----

----

|                                                   | BROOKLYN FEDERAL BANCORP, INC. |   |
|--------------------------------------------------------|--------------------------------|--------|
| (Exact name of registrant as specified in its charter) |

|                            | Federal |                         |   |   | 20-2659598 |   |
|---------------------------------|---------|------------------------------|--------|--------|------------|--------|
| (State or other jurisdiction of |    |  (I.R.S. Employer       |
| incorporation or organization)  |    |  Identification Number) |

| 81 Court Street, Brooklyn, New York                  |   |                    |   | 11201 |   |
|------------------------------------------------------|--------|-------------------------|--------|-------|--------|
|   (Address of principal executive offices) |   |    (Zip Code) |

|   | Large Accelerated Filer | o | Accelerated Filer         | o |
|--------|-------------------------|---|---------------------------|---|
|   | Non-accelerated Filer   | o | Smaller Reporting Company | x |

| Common Stock, $.01 Par Value |   | 12,889,344                     |
|------------------------------|--------|--------------------------------|
| Class                        |   | Outstanding at August 16, 2010 |

----

----

|           | Page Number                                                                                 |
|----------------|---------------------------------------------------------------------------------------------|
|           |                                                                                        |
|           | PART I.                                                                                     |
|           |                                                                                        |
|           |                                                                                        |   |   |
| Item 1.        | Financial Statements                                                                        |   | 1 |
| Item 2.        | Management’s Discussion and Analysis of Financial Condition and Results of Operations |   | 23 |
| Item 3.        | Quantitative and Qualitative Disclosures About Market Risk                                  |   | 39 |
| Item 4.        | Controls and Procedures                                                                     |   | 39 |
|           |                                                                                        |   |   |
|           | PART II.                                                                                    |   |   |
|           |                                                                                        |   |   |
| Item 1.        | Legal Proceedings                                                                           |   | 40 |
| Item 1A.       | Risk Factors                                                                                |   | 40 |
| Item 2.        | Unregistered Sales of Equity Securities and Use of Proceeds                                 |   | 42 |
| Item 3.        | Defaults Upon Senior Securities                                                             |   | 42 |
| Item 4.        | (Reserved)                                                                                  |   | 42 |
| Item 5.        | Other Information                                                                           |   | 43 |
| Item 6.        | Exhibits                                                                                    |   | 43 |
|           |                                                                                        |   |   |
| Signature Page |                                                                                        | 44 |

----

|                                                                                                                                   |   | (Restated)  |    |   |          |   |
|----------------------------------------------------------------------------------------------------------------------------------------|--------|-------------|---------|--------|---------------|--------|
|                                                                                                                                   |   | June 30,    |    |   | September 30, |   |
|                                                                                                                                   |   | 2010        |    |   | 2009          |   |
|                                                                                                                                   |   | (unaudited) |    |   | (audited)     |   |
| Assets                                                                                                                                 |   |        |    |   |          |   |   |   |
| Cash and due from banks (including interest-earning balances of $5,553 and $2,102, respectively)                                       |   | $           | 8,950   |   |          | $      | 3,472 |   |
| Securities:                                                                                                                            |   |        |    |   |          |   |   |   |
| Available-for-sale                                                                                                                     |   |        | 74,591  |   |          |   | 3,305 |   |
| Held-to-maturity (estimated fair value of $59,334 at September 30, 2009)                                                               |   |        | -       |   |          |   | 66,201 |   |
| Total securities                                                                                                                       |   |        | 74,591  |   |          |   | 69,506 |   |
| Loans receivable                                                                                                                       |   |        | 405,749 |   |          |   | 430,435 |   |
| Less: Allowance for loan losses                                                                                                        |   |        | 21,548  |   |          |   | 10,750 |   |
| Loans receivable, net                                                                                                                  |   |        | 384,201 |   |          |   | 419,685 |   |
| Federal Home Loan Bank of New York (“FHLB”) stock, at cost                                                                 |   |        | 1,970   |   |          |   | 2,382 |   |
| Bank owned life insurance                                                                                                              |   |        | 9,790   |   |          |   | 9,511 |   |
| Accrued interest receivable                                                                                                            |   |        | 2,187   |   |          |   | 2,799 |   |
| Premises and equipment, net                                                                                                            |   |        | 1,853   |   |          |   | 2,030 |   |
| Deferred tax asset                                                                                                                     |   |        | 22,943  |   |          |   | 10,330 |   |
| Prepaid expenses and other assets                                                                                                      |   |        | 7,248   |   |          |   | 1,730 |   |
| Total assets                                                                                                                           |   | $           | 513,733 |   |          | $      | 521,445 |   |
|                                                                                                                                   |   |        |    |   |          |   |   |   |
| Liabilities and Stockholders’ Equity                                                                                             |   |        |    |   |          |   |   |   |
| Liabilities:                                                                                                                           |   |        |    |   |          |   |   |   |
| Deposits:                                                                                                                              |   |        |    |   |          |   |   |   |
| Non-interest-bearing deposits                                                                                                          |   | $           | 16,861  |   |          | $      | 16,595 |   |
| Interest-bearing deposits                                                                                                              |   |        | 155,844 |   |          |   | 134,664 |   |
| Certificates of deposit                                                                                                                |   |        | 255,428 |   |          |   | 250,811 |   |
| Total deposits                                                                                                                         |   |        | 428,133 |   |          |   | 402,070 |   |
| Borrowings                                                                                                                             |   |        | 15,200  |   |          |   | 27,300 |   |
| Advance payments by borrowers for taxes and insurance                                                                                  |   |        | 1,595   |   |          |   | 2,142 |   |
| Accrued expenses and other liabilities                                                                                                 |   |        | 5,640   |   |          |   | 8,059 |   |
| Total liabilities                                                                                                                      |   |        | 450,568 |   |          |   | 439,571 |   |
| Stockholders’ equity:                                                                                                            |   |        |    |   |          |   |   |   |
| Preferred stock, $0.01 par value, 1,000,000 shares authorized; none issued                                                             |   |        | --      |   |          |   | -- |   |
| Common stock, $0.01 par value, 20,000,000 shares authorized; 13,484,210 issued and 12,889,344 and 12,890,754 outstanding, respectively |   |        | 135     |   |          |   | 135 |   |
| Additional paid-in capital                                                                                                             |   |        | 43,135  |   |          |   | 43,112 |   |
| Retained earnings - substantially restricted                                                                                           |   |        | 30,648  |   |          |   | 52,671 |   |
| Treasury shares - at cost, 594,866 shares and 593,456 shares, respectively                                                             |   |        | (7,720  | )      |          |   | (7,707 | ) |
| Unallocated common stock held by employee stock ownership plan (“ESOP”)                                                    |   |        | (2,275  | )      |          |   | (2,394 | ) |
| Unallocated shares of the stock-based incentive plan                                                                                   |   |        | (297    | )      |          |   | (417 | ) |
| Accumulated other comprehensive loss:                                                                                                  |   |        |    |   |          |   |   |   |
| Net unrealized loss on securities, net of income tax                                                                                   |   |        | (461    | )      |          |   | (3,526 | ) |
| Total stockholders’ equity                                                                                                       |   |        | 63,165  |   |          |   | 81,874 |   |
|      Total liabilities and stockholders' equity                                                               |   | $           | 513,733 |   |          | $      | 521,445 |   |

----

|                                                 |   | For the Three Months Ended |       |   | For the Nine Months Ended |   |
|------------------------------------------------------|--------|----------------------------|------------|--------|---------------------------|--------|
|                                                 |   | June 30,                   |       |   | June 30,                  |   |
|                                                 |   | (Restated)                 |       |   |                      |   |   | (Restated) |   |   |   |   |
|                                                 |   | 2010                       |       |   | 2009                      |   |   | 2010 |   |   | 2009 |   |
| Interest income:                                     |   |                       |       |   |                      |   |   |   |   |   |   |   |
| First mortgage and other loans                       |   | $                          | 6,292      |   |                      | $      | 7,800 |   |   | $ | 20,387 |   |   | $ | 22,380 |   |
| Mortgage-backed securities                           |   |                       | 822        |   |                      |   | 924 |   |   |   | 2,594 |   |   |   | 2,796 |   |
| Other securities and interest-earning assets         |   |                       | 55         |   |                      |   | 96 |   |   |   | 229 |   |   |   | 246 |   |
| Total interest income                                |   |                       | 7,169      |   |                      |   | 8,820 |   |   |   | 23,210 |   |   |   | 25,422 |   |
|                                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Interest expense:                                    |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Deposits                                             |   |                       | 1,757      |   |                      |   | 2,313 |   |   |   | 5,772 |   |   |   | 7,273 |   |
| Borrowings                                           |   |                       | 68         |   |                      |   | 64 |   |   |   | 173 |   |   |   | 281 |   |
| Total interest expense                               |   |                       | 1,825      |   |                      |   | 2,377 |   |   |   | 5,945 |   |   |   | 7,554 |   |
|                                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Net interest income before provision for loan losses |   |                       | 5,344      |   |                      |   | 6,443 |   |   |   | 17,265 |   |   |   | 17,868 |   |
| Provision for loan losses                            |   |                       | 9,749      |   |                      |   | 376 |   |   |   | 33,626 |   |   |   | 1,216 |   |
| Net interest income after provision for loan losses  |   |                       | (4,405     | )      |                      |   | 6,067 |   |   |   | (16,361 | ) |   |   | 16,652 |   |
|                                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Non-interest income:                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Total loss on OTTI of securities                     |   |                       | (9,529     | )      |                      |   | (2,300 | ) |   |   | (11,546 | ) |   |   | (3,166 | ) |
| Less:                                                |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Non-credit portion of OTTI recorded in other         |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| comprehensive income (before taxes)                  |   |                       | (776       | )      |                      |   | 2,078 |   |   |   | - |   |   |   | 2,078 |   |
| Net loss on OTTI recognized in earnings              |   |                       | (10,305    | )      |                      |   | (222 | ) |   |   | (11,546 | ) |   |   | (1,088 | ) |
| Banking fees and service charges                     |   |                       | 178        |   |                      |   | 427 |   |   |   | 662 |   |   |   | 1,053 |   |
| Net gain on sale of loans held-for-sale              |   |                       | 91         |   |                      |   | 92 |   |   |   | 185 |   |   |   | 222 |   |
| Other                                                |   |                       | 155        |   |                      |   | 161 |   |   |   | 445 |   |   |   | 459 |   |
| Total non-interest (loss) income                     |   |                       | (9,881     | )      |                      |   | 458 |   |   |   | (10,254 | ) |   |   | 646 |   |
|                                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Non-interest expense:                                |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Compensation and fringe benefits                     |   |                       | 1,937      |   |                      |   | 2,052 |   |   |   | 5,996 |   |   |   | 6,727 |   |
| Occupancy and equipment                              |   |                       | 444        |   |                      |   | 444 |   |   |   | 1,340 |   |   |   | 1,293 |   |
| FDIC Insurance                                       |   |                       | 263        |   |                      |   | 486 |   |   |   | 565 |   |   |   | 546 |   |
| Professional fees                                    |   |                       | 259        |   |                      |   | 83 |   |   |   | 853 |   |   |   | 336 |   |
| Data processing fees                                 |   |                       | 165        |   |                      |   | 177 |   |   |   | 495 |   |   |   | 553 |   |
| Other                                                |   |                       | 418        |   |                      |   | 318 |   |   |   | 1,161 |   |   |   | 1,040 |   |
| Total non-interest expense                           |   |                       | 3,486      |   |                      |   | 3,560 |   |   |   | 10,410 |   |   |   | 10,495 |   |
|                                                 |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| (Loss) income before income tax expense              |   |                       | (17,772    | )      |                      |   | 2,965 |   |   |   | (37,025 | ) |   |   | 6,803 |   |
| Income tax (benefit) expense                         |   |                       | (7,804     | )      |                      |   | 1,226 |   |   |   | (16,019 | ) |   |   | 2,640 |   |
| Net (loss) income                                    |   | $                          | (9,968     | )      |                      | $      | 1,739 |   |   | $ | (21,006 | ) |   | $ | 4,163 |   |
| (Loss) earnings per common share:                    |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                |   | $                          | (0.79      | )      |                      | $      | 0.14 |   |   | $ | (1.66 | ) |   | $ | 0.33 |   |
| Diluted                                              |   | $                          | (0.79      | )      |                      | $      | 0.14 |   |   | $ | (1.66 | ) |   | $ | 0.33 |   |
| Average common shares outstanding:                   |   |                       |       |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                |   |                       | 12,631,821 |   |                      |   | 12,608,619 |   |   |   | 12,623,577 |   |   |   | 12,648,701 |   |
| Diluted                                              |   |                       | 12,631,821 |   |                      |   | 12,610,748 |   |   |   | 12,623,577 |   |   |   | 12,653,142 |   |

----

|                                                                                      |   |   |   |   |             |   |   | (Restated)         |   |   |     |   |   |         |   |   |               |   |   |              |   |   | (Restated) |   |
|-------------------------------------------------------------------------------------------|--------|--------|--------|--------|------------------|--------|--------|--------------------|--------|--------|----------|--------|--------|--------------|--------|--------|--------------------|--------|--------|-------------------|--------|--------|------------|--------|
|                                                                                      |   |   |   |   |             |   |   | Retained Earnings- |   |   |     |   |   | Unallocated  |   |   | Unallocated Shares |   |   | Accumulated Other |   |   |       |   |
|                                                                                      |   | Common |   |   | Additional Paid- |   |   | Substantially      |   |   | Treasury |   |   | Common Stock |   |   | of the Stock-based |   |   | Comprehensive     |   |   |       |   |
|                                                                                      |   | Stock  |   |   | in Capital       |   |   | Restricted         |   |   | Stock    |   |   | Held by ESOP |   |   | Incentive Plan     |   |   | Income (Loss)     |   |   | Total      |   |
|                                                                                      |   |   |   |   |             |   |   |               |   |   |     |   |   |         |   |   |               |   |   |              |   |   |       |   |
| Balance at September 30, 2009                                                             |   | $      | 135    |   |             | $      | 43,112 |               |   | $      | 52,671   |   |   | $            | (7,707 | )      |               | $      | (2,394 | )                 |   | $      | (417       | )      |   | $ | (3,526 | ) |   | $ | 81,874 |   |
|                                                                                      |   |   |   |   |             |   |   |               |   |   |     |   |   |         |   |   |               |   |   |              |   |   |       |   |   |   |   |   |   |   |   |   |
| Comprehensive loss:                                                                       |   |   |   |   |             |   |   |               |   |   |     |   |   |         |   |   |               |   |   |              |   |   |       |   |   |   |   |   |   |   |   |   |
| Net loss (restated)                                                                       |   |   | --     |   |             |   | --     |               |   |   | (21,006  | )      |   |         | --     |   |               |   | --     |              |   |   | --         |   |   |   | -- |   |   |   | (21,006 | ) |
| Net unrealized loss on securities available-for-sale, net of income tax benefit of $2,668 |   |   | --     |   |             |   | --     |               |   |   | --       |   |   |         | --     |   |               |   | --     |              |   |   | --         |   |   |   | (3,396 | ) |   |   | (3,396 | ) |
| Loss on impairment of securities available-for-sale, net of income tax benefit of $5,085  |   |   | --     |   |             |   | --     |               |   |   | --       |   |   |         | --     |   |               |   | --     |              |   |   | --         |   |   |   | 6,461 |   |   |   | 6,461 |   |
| Total comprehensive loss (restated)                                                       |   |   |   |   |             |   |   |               |   |   |     |   |   |         |   |   |               |   |   |              |   |   |       |   |   |   |   |   |   |   | (17,941 | ) |
| Treasury stock purchased (1,336 shares)                                                   |   |   | --     |   |             |   | --     |               |   |   | --       |   |   |         | (13    | )      |               |   | --     |              |   |   | --         |   |   |   | -- |   |   |   | (13 | ) |
| Allocation of ESOP stock                                                                  |   |   | --     |   |             |   | (15    | )                  |   |   | --       |   |   |         | --     |   |               |   | 119    |              |   |   | --         |   |   |   | -- |   |   |   | 104 |   |
| Stock-based incentive plan expense                                                        |   |   | --     |   |             |   | 38     |               |   |   | --       |   |   |         | --     |   |               |   | --     |              |   |   | 120        |   |   |   | -- |   |   |   | 158 |   |
| Dividends paid on common stock, $0.11 per share                                           |   |   | --     |   |             |   | --     |               |   |   | (1,017   | )      |   |         | --     |   |               |   | --     |              |   |   | --         |   |   |   | -- |   |   |   | (1,017 | ) |
| Balance at June 30, 2010                                                                  |   | $      | 135    |   |             | $      | 43,135 |               |   | $      | 30,648   |   |   | $            | (7,720 | )      |               | $      | (2,275 | )                 |   | $      | (297       | )      |   | $ | (461 | ) |   | $ | 63,165 |   |

----

|                                                                          |   | For the Nine Months Ended |    |
|-------------------------------------------------------------------------------|--------|---------------------------|---------|
|                                                                          |   | June 30,                  |    |
|                                                                          |   | (Restated)                |    |   |   |   |
|                                                                          |   | 2010                      |    |   | 2009 |   |
| Cash flows from operating activities:                                         |   |                      |    |   |   |   |
| Net (loss) income                                                             |   | $                         | (21,006 | ) |   | $ | 4,163 |   |
| Adjustments to reconcile net income to net cash used in operating activities: |   |                      |    |   |   |   |   |   |
| ESOP expense                                                                  |   |                      | 104     |   |   |   | 147 |   |
| Stock-based incentive plan expense                                            |   |                      | 158     |   |   |   | 235 |   |
| Depreciation and amortization                                                 |   |                      | 340     |   |   |   | 339 |   |
| Provision for loan losses                                                     |   |                      | 33,626  |   |   |   | 1,216 |   |
| Income from bank-owned life insurance                                         |   |                      | (264    | ) |   |   | (277 | ) |
| Gross loss on OTTI recognized in earnings                                     |   |                      | 11,546  |   |   |   | 1,088 |   |
| Amortization of servicing rights                                              |   |                      | 38      |   |   |   | 147 |   |
| Accretion of deferred loan fees, net                                          |   |                      | (505    | ) |   |   | (299 | ) |
| Accretion of discounts, net of amortization of premiums                       |   |                      | (274    | ) |   |   | (100 | ) |
| Originations of loans held-for-sale                                           |   |                      | (5,337  | ) |   |   | (76,942 | ) |
| Proceeds from sales of loans held-for-sale                                    |   |                      | 5,426   |   |   |   | 12,497 |   |
| Principal repayments on loans held-for-sale                                   |   |                      | 2       |   |   |   | 8,501 |   |
| Net gain on sales of loans held-for-sale                                      |   |                      | (185    | ) |   |   | (222 | ) |
| Decrease (increase) in accrued interest receivable                            |   |                      | 612     |   |   |   | (413 | ) |
| Deferred income tax benefit                                                   |   |                      | (14,769 | ) |   |   | (1,437 | ) |
| (Increase) decrease in prepaid expenses and other assets                      |   |                      | (5,434  | ) |   |   | 783 |   |
| (Decrease) increase in accrued expenses and other liabilities                 |   |                      | (2,419  | ) |   |   | 2,285 |   |
| Net cash provided by (used in) operating activities                           |   |                      | 1,659   |   |   |   | (48,289 | ) |
| Cash flows from investing activities:                                         |   |                      |    |   |   |   |   |   |
| Repayments in excess of loan originations                                     |   |                      | 2,358   |   |   |   | 9,379 |   |
| Principal repayments on mortgage-backed securities held-to-maturity           |   |                      | 15,507  |   |   |   | 12,339 |   |
| Principal repayments on mortgage-backed securities available-for-sale         |   |                      | 101     |   |   |   | -- |   |
| Purchases of mortgage-backed securities held-to-maturity                      |   |                      | (15,699 | ) |   |   | (10,770 | ) |
| Purchases of securities available-for-sale                                    |   |                      | (11,068 | ) |   |   | (500 | ) |
| Maturities of certificates of deposit                                         |   |                      | --      |   |   |   | 1,397 |   |
| Net redemptions of FHLB stock                                                 |   |                      | 412     |   |   |   | 219 |   |
| Purchases of bank-owned life insurance                                        |   |                      | (15     | ) |   |   | (15 | ) |
| Purchases of premises and equipment                                           |   |                      | (163    | ) |   |   | (114 | ) |
| Net cash (used in) provided by investing activities                           |   |                      | (8,567  | ) |   |   | 11,935 |   |
| Cash flows from financing activities:                                         |   |                      |    |   |   |   |   |   |
| Increase in deposits                                                          |   |                      | 26,063  |   |   |   | 51,933 |   |
| Net decrease in short term borrowings                                         |   |                      | (17,100 | ) |   |   | (13,800 | ) |
| Proceeds from long term borrowings                                            |   |                      | 5,000   |   |   |   | 2,000 |   |
| Repayments of long term borrowings                                            |   |                      | --      |   |   |   | (439 | ) |
| Decrease in advance payments by borrowers for taxes and insurance             |   |                      | (547    | ) |   |   | (1,005 | ) |
| Purchases of treasury stock                                                   |   |                      | (13     | ) |   |   | (1,255 | ) |
| Payment of cash dividend                                                      |   |                      | (1,017  | ) |   |   | (1,108 | ) |
| Net cash provided by financing activities                                     |   |                      | 12,386  |   |   |   | 36,326 |   |
|                                                                          |   |                      |    |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                          |   |                      | 5,478   |   |   |   | (28 | ) |
| Cash and cash equivalents at beginning of year                                |   |                      | 3,472   |   |   |   | 5,053 |   |
| Cash and cash equivalents at end of period                                    |   | $                         | 8,950   |   |   | $ | 5,025 |   |

----

|                                                          |   | For the Nine Months Ended |   |
|---------------------------------------------------------------|--------|---------------------------|--------|
|                                                          |   | June 30,                  |   |
|                                                          |   | (Restated)                |   |   |   |   |
|                                                          |   | 2010                      |   |   | 2009 |   |
| Supplemental disclosure of cash flow information:             |   |                      |   |   |   |   |
| Cash paid during the period for:                              |   |                      |   |   |   |   |
| Interest                                                      |   | $                         | 5,941  |   |   | $ | 7,570 |   |
| Taxes                                                         |   |                      | 4,440  |   |   |   | 3,188 |   |
| Other:                                                        |   |                      |   |   |   |   |   |   |
| Mortgage loans held-for-sale transferred to held-to-maturity  |   |                      | --     |   |   |   | 62,820 |   |
| Securities held-to-maturity transferred to available-for-sale |   |                      | 71,017 |   |   |   | -- |   |

----

----

|                                                 |   | For the Three Months Ended |    |   | For the Nine Months Ended |   |
|------------------------------------------------------|--------|----------------------------|---------|--------|---------------------------|--------|
|                                                 |   | June 30, 2010              |    |   | June 30, 2010             |   |
|                                                 |   | As Reported                |    |   | As Restated               |   |   | As Reported |   |   | As Restated |   |
| Net interest income before provision for loan losses |   | $                          | 5,344   |   |                      | $      | 5,344 |   |   | $ | 17,265 |   |   | $ | 17,265 |   |
| Provision for loan losses                            |   |                       | 8,790   |   |                      |   | 9,749 |   |   |   | 16,747 |   |   |   | 33,626 |   |
| Net interest income after provision for loan losses  |   |                       | (3,446  | )      |                      |   | (4,405 | ) |   |   | 518 |   |   |   | (16,361 | ) |
| Total non-interest loss                              |   |                       | (9,881  | )      |                      |   | (9,881 | ) |   |   | (10,254 | ) |   |   | (10,254 | ) |
| Total non-interest expense                           |   |                       | 3,486   |   |                      |   | 3,486 |   |   |   | 10,410 |   |   |   | 10,410 |   |
| Loss before income tax expense                       |   |                       | (16,813 | )      |                      |   | (17,772 | ) |   |   | (20,146 | ) |   |   | (37,025 | ) |
| Income tax benefit                                   |   |                       | (7,469  | )      |                      |   | (7,804 | ) |   |   | (9,148 | ) |   |   | (16,019 | ) |
| Net loss                                             |   | $                          | (9,344  | )      |                      | $      | (9,968 | ) |   | $ | (10,998 | ) |   | $ | (21,006 | ) |
| Loss per common share:                               |   |                       |    |   |                      |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                                |   | $                          | (0.74   | )      |                      | $      | (0.79 | ) |   | $ | (0.87 | ) |   | $ | (1.66 | ) |
| Diluted                                              |   | $                          | (0.74   | )      |                      | $      | (0.79 | ) |   | $ | (0.87 | ) |   | $ | (1.66 | ) |

----

|                                                |   | For the Nine Months Ended |    |
|-----------------------------------------------------|--------|---------------------------|---------|
|                                                |   | June 30, 2010             |    |
|                                                |   | As Reported               |    |   | As Restated |   |
| Cash flows from operating activities:               |   |                      |    |   |   |   |
| Net (loss) income                                   |   | $                         | (10,998 | ) |   | $ | (21,006 | ) |
| Provision for loan losses                           |   |                      | 16,747  |   |   |   | 33,626 |   |
| Deferred income tax benefit                         |   |                      | (11,918 | ) |   |   | (14,769 | ) |
| Increase in prepaid expenses and other assets       |   |                      | (2,021  | ) |   |   | (5,434 | ) |
| Increase in accrued expenses and other liabilities  |   |                      | (1,805  | ) |   |   | (2,419 | ) |
| All other operating activities                      |   |                      | 11,661  |   |   |   | 11,661 |   |
| Net cash provided by (used in) operating activities |   |                      | 1,666   |   |   |   | 1,659 |   |
| Net cash (used in) provided by investing activities |   |                      | (8,574  | ) |   |   | (8,567 | ) |
| Net cash provided by financing activities           |   |                      | 12,386  |   |   |   | 12,386 |   |
| Net increase in cash and cash equivalents           |   |                      | 5,478   |   |   |   | 5,478 |   |
| Cash and cash equivalents at beginning of year      |   |                      | 3,472   |   |   |   | 3,472 |   |
| Cash and cash equivalents at end of period          |   | $                         | 8,950   |   |   | $ | 8,950 |   |
|                                                |   |                      |    |   |   |   |   |   |
|                                                |   | June 30, 2010             |    |
|                                                |   | As Reported               |    |   | As Restated |   |
| Assets                                              |   |                      |    |   |   |   |   |   |
| Securities available-for-sale                       |   |                      | 74,597  |   |   |   | 74,591 |   |
| Loans receivable                                    |   |                      | 422,847 |   |   |   | 405,749 |   |
| Less: Allowance for loan losses                     |   |                      | 21,767  |   |   |   | 21,548 |   |
| Loans receivable, net                               |   |                      | 401,080 |   |   |   | 384,201 |   |
| Deferred tax asset                                  |   |                      | 20,092  |   |   |   | 22,943 |   |
| Prepaid expenses and other assets                   |   |                      | 3,839   |   |   |   | 7,248 |   |
| All other assets                                    |   |                      | 24,750  |   |   |   | 24,750 |   |
| Total assets                                        |   | $                         | 524,358 |   |   | $ | 513,733 |   |
|                                                |   |                      |    |   |   |   |   |   |
| Liabilities and Stockholders’ Equity          |   |                      |    |   |   |   |   |   |
| Liabilities:                                        |   |                      |    |   |   |   |   |   |
| Accrued expenses and other liabilities              |   |                      | 6,257   |   |   |   | 5,640 |   |
| All other liabilities                               |   |                      | 444,928 |   |   |   | 444,928 |   |
| Total liabilities                                   |   |                      | 451,185 |   |   |   | 450,568 |   |
| Stockholders’ equity:                         |   |                      |    |   |   |   |   |   |
| Retained earnings - substantially restricted        |   |                      | 40,656  |   |   |   | 30,648 |   |
| All other equity                                    |   |                      | 32,517  |   |   |   | 32,517 |   |
| Total stockholders’ equity                    |   |                      | 73,173  |   |   |   | 63,165 |   |
| Total liabilities and stockholders’ equity    |   | $                         | 524,358 |   |   | $ | 513,733 |   |

----

----

|                                |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
|-------------------------------------|--------|-----------|--------|--------|----------------|----------------|--------|------------|--------|----------------|------------|--------|--------|------------------|--------|--------|--------|---------|--------|--------|
|                                |   |      |   |   | Gross          |           |   | Gross      |   |           |       |   |   |             |   |   |   |
|                                |   | Amortized |   |   | unrealized     |           |   | unrealized |   |           | Estimated  |   |   |             |   |   |
| June 30, 2010                       |   | cost      |   |   | gains          |           |   | losses     |   |           | fair value |   |   |             |   |   |
|                                |   |      |   |   | (In thousands) |           |   |       |   |           |       |   |   |
| Securities available-for-sale:      |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |
| Mortgage-backed securities:         |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |
| Government agency                   |   | $         | 9,254  |   |           | $              | 10     |       |   | $              | (10        | )      |   | $                | 9,254  |   |   |    |   |   |
| Government-sponsored enterprises    |   |      | 28,782 |   |           |           | 427    |       |   |           | (90        | )      |   |             | 29,119 |   |   |    |   |   |
| Private issuers                     |   |      | 34,216 |   |           |           | 633    |       |   |           | (1,808     | )      |   |             | 33,041 |   |   |    |   |   |
| Mutual funds                        |   |      | 3,159  |   |           |           | 18     |       |   |           | -          |   |   |             | 3,177  |   |   |    |   |   |
| Total securities available-for-sale |   | $         | 75,411 |   |           | $              | 1,088  |       |   | $              | (1,908     | )      |   | $                | 74,591 |   |   |    |   |   |
|                                |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
|                                |   |      |   |   |           | Gross          |   |       | Gross  |           |       |   |   |             |   |   |   |    |
|                                |   | Amortized |   |   | unrealized     |           |   | unrealized |   |           | Estimated  |   |   |             |   |   |
| September 30, 2009                  |   | cost      |   |   | gains          |           |   | losses     |   |           | fair value |   |   |             |   |   |
|                                |   |      |   |   |           | (In thousands) |   |       |   |           |       |   |   |             |   |
| Securities available-for-sale:      |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
| Mutual funds                        |   | $         | 3,289  |   |           | $              | 16     |       |   | $              | -          |   |   | $                | 3,305  |   |   |    |   |   |
|                                |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
|                                |   |      |   |   |           |           |   |       |   | Gross          |       |   | Gross  |             |   |   |   |    |
|                                |   | Amortized |   |   |           |           |   | unrealized |   |           | unrealized |   |   |  Estimated  |   |
|                                |   | cost      |   |   | Carrying cost  |           |   | gains      |   |           | losses     |   |   |  fair value |   |
|                                |   |      |   |   |           |           |   |       |   | (In thousands) |       |   |   |             |   |   |   |    |   |
| Securities held-to-maturity:        |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
| Mortgage-backed securities:         |   |      |   |   |           |           |   |       |   |           |       |   |   |             |   |   |   |    |   |   |
| Government agency                   |   | $         | 125    |   |           | $              | 125    |       |   | $              | 3          |   |   | $                | (5     | )      |   | $  | 123    |   |
| Government-sponsored enterprises    |   |      | 20,474 |   |           |           | 20,474 |       |   |           | 391        |   |   |             | (2     | )      |   |    | 20,863 |   |
| Private issuers                     |   |      | 51,630 |   |           |           | 45,602 |       |   |           | 259        |   |   |             | (7,513 | )      |   |    | 38,348 |   |
| Total securities held-to-maturity   |   | $         | 72,229 |   |           | $              | 66,201 |       |   | $              | 653        |   |   | $                | (7,520 | )      |   | $  | 59,334 |   |

----

|                                     |   |           |   |   |       |   |
|------------------------------------------|--------|----------------|--------|--------|------------|--------|
|                                     |   | Amortized      |   |   | Estimated  |   |
|                                     |   | cost           |   |   | Fair Value |   |
|                                     |   | (In thousands) |   |
| Mortgage-backed securities:              |   |           |   |   |       |   |
| One year or less                         |   | $              | -      |   |       | $      | - |   |
| Over one year through five years         |   |           | 172    |   |       |   | 177 |   |
| Over five years through ten years        |   |           | 47,398 |   |       |   | 46,417 |   |
| More than ten years                      |   |           | 24,688 |   |       |   | 24,826 |   |
| Total debt securities available-for-sale |   | $              | 72,258 |   |       | $      | 71,420 |   |

----

|                                        |   |                |   |   |              |   |                 |       |   |   |             |   |   |       |   |   |             |   |   |
|---------------------------------------------|--------|---------------------|--------|--------|-------------------|--------|----------------------|------------|--------|--------|------------------|--------|--------|------------|--------|--------|------------------|--------|--------|
| June 30, 2010                               |   | Less than 12 months |   |   | 12 months or more |   |                 | Total      |   |
|                                        |   | Estimated           |   |   | Gross unrealized  |   |                 | Estimated  |   |   | Gross unrealized |   |   | Estimated  |   |   | Gross unrealized |   |
|                                        |   | fair value          |   |   | losses            |   |                 | fair value |   |   | losses           |   |   | fair value |   |   | losses           |   |
|                                        |   |                |   |   |              |   |  (In thousands) |       |   |   |             |   |   |
|                                        |   |                |   |   |              |   |                 |       |   |   |             |   |   |       |   |
| Government agency                           |   | $                   | 3,027  |   |              | $      | (8                   | )          |   | $      | 78               |   |   | $          | (2     | )      |             | $      | 3,105  |   |   | $ | (10 | ) |
| Government-sponsored enterprises            |   |                | 10,735 |   |              |   | (90                  | )          |   |   | -                |   |   |       | -      |   |             |   | 10,735 |   |   |   | (90 | ) |
| Private issuers                             |   |                | 2,673  |   |              |   | (223                 | )          |   |   | 13,276           |   |   |       | (1,585 | )      |             |   | 15,949 |   |   |   | (1,808 | ) |
|  Total temporarily impaired securities |   | $                   | 16,435 |   |              | $      | (321                 | )          |   | $      | 13,354           |   |   | $          | (1,587 | )      |             | $      | 29,789 |   |   | $ | (1,908 | ) |

|                                        |   |                |   |   |              |   |   |           |   |             |   |   |      |       |   |             |
|---------------------------------------------|--------|---------------------|--------|--------|-------------------|--------|--------|----------------|--------|------------------|--------|--------|-----------|------------|--------|------------------|
| September 30, 2009                          |   | Less than 12 months |   |   | 12 months or more |   |   |  Total    |   |
|                                        |   | Estimated           |   |   | Gross unrealized  |   |   | Estimated      |   | Gross unrealized |   |   | Estimated |       |   | Gross unrealized |   |
|                                        |   | fair value          |   |   | losses            |   |   | fair value     |   |             | losses |   |      | fair value |   |             | losses |   |
|                                        |   |                |   |   |              |   |   | (In thousands) |   |             |   |   |      |       |   |
|                                        |   |                |   |   |              |   |   |           |   |             |   |   |      |       |   |             |   |   |
| Government agency                           |   | $                   | -      |   |              | $      | -      |           |   | $                | 104    |   |      | $          | (5     | )                |   | $ | 104 |   |   | $ | (5 | ) |
| Government-sponsored enterprises            |   |                | 450    |   |              |   | (1     | )              |   |             | 39     |   |      |       | (1     | )                |   |   | 489 |   |   |   | (2 | ) |
| Private issuers                             |   |                | 7,493  |   |              |   | (152   | )              |   |             | 22,418 |   |      |       | (7,361 | )                |   |   | 29,911 |   |   |   | (7,513 | ) |
|  Total temporarily impaired securities |   | $                   | 7,943  |   |              | $      | (153   | )              |   | $                | 22,561 |   |      | $          | (7,367 | )                |   | $ | 30,504 |   |   | $ | (7,520 | ) |

----

----

----

----

|                                            |   |         |   |   |                                                           |                                                           |   | Other-Than-TemporaryImpairmentCredit LossesRecorded inOtherComprehensiveIncome |   |
|-------------------------------------------------|--------|--------------|--------|--------|----------------------------------------------------------------|----------------------------------------------------------------|--------|--------------------------------------------------------------------------------|--------|
|                                            |   |         |   |   | Other-Than-TemporaryImpairmentCredit LossesRecorded inEarnings |                                                           |   |                                                                           |
|                                            |   |         |   |   |                                                           |                                                           |   |
|                                            |   | Total Other- |   |   |                                                           |                                                           |   |
|                                            |   | Than-        |   |   |                                                           |                                                           |   |
|                                            |   | Temporary    |   |   |                                                           |                                                           |   |
|                                            |   | Impairment   |   |   |                                                           |                                                           |   |
| For the Three Months ended June 30, 2010        |   | Loss         |   |   |                                                           |                                                           |   |
|                                            |   |         |   |   | (in thousands)                                                 |                                                           |   |                                                                           |   |
| Beginning balance as of April 1, 2010           |   | $            | 10,017 |   |                                                           | $                                                              | 3,180  |                                                                           |   | $ | 6,837 |   |
| Add: Initial other-than-temporary credit losses |   |         | 4,001  |   |                                                           |                                                           | 4,001  |                                                                           |   |   | - |   |
| Additional other-than-temporary credit losses   |   |         | (578   | )      |                                                           |                                                           | 6,259  |                                                                           |   |   | (6,837 | ) |
| Ending balance as of June 30, 2010              |   | $            | 13,440 |   |                                                           | $                                                              | 13,440 |                                                                           |   | $ | - |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |   |   |   |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |   | Other-Than-TemporaryImpairmentCredit LossesRecorded inOtherComprehensiveIncome |   |
|                                            |   |         |   |   |                                                           | Other-Than-TemporaryImpairmentCredit LossesRecorded inEarnings |   |                                                                           |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |
|                                            |   | Total Other- |   |   |                                                           |                                                           |   |
|                                            |   | Than-        |   |   |                                                           |                                                           |   |
|                                            |   | Temporary    |   |   |                                                           |                                                           |   |
|                                            |   | Impairment   |   |   |                                                           |                                                           |   |
| For the Three Months ended June 30, 2009        |   | Loss         |   |   |                                                           |                                                           |   |
|                                            |   |         |   |   |                                                           | (in thousands)                                                 |   |                                                                           |   |   |   |
| Beginning balance as of April 1, 2009           |   | $            | -      |   |                                                           | $                                                              | -      |                                                                           |   | $ | - |   |
| Add: Initial other-than-temporary credit losses |   |         | 2,300  |   |                                                           |                                                           | 222    |                                                                           |   |   | 2,078 |   |
| Additional other-than-temporary credit losses   |   |         | -      |   |                                                           |                                                           | -      |                                                                           |   |   | - |   |
| Ending balance as of June 30, 2009              |   | $            | 2,300  |   |                                                           | $                                                              | 222    |                                                                           |   | $ | 2,078 |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |   |   |   |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |   | Other-Than-TemporaryImpairmentCredit LossesRecorded inOtherComprehensiveIncome |   |
|                                            |   |         |   |   |                                                           | Other-Than-TemporaryImpairmentCredit LossesRecorded inEarnings |   |                                                                           |   |
|                                            |   |         |   |   |                                                           |                                                           |   |                                                                           |
|                                            |   | Total Other- |   |   |                                                           |                                                           |   |
|                                            |   | Than-        |   |   |                                                           |                                                           |   |
|                                            |   | Temporary    |   |   |                                                           |                                                           |   |
|                                            |   | Impairment   |   |   |                                                           |                                                           |   |
| For the Nine Months ended June 30, 2010         |   | Loss         |   |   |                                                           |                                                           |   |
|                                            |   |         |   |   |                                                           | (in thousands)                                                 |   |                                                                           |   |   |   |
| Beginning balance as of September 30, 2009      |   | $            | 8,085  |   |                                                           | $                                                              | 2,024  |                                                                           |   | $ | 6,061 |   |
| Add: Initial other-than-temporary credit losses |   |         | 4,955  |   |                                                           |                                                           | 4,179  |                                                                           |   |   | 776 |   |
| Additional other-than-temporary credit losses   |   |         | 400    |   |                                                           |                                                           | 7,237  |                                                                           |   |   | (6,837 | ) |
| Ending balance as of June 30, 2010              |   | $            | 13,440 |   |                                                           | $                                                              | 13,440 |                                                                           |   | $ | - |   |

----

|                                            |         |   |   |   |   |                                                           |        |       |      |        |   |   |
|-------------------------------------------------|--------------|--------|--------|--------|--------|----------------------------------------------------------------|-------------|------------|-----------|-------------|--------|--------|
|                                            |         |   |   |   |   |                                                           |        |       |      | Other-Than- |   |
|                                            |         |   |   |   |   | Other-Than-TemporaryImpairmentCredit LossesRecorded inEarnings |        |       | Temporary |        |
|                                            |         |   |   |   |   |                                                           |        | Impairment |      |
|                                            | Total Other- |   |   |   |   | Credit Losses                                                  |        |
|                                            |         | Than-  |   |   |   |                                                           | Recorded in |       |
|                                            | Temporary    |   |   |   |   | Other                                                          |        |
|                                            | Impairment   |   |   |   |   | Comprehensive                                                  |        |
| For the Nine Months ended June 30, 2009         |         | Loss   |   |   |   |                                                           | Income      |       |
|                                            |         |   |   |   |   | (in thousands)                                                 |        |       |      |        |   |
| Beginning balance as of September 30, 2008      |         | $      | -      |   |   | $                                                              | -           |       |      | $           | -      |   |
| Add: Initial other-than-temporary credit losses |         |   | 2,300  |   |   |                                                           | 222         |       |      |        | 2,078  |   |
| Additional other-than-temporary credit losses   |         |   | -      |   |   |                                                           | -           |       |      |        | -      |   |
| Ending balance as of June 30, 2009              |         | $      | 2,300  |   |   | $                                                              | 222         |       |      | $           | 2,078  |   |

|                                                      |   | (Restated) |   |   |      |   |
|-----------------------------------------------------------|--------|------------|--------|--------|-----------|--------|
|                                                      |   | June       |   |   | September |   |
|                                                      |   | 2010       |   |   | 2009      |   |
|                                                      |   |       |   |   |      |   |
| Balance at beginning of period                            |   | $          | 10,750 |   |      | $      | 2,205 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Charge-offs:                                              |   |       |   |   |      |   |   |   |
| One-to-four-family                                        |   |       | 170    |   |      |   | - |   |
| Multi-family                                              |   |       | 6,869  |   |      |   | - |   |
| Commercial real estate                                    |   |       | 13,724 |   |      |   | - |   |
| Construction                                              |   |       | 264    |   |      |   | - |   |
| Land                                                      |   |       | 1,772  |   |      |   | - |   |
| Consumer and other                                        |   |       | 35     |   |      |   | - |   |
| Recoveries                                                |   |       | (6     | )      |      |   | - |   |
| Net charge-offs                                           |   |       | 22,828 |   |      |   | - |   |
|                                                      |   |       |   |   |      |   |   |   |
| Provision for loan losses                                 |   |       | 33,626 |   |      |   | 8,545 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Balance at end of period                                  |   | $          | 21,548 |   |      | $      | 10,750 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Ratios:                                                   |   |       |   |   |      |   |   |   |
| Annualized net charge-offs to average loans outstanding   |   |       | 5.34   | %      |      |   | 0.00 | % |
| Allowance for loan losses to total loans at end of period |   |       | 5.82   | %      |      |   | 2.50 | % |

----

|                                        |   | (Restated) |   |   |          |   |
|---------------------------------------------|--------|------------|--------|--------|---------------|--------|
|                                        |   | June 30,   |   |   | September 30, |   |
|                                        |   | 2010       |   |   | 2009          |   |
|                                        |   |       |   |   |          |   |
| Non-accrual loans:                          |   |       |   |   |          |   |
| One- to four-family                         |   | $          | -      |   |          | $      | - |   |
| Multi-family                                |   |       | 25,805 |   |          |   | 902 |   |
| Commercial real estate                      |   |       | 36,374 |   |          |   | 15,623 |   |
| Construction                                |   |       | 4,579  |   |          |   | 832 |   |
| Land                                        |   |       | 4,807  |   |          |   | 4,722 |   |
| Total non-accrual loans                     |   |       | 71,565 |   |          |   | 22,079 |   |
|                                        |   |       |   |   |          |   |   |   |
| Loans past maturity and still accruing      |   |       | 10,775 |   |          |   | - |   |
| Total non-performing assets                 |   | $          | 82,340 |   |          | $      | 22,079 |   |
|                                        |   |       |   |   |          |   |   |   |
| Ratios:                                     |   |       |   |   |          |   |   |   |
| Total non-performing loans to total loans   |   |       | 20.29  | %      |          |   | 5.13 | % |
| Total non-performing loans to total assets  |   |       | 16.06  | %      |          |   | 4.23 | % |
| Total non-performing assets to total assets |   |       | 16.06  | %      |          |   |  4.23 | % |

----

|                          |   |               |   |   |          |          |   |        |        |   |               |         |   |
|-------------------------------|--------|--------------------|--------|--------|---------------|---------------|--------|-------------|-------------|--------|--------------------|--------------|--------|
|                          |   |               |   |   | (Level 1)     |          |   |        |        |   |               |         |
|                          |   |               |   |   | Quoted Prices |          |   | (Level 2)   |        |   |               |         |
|                          |   |               |   |   | in Active     |          |   | Significant |        |   | (Level 3)          |         |
|                          |   |               |   |   | Markets for   |          |   | Other       |        |   | Significant        |         |
|                          |   |               |   |   | Identical     |          |   | Observable  |        |   |  Unobservable |         |
| Description                   |   | June 30, 2010      |   |   | Assets        |          |   | Inputs      |        |   | Inputs             |         |
| Securities available-for-sale |   | $                  | 74,597 |   |          | $             | 3,177  |        |        | $      |               | 71,420       |   |   | $ | - |   |
|                          |   |               |   |   |          |          |   |        |        |   |               |         |   |   |   |   |   |
|                          |   |               |   |   |          | (Level 1)     |   |        |        |   |               |         |   |   |   |   |
|                          |   |               |   |   |          | Quoted Prices |   |        | (Level 2)   |   |               |         |   |   |
|                          |   |               |   |   |          | in Active     |   |        | Significant |   |               | (Level 3)    |   |
|                          |   |               |   |   |          | Markets for   |   |        | Other       |   |               | Significant  |   |
|                          |   |               |   |   |          | Identical     |   |        | Observable  |   |               | Unobservable |   |
| Description                   |   | September 30, 2009 |   |   | Assets        |          |   | Inputs      |        |   | Inputs             |         |
| Securities available-for-sale |   | $                  | 3,305  |   |          | $             | 3,305  |        |        | $      |               | -            |   |   | $ | - |   |

|                |   |          |   |   |          |   |   |        |   |   |         |   |   |
|---------------------|--------|---------------|--------|--------|---------------|--------|--------|-------------|--------|--------|--------------|--------|--------|
|                |   |          |   |   | (Level 1)     |   |   |        |   |   |         |   |
|                |   |          |   |   | Quoted Prices |   |   | (Level 2)   |   |   |         |   |
|                |   |          |   |   | in Active     |   |   | Significant |   |   | (Level 3)    |   |
|                |   |          |   |   | Markets for   |   |   | Other       |   |   | Significant  |   |
|                |   |          |   |   | Identical     |   |   | Observable  |   |   | Unobservable |   |
| Description         |   | June 30, 2010 |   |   | Assets        |   |   | Inputs      |   |   | Inputs       |   |
| Impaired loans      |   | $             | 88,973 |   |          | $      | -      |        |   | $      | -            |   |   | $ | 88,973 |   |
| Impaired securities |   |          | 6,687  |   |          |   | -      |        |   |   | 6,687        |   |   |   | - |   |

----

|                |   |               |   |   | Markets for |   |       | Other  |         | Significant |   |
|---------------------|--------|--------------------|--------|--------|-------------|--------|------------|--------|--------------|-------------|--------|
|                |   |               |   |   | Identical   |   | Observable |   | Unobservable |        |
| Description         |   | September 30, 2009 |   |   | Assets      |   |       | Inputs |         |        | Inputs |   |
| Impaired loans      |   | $                  | 17,880 |   |        | $      | -          |   |         | $           | -      |   |   | $ | 17,880 |   |
| Impaired securities |   |               | 724    |   |        |   | -          |   |         |        | 724    |   |   |   | - |   |

----

|                             |   | June 30, 2010 |    |   | September 30, 2009 |   |
|----------------------------------|--------|---------------|---------|--------|--------------------|--------|
|                             |   | Carrying      |    |   | Estimated          |   |   | Carrying |   |   | Estimated |   |
|                             |   | value         |    |   | fair value         |   |   | value |   |   | fair value |   |
|                             |   |          |    |   | (In thousands)     |   |   |   |   |
| Financial assets:                |   |          |    |   |               |   |   |   |   |   |   |   |
| Cash and due from banks          |   | $             | 8,950   |   |               | $      | 8,950 |   |   | $ | 3,472 |   |   | $ | 3,472 |   |
| Securities available-for-sale    |   |          | 74,597  |   |               |   | 74,597 |   |   |   | 3,305 |   |   |   | 3,305 |   |
| Securities held-to-maturity      |   |          | -       |   |               |   | - |   |   |   | 66,201 |   |   |   | 59,334 |   |
| Loans receivable, net (restated) |   |          | 380,071 |   |               |   | 381,348 |   |   |   | 419,685 |   |   |   | 421,085 |   |
| FHLB stock                       |   |          | 1,970   |   |               |   | 1,970 |   |   |   | 2,382 |   |   |   | 2,382 |   |
|                             |   |          |    |   |               |   |   |   |   |   |   |   |   |   |   |   |
| Financial liabilities:           |   |          |    |   |               |   |   |   |   |   |   |   |   |   |   |   |
| Deposits                         |   |          | 428,133 |   |               |   | 432,685 |   |   |   | 402,070 |   |   |   | 405,548 |   |
| Borrowings                       |   |          | 15,200  |   |               |   | 15,521 |   |   |   | 27,300 |   |   |   | 27,390 |   |

----

----

----

----

----

----

|                                                      |   | (Restated) |   |   |      |   |
|-----------------------------------------------------------|--------|------------|--------|--------|-----------|--------|
|                                                      |   | June       |   |   | September |   |
|                                                      |   | 2010       |   |   | 2009      |   |
|                                                      |   |       |   |   |      |   |
| Balance at beginning of period                            |   | $          | 10,750 |   |      | $      | 2,205 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Charge-offs:                                              |   |       |   |   |      |   |   |   |
| One-to-four-family                                        |   |       | 170    |   |      |   | - |   |
| Multi-family                                              |   |       | 6,869  |   |      |   | - |   |
| Commercial real estate                                    |   |       | 13,724 |   |      |   | - |   |
| Construction                                              |   |       | 264    |   |      |   | - |   |
| Land                                                      |   |       | 1,772  |   |      |   | - |   |
| Consumer and other                                        |   |       | 35     |   |      |   | - |   |
| Recoveries                                                |   |       | (6     | )      |      |   | - |   |
| Net charge-offs                                           |   |       | 22,828 |   |      |   | - |   |
|                                                      |   |       |   |   |      |   |   |   |
| Provision for loan losses                                 |   |       | 33,626 |   |      |   | 8,545 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Balance at end of period                                  |   | $          | 21,548 |   |      | $      | 10,750 |   |
|                                                      |   |       |   |   |      |   |   |   |
| Ratios:                                                   |   |       |   |   |      |   |   |   |
| Annualized net charge-offs to average loans outstanding   |   |       | 5.34   | %      |      |   | 0.00 | % |
| Allowance for loan losses to total loans at end of period |   |       | 5.82   | %      |      |   |  2.50 | % |

----

----

|                                        |   | (Restated) |   |   |          |   |
|---------------------------------------------|--------|------------|--------|--------|---------------|--------|
|                                        |   | June 30,   |   |   | September 30, |   |
|                                        |   | 2010       |   |   | 2009          |   |
|                                        |   |       |   |   |          |   |
| Non-accrual loans:                          |   |       |   |   |          |   |
| One- to four-family                         |   | $          | -      |   |          | $      | - |   |
| Multi-family                                |   |       | 25,805 |   |          |   | 902 |   |
| Commercial real estate                      |   |       | 36,374 |   |          |   | 15,623 |   |
| Construction                                |   |       | 4,579  |   |          |   | 832 |   |
| Land                                        |   |       | 4,807  |   |          |   | 4,722 |   |
| Total non-accrual loans                     |   |       | 71,565 |   |          |   | 22,079 |   |
|                                        |   |       |   |   |          |   |   |   |
| Loans past maturity and still accruing      |   |       | 10,775 |   |          |   | - |   |
| Total non-performing assets                 |   | $          | 82,340 |   |          | $      | 22,079 |   |
|                                        |   |       |   |   |          |   |   |   |
| Ratios:                                     |   |       |   |   |          |   |   |   |
| Total non-performing loans to total loans   |   |       | 20.29  | %      |          |   | 5.13 | % |
| Total non-performing loans to total assets  |   |       | 16.06  | %      |          |   | 4.23 | % |
| Total non-performing assets to total assets |   |       | 16.06  | %      |          |   |  4.23 | % |

----

----

|                                                         |   |   |   |   |     |   |   |                   |   |   |                    |   |   | To be well capitalized |   |
|--------------------------------------------------------------|--------|--------|--------|--------|----------|--------|--------|------------------------|--------|--------|-------------------------|--------|--------|------------------------|--------|
|                                                         |   |   |   |   |     |   |   | For capital adequacy   |   |   | under prompt corrective |   |
|                                                         |   | Actual |   |   | purposes |   |   | action provisions      |   |
|                                                         |   | Amount |   |   | Ratio    |   |   | Amount                 |   |   | Ratio                   |   |   | Amount                 |   |   | Ratio |   |
|                                                         |   |   |   |   |     |   |   | (Dollars in thousands) |   |   |                    |   |   |                   |   |
| At June 30, 2010 (restated):                                 |   |   |   |   |     |   |   |                   |   |   |                    |   |   |                   |   |
| Total risk-based capital (to risk weighted assets)           |   | $      | 64,230 |   |     |   | 12.1   | %                      |   | $      | 42,398                  |   |   |                   | 8.0    | % |   | $ | 52,997 |   |   |   | 10.0 | % |
| Tier I risk-based capital (to risk weighted assets)          |   |   | 56,122 |   |     |   | 10.6   |                   |   |   | 21,199                  |   |   |                   | 4.0    |   |   |   | 31,798 |   |   |   | 6.0 |   |
| Tangible capital (to tangible assets)                        |   |   | 56,122 |   |     |   | 11.0   |                   |   |   | 7,680                   |   |   |                   | 1.5    |   |   |   | N/A |   |   |   | N/A |   |
| Tier I leverage (core) capital (to adjusted tangible assets) |   |   | 56,122 |   |     |   | 11.0   |                   |   |   | 15,359                  |   |   |                   | 3.0    |   |   |   | 25,599 |   |   |   | 5.0 |   |
|                                                         |   |   |   |   |     |   |   |                   |   |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |
| At September 30, 2009:                                       |   |   |   |   |     |   |   |                   |   |   |                    |   |   |                   |   |   |   |   |   |   |   |   |   |   |
| Total risk-based capital (to risk weighted assets)           |   | $      | 79,779 |   |     |   | 14.5   | %                      |   | $      | 43,938                  |   |   |                   | 8.0    | % |   | $ | 54,922 |   |   |   | 10.0 | % |
| Tier I risk-based capital (to risk weighted assets)          |   |   | 71,192 |   |     |   | 13.0   |                   |   |   | 21,969                  |   |   |                   | 4.0    |   |   |   | 32,953 |   |   |   | 6.0 |   |
| Tangible capital (to tangible assets)                        |   |   | 71,192 |   |     |   | 13.8   |                   |   |   | 7,760                   |   |   |                   | 1.5    |   |   |   | N/A |   |   |   | N/A |   |
| Tier I leverage (core) capital (to adjusted tangible assets) |   |   | 71,192 |   |     |   | 13.8   |                   |   |   | 15,521                  |   |   |                   | 3.0    |   |   |   | 25,868 |   |   |   | 5.0 |   |

| Commitment Expiration by Period                               |   |
|---------------------------------------------------------------|--------|
|                                                          |   |   |   |   |   |   | More than |   | More Than |   |   |   |   |
|                                                          |   |   |   |   |   |   | One Year |   | Three Years |   |   |   |   |
|                                                          |   |   |   | One Year |   | Through |   | Through |   | More Than |   |
| Off-Balance Sheet Arrangements                                |   | Total |   |   | or Less |   | Three Years |   | Five Years |   | Five Years |   |
| To originate loans                                            |   | $ | 1,494 |   |   | $ | 1,494 |   |   | $ | - |   |   | $ | - |   |   | $ | - |   |
| Unused linesofcredit,including undisbursed construction loans |   |   | 64,539 |   |   |   | 44,835 |   |   |   | 3,755 |   |   |   | 8,179 |   |   |   | 7,770 |   |
| Total                                                         |   | $ | 66,033 |   |   | $ | 46,329 |   |   | $ | 3,755 |   |   | $ | 8,179 |   |   | $ | 7,770 |   |

----

----

|                                                                     |   |  Three months ended June 30, |    |
|--------------------------------------------------------------------------|--------|-----------------------------------|---------|
|                                                                     |   | 2010                              |    |   |     2009 |   |
|                                                                     |   | Average                           |    |   |   |   |   | Average |   |   | Average |   |   |   |   |   | Average |   |
|                                                                     |   | Balance                           |    |   | Interest |   |   | Yield/Cost |   |   | Balance |   |   | Interest |   |   | Yield/Cost |   |
| Interest-earning assets:                                                 |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Loans (1)                                                                |   | $                                 | 415,572 |   |   | $ | 6,292 |   |   |   | 6.06 | % |   | $ | 417,442 |   |   | $ | 7,800 |   |   |   | 7.47 | % |
| Mortgage-backed securities (2)                                           |   |                              | 74,291  |   |   |   | 822 |   |   |   | 4.43 |   |   |   | 75,927 |   |   |   | 924 |   |   |   | 4.87 |   |
| Investment securities and other interest-earning assets (2)              |   |                              | 15,169  |   |   |   | 55 |   |   |   | 1.45 |   |   |   | 8,904 |   |   |   | 96 |   |   |   | 4.31 |   |
| Total interest-earning assets                                            |   |                              | 505,032 |   |   |   | 7,169 |   |   |   | 5.68 |   |   |   | 502,273 |   |   |   | 8,820 |   |   |   | 7.02 |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Non interest-earning assets                                              |   |                              | 11,941  |   |   |   |   |   |   |   |   |   |   |   | 18,611 |   |   |   |   |   |   |   |   |   |
| Total assets                                                             |   | $                                 | 516,973 |   |   |   |   |   |   |   |   |   |   | $ | 520,884 |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest-bearing liabilities:                                            |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Savings accounts                                                         |   | $                                 | 64,571  |   |   |   | 68 |   |   |   | 0.42 |   |   | $ | 62,313 |   |   |   | 150 |   |   |   | 0.96 |   |
| Money market/NOW accounts                                                |   |                              | 92,498  |   |   |   | 180 |   |   |   | 0.78 |   |   |   | 64,107 |   |   |   | 244 |   |   |   | 1.52 |   |
| Certificates of deposit                                                  |   |                              | 260,078 |   |   |   | 1,509 |   |   |   | 2.33 |   |   |   | 238,109 |   |   |   | 1,919 |   |   |   | 3.22 |   |
| Total interest-bearing deposits                                          |   |                              | 417,147 |   |   |   | 1,757 |   |   |   | 1.69 |   |   |   | 364,529 |   |   |   | 2,313 |   |   |   | 2.54 |   |
| Borrowings                                                               |   |                              | 9,796   |   |   |   | 68 |   |   |   | 2.78 |   |   |   | 37,100 |   |   |   | 64 |   |   |   | 0.69 |   |
| Total interest-bearing liabilities                                       |   |                              | 426,943 |   |   |   | 1,825 |   |   |   | 1.71 |   |   |   | 401,629 |   |   |   | 2,377 |   |   |   | 2.37 |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Non interest-bearing liabilities:                                        |   |                              | 24,283  |   |   |   |   |   |   |   |   |   |   |   | 31,428 |   |   |   |   |   |   |   |   |   |
| Total liabilities                                                        |   |                              | 451,226 |   |   |   |   |   |   |   |   |   |   |   | 433,057 |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Stockholders’ equity                                               |   |                              | 65,747  |   |   |   |   |   |   |   |   |   |   |   | 87,827 |   |   |   |   |   |   |   |   |   |
| Total liabilities & stockholders’ equity                       |   | $                                 | 516,973 |   |   |   |   |   |   |   |   |   |   | $ | 520,884 |   |   |   |   |   |   |   |   |   |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Net interest income                                                      |   |                              |    |   |   | $ | 5,344 |   |   |   |   |   |   |   |   |   |   | $ | 6,443 |   |   |   |   |   |
| Average interest rate spread                                             |   |                              |    |   |   |   |   |   |   |   | 3.96 | % |   |   |   |   |   |   |   |   |   |   | 4.65 | % |
| Net interest-earning assets                                              |   | $                                 | 78,089  |   |   |   |   |   |   |   |   |   |   | $ | 100,644 |   |   |   |   |   |   |   |   |   |
| Net interest margin                                                      |   |                              |    |   |   |   |   |   |   |   | 4.23 | % |   |   |   |   |   |   |   |   |   |   | 5.13 | % |
|                                                                     |   |                              |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ratio of average interest-earning assets to interest-bearing liabilities |   |                              |    |   |   |   |   |   |   |   | 118.29 | % |   |   |   |   |   |   |   |   |   |   | 125.06 | % |

----

|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
|--------------------------------------------------------------------------|--------|----------------------------|---------|--------|----------|--------|--------|------------|---------|--------|---------|---------|--------|----------|---------|--------|------------|--------|---------|--------|--------|--------|--------|--------|
|                                                                     |   | Nine months ended June 30, |    |
|                                                                     |   | 2010                       |    |   | 2009     |   |
|                                                                     |   | Average                    |    |   |     |   |   |       | Average |   |    | Average |   |     |    |   |       |   | Average |   |
|                                                                     |   | Balance                    |    |   | Interest |   |   | Yield/Cost |    |   | Balance |    |   | Interest |    |   | Yield/Cost |   |
| Interest-earning assets:                                                 |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Loans (1)                                                                |   | $                          | 427,047 |   |     | $      | 20,387 |       |    |   | 6.37    | %       |   | $        | 402,673 |   |       | $      | 22,380  |   |   |   | 7.41   | %      |
| Mortgage-backed securities (2)                                           |   |                       | 71,873  |   |     |   | 2,594  |       |    |   | 4.81    |    |   |     | 77,989  |   |       |   | 2,796   |   |   |   | 4.78   |   |
| Investment securities and other interest-earning assets (2)              |   |                       | 11,102  |   |     |   | 229    |       |    |   | 2.76    |    |   |     | 9,503   |   |       |   | 246     |   |   |   | 3.45   |   |
| Total interest-earning assets                                            |   |                       | 503,999 |   |     |   | 23,210 |       |    |   | 6.07    |    |   |     | 490,165 |   |       |   | 25,422  |   |   |   | 6.92   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Non interest-earning assets                                              |   |                       | 12,876  |   |     |   |   |       |    |   |    |    |   |     | 18,557  |   |       |   |    |   |   |   |   |   |
| Total assets                                                             |   | $                          | 522,898 |   |     |   |   |       |    |   |    |    |   | $        | 508,722 |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Interest-bearing liabilities:                                            |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Savings accounts                                                         |   | $                          | 62,758  |   |     |   | 261    |       |    |   | 0.56    |    |   | $        | 59,362  |   |       |   | 451     |   |   |   | 1.01   |   |
| Money market/NOW accounts                                                |   |                       | 85,698  |   |     |   | 692    |       |    |   | 1.08    |    |   |     | 59,395  |   |       |   | 780     |   |   |   | 1.75   |   |
| Certificates of deposit                                                  |   |                       | 259,257 |   |     |   | 4,819  |       |    |   | 2.49    |    |   |     | 226,954 |   |       |   | 6,042   |   |   |   | 3.55   |   |
| Total interest-bearing deposits                                          |   |                       | 407,713 |   |     |   | 5,772  |       |    |   | 1.89    |    |   |     | 345,711 |   |       |   | 7,273   |   |   |   | 2.81   |   |
| Borrowings                                                               |   |                       | 12,294  |   |     |   | 173    |       |    |   | 1.88    |    |   |     | 45,220  |   |       |   | 281     |   |   |   | 0.83   |   |
| Total interest-bearing liabilities                                       |   |                       | 420,007 |   |     |   | 5,945  |       |    |   | 1.89    |    |   |     | 390,931 |   |       |   | 7,554   |   |   |   | 2.58   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Non interest-bearing liabilities                                         |   |                       | 26,818  |   |     |   |   |       |    |   |    |    |   |     | 30,652  |   |       |   |    |   |   |   |   |   |
| Total liabilities                                                        |   |                       | 446,825 |   |     |   |   |       |    |   |    |    |   |     | 421,583 |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Stockholders’ equity                                               |   |                       | 76,703  |   |     |   |   |       |    |   |    |    |   |     | 87,139  |   |       |   |    |   |   |   |   |   |
| Total liabilities & stockholders’ equity                       |   | $                          | 522,898 |   |     |   |   |       |    |   |    |    |   | $        | 508,722 |   |       |   |    |   |   |   |   |   |
|                                                                     |   |                       |    |   |     |   |   |       |    |   |    |    |   |     |    |   |       |   |    |   |   |   |   |   |
| Net interest income                                                      |   |                       |    |   |     | $      | 17,265 |       |    |   |    |    |   |     |    |   |       | $      | 17,868  |   |   |   |   |   |
| Average interest rate spread                                             |   |                       |    |   |     |   |   |       |    |   | 4.18    | %       |   |     |    |   |       |   |    |   |   |   | 4.34   | %      |
| Net interest-earning assets                                              |   | $                          | 90,015  |   |     |   |   |       |    |   |    |    |   | $        | 99,234  |   |       |   |    |   |   |   |   |   |
| Net interest margin                                                      |   |                       |    |   |     |   |   |       |    |   | 4.51    | %       |   |     |    |   |       |   |    |   |   |   | 4.86   | %      |
| Ratio of average interest-earning assets to interest-bearing liabilities |   |                       |    |   |     |   |   |       |    |   | 121.43  | %       |   |     |    |   |       |   |    |   |   |   | 125.38 | %      |

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| ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK |
|---------|------------------------------------------------------------|

| ITEM 4. | CONTROLS AND PROCEDURES |
|---------|-------------------------|

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| ITEM 1. | LEGAL PROCEEDINGS |
|---------|-------------------|

| ITEM 1A. |  RISK FACTORS |
|----------|--------------------|

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| ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
|---------|-------------------------------------------------------------|

| Company Purchases of Common Stock    |   |
|--------------------------------------|--------|
|                                 |   |   |   |   |   |   |   | Total |   |   |   |   |
|                                 |   |   |   |   |   |   |   | number of |   |   | Approximate |   |
|                                 |   |   |   |   |   |   |   | shares |   |   | dollar value of |   |
|                                 |   |   |   |   |   |   |   | purchased |   |   | shares that |   |
|                                 |   |   |   |   |   |   |   | as part of |   |   | may yet be |   |
|                                 |   | Total |   | Average |   |   | publicly |   |   | purchased |   |
|                                 |   | number of |   | price |   |   | announced |   |   | under the |   |
|                                 |   | shares |   | paid per |   |   | plans or |   |   | plans or |   |
| Period                               |   | purchased |   | share |   |   | programs |   |   | programs |   |
| April 1, 2010 through April 30, 2010 |   |   | - |   |   | $ | - |   |   |   | - |   |   | $ | - |   |
| May 1, 2010 through May 31, 2010     |   |   | - |   |   |   | - |   |   |   | - |   |   |   | - |   |
| June 1, 2010 through June 30, 2010   |   |   | 74 |   |   |   | 4.54 |   |   |   | 594,866 |   |   |   | 780,223 |   |
| Total                                |   |   | 74 |   |   | $ | 4.54 |   |   |   | 594,866 |   |   | $ | 780,223 |   |

| ITEM 3. | DEFAULTS UPON SENIOR SECURITIES |
|---------|---------------------------------|

| ITEM 4. | (RESERVED) |
|---------|------------|

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| ITEM 5. | OTHER INFORMATION |
|---------|-------------------|

|   | None.   |                                                                                                                                                 |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |    |                                                                                                                                                 |
|   | ITEM 6. | EXHIBITS                                                                                                                                             |
|   |    |                                                                                                                                                 |
|   | 3.1     | Certificate of Incorporation of Brooklyn Federal Bancorp, Inc. 1                                                                                     |
|   |    |                                                                                                                                                 |
|   | 3.2     | Bylaws of Brooklyn Federal Bancorp, Inc. 1                                                                                                           |
|   |    |                                                                                                                                                 |
|   | 4       | Form of Common Stock of Brooklyn Federal Bancorp, Inc. 1                                                                                             |
|   |    |                                                                                                                                                 |
|   | 11      | Computation of Earnings Per Share **                                                                                                                 |
|   |    |                                                                                                                                                 |
|   | 31.1    | Certification of Chief Executive Officer Pursuant to Rule 13a-14(a)/15d-14(a)**                                                                      |
|   |    |                                                                                                                                                 |
|   | 31.2    | Certification of Chief Financial Officer Pursuant to Rule 13a-14(a)/15d-14(a)**                                                                      |
|   |    |                                                                                                                                                 |
|   | 32.1    | Certification of Chief Executive Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.** |
|   |    |                                                                                                                                                 |
|   | 32.2    | Certification of Chief Financial Officer Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.** |

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|              |                    |                                  |   |   |
|-------------------|-------------------------|---------------------------------------|--------|--------|
|              |                    | BROOKLYN FEDERAL BANCORP, INC.        |
|              |                    | (Registrant)                          |
|              |                    |                                  |
| Date:June27, 2011 | /s/ Gregg J. Wagner     |                                  |   |
|              |                    | Gregg J. Wagner                       |
|              |                    | President and Chief Executive Officer |
|              |                    |                                  |
| Date:June27, 2011 | /s/ Michael A. Trinidad |                                  |
|              |                    | Senior Vice President and             |
|              |                    | Chief Financial Officer               |