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                                                                   EXHIBIT 10.11

                            ST. FRANCIS BANK, F.S.B.

                              EMPLOYMENT AGREEMENT


         THIS EMPLOYMENT AGREEMENT is effective as of January 1, 2000 between
St. Francis Bank, F.S.B. (the "Bank"), a federally-chartered savings and loan,
its successors and assigns, and Thomas R. Perz (the "Executive").


                                    RECITALS

         WHEREAS, Executive is a key employee, whose extensive background,
knowledge and experience in the savings and loan industry has substantially
benefited the Bank and whose continued employment as an executive member of its
management team in the positions of President and Chief Executive Officer
("Corporate Position") will continue to benefit the Bank in the future; and

         WHEREAS, the parties are mutually desirous of entering into this
Agreement setting forth the terms and conditions for the employment relationship
between the Bank (sometimes referred to herein as the "Employer"), and
Executive; and

         WHEREAS, the Board of Directors of the Employer has approved and
authorized the Bank's entry into this Agreement with Executive.

                                    AGREEMENT

         NOW, THEREFORE, in consideration of the mutual covenants and agreements
set forth below:

         1. Employment. The Bank shall continue to employ Executive, and
Executive shall continue to serve the Bank, on the terms, conditions and for the
period set forth in Section 2 of this Agreement.

         2. Term of Employment. The period of Executive's employment under this
Agreement shall begin as of October 1, 1999 (the Commencement Date) and expire
on the third anniversary of the date immediately preceding the Commencement
Date, unless sooner terminated as provided herein; provided that, on each date
immediately preceding the anniversary of the Commencement Date, the term of
employment may be extended by action of the Bank's Board of Directors, following
an explicit review by said Board of the Executive's performance under this
Agreement (with appropriate documentation thereof and after taking into account
all relevant factors including Executive's performance hereunder), to add one
additional year to the remaining term of employment annually restoring such term
to a full three-years. The Board of Directors or Executive shall each provide
the other with at least ninety (90) days' advance written notice of any decision
on their respective parts not to extend the Agreement on any date

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immediately preceding an anniversary of the Commencement Date. The term of
employment as in effect from time to time hereunder shall be referred to as the
"Employment Term".

         3. Positions and Duties. Executive shall serve the Bank in his
Corporate Position as President and Chief Executive Officer. As such, Executive
shall report directly to the Board of Directors, be elected to the Board of
Directors upon expiration of each term thereon while this Agreement remains in
effect, serve as a member of the Bank's Management Committee and be generally
responsible for selection and supervision of the Bank's management personnel and
for the formulation of its business and personnel policies, rendering executive,
policy-making and other management services of the type customarily performed by
persons serving in similar capacities at other institutions, together with such
other duties and responsibilities as may be appropriate to Executive's position
and as may be from time to time determined by the Bank's Board of Directors to
be necessary to their operations and in accordance with their bylaws.

         4. Compensation. As compensation for services provided pursuant to this
Agreement, Executive shall receive from the Bank the compensation and benefits
set forth below:

              (i) Base Salary. During the Employment Term, Executive shall
         receive from Employer a base salary ("Base Salary") in such amount as
         may from time to time be approved by its Board of Directors. The Base
         Salary shall at no time be less than $400,000 per annum, payable by the
         Bank; provided, however, that the Bank may receive reimbursement of
         some or all of such amount from St. Francis Capital Corporation (the
         "Company") as may be jointly determined by their respective Boards of
         Directors to appropriately reflect the allocation of Executives time
         and efforts between the Bank and Company. The Base Salary may be
         increased from time to time as determined by the Bank's Board of
         Directors, provided that no such increase in Base Salary or other
         compensation shall in any way limit or reduce any other obligation of
         the Employers under this Agreement. Once established at a specified
         annual rate, Executive's Base Salary shall not thereafter be reduced
         except as part of a general pro-rata reduction in compensation
         applicable to all Executive Officers; provided, however, that no such
         reduction shall be permitted following a "change in control" as defined
         herein. Executive's Base Salary and other compensation shall be paid in
         accordance with the Bank's regular payroll practices as from time to
         time in effect. For purposes of this Agreement, the term "Executive
         Officers" shall mean all officers of the Bank having a written
         Employment Agreement.

              (ii) Bonus and Incentive Plans. Executive shall be entitled,
         during the Employment Term, to participate in and receive payments from
         all Bank bonus and other incentive compensation plans (as currently in
         effect, as modified from time to time, or as subsequently adopted);
         provided, however, that nothing contained herein shall grant Executive
         the right to continue in any bonus or other incentive compensation plan
         following its discontinuance by the Board (except to the extent
         Executive had earned or otherwise accumulated vested rights therein
         prior to such discontinuance). In addition,


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         Executive shall participate in all stock purchase, stock option, stock
         appreciation right, stock grant, or other stock based incentive
         programs of any type made available by the Bank to their Executive
         Officers. The Employer shall not make any changes in such plans,
         benefits or privileges which would adversely affect Executive's rights
         or benefits thereunder, unless such change occurs pursuant to a program
         applicable to all Executive Officers of the Bank and does not result in
         a proportionately greater adverse change in the rights and benefits of
         Executive as compared with other Executive Officers.

              (iii) Other Benefits. During the Employment Term, the Bank shall
         provide to Executive all other benefits of employment (or, with
         Executive's consent, equivalent benefits) generally made available to
         other Executive Officers. Such benefits shall include participation in
         any group health, life, disability, or similar insurance program and in
         any pension, profit-sharing, Employee Stock Ownership Plan ("ESOP"),
         401(k) or other or similar retirement program. The Bank shall continue
         any individual insurance plans or deferred compensation agreements in
         effect on the Commencement Date and Executive shall be entitled to use
         of an automobile under the terms of such Employer automobile policy as
         is maintained in effect (or as it may be amended) from time to time.

                  Executive shall receive vacation, sick time, personal days and
         other perquisites in the same manner and to the same extent as provided
         under the Bank's policies as in effect from time to time for other
         Executive Officers. The Bank shall also reimburse Executive or
         otherwise provide for or pay all reasonable expenses incurred by
         Executive in furtherance of or in connection with the business of the
         Bank, including but not by way of limitation, travel expenses,
         reasonable entertainment expenses (whether incurred at Executive's
         residence, while traveling or otherwise) and tax preparation and
         financial consulting fees pursuant to established reimbursement
         guidelines, subject to such reasonable documentation and other
         limitations as may be imposed by the Boards of Directors of the Bank.

                  Nothing contained herein shall be construed as granting
         Executive the right to continue in any benefit plan or program, or to
         receive any other perquisite of employment provided under this
         subsection 4(iii) following termination or discontinuance of such plan,
         program or perquisite by the Board (except to the extent Executive had
         previously earned or accumulated vested rights therein).

         5. Termination Other Than Following a Change-In-Control. This Agreement
may be terminated, subject to payment of the compensation and other benefits
described below, upon occurrence of any of the events described herein. In case
of such termination, the date on which Executive ceases to be employed under
this Agreement, after giving effect to any prior notice requirement, is referred
to as the "Termination Date".

              (i) Death, Retirement. This Agreement shall terminate at the
         death or retirement of Executive. As used herein, the term "retirement"
         shall mean Executive's retirement in accordance with and pursuant to
         any retirement plan of the Employer

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         generally applicable to Executive Officers or in accordance with any
         retirement arrangement established for Executive with his consent.

         If termination occurs for such reason, no additional compensation shall
         be payable to Executive under this Agreement except as specifically
         provided herein. Notwithstanding anything to the contrary contained
         herein, Executive shall receive all compensation and other benefits to
         which he was entitled under Section 4 through the Termination Date and,
         in addition, shall receive all other benefits available to him under
         the Bank's benefit plans and programs to which he was entitled by
         reason of employment through the Termination Date.

              (ii) Disability. This Agreement shall terminate upon the
         disability of Executive. As used in this Agreement, "disability" shall
         mean Executive's inability, as the result of physical or mental
         incapacity, to substantially perform his employment duties for a period
         of 90 consecutive days. Any question as to the existence of Executive's
         disability upon which Executive and Employer cannot agree shall be
         determined by a qualified independent physician mutually agreeable to
         Executive and Employer or, if the parties are unable to agree upon a
         physician within ten (10) days after notice from either to the other
         suggesting a physician, by a physician designated by the then president
         of the medical society for the county in which Executive maintains his
         principal residence. The costs of any such medical examination shall be
         borne by the Employer. If Executive is terminated due to disability, he
         shall be paid 100% of his Base Salary at the rate in effect at the time
         notice of termination is given for one year and thereafter an annual
         amount equal to 75% of such Base Salary for any remaining portion of
         the Employment Term, such amounts to be paid in substantially equal
         monthly installments and offset by any monthly payments actually
         received by Executive during the payment period from (i) any disability
         plans provided by the Employers, and/or (ii) any governmental social
         security or workers compensation program.

              If termination occurs for such reason, no additional compensation
         shall be payable to Executive except as specifically provided herein.
         Notwithstanding anything to the contrary contained herein, Executive
         shall receive all compensation and other benefits to which he was
         entitled under Section 4 through the Termination Date and, in addition,
         shall receive all other benefits under the Bank's benefit plans and
         programs to which he was entitled by reason of employment through the
         Termination Date.

              (iii) Cause. Employer may terminate Executive's employment
         under this Agreement for cause at any time, and thereafter their
         obligations under this Agreement shall cease and terminate.
         Notwithstanding anything to the contrary contained herein, Executive
         shall receive all compensation and other benefits in which he was
         vested or to which he was otherwise entitled under Section 4, and the
         plans and programs provided therein, by reason of employment through
         the Termination Date.

              For purposes of this Agreement, "Cause" shall mean:


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              (A)   The intentional failure by Executive to substantially
                    perform assigned duties (appropriate to his position and
                    level of compensation) with the Bank (other than any such
                    failure resulting from the Executive's incapacity due to
                    physical or mental illness) after a written demand for
                    substantial performance is delivered to Executive by the
                    Board, which demand specifically identifies the manner in
                    which the Board believes Executive has not substantially
                    performed his duties, advises Executive of what steps must
                    be taken to achieve substantial performance, and allows
                    Executive Sixty (60) days in which to demonstrate such
                    performance;

              (B)   Any willful act of misconduct by Executive;

              (C)   A criminal conviction of Executive for any act involving
                    dishonesty, breach of trust or a violation of the banking or
                    savings and loan laws of the United States;

              (D)   A criminal conviction of Executive for the commission of any
                    felony;

              (E)   A breach of fiduciary duty involving personal profit;

              (F)   A willful violation of any law, rule or regulation (other
                    than a traffic violation or similar offenses) or final cease
                    and desist order; or

              (G)   Personal dishonesty or material breach of any provision of
                    this Agreement.

              For purposes of this Subsection (5)(iii), no act, or failure to
         act, on Executive's part shall be deemed "willful" unless done, or
         omitted to be done, by Executive not in good faith and without
         reasonable belief that the action or omission was in the best interest
         of the Employer.

              (iv) Voluntary Termination by Executive. Executive may voluntarily
         terminate his employment under this Agreement at any time by giving at
         least thirty (30) days prior written notice to the Bank. In such event,
         Executive shall receive all compensation and other benefits in which he
         was vested or to which he was otherwise entitled under Section 4
         through the date specified in such notice (the "Termination Date"), in
         addition to all other benefits available to him under benefit plans and
         programs to which he was entitled by reason of employment through the
         Termination Date.

              (v)   Suspension or Termination Required by the OTS

              (A)   If Executive is suspended and/or temporarily prohibited from
                    participating in the conduct of the Bank's affairs by a
                    notice served under section 8(e)(3), or section 8(g)(1), of
                    the Federal Deposit Insurance Act [12 U.S.C. ss. 1818(e)(3)
                    and (g)(1)], the Bank's obligations under the Agreement
                    shall

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                    be suspended as of the date of service of the notice unless
                    stayed by appropriate proceedings. If the charges in the
                    notice are dismissed, the Employer shall (i) pay Executive
                    all of the compensation withheld while their obligations
                    under this Agreement were suspended, and (ii) reinstate such
                    obligations as were suspended.

              (B)   If Executive is removed and/or permanently prohibited from
                    participating in the conduct of the Bank's affairs by an
                    order issued under section 8(e)(4) or section 8(g)(1) of the
                    Federal Deposit Insurance Act [12 U.S.C. ss. 1818(e)(4) or
                    (g)(1)], the obligations of the Employer under the Agreement
                    shall terminate as of the effective date of the order, but
                    vested rights of the contracting parties shall not be
                    affected.

              (C)   If the Bank is in default as defined in section 3(x)(1) of
                    the Federal Deposit Insurance Act [12 U.S.C. ss. 1813
                    (x)(1)], all obligations under the Agreement shall terminate
                    as of the date of default, but this paragraph shall not
                    affect any vested rights of the Executive.

              (D)   All obligations under the Agreement shall be terminated,
                    except to the extent determined that continuation of the
                    contract is necessary for the Employers' continued
                    operations (i) by the Director of the OTS, or his or her
                    designee at the time the FDIC or Resolution Trust
                    Corporation ("RTC") enters into an agreement to provide
                    assistance to or on behalf of the Employers under the
                    authority contained in section 13(c) of the Federal Deposit
                    Insurance Act; or (ii) by the Director of the OTS, or his or
                    her designee, at the time it approves a supervisory merger
                    to resolve problems related to operation of the Employer or
                    when the Employer is determined by the Director of the OTS
                    to be in an unsafe or unsound condition. Any rights of the
                    parties that have already vested, however, shall not be
                    affected by such action.

              (E)   In the event that 12 C.F.R. ss. 563.39, or any successor
                    regulation, is repealed, this section 5(v) shall cease to be
                    effective on the effective date of such repeal. In the event
                    that 12 C.F.R. ss. 563.39, or any successor regulation, is
                    amended or modified, this Agreement shall be revised to
                    reflect the amended or modified provisions if: (1) the
                    amended or modified provision is required to be included in
                    this Agreement; or (2) if not so required, the Executive
                    requests that the Agreement be so revised.

              (vi) Other Termination. If this Agreement is terminated (1) by the
         Employer other than for cause, death, disability or retirement (and
         other than following a change in control as defined in Section 6), or
         (2) by Executive due to a failure by Employer to comply with any
         material provision of this Agreement, which failure has not been cured
         within thirty (30) days after notice of such non-compliance has been
         given by Executive to Employer; then following the Termination Date:


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              (A)   In lieu of any further salary payments to Executive
                    subsequent to the Termination Date, Executive shall receive
                    Severance Pay for a twenty-four (24) month period in
                    accordance with the Bank's normal payroll practices,
                    beginning with the first pay date following the Termination
                    Date. The monthly rate of Severance Pay shall be the monthly
                    Base Salary received by Executive (based on his highest rate
                    of Base Salary within the 3 years preceding his Termination
                    Date) plus one-twelfth of the total bonus and incentive
                    compensation paid to or vested in Executive on the basis of
                    his most recently completed calendar year of employment.

              (B)   Employer shall maintain and provide for the period during
                    which Severance Payments are to be made and ending at the
                    earlier of (i) the expiration of such period, or (ii) the
                    date of the Executive's full-time employment by another
                    employer (provided that the Executive is entitled under the
                    terms of such employment to benefits substantially similar
                    to those described in this subparagraph (B)), at no cost to
                    the Executive, the Executive's continued participation in
                    all group insurance, life insurance, health and accident,
                    disability and other employee benefit plans, programs and
                    arrangements in which Executive was entitled to participate
                    immediately prior to the Termination Date (other than
                    retirement plans, deferred compensation, or stock
                    compensation plans of the Employer), provided that in the
                    event Executive's participation in any plan, program or
                    arrangement as provided in this subparagraph (B) is barred,
                    or during such period any such plan, program or arrangement
                    is discontinued or the benefits thereunder are materially
                    reduced, the Employer shall arrange to provide the Executive
                    with benefits substantially similar to those which the
                    Executive was entitled to receive under such plans, programs
                    and arrangements immediately prior to the Termination Date.

              (C)   In addition to such Severance Pay and continued benefits,
                    Executive shall receive all other compensation and benefits
                    in which he was vested or to which he was otherwise entitled
                    under Section 4 and the plans and programs provided therein
                    by reason of employment through the Termination Date.

         6. Termination by Executive After Change in Control.

              (i) Definition "Change in Control". For purposes of this
         Agreement, a "change in control" shall mean any change in control with
         respect to the Bank or Company that would be required to be reported in
         response to Item 6(e) of Schedule 14A of Regulation 14A promulgated
         under the Securities Exchange Act of 1934, as amended ("Exchange Act")
         or any successor thereto; provided that, without limitation, a change
         in control shall be deemed to have occurred if (i) any "person" (as
         such term is used in Sections 13(d) and 14(d) of the Exchange Act) is
         or becomes the "beneficial owner" (as defined in Rule 13d-3 under the
         Exchange Act), directly or indirectly, of securities


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         representing 25% or more of the combined voting power of the Bank's or
         Company's then outstanding securities; or (ii) during any period of two
         consecutive years, individuals who at the beginning of such period
         constituted the Board of Directors of the Bank or Company cease for any
         reason to constitute at least a majority thereof unless the election,
         or the nomination for election by stockholders, of each new director
         was approved by a vote of at least two-thirds of the directors then
         still in office who were directors at the beginning of the period.

              (ii) Good Reason for Executive Termination. The Executive may
         terminate his employment under this Agreement for "good reason" by
         giving at least thirty (30) days prior written notice to the Bank at
         any time within twenty-four (24) months of the effective date of a
         change in control. Occurrence of any of the following events shall
         constitute good reason:

              (A)   Without the Executive's express written consent, assignment
                    by the Employer of any duties which are materially
                    inconsistent with Executive's positions, duties,
                    responsibilities and status with the Employer immediately
                    prior to a change in control, or a material change in the
                    Executive's reporting responsibilities, titles or offices as
                    in effect immediately prior to such change in control, or
                    any removal of the Executive from or any failure to re-elect
                    the Executive to all or any portion of his Corporate
                    Position, except in connection with a termination of
                    Executive's employment for cause, disability, retirement or
                    death (or by the Executive other than for good reason as
                    defined in this section 6(B)).

              (B)   Without the Executive's express written consent, a reduction
                    by the Employer in the Executive's Base Salary as in effect
                    on the date of the change in control or as the same may have
                    been increased from time to time thereafter;

              (C)   The principal executive offices of either of the Employer
                    are relocated outside of the Milwaukee, Wisconsin
                    metropolitan area or, without the Executive's express
                    written consent, the Employer requires the Executive to be
                    based anywhere other than an area in which the Bank's
                    principal executives offices are located, except for
                    required travel on business of the Employer to an extent
                    substantially consistent with the Executive's present
                    business travel obligations;

              (D)   Without Executive's express written consent, the Employer
                    fails or refuses to continue Executive's participation in
                    incentive compensation and stock incentive programs
                    comparable to either (1) those in effect prior to the change
                    in control or (2) those subsequently in effect for the
                    senior executives of any acquiring company effecting the
                    change in control;

              (E)   Without Executive's express written consent, Employer fails
                    to provide


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                    the same fringe benefits provided to Executive immediately
                    prior to a change in control, or with a package of fringe
                    benefits (including paid vacations) that, though individual
                    benefits may vary from those in effect immediately prior to
                    such change in control, is substantially comparable in all
                    material respects to such fringe benefits taken as a whole;

              (F)   Any termination of Executive's employment by the Employer,
                    including any purported termination for cause, disability or
                    retirement not effected in accordance with the notice
                    requirements of this Agreement; or

              (G)   Failure by either of the Employer to obtain the assumption
                    of, or an agreement to perform this Agreement by any
                    successor as contemplated in Section 7(i) hereof;

              (iii) Benefits Upon Termination by Executive After a "Change in
         Control". If this Agreement is terminated by Executive for good reason
         following a change in control, then following the Termination Date:

              (A)   In lieu of further salary payments subsequent to the
                    Termination Date, shall receive Severance Pay for the longer
                    of (i) the remaining unexpired term of the agreement as in
                    effect immediately prior to the Termination Date, or (ii)
                    thirty-six (36) months. Payments shall be made in accordance
                    with Employer's normal payroll practices, beginning with the
                    first pay date following the Termination Date. Monthly
                    Severance Pay shall be the average monthly Base Salary
                    received by Executive (based on his highest rate of Base
                    Salary within the 3 years preceding his Termination Date)
                    plus one-twelfth of the total bonus and incentive
                    compensation paid to or vested in Executive or to which
                    Executive becomes entitled (based on the average of such
                    bonus and incentive compensation for the 3 calendar years
                    preceding his Termination Date).

              (B)   The Bank shall maintain and provide for the period during
                    which Severance Payments are to be made and ending at the
                    earlier of (i) the expiration of such period, or (ii) the
                    date of the Executive's full-time employment by another
                    employer (provided that the Executive is entitled under the
                    terms of such other employment to benefits substantially
                    similar to those described in this subparagraph (B)), at no
                    cost to the Executive, the Executive's continued
                    participation in all group insurance, life insurance, health
                    and accident, disability and other employee benefit plans,
                    programs and arrangements in which the Executive was
                    entitled to participate immediately prior to the Termination
                    Date (other than retirement and deferred compensation plans
                    and individual insurance policies covered under subsection
                    6(C) or stock compensation plans of the Employers), provided
                    that in the event Executive's participation in any plan,
                    program or arrangement as provided in this subparagraph (B)
                    is

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                    barred, or during such period any such plan, program or
                    arrangement is discontinued or the benefits thereunder are
                    materially reduced, the Employer shall arrange to provide
                    Executive with benefits substantially similar to those
                    Executive was entitled to receive under such plans, programs
                    and arrangements immediately prior to the Termination Date.

              (C)   Executive shall also receive all other compensation and
                    benefits in which he was vested or to which he was otherwise
                    entitled under section 4 and the plans and programs provided
                    therein by reason of employment through the Termination
                    Date. In addition to benefits to which Executive is entitled
                    under retirement and deferred compensation plans and
                    individual insurance policies maintained by the Bank
                    (hereinafter collectively referred to as "Plan"), Executive
                    shall receive as additional severance benefits a benefit
                    paid under this Agreement, which benefit shall be determined
                    in accordance with and paid under this Agreement, but in the
                    form and at the times provided in the Plan. Such benefits
                    shall be determined as if Executive were fully vested under
                    the Plan and had accumulated (after any termination under
                    this Agreement) the additional years of credit service under
                    the applicable Plan that he would have received had he
                    continued in the employment of the Bank for the period
                    during which Severance Payments are to be made and at the
                    annual compensation level represented by such payments. Such
                    Severance Payment level shall be deemed to represent the
                    compensation received by Executive during each such
                    additional year for purposes of determining his additional
                    benefits under this Subsection 6(C).

              (iv) Limitation of Benefits under Certain Circumstances. If the
         severance benefits payable to Executive under this Section 6
         ("Severance Benefits"), or any other payments or benefits received or
         to be received by Executive from Employer (whether payable pursuant to
         the terms of this Agreement, any other plan, agreement or arrangement
         with the Employer or any corporation affiliated with the Employer
         ("Affiliate") within the meaning of Section 1504 of the Internal
         Revenue Code of 1954, as amended (the "Code")), in the opinion of tax
         counsel selected by the Bank's independent auditors and acceptable to
         Executive, constitute "parachute payments" within the meaning of
         Section 280G(b)(2) of the Code, and the present value of such
         "parachute payments" equals or exceeds three times the average of the
         annual compensation payable to Executive by the Employer (or an
         Affiliate) and includable in Executive's gross income for federal
         income tax purposes for the five (5) calendar years preceding the year
         in which a change in ownership or control of the Employers occurred
         ("Base Amount"), such Severance Benefits shall be reduced, in a manner
         determined by Executive, to an amount the present value of which (when
         combined with the present value of any other payments or benefits
         otherwise received or to be received by Executive from the Employer (or
         an Affiliate) that are deemed "parachute payments") is equal to 2.99
         times the Base Amount, notwithstanding any other provision to the
         contrary in this


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         Agreement. The Severance Benefits shall not be reduced if (A) Executive
         shall have effectively waived his receipt or enjoyment of any such
         payment or benefit which triggered the applicability of this Section
         6(iv), or (B) in the opinion of such tax counsel, the Severance
         Benefits (in its full amount or as partially reduced, as the case may
         be) plus all other payments or benefits which constitute "parachute
         payments" within the meaning of Section 280G(b)(2) of the Code are
         reasonable compensation for services actually rendered, within the
         meaning of Section 280G (b)(4) of the code, and such payments are
         deductible by the Employer. The Base Amount shall include every type
         and form of compensation includable in Executive's gross income in
         respect of his employment by the Employers (or an Affiliate), except to
         the extent otherwise provided in temporary or final regulations
         promulgated under Section 280G (b) of the Code. For purposes of this
         Section 6(iv), a "change in ownership or control" shall have the
         meaning set forth in Section 280G(b) of the Code and any temporary or
         final regulations promulgated thereunder. The present value of any
         non-cash benefit or any deferred cash payment shall be determined by
         the Bank's independent auditors in accordance with the principles of
         Sections 280G (b)(3) and (4) of the Code, with the value of any amount
         by which the Severance Benefits payable under this Agreement are
         reduced pursuant to this Section 6 and/or the value of any other
         benefit not provided plus any other amount not paid by the Bank, the
         Company, or any plan maintained by either (regardless of its source)
         being referred to collectively herein as the Unpaid Severance.

              In the event that Bank and/or the Executive do not agree with the
         opinion of such counsel, (A) Employers shall pay to the Executive the
         maximum amount of payments and benefits pursuant to Section 6, as
         selected by the Executive, which in the opinion of counsel may be made
         without a substantial risk that such payments and benefits will be
         treated as non-deductible to the Employer and subject to the excise tax
         imposed under Section 4999 of the Code and (B) Employer may request,
         and Executive shall have the right to demand the Employer request, a
         ruling from the IRS as to whether the disputed payments and benefits
         pursuant to Section 6 hereof have such consequences. Any such request
         for a ruling from the IRS shall be promptly prepared and filed by the
         Employer, but in no event later than thirty (30) days from the date of
         the opinion of counsel referred to above, and shall be subject to
         Executive's approval prior to filing, which shall not be unreasonably
         withheld. Employer and Executive agree to be bound by any ruling
         received from the IRS and to make appropriate payments to each other to
         reflect any such rulings, together with interest at the applicable
         federal rate provided for in Section 7872(f)(2) of the Code. Nothing
         contained herein shall result in a reduction of any payments or
         benefits to which the Executive may be entitled upon termination of
         employment under any circumstances other than as specified herein or a
         reduction in payments and benefits other than those provided in this
         Section 6.

              In the event that Section 280G, or any successor statute, is
         repealed, this Section 6 shall cease to be effective on the effective
         date of such repeal. The parties to this Agreement recognize that final
         regulations under Section 280G of the Code may affect the amounts that
         may be paid under this Agreement and agreed that, upon issuance of


                                      -11-
<PAGE>   12

         such final regulations this Agreement may be modified as in good faith
         deemed necessary in light of the provisions of such regulations to
         achieve the purposes of this Agreement, and that consent to such
         modifications shall not be unreasonably withheld.

         7. General Provisions.

              (C)   Successors; Binding Agreement.


              (A)   Employer will require any successor (whether direct or
                    indirect, by purchase, merger, consolidation or otherwise)
                    to all or substantially all of the business and/or assets of
                    the Employer ("successor organization") to expressly assume
                    and agree to perform this Agreement in the same manner and
                    to the same extent that Employer would have been required to
                    perform if no such succession had taken place or to
                    re-execute this Agreement as provided pursuant to section
                    6(ii)(G). If such succession is the result of a "change in
                    control" as defined herein, such assumption shall
                    specifically preserve to Executive, for the greater of
                    twenty-four (24) months or the then remaining term of this
                    Agreement, the same rights and remedies (recognizing them as
                    being available and applicable as the result of the "change
                    in control" effectuating said succession) as provided under
                    this Agreement upon a "change in control".

                         As used in this Agreement "Employer" shall mean the
                    Bank as hereinbefore defined (and any successor to its
                    business and/or assets) which executes and delivers the
                    agreement provided for in this Section 7 or which otherwise
                    becomes bound by the terms and provisions of this Agreement
                    by operation of this Agreement or law. Failure of the
                    Employer to obtain such agreement prior to the effectiveness
                    of any such succession shall be a breach of this Agreement
                    and shall entitle Executive, if he elects to terminate this
                    Agreement, to compensation from the Employer in the same
                    amount and on the same terms as he would be entitled to
                    under this Agreement if he terminated his employment under
                    Section 6. For purposes of implementing the foregoing, the
                    date on which any such succession becomes effective shall be
                    deemed the Termination Date.

              (B)   No right or interest to or in any payments or benefits under
                    this agreement shall be assignable or transferable in any
                    respect by the Executive, nor shall any such payment, right
                    or interest be subject to seizure, attachment or creditor's
                    process for payment of any debts, judgments, or obligations
                    of Executive.

              (C)   This Agreement shall be binding upon and inure to the
                    benefit of and be enforceable by (1) Executive and his
                    heirs, beneficiaries and personal


                                      -12-
<PAGE>   13

                    representatives, and (2) the Employer and any successor
                    organization.

              (ii) Noncompetition Provision. Executive acknowledges that the
         development of personal contacts and relationships is an essential
         element of the savings and loan business, that the Bank has invested
         considerable time and money in his development of such contacts and
         relationships, that the Bank could suffer irreparable harm if he were
         to leave employment and solicit the business of the Bank's customers,
         and that it is reasonable to protect the Employers against competitive
         activities by Executive. Executive covenants and agrees, in recognition
         of the foregoing and in consideration of the mutual promises contained
         herein, that in the event of a voluntary termination of employment by
         Executive pursuant to Section 5(iii), or upon expiration of this
         Agreement as a result of Executive's election (but not as the result of
         an election by the Bank) not to continue automatic annual renewals,
         Executive shall not accept employment with any Significant Competitor
         of the Bank for a period of twelve (12) months following such
         termination. For purposes of this Agreement, the term Significant
         Competitor means any financial institution including, but not limited
         to, any commercial bank, savings bank, savings and loan association,
         credit union, or mortgage banking corporation which, at the time of
         termination of Executive's employment, or during the period of this
         covenant not to compete, has a home, branch or other office in
         Milwaukee County or which has, during the twelve (12) months preceding
         Executive's termination, originated, or which during the period of this
         covenant not to compete originates, more than $50,000,000 in commercial
         or mortgage loans secured by real property in any such county.

              Executive agrees that the non-competition provisions set forth
         herein are necessary for the protection of the Bank and are reasonably
         limited as to (i) the scope of activities affected, (ii) their duration
         and geographic scope, and (iii) their effect on Executive and the
         public. In the event Executive violates the non-competition provisions
         set forth herein, the Bank shall be entitled, in addition to its other
         legal remedies, to enjoin the employment of Executive with any
         Significant Competitor for the period set forth herein. If Executive
         violates this covenant and the Bank brings legal action for injunctive
         or other relief, the Bank shall not, as a result of the time involved
         in obtaining such relief, be deprived of the benefit of the full period
         of the restrictive covenant. Accordingly, the covenant shall be deemed
         to have the duration specified herein, computed from the date such
         relief is granted, but reduced by any period between commencement of
         the period and the date of the first violation.

              (iii) Notice. For purposes of this Agreement, notices and all
         other communications provided for in the Agreement shall be in writing
         and shall be deemed to have been duly given when delivered or mailed by
         United States registered mail, return receipt requested, postage
         prepaid, addressed as follows:


                                      -13-
<PAGE>   14


                  If to the Bank:
                  St. Francis Bank, F.S.B.
                  13400 Bishops Lane
                  Brookfield, WI 53005

                  If to the Executive:
                  Mr. Thomas R. Perz
                  2326 Misty Lane
                  Waukesha, WI 53186

         or to such other address as either party may have furnished to the
         other in writing in accordance herewith, except that notice of change
         of address shall be effective only upon receipt.

              (iv) Expenses. If any legal proceeding is necessary to enforce or
         interpret the terms of this Agreement (or to recover damages for breach
         of it) in the absence of a change in control, the prevailing party
         shall be entitled to recover from the other party reasonable attorneys'
         fees and necessary costs and disbursements incurred in such litigation,
         in addition to any other relief to which such prevailing party may be
         entitled.

              Notwithstanding the foregoing, in the event of a legal proceeding
         to enforce or interpret the terms of this Agreement following a change
         in control or a re-execution of this Agreement pursuant to section
         6(ii)(G), the only recoverable costs shall be those which Executive
         shall be entitled to recover from the Bank (i.e. reasonable attorneys'
         fees and necessary costs and disbursements incurred in such
         litigation), which fees shall be recoverable only if the Executive is
         the prevailing party. Recovery of attorneys' fees and costs as provided
         herein following a change in control or re-execution shall be in
         addition to any other relief to which Executive may be entitled.

              (v) Withholding. The Bank shall be entitled to withhold from
         amounts to be paid to Executive under this Agreement any federal,
         state, or local withholding or other taxes or charges which it is from
         time to time required to withhold. The Bank shall be entitled to rely
         on an opinion of counsel if any question as to the amount or
         requirement of any such withholding shall arise.

              (vi) Notice of Termination. Any purported termination by the Bank
         under Sections 5(i), (ii), (iii) or (iv), or by Executive under
         Sections 5(vi) or 6(ii) shall be communicated by written "Notice of
         Termination" to the other party. For purposes of this Agreement, a
         "Notice of Termination" shall mean a dated notice which (i) indicates
         the specific termination provision in this Agreement relied upon, (ii)
         sets forth in reasonable detail the facts and circumstances claimed to
         provide a basis for termination under the provision so indicated, (iii)
         specifies a Date of Termination, which shall be not less than thirty
         (30) nor more than ninety (90) days after such Notice of Termination is


                                      -14-

<PAGE>   15

         given, except in the case of termination of Executive's employment for
         Cause; and (iv) is given in the manner specified in Section 7(iii) of
         this Agreement.

              (vii) Miscellaneous. No provision of this Agreement may be
         amended, waived or discharged unless such amendment, waiver or
         discharge is agreed to in writing and signed by Executive and such
         officers of the Bank as may be specifically designated by the Board. No
         waiver by either party hereto at any time of any breach by the other
         party hereto of, or compliance with, any condition or provision of this
         Agreement to be performed by such other party shall be deemed a waiver
         of similar or dissimilar provisions or conditions at the same or at any
         prior or subsequent time. No agreements or representations, oral or
         otherwise, express or implied, with respect to the subject matter
         hereof have been made by either party which are not expressly set forth
         in this Agreement and it is agreed that execution of this Agreement
         shall result in its superseding and extinguishing any rights of
         Executive under any other employment agreement previously in effect
         between himself, the Employers, or any of their affiliates; provided,
         however, that nothing contained herein shall supercede or extinguish
         any additional written agreement of employment between the Executive
         and the Company. The validity, interpretation, construction and
         performance of this Agreement shall be governed by the laws of the
         State of Wisconsin.

              (viii) Mitigation; Exclusivity of Benefits. The Executive shall
         not be required to mitigate the amount of any benefits hereunder by
         seeking other employment or otherwise, nor shall the amount of any such
         benefits be reduced by any compensation earned by the Executive as a
         result of employment by another employer after the Termination Date or
         otherwise.

              (ix) (ix) Validity. The invalidity or unenforceability of any
         provision of this Agreement shall not affect the validity or
         enforceability of any other provision of this Agreement, which shall
         remain in full force and effect.

              (x) Counterparts. This Agreement may be executed in several
         counterparts, each of which together will constitute one and the same
         instrument.

              (xi) Headings. Headings contained in this Agreement are for
         reference only and shall not affect the meaning or interpretation of
         any provision of this Agreement.

              (xii) Effective Date. The effective date of this Agreement shall
         be the date indicated in the first section of this Agreement,
         notwithstanding the actual date of execution by any party.




                                      -15-
<PAGE>   16

         IN WITNESS WHEREOF, the undersigned have duly executed this Agreement
as of this 19th day of January, 2000.

                                  Executive:


                                  /s/ Thomas R. Perz
                                  --------------------------------------------
                                  Thomas R. Perz



                                  ST. FRANCIS BANK, F.S.B.



                                  By: /s/ Judith M. Gauvin
                                    ------------------------------------------

                                  Its: Senior Vice President - Human Resources
                                     -----------------------------------------




                                      -16-