FORM 10-QSB

                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D. C. 20549

(Mark One)

[X]           QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended          September 30, 1999
                               ----------------------------------------

                                       OR

[ ]          TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ____________ to _______________

Commission File Number 2-47541

                              RIVER VALLEY BANCORP
             (Exact name of registrant as specified in its charter)

Indiana                                                   35-1984567
(State or other jurisdiction of                       (I.R.S. Employer
incorporation or organization)                     Identification Number)

303 Clifty Drive
Madison, Indiana                                             47250
(Address of principal                                     (Zip Code)
executive office)

Registrant's telephone number, including area code: (812) 273-4949

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

Yes   X                                               No

As of November 10, 1999, the latest  practicable  date  1,021,576  shares of the
registrant's common stock, without par value, were issued and outstanding.









                               Page 1 of 17 pages

<PAGE>


                              River Valley Bancorp

                                      INDEX

                                                                           Page

PART I  -  FINANCIAL INFORMATION

           Consolidated Statements of Financial Condition                     3

           Consolidated Statements of Earnings                                4

           Consolidated Statements of Comprehensive Income                    5

           Consolidated Statements of Cash Flows                              6

           Notes to Consolidated Financial Statements                         8

           Management's Discussion and Analysis of
           Financial Condition and Results of
           Operations                                                        10


PART II -  OTHER INFORMATION                                                 16

SIGNATURES                                                                   17





























                                        2



<PAGE>

<TABLE>

                              River Valley Bancorp
<CAPTION>
                 CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                        (In thousands, except share data)

                                                                                      September 30,        December 31,
         ASSETS                                                                                1999                1998
<S>                                                                                          <C>                 <C>
Cash and due from banks                                                                    $  3,853            $  4,014
Federal funds sold                                                                              500                 825
Interest-earning deposits in other financial institutions                                     3,454               7,468
                                                                                            -------             -------
         Cash and cash equivalents                                                            7,807              12,307

Investment securities designated as available for sale - at market                            4,277                 283
Investment securities held to maturity - at amortized cost, approximate market
  value of $990 and $980 as of September 30, 1999 and December 31, 1998                       1,000               1,000
Mortgage-backed securities designated as available for sale - at market                       2,195               2,796
Mortgage-backed and related securities held to maturity - at cost, approximate
  market value of $2,403 and $3,220 as of September 30, 1999 and December 31, 1998            2,410               3,190
Loans receivable - net                                                                      110,918             108,684
Loans held for sale - at lower of cost or market                                                 -                3,701
Property acquired in settlement of loans                                                          3                  82
Office premises and equipment - at depreciated cost                                           2,012               2,023
Federal Home Loan Bank stock - at cost                                                          943                 943
Accrued interest receivable on loans                                                          1,100                 987
Accrued interest receivable on mortgage-backed and related securities                            29                  40
Accrued interest receivable on investments and interest-earning deposits                        115                  29
Goodwill, net of accumulated amortization                                                        45                  50
Cash surrender value of life insurance                                                          845                 818
Prepaid expenses and other assets                                                               273                 373
Prepaid federal income taxes                                                                    524                 405
Deferred tax asset                                                                              660                 658
                                                                                            -------             -------

         Total assets                                                                      $135,156            $138,369
                                                                                            =======             =======

         LIABILITIES AND STOCKHOLDERS' EQUITY

Deposits                                                                                   $113,838            $118,151
Other borrowed money                                                                          2,655                 270
Advances by borrowers for taxes and insurance                                                    49                  34
Accrued interest payable                                                                        308                 468
Other liabilities                                                                             1,100                 763
Dividends payable                                                                                71                  70
                                                                                            -------             -------
         Total liabilities                                                                  118,021             119,756

Stockholders' equity
  Preferred stock - 2,000,000 shares without par value
    authorized; no shares issued                                                                 -                   -
  Common stock - 5,000,000 shares without par value authorized;
    1,026,343 and 1,173,440 shares issued and outstanding at
    September 30, 1999 and December 31, 1998                                                     -                   -
  Additional paid in capital                                                                  8,995              11,036
  Retained earnings - substantially restricted                                                9,244               8,789
  Shares acquired by stock benefit plans                                                     (1,079)             (1,199)
  Unrealized losses on securities designated as available for sale,
    net of related tax effects                                                                  (25)                (13)
                                                                                            -------             -------
         Total stockholders' equity                                                          17,135              18,613
                                                                                            -------             -------

         Total liabilities and stockholders' equity                                        $135,156            $138,369
                                                                                            =======             =======
</TABLE>



                                        3


<PAGE>

<TABLE>

                              River Valley Bancorp
<CAPTION>

                       CONSOLIDATED STATEMENTS OF EARNINGS

                        (In thousands, except share data)

                                                                         Nine months ended            Three months ended
                                                                            September 30,                September 30,
                                                                         1999         1998            1999         1998
<S>                                                                      <C>           <C>            <C>          <C>
Interest income
  Loans                                                                $6,467       $6,985          $2,134       $2,428
  Mortgage-backed and related securities                                  233          341              72          110
  Investment securities                                                   221          131              94           27
  Interest-earning deposits and other                                     315          181              83           53
                                                                        -----        -----           -----        -----
         Total interest income                                          7,236        7,638           2,383        2,618

Interest expense
  Deposits                                                              3,382        3,505           1,072        1,159
  Borrowings                                                               73          137              43           81
                                                                        -----        -----           -----        -----
         Total interest expense                                         3,455        3,642           1,115        1,240
                                                                        -----        -----           -----        -----

         Net interest income                                            3,781        3,996           1,268        1,378

Provision for losses on loans                                             110          215              10           65
                                                                        -----        -----           -----        -----

         Net interest income after provision for losses on loans        3,671        3,781           1,258        1,313

Other income
  Gain on sale of loans                                                    41          202               2           75
  Gain on sale of office premises and equipment                            -            57              -            57
  Service fees, charges and other operating                               575          634             203          223
                                                                        -----        -----           -----        -----
         Total other income                                               616          893             205          355

General, administrative and other expense
  Employee compensation and benefits                                    1,768        1,669             757          598
  Occupancy and equipment                                                 389          348             123          125
  Amortization of goodwill                                                 38           20              35            7
  Data processing                                                          90           86              36           30
  Other operating                                                         873          937             265          340
                                                                        -----        -----           -----        -----
         Total general, administrative and other expense                3,158        3,060           1,216        1,100
                                                                        -----        -----           -----        -----

         Earnings before income taxes                                   1,129        1,614             247          568

Income taxes
  Current                                                                 468          734              66          424
  Deferred                                                                 (4)         (93)             56         (195)
                                                                        -----        -----           -----        -----
         Total income taxes                                               464          641             122          229
                                                                        -----        -----           -----        -----

         NET EARNINGS                                                  $  665       $  973          $  125       $  339
                                                                        =====        =====           =====        =====

         EARNINGS PER SHARE
           Basic                                                         $.65         $.88            $.13         $.31
                                                                          ===          ===             ===          ===

           Diluted                                                       $.65         $.86            $.13         $.30
                                                                          ===          ===             ===          ===

</TABLE>



                                        4


<PAGE>

<TABLE>

                              River Valley Bancorp
<CAPTION>

                 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

                                 (In thousands)

                                                                     For the nine months            For the three months
                                                                      ended September 30,             ended September 30,
                                                                       1999         1998              1999         1998
<S>                                                                     <C>          <C>               <C>           <C>
Net earnings                                                           $665         $973              $125         $339

Other comprehensive income, net of tax:
  Unrealized holding gains (losses) during the period, net of tax       (12)          17                14            3
                                                                        ---          ---               ---          ---

Comprehensive income                                                   $653         $990              $139         $342
                                                                        ===          ===               ===          ===

Accumulated other comprehensive losses                                 $(25)        $(15)             $(25)        $(15)
                                                                        ===          ===               ===          ===

</TABLE>


































                                        5



<PAGE>

<TABLE>

                              River Valley Bancorp
<CAPTION>

                      CONSOLIDATED STATEMENTS OF CASH FLOWS

                     For the nine months ended September 30,
                                 (In thousands)

                                                                                                 1999              1998
<S>                                                                                              <C>                <C>
Cash flows from operating activities:
  Net earnings for the period                                                                 $   665           $   973
  Adjustments to reconcile net earnings to net cash provided
  by (used in) operating activities:
    Amortization of premiums  and discounts on investments and
      mortgage-backed securities - net                                                             14                13
    Loans originated for sale in the secondary market                                          (9,596)          (12,763)
    Proceeds from sale of loans in the secondary market                                        13,246            11,144
    (Gain) loss on sale of loans                                                                   51              (103)
    Amortization of deferred loan origination costs                                                67                75
    Provision for losses on loans                                                                 110               215
    Depreciation and amortization                                                                 178               170
    Amortization of goodwill                                                                       38                20
    Amortization of stock benefit plans                                                           120                -
    Gain on sale of office premises and equipment                                                  -                (57)
    Increase (decrease) in cash due to changes in:
      Accrued interest receivable on loans                                                       (113)             (146)
      Accrued interest receivable on mortgage-backed securities                                    11                46
      Accrued interest receivable on investments and interest-bearing deposits                    (86)               34
      Prepaid expenses and other assets                                                           100               (59)
      Accrued interest payable                                                                   (160)              (49)
      Other liabilities                                                                           338              (264)
      Income taxes
        Current                                                                                  (119)             (142)
        Deferred                                                                                   (4)              (93)
                                                                                               ------            ------
         Net cash provided by (used in) operating activities                                    4,860              (986)

Cash flows provided by (used in) investing activities:
  Proceeds from maturity of investment securities                                              13,639             2,500
  Purchase of investment securities designated as available for sale                          (17,579)               -
  Principal repayments on mortgage-backed securities                                            1,349             2,570
  Loan principal repayments                                                                    28,021            28,621
  Loan disbursements                                                                          (30,432)          (30,640)
  Purchase of office equipment                                                                   (167)             (159)
  Proceeds from sale of office premises and equipment                                              -                 68
  Decrease in certificates of deposit in other financial institutions - net                        -                797
  Increase in cash surrender value of life insurance                                              (27)              (33)
                                                                                               ------            ------
         Net cash provided by (used in) investing activities                                   (5,196)            3,724
                                                                                               ------            ------

         Net cash provided by (used in) operating and investing
           activities (subtotal carried forward)                                                 (336)            2,738
                                                                                               ------            ------

</TABLE>


                                        6


<PAGE>

<TABLE>

                              River Valley Bancorp
<CAPTION>

                CONSOLIDATED STATEMENTS OF CASH FLOWS (CONTINUED)

                     For the nine months ended September 30,
                                 (In thousands)

                                                                                                 1999              1998
<S>                                                                                             <C>                 <C>
         Net cash provided by (used in) operating and investing
           activities (subtotal brought forward)                                              $  (336)          $ 2,738

Cash flows provided by (used in) financing activities:
  Net decrease in deposit accounts                                                             (4,313)           (3,803)
  Proceeds from Federal Home Loan Bank advances and other borrowings                            2,385            12,221
  Repayment of Federal Home Loan Bank advances and other borrowings                                -             (9,221)
  Advances by borrowers for taxes and insurance                                                    15                (1)
  Dividends on common stock                                                                      (210)             (191)
  Purchase of shares for stock benefit plans                                                       -               (429)
  Proceeds from exercise of stock options                                                          -                 18
  Purchase of shares                                                                           (2,041)               -
                                                                                               ------            ------
         Net cash used in financing activities                                                 (4,164)           (1,406)
                                                                                               ------            ------

Net increase (decrease) in cash and cash equivalents                                           (4,500)            1,332

Cash and cash equivalents at beginning of period                                               12,307             4,868
                                                                                               ------            ------

Cash and cash equivalents at end of period                                                    $ 7,807           $ 6,200
                                                                                               ======            ======


Supplemental disclosure of cash flow information:
 Cash paid during the year for:
    Federal income taxes                                                                      $   465           $   516
                                                                                               ======            ======

    Interest on deposits and borrowings                                                       $ 3,615           $ 3,691
                                                                                               ======            ======


Supplemental disclosure of noncash investing activities:
  Unrealized gains (losses) on securities designated as available
    for sale, net of related tax effects                                                      $   (12)          $    17
                                                                                               ======            ======

  Recognition of mortgage servicing rights in accordance with
    SFAS No. 125                                                                              $    92           $    99
                                                                                               ======            ======

</TABLE>









                                        7


<PAGE>


                              River Valley Bancorp

                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

          For the nine month periods ended September 30, 1999 and 1998


River Valley Bancorp (the  "Corporation")  is a unitary savings and loan holding
company whose  activities  are  primarily  limited to holding the stock of River
Valley  Financial  Bank  ("River  Valley" or the  "Bank").  The Bank  conducts a
general banking  business in  southeastern  Indiana which consists of attracting
deposits from the general public and applying those funds to the  origination of
loans  for  consumer,   residential  and  commercial  purposes.  River  Valley's
profitability  is significantly  dependent on net interest income,  which is the
difference between interest income generated from interest-earning  assets (i.e.
loans  and  investments)  and the  interest  expense  paid  on  interest-bearing
liabilities (i.e.  customer deposits and borrowed funds). Net interest income is
affected by the relative amount of interest-earning  assets and interest-bearing
liabilities and the interest  received or paid on these  balances.  The level of
interest rates paid or received by the Bank can be significantly influenced by a
number of competitive  factors,  such as governmental  monetary policy, that are
outside of management's control.

1.  Basis of Presentation

The accompanying  unaudited  consolidated  financial statements were prepared in
accordance  with  instructions  for Form 10-QSB and,  therefore,  do not include
information  or footnotes  necessary  for a complete  presentation  of financial
position,  results of  operations  and cash flows in conformity  with  generally
accepted accounting principles.  Accordingly,  these financial statements should
be read in  conjunction  with the  consolidated  financial  statements and notes
thereto of the Corporation  included in the Annual Report on Form 10-KSB for the
year ended  December  31,  1998.  However,  in the  opinion of  management,  all
adjustments  (consisting of only normal recurring  accruals) which are necessary
for a fair  presentation  of the financial  statements  have been included.  The
results of operations  for the nine and three month periods ended  September 30,
1999 are not necessarily indicative of the results which may be expected for the
entire year.

2.  Principles of Consolidation

The consolidated  financial  statements  include the accounts of the Corporation
and its subsidiary,  the Bank and the Bank's  subsidiary,  Madison First Service
Corporation  ("First  Service").   All  significant  intercompany  balances  and
transactions  have been eliminated in the  accompanying  consolidated  financial
statements.

3.  Effect of Recent Accounting Pronouncements

In June 1998,  the  Financial  Accounting  Standards  Board (the "FASB")  issued
Statement of Financial  Accounting  Standards ("SFAS") No. 133,  "Accounting for
Derivative  Instruments  and Hedging  Activities,"  which  requires  entities to
recognize  all  derivatives  in their  financial  statements as either assets or
liabilities  measured at fair value.  SFAS No. 133 also specifies new methods of
accounting for hedging transactions,  prescribes the items and transactions that
may be hedged,  and specifies  detailed  criteria to be met to qualify for hedge
accounting.





                                        8


<PAGE>


                              River Valley Bancorp

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

          For the nine month periods ended September 30, 1999 and 1998


3.  Effect of Recent Accounting Pronouncements (continued)

The definition of a derivative  financial instrument is complex, but in general,
it is an instrument  with one or more  underlyings,  such as an interest rate or
foreign exchange rate, that is applied to a notional  amount,  such as an amount
of currency,  to determine the settlement  amount(s).  It generally  requires no
significant initial investment and can be settled net or by delivery of an asset
that is  readily  convertible  to cash.  SFAS No.  133  applies  to  derivatives
embedded in other contracts, unless the underlying of the embedded derivative is
clearly and closely related to the host contract.

SFAS No.  133,  as amended  by SFAS No.  137,  is  effective  for  fiscal  years
beginning  after June 15, 2000. On adoption,  entities are permitted to transfer
held-to-maturity  debt securities to the  available-for-sale or trading category
without  calling into  question  their intent to hold other debt  securities  to
maturity in the future.  SFAS No. 133 is not expected to have a material  impact
on the Corporation's financial statements.

4.  Earnings Per Share

Basic  earnings  per share is computed  based upon the  weighted-average  shares
outstanding during the period,  less shares in the ESOP that are unallocated and
not committed to be released.  Weighted-average common shares outstanding, which
gives effect to 71,730  unallocated  ESOP shares at September 30, 1999,  totaled
1,029,313 and 961,776 for the nine and three month  periods ended  September 30,
1999,  respectively.  Weighted-average  common shares  outstanding,  which gives
effect  to 83,124  unallocated  ESOP  shares  at  September  30,  1998,  totaled
1,107,261 and 1,107,527 for the nine and three month periods ended September 30,
1998, respectively.

Diluted earnings per share is computed taking into  consideration  common shares
outstanding  and  dilutive  potential  common  shares  to be  issued  under  the
Corporation's   stock  option  plan.   Weighted-average   common  shares  deemed
outstanding  for  purposes  of  computing  diluted  earnings  per share  totaled
1,029,313 and 961,776 for the nine and three month  periods ended  September 30,
1999,  respectively.  Weighted-average  common  shares  deemed  outstanding  for
purposes of computing diluted earnings per share totaled 1,126,345 and 1,113,865
for the nine and three month periods ended September 30, 1998, respectively.

There were 19,084 and 6,338  incremental  shares related to the assumed exercise
of stock options  included in the computation of diluted  earnings per share for
the nine and three month periods ended September 30, 1998, respectively. Options
to purchase  103,959  shares of common  stock with a weighted  average  exercise
price of $14.81 were  outstanding  at September 30, 1999, but were excluded from
the computation of common share  equivalents  because their exercise prices were
greater than the average market price of the common shares.

5.  Reclassifications

Certain  reclassifications  have  been made to the 1998  consolidated  financial
statements to conform to the September 30, 1999 presentation.



                                        9



<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                       CONDITION AND RESULTS OF OPERATIONS

     For the nine and three month periods ended September 30, 1999 and 1998


Forward-Looking Statements

In addition to historical information contained herein, the following discussion
contains  forward-looking  statements  that  involve  risks  and  uncertainties.
Economic  circumstances,  the  Corporation's  operations  and the  Corporation's
actual  results  could  differ   significantly   from  those  discussed  in  the
forward-looking  statements.  Some of the factors that could cause or contribute
to such differences are discussed herein but also include changes in the economy
and interest rates in the nation and the Corporation's market area generally.

Some of the  forward-looking  statements  included  herein  are  the  statements
regarding management's determination of the amount and adequacy of the allowance
for  losses on loans,  the  effect  of the year 2000 on  information  technology
systems and the effect of certain recent accounting pronouncements.


Discussion  of Financial  Condition  Changes from December 31, 1998 to September
30, 1999

At September 30, 1999,  the  Corporation's  consolidated  assets  totaled $135.2
million, a decrease of $3.2 million,  or 2.3%, from the December 31, 1998 total.
The decrease in assets  resulted  primarily  from a decrease in deposits of $4.3
million  and a  $1.5  million  decrease  in  stockholders'  equity,  which  were
partially offset by an increase in other borrowed money of $2.4 million.

Liquid assets (i.e.,  cash,  federal funds sold and  interest-earning  deposits)
decreased  by $4.5 million  from  December  31, 1998 levels,  to a total of $7.8
million  at  September  30,  1999.  Mortgage-backed  and  investment  securities
increased by $2.6 million, or 35.7%, to a total of $9.9 million at September 30,
1999,  due primarily to purchases of short-term  investments  of $17.6  million,
which were  partially  offset by principal  repayments  on  mortgage-backed  and
related securities totaling $1.3 million and maturities of investment securities
of $13.6 million.

Loans  receivable,  including  loans held for sale,  totaled  $110.9  million at
September 30, 1999, a decrease of $1.5 million, or 1.3%, from the $112.4 million
total at December  31, 1998.  The decrease  resulted  primarily  from  principal
repayments  of $28.0  million and sales of $13.3  million,  which were offset by
loan originations during the period of $40.0 million.

The Corporation's consolidated allowance for loan losses totaled $1.5 million at
both September 30, 1999 and December 31, 1998,  which  represented 1.4% of total
loans at each of those respective dates.  Nonperforming  loans (defined as loans
delinquent  greater than 90 days and loans on  nonaccrual  status)  totaled $1.6
million  and  $1.9  million  at  September  30,  1999  and  December  31,  1998,
respectively. Although management believes that its allowance for loan losses at
September  30,  1999,   was  adequate   based  upon  the  available   facts  and
circumstances,  there can be no assurance  that additions to such allowance will
not  be  necessary  in  future  periods,   which  could  negatively  affect  the
Corporation's results of operations.



                                       10


<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

     For the nine and three month periods ended September 30, 1999 and 1998


Discussion  of Financial  Condition  Changes from December 31, 1998 to September
30, 1999 (continued)

Deposits  totaled  $113.8  million at  September  30,  1999,  a decrease of $4.3
million,  or 3.7%,  compared to the $118.2  million  total at December 31, 1998.
During the nine month period  ended  September  30,  1999,  as rising loan rates
caused a decline in loan demand,  the Bank elected not to match higher  interest
rates on deposits offered within its highly competitive market area.

Stockholders'  equity totaled $17.1 million at September 30, 1999, a decrease of
$1.5 million,  or 7.9%,  from the $18.6 million total at December 31, 1998.  The
decrease resulted primarily from the Corporation's  repurchase of 147,097 shares
of its stock totaling $2.0 million,  a $12,000 increase in unrealized  losses on
securities  designated as available for sale,  and the  declaration of dividends
totaling  $210,000.  These  decreases  were  partially  offset by current period
earnings of $665,000.

The Bank is required to maintain minimum  regulatory capital pursuant to federal
regulations.  At September 30, 1999, the Bank's regulatory  capital exceeded all
applicable regulatory capital requirements.


Comparison of Results of Operations  for the Nine Month Periods Ended  September
30, 1999 and 1998

General

The  Corporation's  net earnings for the nine months ended  September  30, 1999,
totaled  $665,000,  a decrease of $308,000,  or 31.7%,  from the $973,000 of net
earnings reported in the comparable 1998 period. The decrease in earnings in the
1999 period was primarily  attributable  to a decrease in net interest income of
$215,000,  a decrease in other  income of  $277,000  and an increase in general,
administrative  and other expense of $98,000,  which were partially  offset by a
$105,000  decrease  in the  provision  for losses on loans and a decrease in the
provision for income taxes of $177,000.

Net Interest Income

Total interest  income for the nine months ended  September 30, 1999 amounted to
$7.2 million,  a decrease of $402,000,  or 5.3%,  from the comparable  period in
1998,  reflecting  the effects of a decline in average  interest-earning  assets
outstanding, coupled with a decrease in the yield year-to-year.  Interest income
on loans and mortgage-backed securities totaled $6.7 million for the nine months
ended  September 30, 1999, a decrease of $626,000,  or 8.5%, from the comparable
1998 period.  The decrease  resulted  primarily  from a $5.3  million,  or 4.4%,
decrease in the average balance outstanding year-to-year, coupled with a decline
in yield of  approximately  41 basis points,  to 7.66% for the nine months ended
September 30, 1999. Interest income on investments and interest-earning deposits
increased  by  $224,000,  or 71.8%,  due to an increase  in the average  balance
outstanding of approximately $6.9 million.




                                       11


<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

     For the nine and three month periods ended September 30, 1999 and 1998


Comparison of Results of Operations  for the Nine Month Periods Ended  September
30, 1999 and 1998 (continued)

Net Interest Income (continued)

Interest expense on deposits decreased by $123,000,  or 3.5%, to a total of $3.4
million for the nine month period ended  September 30, 1999,  due primarily to a
decrease in the average  cost of  deposits to 3.82% for fiscal  1999,  partially
offset by a $4.7 million,  or 4.1%,  increase in the average balance of deposits
outstanding year to year. Interest expense on borrowings totaled $73,000 for the
nine months ended September 30, 1999, a decrease of $64,000,  or 46.7%, from the
comparable  period in 1998. The decrease  resulted  primarily from a decrease in
average borrowings outstanding year to year.

As a result of the foregoing  changes in interest  income and interest  expense,
net interest  income  decreased by $215,000,  or 5.4%, for the nine months ended
September 30, 1999, as compared to the  comparable  period in 1998. The interest
rate spread  amounted to  approximately  3.53% for the 1999 period,  compared to
3.85% in 1998, while the net interest margin totaled  approximately 3.86% in the
1999 period, compared to 4.24% in 1998.

Provision for Losses on Loans

A  provision  for  losses on loans is  charged  to  earnings  to bring the total
allowance for loan losses to a level considered  appropriate by management based
upon  historical  experience,  the volume and type of lending  conducted  by the
Bank, the status of past due principal and interest  payments,  general economic
conditions,  particularly as such  conditions  relate to the Bank's market area,
and other factors related to the collectibility of the Bank's loan portfolio. As
a result of such analysis,  management  recorded a $110,000 provision for losses
on loans for the nine months ended September 30, 1999,  compared to the $215,000
amount recorded in the 1998 period.  The 1999 provision amount was predicated on
the decline in the balance of the loan portfolio,  coupled with a decline in the
level of nonperforming  loans year to year.  While management  believes that the
allowance for losses on loans is adequate at September 30, 1999,  based upon the
available facts and circumstances,  there can be no assurance that the loan loss
allowance  will be  adequate  to cover  losses  on  nonperforming  assets in the
future.

Other Income

Other  income  decreased  by  $277,000,  or  31.0%,  for the nine  months  ended
September 30, 1999,  as compared to the same period in 1998,  due primarily to a
decrease of $161,000, or 79.7%, in gain on sale of loans and a $59,000, or 9.3%,
decrease in service fees, charges and other operating income.






                                       12


<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

     For the nine and three month periods ended September 30, 1999 and 1998


Comparison of Results of Operations  for the Nine Month Periods Ended  September
30, 1999 and 1998 (continued)

General, Administrative and Other Expense

General,  administrative and other expense increased by $98,000, or 3.2%, during
the nine months ended  September 30, 1999,  compared to the same period in 1998.
This increase resulted primarily from a $99,000,  or 5.9%,  increase in employee
compensation  and benefits and a $41,000,  or 11.8%,  increase in occupancy  and
equipment expense,  which were partially offset by a $64,000,  or 6.8%, decrease
in other operating expense.  The increase in employee  compensation and benefits
resulted  primarily  from a one time  pre-tax  charge  of  $184,000  related  to
severance  benefits  recorded  following the resignation of the Bank's executive
vice-president.  This  charge was  offset by a  reduction  in costs of  employee
benefit plans and an increase in deferred loan  origination  costs year to year.
The increase in occupancy and  equipment  expense was due primarily to increases
in depreciation, maintenance and repairs, and property tax expense.

Income Taxes

The  provision  for income  taxes  totaled  $464,000  for the nine months  ended
September  30, 1999, a decrease of $177,000,  or 27.6%,  as compared to the same
period in 1998. This decrease resulted primarily from a decrease in net earnings
before taxes of $485,000,  or 30.0%.  The effective tax rates  amounted to 41.1%
and 39.7% for the nine months ended September 30, 1999 and 1998, respectively.


Comparison of Results of Operations for the Three Month Periods Ended  September
30, 1999 and 1998

General

The  Corporation's  net earnings for the three months ended  September 30, 1999,
totaled  $125,000,  a decrease of $214,000,  or 63.1%,  from the $339,000 of net
earnings reported in the comparable 1998 period. The decrease in earnings in the
1999 period was primarily  attributable  to a decrease in net interest income of
$110,000,  a decrease in other  income of  $150,000  and an increase in general,
administrative  and other expense of $116,000,  which were partially offset by a
decrease in the  provision  for losses on loans of $55,000 and a decrease in the
provision for income taxes of $107,000.

Net Interest Income

Total interest  income for the three months ended September 30, 1999 amounted to
$2.4 million,  a decrease of $235,000,  or 9.0%, from the comparable  quarter in
1998,  reflecting  the effects of a decline in average  interest-earning  assets
outstanding, coupled with a decrease in the yield year-to-year.  Interest income
on loans and  mortgage-backed  securities  totaled  $2.2  million  for the three
months ended  September  30, 1999,  a decrease of $332,000,  or 13.1%,  from the
comparable 1998 quarter.  The decrease resulted primarily from a decrease in the
average  balance  outstanding  year-to-year.  Interest income on investments and
interest-earning  deposits increased by $97,000, or 121.3%, due to a increase in
the average balance outstanding.

                                       13


<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

     For the nine and three month periods ended September 30, 1999 and 1998

Comparison of Results of Operations for the Three Month Periods Ended  September
30, 1999 and 1998 (continued)

Net Interest Income (continued)

Interest expense on deposits  decreased by $87,000,  or 7.5%, to a total of $1.1
million for the quarter ended September 30, 1999, due primarily to a decrease in
the average  cost of  deposits,  partially  offset by an increase in the average
balance of deposits outstanding.  Interest expense on borrowings totaled $43,000
for the three months ended September 30, 1999, a decrease of $38,000,  or 46.9%,
from the  comparable  quarter in 1998.  The decrease  resulted  primarily from a
decrease in average borrowings outstanding year to year.

As a result of the foregoing  changes in interest  income and interest  expense,
net interest income  decreased by $110,000,  or 8.0%, for the three months ended
September 30, 1999, as compared to the comparable quarter in 1998.

Provision for Losses on Loans

A  provision  for  losses on loans is  charged  to  earnings  to bring the total
allowance for loan losses to a level considered  appropriate by management based
upon  historical  experience,  the volume and type of lending  conducted  by the
Bank, the status of past due principal and interest  payments,  general economic
conditions,  particularly as such  conditions  relate to the Bank's market area,
and other factors related to the collectibility of the Bank's loan portfolio. As
a result of such analysis, management recorded a $10,000 provision for losses on
loans for the three months  ended  September  30, 1999,  compared to the $65,000
amount recorded in the 1998 period. While management believes that the allowance
for losses on loans is adequate at September 30, 1999,  based upon the available
facts and circumstances,  there can be no assurance that the loan loss allowance
will be adequate to cover losses on nonperforming assets in the future.

Other Income

Other  income  decreased  by  $150,000,  or 42.3%,  for the three  months  ended
September 30, 1999,  as compared to the same period in 1998,  due primarily to a
decrease of $73,000 in gain on sale of loans,  coupled with a $20,000,  or 9.0%,
decrease in service fees, charges and other operating income.

General, Administrative and Other Expense

General,  administrative  and other  expense  increased by  $116,000,  or 10.5%,
during the three months ended September 30, 1999, compared to the same period in
1998. This increase resulted  primarily from a $159,000,  or 26.6%,  increase in
employee compensation and benefits,  which was partially offset by a $75,000, or
22.1%,   decrease  in  other  operating   expense.   The  increase  in  employee
compensation  and benefits was due  primarily to a one time charge for severance
benefits, as previously discussed.



                                       14


<PAGE>


                              River Valley Bancorp

                MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
                 CONDITION AND RESULTS OF OPERATIONS (CONTINUED)

     For the nine and three month periods ended September 30, 1999 and 1998


Comparison of Results of Operations for the Three Month Periods Ended  September
30, 1999 and 1998 (continued)

Income Taxes

The  provision  for income  taxes  totaled  $122,000  for the three months ended
September  30, 1999, a decrease of $107,000,  or 46.7%,  as compared to the same
period in 1998. This decrease resulted primarily from a decrease in net earnings
before taxes of $321,000,  or 56.5%.  The effective tax rates  amounted to 49.4%
and 40.3% for the three months ended September 30, 1999 and 1998, respectively.


Year 2000 Compliance Matters

As with all providers of financial  services,  the Bank's operations are heavily
dependent  on  information  technology  systems.  The  Bank  has  addressed  the
potential  problems  associated  with the  possibility  that the computers  that
control or operate the Bank's  information  technology system and infrastructure
may not be  programmed  to read  four-digit  date codes and, upon arrival of the
year 2000,  may  recognize  the  two-digit  code "00" as the year 1900,  causing
systems to fail to function or to generate erroneous data.

The Bank's core data processing  relative to customer loan and deposit accounts,
as well as the general ledger, is performed  in-house through use of a purchased
software  product.  Management  has been advised,  and certain  testing has been
performed to verify,  that the system will  continue to function upon arrival of
the year 2000.

The Bank had previously  identified  certain  expenses that would be incurred by
the Bank in  connection  with this  issue.  Such  expenses  total  approximately
$19,000.  The Bank has  established a budget of  approximately  $65,000 for year
2000  related  costs.  From a review  of the  systems  and  vendors,  management
believes  the  budgeted  amount to be  sufficient.  No  assurance  can be given,
however, that significant expense will not be incurred in future periods. In the
event that the Bank is  ultimately  required  to purchase  replacement  computer
systems, programs and equipment, or incur substantial expense to make the Bank's
current  systems,  programs and equipment  year 2000  compliant,  the Bank's net
earnings and financial condition could be adversely affected.

In the event  that the Bank is unable to  process  transactions  as normal  upon
arrival of the year 2000, the Bank has access to a third-party  contingency site
with its  software  vendor.  Additionally,  the Bank  could  conduct  and record
transactions manually for a period of time, if necessary.

In addition to possible expense related to its own systems, the Bank could incur
losses if loan  payments  are delayed due to year 2000  problems  affecting  any
major  borrowers in the Bank's primary  market area. The Bank has contacted,  in
person or by mail, a majority of its larger loan customers to make them aware of
the year 2000 issues.  A brochure has also been distributed to customers by mail
and in person.  Because the Bank's loan  portfolio  is highly  diversified  with
regard to individual  borrowers and types of businesses,  and the Bank's primary
market area is not  significantly  dependent upon one employer or industry,  the
Bank does not expect any significant or prolonged  difficulties that will affect
net earnings or cash flow.


                                       15


<PAGE>


                              River Valley Bancorp

                                     PART II

ITEM 1.  Legal Proceedings

         Not applicable

ITEM 2.  Changes in Securities and Use of Proceeds

         None

ITEM 3.  Defaults Upon Senior Securities

         Not applicable

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

         None.

ITEM 5.  Other Information

         None.

ITEM 6.  Exhibits and Reports on Form 8-K

         Reports on Form 8-K:         None.

         Exhibit 27:                  Financial Data Schedule for the nine month
                                      period ended September 30, 1999























                                       16



<PAGE>



                                   SIGNATURES

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





Date:   November 15, 1999                 By: /s/Matthew P. Forrester
     --------------------------               --------------------------------
                                              Matthew P. Forrester
                                              Chief Executive Officer
                                                and President



Date:   November 15, 1999                 By: /s/Larry C. Fouse
     --------------------------               --------------------------------
                                              Larry C. Fouse
                                              Chief Financial Officer





































                                       17