable to a 37 basis point increase in the average yield paid on
deposits and escrows  which was partially  offset by a $2.1 million  decrease in
the average balance of interest-bearing  deposits and escrows. The average yield
paid on interest-bearing deposits and escrows increased due to higher rates paid
on time deposits.

              Interest expense on FHLB advances and other  borrowings  increased
by $776  thousand and $1.9  million for the three and six months ended  December
31, 2000, respectively, when compared to the same periods in 1999. The increases
were primarily attributable to $29.0 million or 16.3% and $35.6 million or 21.0%
increases in the average balance of such borrowings  outstanding,  and 71 and 89
basis point  increases in the weighted  average rate paid on such borrowings for
the three and six months ended  December 31, 2000,  respectively.  The increased
amount of FHLB  advances  outstanding  was used to fund the  repayment  of other
short-term  borrowings,  Company's loan originations and purchases of investment
securities.

              Provision for Loan Losses.  A provision for loan losses is charged
to earnings to maintain the total  allowance to a level  considered  adequate by
management  to  absorb   potential   losses  in  the   portfolio.   Management's
determination  of the adequacy of the allowance is based on an evaluation of the
portfolio  considering past experience,  current  economic  conditions,  volume,
growth and composition of the loan portfolio, and other relevant factors.

              The  Company  did not record a provision  for  possible  losses on
loans for the three and six months ended  December 31,  2000,  respectively.  At
both December 31, 2000 and June 30, 2000, the Company's total allowance for loan
losses amounted to $2.0 million or 1.0% of the Company's total loan portfolio.

              Non-Interest  Income.  Total non-interest  income increased by $41
thousand and $80 thousand for the three and six months ended  December 31, 2000,
respectively,  when  compared  to the same  periods  in 1999.  The  increase  in
non-interest  income for the three months ended December 31, 2000, was primarily
attributable to a $28 thousand increase in service charges on deposits and a $13
thousand increase in other income, including ATM fee and loan late charge income
during the three months ended  December 31, 2000.  The increase in  non-interest
income for the six months ended December 31, 2000, was principally  attributable
to a $43  thousand  increase in service  charges on deposits  and a $37 thousand
increase in other income including ATM fee and loan late charge income.

              Non-Interest  Expense.  Total non-interest  expense decreased $197
thousand or 16.4% and $351  thousand or 15.2% for the three and six months ended
December 31, 2000, respectively, when compared to the same periods in 1999.

                                       13

<PAGE>

              Compensation and employee benefits expense decreased $183 thousand
or 22.8% and $330 thousand or 21.2% for the three and six months ended  December
31, 2000, respectively, when compared to the same periods in 1999. The decreases
for the three and six months ended December 31, 2000 were primarily attributable
to the absence of employee stock ownership plan  amortization  expenses recorded
in the 1999 periods.

LIQUIDITY AND CAPITAL RESOURCES

            Net cash  provided by  operating  activities  totaled  $4.6  million
during the six months ended  December 31, 2000.  Net cash  provided by operating
activities was primarily comprised of the $2.2 million of net income, and a $2.2
million increase in interest payable.

            Funds used by investing  activities  totaled $5.5 million during the
six months ended December 31, 2000.  Primary uses of funds during the six months
ended December 31, 2000,  included $14.3 million for purchases of investment and
mortgage-backed  securities and a $1.4 million  increase in net loans receivable
which were  partially  offset by $10.2  million of proceeds  from  repayments of
investment and mortgage-backed securities.

            Funds provided by financing activities totaled $725 thousand for the
six months ended  December 31, 2000.  The primary  financial  source  included a
$72.3 million increase in FHLB advances,  which were partially offset by a $68.2
million  decrease in other  borrowings,  $1.3  million in  purchases of treasury
stock,  a $1.1 million  decrease in advance  payments by borrowers for taxes and
insurance  and $909  thousand of cash  dividends  paid on the  Company's  common
stock.  During the six months ended December 31, 2000,  the Company  repurchased
103,128  shares  of common  stock.  Management  believes  that it  currently  is
maintaining  adequate  liquidity and  continues to better match funding  sources
with lending and investment opportunities.

            The Company's  primary sources of funds are deposits,  amortization,
prepayments  and maturities of existing  loans,  mortgage-backed  securities and
investment  securities,  funds  from  operations,  and  funds  obtained  through
short-term borrowings. At December 31, 2000, the total approved loan commitments
outstanding  amounted  to $757  thousand.  At the same date,  commitments  under
unused lines of credit  amounted to $10.3 million and the unadvanced  portion of
construction loans approximated $18.2 million. Certificates of deposit scheduled
to mature in one year or less at  December  31,  2000,  totaled  $62.8  million.
Management  believes that a significant portion of maturing deposits will remain
with the Company.

            Historically,  the Company  used its sources of funds  primarily  to
meet its ongoing  commitments to pay maturing  savings  certificates and savings
withdrawals,  fund loan  commitments  and  maintain a  substantial  portfolio of
investment  securities.  The Company has been able to generate  sufficient  cash
through the retail deposit market,  its traditional  funding source, and through
FHLB  advances and other  borrowings,  to provide the cash utilized in investing
activities.  The Company has access to the Federal Reserve Bank discount window.
Management  believes that the Company currently has adequate liquidity available
to respond to liquidity demands.

            On January 30, 2001,  the  Company's  Board of Directors  declared a
cash dividend of $0.16 per share payable  February 15, 2001, to  shareholders of
record at the close of business on  February 5, 2001.  Dividends  are subject to
determination and declaration by the Board of Directors, which take into account
the  Company's  financial  condition,  statutory  and  regulatory  restrictions,
general  economic  conditions and other factors.  There can be no assurance that
dividends  will in fact be paid on the  Common  Stock  or that,  if  paid,  such
dividends will not be reduced or eliminated in future periods.

            As of December 31, 2000, WVS Financial Corp. exceeded all regulatory
capital requirements and maintained Tier I and total risk-based capital equal to
$27.2  million  or 14.1% and $29.2  million  or  15.1%,  respectively,  of total

                                       14
<PAGE>

risk-weighted  assets,  and Tier I leverage capital of $27.2 million or 6.60% of
average quarterly assets.

              Nonperforming  assets consist of nonaccrual  loans and real estate
owned.  A  loan  is  placed  on  nonaccrual  status  when,  in the  judgment  of
management,  the probability of collection of interest is deemed insufficient to
warrant further accrual. When a loan is placed on nonaccrual status,  previously
accrued but uncollected  interest is deducted from interest income.  The Company
normally  does not accrue  interest on loans past due 90 days or more,  however,
interest may be accrued if management believes that it will collect on the loan.

              The Company's  nonperforming  assets at December 31, 2000, totaled
approximately  $4.1 million or 0.99% of total assets as compared to $4.1 million
or 1.00% of total assets as of June 30, 2000.  Nonperforming  assets at December
31, 2000,  consisted  of $3.9  million in  commercial  real estate  loans,  $127
thousand in consumer loans, and $81 thousand in single-family real estate loans.
During  the  quarter  ended  March 31,  2000,  a  commercial  real  estate  loan
participation   totaling  $3.6  million   was  classified  as  nonaccrual.   The
participation  loan is secured by a first mortgage lien on real property located
in Allegheny County and the Company has commenced  foreclosure and confession of
judgment  actions.  The Company  continues to work with the borrower to work-out
this credit. Approximately $65 thousand of additional interest income would have
been  recorded  during the six months ended  December 31, 2000, if the Company's
nonaccrual  and  restructured  loans had been current in  accordance  with their
original loan terms and outstanding throughout the six months ended December 31,
2000.

                                       15
<PAGE>

ITEM 3.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

            The  Company's  primary  market risk  exposure is interest rate risk
and, to a lesser extent,  liquidity risk. All of the Company's  transactions are
denominated in U.S.  dollars with no specific  foreign  exchange  exposure.  The
Savings  Bank has no  agricultural  loan assets and  therefore  would not have a
specific  exposure to changes in commodity  prices.  Any impacts that changes in
foreign  exchange  rates and commodity  prices would have on interest  rates are
assumed to be exogenous and will be analyzed on an ex post basis.
                                                   -- ----

            Interest   rate  risk   ("IRR")  is  the   exposure   of  a  banking
organization's  financial  condition  to adverse  movements  in interest  rates.
Accepting this risk can be an important source of profitability  and shareholder
value,  however  excessive  levels of IRR can pose a  significant  threat to the
Company's earnings and capital base. Accordingly, effective risk management that
maintains  IRR at  prudent  levels is  essential  to the  Company's  safety  and
soundness.

            Evaluating a financial institution's exposure to changes in interest
rates includes  assessing  both the adequacy of the  management  process used to
control  IRR  and  the  organization's  quantitative  level  of  exposure.  When
assessing  the  IRR  management  process,  the  Company  seeks  to  ensure  that
appropriate policies,  procedures,  management  information systems and internal
controls are in place to maintain  IRR at prudent  levels with  consistency  and
continuity.  Evaluating  the  quantitative  level of IRR  exposure  requires the
Company  to assess  the  existing  and  potential  future  effects of changes in
interest  rates  on its  consolidated  financial  condition,  including  capital
adequacy, earnings, liquidity, and, where appropriate, asset quality.

            The  Federal  Reserve  Board,   together  with  the  Office  of  the
Comptroller  of the  Currency  and the Federal  Deposit  Insurance  Corporation,
adopted a Joint Agency Policy  Statement on Interest Rate Risk,  effective  June
26, 1996.  The policy  statement  provides  guidance to examiners and bankers on
sound practices for managing  interest rate risk,  which will form the basis for
ongoing  evaluation  of  the  adequacy  of  interest  rate  risk  management  at
supervised institutions. The policy statement also outlines fundamental elements
of sound  management that have been identified in prior Federal Reserve guidance
and  discusses  the  importance  of these  elements  in the  context of managing
interest rate risk.  Specifically,  the guidance  emphasizes the need for active
board  of  director  and  senior   management   oversight  and  a  comprehensive
risk-management  process that  effectively  identifies,  measures,  and controls
interest rate risk.  Financial  institutions  derive their income primarily from
the excess of interest  collected  over interest  paid. The rates of interest an
institution  earns on its  assets  and  owes on its  liabilities  generally  are
established  contractually  for a period of time.  Since market  interest  rates
change over time, an  institution is exposed to lower profit margins (or losses)
if it cannot  adapt to  interest  rate  changes.  For  example,  assume  that an
institution's assets carry intermediate- or long-term fixed rates and that those
assets were funded with short-term liabilities. If market interest rates rise by
the time the  short-term  liabilities  must be  refinanced,  the increase in the
institution's interest expense on its liabilities may not be sufficiently offset
if  assets  continue  to earn at the  long-term  fixed  rates.  Accordingly,  an
institution's  profits could decrease on existing assets because the institution
will either have lower net interest income or, possibly,  net interest  expense.
Similar  risks  exist when  assets  are  subject to  contractual  interest  rate
ceilings,  or rate  sensitive  assets  are  funded  by  longer-term,  fixed-rate
liabilities in a decreasing-rate environment.

            An institution  may use several  techniques to manage  interest rate
risk. One approach used by the Company is to periodically analyze its assets and
liabilities and make future financing and investment  decisions based on payment
streams,  interest rates,  contractual maturities,  and estimated sensitivity to
actual or potential changes in market interest rates. Such activities fall under
the broad  definition  of  asset/liability  management.  The  Company's  primary
asset/liability   management  technique  is  the  monitoring  of  the  Company's
asset/liability gap.

                                       16
<PAGE>
            The effect of interest  rate  changes on a  financial  institution's
assets  and  liabilities  may  be  analyzed  by  examining  the  "interest  rate
sensitivity" of the assets and  liabilities  and by monitoring an  institution's
interest rate  sensitivity  "gap".  An asset or liability is said to be interest
rate sensitive within a specific time period if it will mature or reprice within
a given  time  period.  A gap is  considered  positive  when the  amount of rate
sensitive  assets  exceeds the amount of rate  sensitive  liabilities.  A gap is
considered  negative when the amount of interest sensitive  liabilities  exceeds
the amount of interest  sensitive  assets.  During a period of falling  interest
rates, a positive gap would tend to adversely affect net interest income,  while
a  negative  gap would tend to result in an  increase  in net  interest  income.
During a period of rising interest rates, a positive gap would tend to result in
an increase in net interest income, while a negative gap would tend to adversely
affect net interest income.

            The Company's one year cumulative  interest rate  sensitivity gap is
estimated at a negative  18.7% of total assets at December 31, 2000, as compared
to a  negative  46.3% at June  30,  2000,  in each  instance,  based on  certain
assumptions  by management  with respect to the repricing of certain  assets and
liabilities.  At  December  31,  2000,  the  Company's  interest-earning  assets
maturing or repricing within one year totaled $119.6 million while the Company's
interest-bearing  liabilities  maturing  or  repricing  within one year  totaled
$197.2  million,  providing  an  excess  of  interest-earning  liabilities  over
interest-bearing  assets of $77.6 million.  At December 31, 2000, the percentage
of the Company's assets to liabilities maturing or repricing within one year was
60.6%.  Accordingly,  due to the Company's  high negative gap,  rising  interest
rates would most likely adversely affect the Company's net interest income.

            During fiscal 2001,  the Company  anticipates  reducing its one year
interest  sensitivity  gap by: (1) reducing the amount of incremental  wholesale
borrowing;  (2) limiting future investment purchases; and (3) extending the term
structure of a portion of the Company's borrowings as market conditions permit.

             During  the  six  months  ended  December  31,  2000,  the  Company
decreased its mortgage-backed securities portfolio by $3.3 million or 4.48%. The
decrease  for the six  months  was  attributable  to  principal  repayments.  At
December 31, 2000, the Company held $70.4 million of mortgage-backed  securities
with an approximate yield of 7.13%.

            During the six months ended December 31, 2000, the Company  borrowed
approximately  $347.7 million in various  advances from the FHLB with a weighted
average rate of 6.42% and incurred  $303.5  million in other  borrowings  with a
weighted  average rate of 6.57%.  During the six months ended December 31, 2000,
the Company  repaid $275.5  million of FHLB advances and $368.7 million of other
borrowings.

            The  Company  also  makes  available  for  origination   residential
mortgage loans with interest rates which adjust pursuant to a designated  index,
although  customer  acceptance  has been somewhat  limited in the Savings Bank's
market area.  The Company will continue to  selectively  offer  commercial  real
estate, land acquisition and development,  and shorter-term  construction loans,
primarily  on  residential  properties,  to  partially  increase  its loan asset
sensitivity.  The Company continues to emphasize higher yielding commercial real
estate,  home equity and small business loans to existing customers and seasoned
prospective customers.

            An  institution  could  also  manage  interest  rate risk by selling
existing assets,  repaying certain liabilities or matching repricing periods for
new assets and  liabilities  (for example,  by shortening  terms of new loans or
investments).  A large portion of an institution's liabilities may be short-term
or due on demand, while most of its assets may be invested in long-term loans or
investments.  Accordingly, the Company seeks to have in place sources of cash to
meet  short-term  demands.  These funds can be obtained by increasing  deposits,
borrowing,  or selling assets. Also, FHLB advances and wholesale borrowings have
become  increasingly  important sources of liquidity for the Company.  Financial
institutions  are also subject to prepayment risk in falling rate  environments.
For  example,  mortgage  loans and other  financial  assets  may be prepaid by a
debtor so that the  debtor  may  refund its  obligations  at new,  lower  rates.
Prepayments of assets carrying higher rates reduce the Company's interest income
and overall asset yields.

                                       17
<PAGE>
            An  institution   might  also  invest  in  more  complex   financial
instruments  intended to hedge,  or otherwise  change the interest  rate risk of
existing assets, liabilities, or anticipated transactions.  Interest rate swaps,
futures  contracts,  options on  futures,  and other such  derivative  financial
instruments  often are used for this  purpose.  Because  these  instruments  are
sensitive to interest  rate  changes,  they require  management  expertise to be
effective. The Company has not purchased derivative financial instruments in the
past and does not  presently  intend to purchase  such  instruments  in the near
future.

            The  following  table  provides   information  about  the  Company's
financial  instruments  that are  sensitive  to changes in interest  rates as of
December 31, 2000,  based on the information  and assumptions in the notes.  The
Company's  assumptions  are  based on  statistical  data  provided  by a federal
regulatory  agency  in  the  Company's  market  area,  and  are  believed  to be
reasonable.  The  Company had no  derivative  financial  instruments  or trading
portfolio as of December 31, 2000.  The expected  maturity date values for loans
receivable,   mortgage-backed   securities,   and  investment   securities  were
calculated  by  adjusting  the  instrument's   contractual   maturity  date  for
expectations  of  prepayments.  Similarly,  expected  maturity  date  values for
interest-bearing  core  deposits  were  calculated  based upon  estimates of the
period  over  which the  deposits  would be  outstanding.  With  respect  to the
Company's  adjustable  rate  instruments,  expected  maturity  date  values were
measured  by  adjusting   the   instrument's   contractual   maturity  date  for
expectations  of  prepayments.  Substantially  all of the  Company's  investment
securities portfolio is comprised of callable government agency securities. From
a risk management  perspective,  the Company  believes that repricing  dates, as
opposed to expected  maturity dates,  may be a more relevant metric in analyzing
the value of such instruments.  Company borrowings were tabulated by contractual
maturity dates and without regard to any conversion or repricing dates.

                                       18
<PAGE>

<TABLE>
<CAPTION>
                                                            EXPECTED MATURITY DATE-QUARTER ENDED DECEMBER 31,
                                                            -------------------------------------------------

                                                                                                There-                  Fair
                                            2001       2002       2003      2004       2005     after       Total       Value
                                          --------   --------   --------  --------   --------  --------    --------   --------
<S>                                        <C>        <C>       <C>        <C>        <C>       <C>        <C>         <C>
ON-BALANCE SHEET FINANCIAL INSTRUMENTS
Interest-earning assets:
  Loans receivable (1)(2)(3)(4)
  Fixed rate                               $27,945    $17,505   $14,024    $13,530    $9,925    $59,541    $142,470    $150,343
    Average interest rate                    7.98%      7.66%     7.62%      7.61%     7.55%      7.48%

  Adjustable rate                           13,599      6,448     5,952      4,571     3,837     10,443      44,850      46,148
    Average interest rate(5)                 8.65%      8.40%     8.41%      8.42%     8.44%      8.30%
  Mortgage-backed securities
  Fixed rate                                   ---         42     1,092        ---       ---     53,113      54,247      54,289
    Average interest rate                    0.00%      6.75%     6.02%      0.00%     0.00%      6.94%

  Adjustable rate                              ---        ---       ---        ---       ---     16,021      16,021      16,233
    Average interest rate(6)                 0.00%      0.00%     0.00%      0.00%     0.00%      7.83%

  Investments(7)                            39,921        ---       ---        ---       ---    110,788     150,709     150,134
    Average interest rate                    8.29%      0.00%     0.00%      0.00%     0.00%      7.63%

  Interest-bearing deposits                  2,762        ---       ---        ---       ---        ---       2,762       2,762
    Average interest rate                    5.70%      0.00%     0.00%      0.00%     0.00%      0.00%
                                          --------    -------   -------     ------   -------   --------    --------    --------
        Total                               84,227     23,995    21,068     18,101    13,762    249,906     411,059     419,909


Interest-bearing liabilities:
  Interest-bearing deposits
   and escrows(8)(9)(10)                    92,585     20,667    20,667      7,755     7,755     22,244    171,673.     171,933
    Average interest rate                    4.71%      3.68%     3.68%      3.29%     3.29%      2.02%

Borrowings

  Fixed rate                                54,535      7,000       ---        ---       ---        ---      61,535      61,590
    Average interest rate                    6.50%      6.66%     0.00%      0.00%     0.00%      0.00%

  Adjustable rate(11)                       50,048        ---       ---        ---       ---     98,000     148,048     148,578
    Average interest rate                    6.59%      0.00%     0.00%      0.00%     0.00%      5.59%
                                          --------    -------   -------     ------   -------   --------    --------    --------
        Total                             $197,168    $27,667   $20,667     $7,755   $ 7,755   $120,244    $381,256    $382,101

</TABLE>

(1)  Net of  undisbursed  loan  proceeds and does not include net deferred  loan
     fees or the allowance for loan losses.
(2)  For  single-family  residential  loans,  assumes  annual  amortization  and
     prepayment rate at 18% for adjustable  rate loans,  and 9% to 39% for fixed
     rate loans. For  multi-family  residential  loans and other loans,  assumes
     amortization and prepayment rate of 12%.
(3)  For second mortgage loans,  assumes annual amortization and prepayment rate
     of 18%.
(4)  Consumer loans assumes amortization and prepayment rate of 13%.
(5)  Substantially  all of the  Company's  adjustable  rate loans  reprice on an
     annual basis based upon changes in the one-year  constant maturity treasury
     index with various market based annual and lifetime  interest rate caps and
     floors.
(6)  Substantially  all  of  the  Company's   adjustable  rate   mortgage-backed
     securities  reprice on a monthly  basis based upon changes in the one month
     LIBOR index with various lifetime caps and floors.
(7)  Totals  include the  Company's  investment in Federal Home Loan Bank stock.
     Amounts adjusted to reflect  investment  securities  called through January
     31, 2001 totaling  approximately  $16,176 and $13,483 expected to be called
     by December 31, 2001.
(8)  For regular savings accounts, assumes an annual decay rate of 17% for three
     years or less,  16% for more than three through five years and 14% for more
     than five years.
(9)  For NOW accounts, assumes an annual decay rate of 37% for one year or less,
     32% for more than one  through  three  years  and 17% for more  than  three
     years.
(10) For money market deposit accounts,  assumes an annual decay rate of 79% for
     one year or less and 31% for more than one year.
(11) Includes a $50  million  FHLB  advance  that  reprices  monthly  based upon
     changes in the one month LIBOR index.

                                       19
<PAGE>

            The table below provides information about the Company's anticipated
transactions comprised of firm loan commitments and other commitments, including
undisbursed  letters  and  lines  of  credit.  The  Company  used no  derivative
financial instruments to hedge such anticipated  transactions as of December 31,
2000.


                 Anticipated Transactions
---------------------------------------------------------

Undisbursed construction and
    land development loans

      Fixed rate                                   $8,445
                                                    8.59%

      Adjustable rate                              $9,798
                                                    9.74%

Undisbursed lines of credit

      Adjustable rate                             $10,305
                                                    9.37%

Loan origination commitments

      Fixed rate                                     $757
                                                    9.23%

Unfunded security commitments

      Fixed rate (1)                               $1,427
                                                    7.54%

Letters of credit

      Adjustable rate                                $232
                                                   12.50%
                                                 --------
                                                  $30,964


(1) Taxable equivalent yield.



                                       20
<PAGE>

PART II - OTHER INFORMATION

ITEM 1.       Legal Proceedings
              -----------------
              The Company is involved with various legal actions  arising in the
              ordinary  course of business.  Management  believes the outcome of
              these  matters  will have no material  effect on the  consolidated
              operations or  consolidated  financial  condition of WVS Financial
              Corp.

ITEM 2.       Changes in Securities
              ---------------------
              Not applicable.

ITEM 3.       Defaults Upon Senior Securities
              -------------------------------
              Not applicable.

ITEM 4.       Submission of Matters to a Vote of Security Holders
              ---------------------------------------------------

              (a) An annual  meeting of  stockholders  was held on  October  31,
                  2000.

              (b) Not applicable.

              (c) Two matters were voted upon at the annual stockholder  meeting
                  held on  October  31,  2000:  Item 1:  Proposal  to elect  two
                  directors for a four-year  term or until their  successors are
                  elected  and  qualified;   Item  2:  Proposal  to  ratify  the
                  appointment by the Board of Directors of S.R. Snodgrass,  A.C.
                  as the  Company's  independent  auditors  for the fiscal  year
                  ending June 30, 2001.

                  Each of the two proposals received stockholder  approval.  The
                  voting  record  with  respect  to  each  item  voted  upon  is
                  enumerated below:
<TABLE>
<CAPTION>
                      Item              Nominee
                     Number         (if Applicable)          For         Against    Abstain
                     ------         ---------------          ---         -------    -------
                       <S>       <C>                      <C>            <C>         <C>
                       1            David J. Bursic       2,406,556      50,434
                                    Donald E. Hook        2,430,593      26,397
                       2         Election of Auditors     2,438,269       8,836      9,885
</TABLE>


                  There were no broker non-votes cast with respect to any matter
                  voted upon.

              (d) Not applicable.

ITEM 5.       Other Information
              -----------------
              Not applicable.

ITEM 6.       Exhibits and Reports on Form 8-K
              --------------------------------
              (a) The following  exhibit is filed as part of this form 10-Q, and
                  this list includes the Exhibit Index.

              Number         Description                                   Page
              ------         -------------------------------               ----
                99           Independent Accountant's Report               E-1

              (b) Not applicable.



                                       21
<PAGE>


                                   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.

                                       WVS FINANCIAL CORP.




         February 12, 2001       BY: /s/ David J. Bursic
                                     -------------------------------------------
         Date                        David J. Bursic
                                     President and Chief Executive Officer
                                     (Principal Executive and Financial Officer)


         February 12, 2001       BY: /s/ Keith A. Simpson
                                     -------------------------------------------
         Date                        Keith A. Simpson
                                     Controller




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