MAF Bancorp Reports First Quarter Results Of $.60 Per Diluted Share

Apr 18, 2001, 01:00 ET from MAF Bancorp, Inc.

    CLARENDON HILLS, Ill., April 18 /PRNewswire/ -- MAF Bancorp, Inc. (MAFB)
 announced today that earnings per share for the first quarter ended March 31,
 2001 totaled $.60 per diluted share, a 9.1% improvement over the $.55 per
 diluted share reported for the quarter ended March 31, 2000.  Net income for
 the current quarter totaled $14.1 million, up 7.4% over net income of
 $13.1 million reported in last year's first quarter.  Return on average equity
 and return on average assets were 14.43% and 1.10%, respectively, in the
 current quarter compared to 14.88% and 1.11% in last year's comparable period.
 Cash earnings per share (diluted), which excludes amortization of goodwill and
 deposit base intangibles, totaled $.64 in the current quarter compared to $.58
 in last year's first quarter.
     Net interest income increased by 6.4% from a year ago, totaling
 $32.5 million for the quarter ended March 31, 2001 compared to $30.5 million
 for last year's first quarter.  The net interest margin improved to 2.66%
 compared to 2.59% for the quarter ended December 31, 2000.  In last year's
 first quarter, the net interest margin was 2.71%.  The recent widening of the
 difference in long-term and short-term treasury interest rates, along with the
 Company's lower reliance on wholesale funding and more aggressive efforts to
 reduce deposit costs, led to the improvement in the net interest margin.
 Average interest-earning assets in the current quarter grew to $4.90 billion,
 compared to $4.51 billion reported for last year's first quarter and
 $4.86 billion reported for the quarter ended December 31, 2000.  The growth in
 interest-earning assets was primarily attributable to increases in investment
 securities and loans receivable balances.
     Management anticipates that the recent easing in monetary policy by the
 Federal Reserve Board, along with the steeper yield curve environment, should
 result in the net interest margin increasing slightly by the end of 2001.
 Based on this interest rate outlook and with the expected strong contribution
 from the Company's retail banking business and real estate development
 operations, the Company currently expects earnings for 2001 to be in the range
 of $2.45-$2.50 per diluted share.
     Loan origination volume totaled $515.5 million in the current quarter, up
 considerably from the $306.9 million reported for last year's first quarter
 and up from the $361.9 million reported for the quarter ended December 31,
 2000.  Fixed-rate loans remain the preferred choices of customers, a direct
 contrast to a year ago when adjustable-rate loans made up nearly 71% of total
 originations.  This trend in consumer preference, coupled with the Company's
 general practice of selling longer-term fixed-rate loans, should lead to
 greater loan sales and more modest balance sheet growth in 2001 compared to
 2000.  Given management's current outlook for mortgage interest rates, the
 Company expects fixed-rate loan origination activity to continue to be strong
 for the next couple of quarters.
     Non-interest income increased 27.1% to $9.9 million in the current
 quarter, compared to $7.8 million reported in the first quarter of last year.
 Increases in most revenue-generating areas led to this  improvement in non-
 interest income.  Fee income from deposit account products, profits from real
 estate development operations, gains on sales of loans and other loan income
 were all higher.  Only brokerage commissions and loan servicing fee income
 were lower than a year ago.
     The Company's real estate development operations contributed $3.3 million
 to non-interest income in the current quarter, up more than 35% from the
 $2.5 million of income reported for the quarter ended March 31, 2000.  A total
 of 85 residential lots were sold in the current period compared to 93 lots in
 last year's first quarter.  All of the sales in the current period were in the
 Company's Tallgrass of Naperville development.  With available inventory at
 low levels in this development, and with activity in other new developments in
 early stages, the Company had only 19 lots under contract at March 31, 2001.
 As a result, real estate income is expected to be relatively modest for the
 next two quarters as the Company readies additional lots for sale.  For the
 year, however, management continues to expect that pre-tax income from real
 estate development should be in the range of $8.0-$9.5 million.
     Deposit account service fees totaled $3.4 million for the current quarter,
 up 33.3% from the $2.6 million reported for the quarter ended March 31, 2000.
 Deposit account fee income continues to be one of the Company's strongest
 revenue growth areas, driven by both fee increases and expansion of the Bank's
 checking account base.  Total checking accounts totaled 118,400 at March 31,
 2001, increasing at an annualized rate of 10.3% during the first three months
 of the current year.
     Lower mortgage interest rates, which have resulted in a surge in loan
 refinancings, led to higher loan sale gains in the current quarter.  Gains on
 sales of mortgage loans totaled $691,000 in the current quarter compared to
 $57,000 a year ago, as loan sale volume expanded to $126.3 million compared to
 $35.7 million for the quarter ended March 31, 2000.  Given management's
 current outlook for mortgage interest rates, 2001 mortgage banking profits
 from loan sales should substantially exceed the results from 2000.  Increased
 prepayment rates in the Bank's loans serviced for others portfolio, due to
 higher loan refinancings, impacted loan servicing fee income during the
 quarter and reduced the value of mortgage servicing rights.  In the current
 quarter, loan servicing resulted in a loss of $263,000 compared to income of
 $556,000 in last year's first quarter.  The loss was generated from increased
 amortization expense due to higher than projected prepayments of loans
 serviced for others, and from $215,000 of impairment reserves on existing
 mortgage loan servicing rights.
     Non-interest expense totaled $19.9 million in the current quarter,
 compared to $17.7 million reported for the quarter ended March 31, 2000 and
 $18.9 million for the quarter ended December 31, 2000.  Compensation and
 benefits expense totaled $11.3 million in the current quarter, compared to
 $10.1 million a year ago.  This change was primarily due to normal salary
 increases, higher benefit costs, increased staffing costs related to the
 increased loan volume, and compensation associated with two additional branch
 locations purchased in the second quarter of 2000.  Office occupancy expense
 rose $309,000 due primarily to higher utilities and maintenance expenses as
 well as additional expenses at the two new branches.  Advertising expenses
 increased $246,000 due to increased spending relating to the Company's
 branding campaign.
     The ratio of total non-interest expense to average assets was 1.56% for
 the current quarter, compared to 1.50% in last year's first quarter and 1.47%
 in the fourth quarter of 2000.  The Company's efficiency ratio, a measure of
 the amount of expense needed to generate each dollar of revenue, was 47.3%.
 This measure continues to be considerably better than peer group averages.
 Income tax expense totaled $8.3 million in the current quarter, equal to an
 effective income tax rate of 37.2%, compared to $7.2 million and an effective
 tax rate of 35.5% for the quarter ended March 31, 2000.
     Asset quality remained excellent during the quarter.  Non-performing
 assets at March 31, 2001 were $19.2 million, or .37% of total assets, compared
 to $18.5 million or .36% of total assets at December 31, 2000.  A year ago,
 non-performing assets totaled $24.5 million, or .51% of total assets.  The
 Company did not record a provision for loan losses in the current quarter, and
 recorded $21,000 of net recoveries during the quarter.  Provided asset quality
 remains excellent, and subject to the ongoing evaluation of certain other
 factors, management does not currently expect to record a provision for loan
 losses for the remainder of 2001.  The Bank's allowance for loan losses was
 $18.3 million at March 31, 2001, equal to 102% of total non-performing loans,
 95% of total non-performing assets and .43% of total loans receivable.  At
 March 31, 2001, 88% of the Company's loan portfolio consisted of one-to-four
 family residential mortgage loans.
     Total assets increased to $5.26 billion at March 31, 2001, up
 $66.3 million from the $5.20 billion reported at December 31, 2000.  The
 growth in assets during the three-month period was primarily driven by an
 increase in investment securities of $42.1 million and an increase in loans
 receivable of $37.5 million.  The balance of loans receivable at March 31,
 2001 stood at $4.37 billion.  Deposit balances grew by $92.9 million in the
 quarter, totaling $3.07 billion at March 31, 2001 compared to $2.97 billion at
 December 31, 2000, an annualized rate of increase of 12.5%.  This marked the
 second consecutive quarter of strong, internal deposit growth.
     On January 1, 2001, the Company transferred $92.9 million of investment
 and mortgage-backed securities with a market value of $92.4 million from the
 held-to-maturity category to the available-for-sale category with a net of tax
 effect of $(314,000) on accumulated other comprehensive income.   The transfer
 was done upon adoption of SFAS 133, "Accounting for Derivative Instruments and
 Hedging Activities."   The cumulative effect of the measurement of derivative
 instruments did not have a material impact on the Company's financial position
 or results of operation.
     Borrowed funds declined by $44.0 million to $1.68 billion at March 31,
 2001, compared to $1.73 billion at December 31, 2000.  Total stockholders'
 equity was $390.7 million at March 31, 2001, resulting in a stated book value
 per share of $17.16 and a tangible book value per share of $14.18.  The
 Company repurchased 363,900 shares of its common stock during the current
 quarter at an average price of $26.96 per share.  The Bank's tangible, core
 and risk-based capital percentages of 6.35%, 6.35% and 11.86%, respectively,
 at March 31, 2001 exceeded all minimum regulatory requirements.
     MAF Bancorp is the parent company of Mid America Bank, a federally
 chartered stock savings bank.  The Bank operates a network of 27 retail
 banking offices primarily in Chicago and its western suburbs.  The Company's
 common stock trades on the Nasdaq Stock Market under the symbol MAFB.
 
     Forward-Looking Information
     Statements contained in this news release that are not historical facts
 may constitute forward-looking statements (within the meaning of Section 21E
 of the Securities Exchange Act of 1934, as amended), which involve significant
 risks and uncertainties.  The Company intends such forward-looking statements
 to be covered by the safe harbor provisions for forward-looking statements
 contained in the Private Securities Litigation Reform Act of 1995, and is
 including this statement for purposes of invoking these safe harbor
 provisions.  Forward-looking statements, which are based on certain
 assumptions and describe future plans, strategies and expectations of the
 Company, are generally identifiable by use of the words "believe," "expect,"
 "intend," "anticipate," estimate," "project," "plan," or similar expressions.
 The Company's ability to predict results or the actual effect of future plans
 or strategies is inherently uncertain and actual results may differ from those
 predicted.  The Company undertakes no obligation to update these forward-
 looking statements in the future.  Factors which could have a material adverse
 effect on the operations and could affect the outlook or future prospects of
 the Company and its subsidiaries include, but are not limited to,
 unanticipated changes in interest rates, general economic conditions,
 legislative/regulatory changes, monetary and fiscal policies of the U.S.
 Government, including policies of the U.S. Treasury and the Federal Reserve
 Board, the quality or composition of the Company's loan or investment
 portfolios, demand for loan products, secondary mortgage market conditions,
 deposit flows, competition, demand for financial services and residential real
 estate in the Company's market area, unanticipated problems in closing pending
 real estate contracts, delays in real estate development projects, the
 possible short-term dilutive effect of potential acquisitions, and changes in
 accounting principles, policies and guidelines.  These risks and uncertainties
 should be considered in evaluating forward-looking statements and undue
 reliance should not be placed on such statements.
 
 
                       MAF BANCORP, INC. AND SUBSIDIARIES
                            STATEMENTS OF OPERATIONS
                 (Dollars in thousands, except per share data)
 
                                                          Three Months Ended
                                                              March 31,
                                                         2001           2000
                                                            (Unaudited)
 
     Interest income                                  $89,147         80,091
     Interest expense                                  56,649         49,548
      Net interest income                              32,498         30,543
     Provision for loan losses                              -            300
      Net interest income after
       provision for loan losses                       32,498         30,243
     Non-interest income:
      Gain on sale of:
       Loans receivable held for sale                     691             57
       Investment securities                              170            133
       Foreclosed real estate                             175             72
      Income from real estate operations                3,349          2,475
      Deposit account service charges                   3,426          2,570
      Loan servicing fee income (loss)                   (263)           556
      Brokerage commissions                               545            678
      Other                                             1,766          1,218
       Total non-interest income                        9,859          7,759
     Non-interest expense:
      Compensation and benefits                        11,341         10,145
      Office occupancy and equipment                    2,224          1,915
      Federal deposit insurance premiums                  155            147
      Data processing                                     764            716
      Advertising and promotion                         1,248          1,002
      Amortization of goodwill                            811            684
      Amortization of core deposit intangibles            340            276
      Other                                             3,065          2,801
       Total non-interest expense                      19,948         17,686
       Income before income taxes                      22,409         20,316
     Income taxes                                       8,331          7,207
       Net income                                     $14,078        $13,109
 
     Basic earnings per share                            $.61           $.55
     Diluted earnings per share                           .60            .55
 
 
                         MAF BANCORP, INC. AND SUBSIDIARIES
                   CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                               (Dollars in thousands)
 
                                                    March 31,   December 31,
                                                         2001           2000
                                                  (Unaudited)
     Assets
 
     Cash and due from banks                          $81,107         77,860
     Interest-bearing deposits                         31,925         53,392
     Federal funds sold                               142,648        139,268
     Investment securities, at cost (fair
      value of $13,290 at December 31, 2000)                -         12,633
     Investment securities available for sale,
      at fair value                                   229,192        174,494
     Stock in Federal Home Loan Bank of
      Chicago, at cost                                 86,475         84,775
     Mortgage-backed securities, at amortized cost
      (fair value of $79,137 at December 31, 2000)          -         80,301
     Mortgage-backed securities available for sale,
      at fair value                                   110,126         24,084
     Loans receivable held for sale                   162,115         41,074
     Loans receivable, net of allowance for
      losses of $18,279 and $18,258                 4,203,525      4,287,040
     Accrued interest receivable                       27,639         27,888
     Foreclosed real estate                             1,345          1,808
     Real estate held for development or sale           7,813         12,643
     Premises and equipment, net                       48,895         48,904
     Other assets                                      61,359         60,560
     Intangible assets, net of accumulated
      amortization of $16,181 and $15,030              67,713         68,864
                                                   $5,261,877      5,195,588
     Liabilities and Stockholders' Equity
 
     Liabilities:
      Deposits                                     $3,067,129      2,974,213
      Borrowed funds                                1,684,900      1,728,900
      Advances by borrowers for taxes and insurance    45,224         38,354
      Accrued expenses and other liabilities           73,957         66,392
       Total liabilities                            4,871,210      4,807,859
     Stockholders' equity:
      Preferred stock, $.01 par value; authorized
       5,000,000 shares; none outstanding                   -              -
      Common stock, $.01 par value;
       80,000,000 shares authorized; 25,420,650
        shares issued;
        22,768,601 and 23,110,022 shares outstanding      254            254
      Additional paid-in capital                      198,119        198,068
      Retained earnings, substantially restricted     249,523        237,867
      Stock in Gain Deferral Plan; 223,453 shares         511            511
      Accumulated other comprehensive income,
       net of tax                                       2,032          1,435
      Treasury stock, at cost; 2,875,502
       and 2,534,081 shares                           (59,772)       (50,406)
        Total stockholders' equity                    390,667        387,729
                                                   $5,261,877     $5,195,588
 
 
                       MAF BANCORP, INC. AND SUBSIDIARIES
                            SELECTED FINANCIAL DATA
                       (In thousands, except share data)
 
                                    March 31    December 31,     March 31,
                                        2001            2000          2000
 
     Book value per share             $17.16          $16.78        $15.00
     Tangible book value per share     14.18           13.80         12.42
     Stockholders' equity to
      total assets                     7.42%           7.46%         7.29%
     Tangible capital ratio
      (Bank only)                       6.35            6.32          6.27
     Core capital ratio (Bank only)     6.35            6.32          6.27
     Risk-based capital ratio
      (Bank only)                      11.86           11.98         12.13
     Common shares outstanding:
      Actual                      22,768,601      23,110,022    23,449,287
      Basic (weighted average)    23,018,839      23,097,972    23,780,241
      Diluted (weighted average)  23,493,233      23,455,319    23,953,996
 
     Non-performing loans            $17,869         $16,709       $16,254
     Non-performing assets            19,213          18,517        24,475
     Allowance for loan losses        18,279          18,258        17,567
     Non-performing loans to
      total loans                       .42%            .39%          .41%
     Non-performing assets to
      total assets                       .37             .36           .51
     Allowance for loan losses to
      total loans                        .43             .42           .44
     Mortgage loans serviced
      for others                    $843,471        $785,350    $1,231,644
 
 
                                                      Three Months Ended
                                                             March 31,
                                                         2001           2000
     Average balance data:
      Total assets                                 $5,128,657     $4,731,076
      Loans receivable                              4,368,240      3,950,441
      Interest-earning assets                       4,898,647      4,507,699
      Deposits                                      2,839,382      2,583,165
      Interest-bearing liabilities                  4,498,860      4,173,897
      Stockholders' equity                            390,169        352,317
     Performance ratios (annualized):
      Return on average assets                          1.10%          1.11%
      Return on average equity                          14.43          14.88
      Average yield on interest-earning assets           7.29           7.11
      Average cost of interest-bearing liabilities       5.11           4.76
      Interest rate spread                               2.18           2.35
      Net interest margin                                2.66           2.71
      Average interest-earning assets to average
       interest-bearing liabilities                   108.88%         108.00
      Non-interest expense to average assets             1.56           1.50
      Non-interest expense to average assets
       and loans serviced for others                     1.35           1.19
      Efficiency ratio                                  47.28          46.34
     Loan originations and purchases                 $515,455       $306,906
     Loans and mortgage-backed securities sold        126,337         35,712
     Cash dividends declared per share                    .10            .09
 
 
 

SOURCE MAF Bancorp, Inc.
    CLARENDON HILLS, Ill., April 18 /PRNewswire/ -- MAF Bancorp, Inc. (MAFB)
 announced today that earnings per share for the first quarter ended March 31,
 2001 totaled $.60 per diluted share, a 9.1% improvement over the $.55 per
 diluted share reported for the quarter ended March 31, 2000.  Net income for
 the current quarter totaled $14.1 million, up 7.4% over net income of
 $13.1 million reported in last year's first quarter.  Return on average equity
 and return on average assets were 14.43% and 1.10%, respectively, in the
 current quarter compared to 14.88% and 1.11% in last year's comparable period.
 Cash earnings per share (diluted), which excludes amortization of goodwill and
 deposit base intangibles, totaled $.64 in the current quarter compared to $.58
 in last year's first quarter.
     Net interest income increased by 6.4% from a year ago, totaling
 $32.5 million for the quarter ended March 31, 2001 compared to $30.5 million
 for last year's first quarter.  The net interest margin improved to 2.66%
 compared to 2.59% for the quarter ended December 31, 2000.  In last year's
 first quarter, the net interest margin was 2.71%.  The recent widening of the
 difference in long-term and short-term treasury interest rates, along with the
 Company's lower reliance on wholesale funding and more aggressive efforts to
 reduce deposit costs, led to the improvement in the net interest margin.
 Average interest-earning assets in the current quarter grew to $4.90 billion,
 compared to $4.51 billion reported for last year's first quarter and
 $4.86 billion reported for the quarter ended December 31, 2000.  The growth in
 interest-earning assets was primarily attributable to increases in investment
 securities and loans receivable balances.
     Management anticipates that the recent easing in monetary policy by the
 Federal Reserve Board, along with the steeper yield curve environment, should
 result in the net interest margin increasing slightly by the end of 2001.
 Based on this interest rate outlook and with the expected strong contribution
 from the Company's retail banking business and real estate development
 operations, the Company currently expects earnings for 2001 to be in the range
 of $2.45-$2.50 per diluted share.
     Loan origination volume totaled $515.5 million in the current quarter, up
 considerably from the $306.9 million reported for last year's first quarter
 and up from the $361.9 million reported for the quarter ended December 31,
 2000.  Fixed-rate loans remain the preferred choices of customers, a direct
 contrast to a year ago when adjustable-rate loans made up nearly 71% of total
 originations.  This trend in consumer preference, coupled with the Company's
 general practice of selling longer-term fixed-rate loans, should lead to
 greater loan sales and more modest balance sheet growth in 2001 compared to
 2000.  Given management's current outlook for mortgage interest rates, the
 Company expects fixed-rate loan origination activity to continue to be strong
 for the next couple of quarters.
     Non-interest income increased 27.1% to $9.9 million in the current
 quarter, compared to $7.8 million reported in the first quarter of last year.
 Increases in most revenue-generating areas led to this  improvement in non-
 interest income.  Fee income from deposit account products, profits from real
 estate development operations, gains on sales of loans and other loan income
 were all higher.  Only brokerage commissions and loan servicing fee income
 were lower than a year ago.
     The Company's real estate development operations contributed $3.3 million
 to non-interest income in the current quarter, up more than 35% from the
 $2.5 million of income reported for the quarter ended March 31, 2000.  A total
 of 85 residential lots were sold in the current period compared to 93 lots in
 last year's first quarter.  All of the sales in the current period were in the
 Company's Tallgrass of Naperville development.  With available inventory at
 low levels in this development, and with activity in other new developments in
 early stages, the Company had only 19 lots under contract at March 31, 2001.
 As a result, real estate income is expected to be relatively modest for the
 next two quarters as the Company readies additional lots for sale.  For the
 year, however, management continues to expect that pre-tax income from real
 estate development should be in the range of $8.0-$9.5 million.
     Deposit account service fees totaled $3.4 million for the current quarter,
 up 33.3% from the $2.6 million reported for the quarter ended March 31, 2000.
 Deposit account fee income continues to be one of the Company's strongest
 revenue growth areas, driven by both fee increases and expansion of the Bank's
 checking account base.  Total checking accounts totaled 118,400 at March 31,
 2001, increasing at an annualized rate of 10.3% during the first three months
 of the current year.
     Lower mortgage interest rates, which have resulted in a surge in loan
 refinancings, led to higher loan sale gains in the current quarter.  Gains on
 sales of mortgage loans totaled $691,000 in the current quarter compared to
 $57,000 a year ago, as loan sale volume expanded to $126.3 million compared to
 $35.7 million for the quarter ended March 31, 2000.  Given management's
 current outlook for mortgage interest rates, 2001 mortgage banking profits
 from loan sales should substantially exceed the results from 2000.  Increased
 prepayment rates in the Bank's loans serviced for others portfolio, due to
 higher loan refinancings, impacted loan servicing fee income during the
 quarter and reduced the value of mortgage servicing rights.  In the current
 quarter, loan servicing resulted in a loss of $263,000 compared to income of
 $556,000 in last year's first quarter.  The loss was generated from increased
 amortization expense due to higher than projected prepayments of loans
 serviced for others, and from $215,000 of impairment reserves on existing
 mortgage loan servicing rights.
     Non-interest expense totaled $19.9 million in the current quarter,
 compared to $17.7 million reported for the quarter ended March 31, 2000 and
 $18.9 million for the quarter ended December 31, 2000.  Compensation and
 benefits expense totaled $11.3 million in the current quarter, compared to
 $10.1 million a year ago.  This change was primarily due to normal salary
 increases, higher benefit costs, increased staffing costs related to the
 increased loan volume, and compensation associated with two additional branch
 locations purchased in the second quarter of 2000.  Office occupancy expense
 rose $309,000 due primarily to higher utilities and maintenance expenses as
 well as additional expenses at the two new branches.  Advertising expenses
 increased $246,000 due to increased spending relating to the Company's
 branding campaign.
     The ratio of total non-interest expense to average assets was 1.56% for
 the current quarter, compared to 1.50% in last year's first quarter and 1.47%
 in the fourth quarter of 2000.  The Company's efficiency ratio, a measure of
 the amount of expense needed to generate each dollar of revenue, was 47.3%.
 This measure continues to be considerably better than peer group averages.
 Income tax expense totaled $8.3 million in the current quarter, equal to an
 effective income tax rate of 37.2%, compared to $7.2 million and an effective
 tax rate of 35.5% for the quarter ended March 31, 2000.
     Asset quality remained excellent during the quarter.  Non-performing
 assets at March 31, 2001 were $19.2 million, or .37% of total assets, compared
 to $18.5 million or .36% of total assets at December 31, 2000.  A year ago,
 non-performing assets totaled $24.5 million, or .51% of total assets.  The
 Company did not record a provision for loan losses in the current quarter, and
 recorded $21,000 of net recoveries during the quarter.  Provided asset quality
 remains excellent, and subject to the ongoing evaluation of certain other
 factors, management does not currently expect to record a provision for loan
 losses for the remainder of 2001.  The Bank's allowance for loan losses was
 $18.3 million at March 31, 2001, equal to 102% of total non-performing loans,
 95% of total non-performing assets and .43% of total loans receivable.  At
 March 31, 2001, 88% of the Company's loan portfolio consisted of one-to-four
 family residential mortgage loans.
     Total assets increased to $5.26 billion at March 31, 2001, up
 $66.3 million from the $5.20 billion reported at December 31, 2000.  The
 growth in assets during the three-month period was primarily driven by an
 increase in investment securities of $42.1 million and an increase in loans
 receivable of $37.5 million.  The balance of loans receivable at March 31,
 2001 stood at $4.37 billion.  Deposit balances grew by $92.9 million in the
 quarter, totaling $3.07 billion at March 31, 2001 compared to $2.97 billion at
 December 31, 2000, an annualized rate of increase of 12.5%.  This marked the
 second consecutive quarter of strong, internal deposit growth.
     On January 1, 2001, the Company transferred $92.9 million of investment
 and mortgage-backed securities with a market value of $92.4 million from the
 held-to-maturity category to the available-for-sale category with a net of tax
 effect of $(314,000) on accumulated other comprehensive income.   The transfer
 was done upon adoption of SFAS 133, "Accounting for Derivative Instruments and
 Hedging Activities."   The cumulative effect of the measurement of derivative
 instruments did not have a material impact on the Company's financial position
 or results of operation.
     Borrowed funds declined by $44.0 million to $1.68 billion at March 31,
 2001, compared to $1.73 billion at December 31, 2000.  Total stockholders'
 equity was $390.7 million at March 31, 2001, resulting in a stated book value
 per share of $17.16 and a tangible book value per share of $14.18.  The
 Company repurchased 363,900 shares of its common stock during the current
 quarter at an average price of $26.96 per share.  The Bank's tangible, core
 and risk-based capital percentages of 6.35%, 6.35% and 11.86%, respectively,
 at March 31, 2001 exceeded all minimum regulatory requirements.
     MAF Bancorp is the parent company of Mid America Bank, a federally
 chartered stock savings bank.  The Bank operates a network of 27 retail
 banking offices primarily in Chicago and its western suburbs.  The Company's
 common stock trades on the Nasdaq Stock Market under the symbol MAFB.
 
     Forward-Looking Information
     Statements contained in this news release that are not historical facts
 may constitute forward-looking statements (within the meaning of Section 21E
 of the Securities Exchange Act of 1934, as amended), which involve significant
 risks and uncertainties.  The Company intends such forward-looking statements
 to be covered by the safe harbor provisions for forward-looking statements
 contained in the Private Securities Litigation Reform Act of 1995, and is
 including this statement for purposes of invoking these safe harbor
 provisions.  Forward-looking statements, which are based on certain
 assumptions and describe future plans, strategies and expectations of the
 Company, are generally identifiable by use of the words "believe," "expect,"
 "intend," "anticipate," estimate," "project," "plan," or similar expressions.
 The Company's ability to predict results or the actual effect of future plans
 or strategies is inherently uncertain and actual results may differ from those
 predicted.  The Company undertakes no obligation to update these forward-
 looking statements in the future.  Factors which could have a material adverse
 effect on the operations and could affect the outlook or future prospects of
 the Company and its subsidiaries include, but are not limited to,
 unanticipated changes in interest rates, general economic conditions,
 legislative/regulatory changes, monetary and fiscal policies of the U.S.
 Government, including policies of the U.S. Treasury and the Federal Reserve
 Board, the quality or composition of the Company's loan or investment
 portfolios, demand for loan products, secondary mortgage market conditions,
 deposit flows, competition, demand for financial services and residential real
 estate in the Company's market area, unanticipated problems in closing pending
 real estate contracts, delays in real estate development projects, the
 possible short-term dilutive effect of potential acquisitions, and changes in
 accounting principles, policies and guidelines.  These risks and uncertainties
 should be considered in evaluating forward-looking statements and undue
 reliance should not be placed on such statements.
 
 
                       MAF BANCORP, INC. AND SUBSIDIARIES
                            STATEMENTS OF OPERATIONS
                 (Dollars in thousands, except per share data)
 
                                                          Three Months Ended
                                                              March 31,
                                                         2001           2000
                                                            (Unaudited)
 
     Interest income                                  $89,147         80,091
     Interest expense                                  56,649         49,548
      Net interest income                              32,498         30,543
     Provision for loan losses                              -            300
      Net interest income after
       provision for loan losses                       32,498         30,243
     Non-interest income:
      Gain on sale of:
       Loans receivable held for sale                     691             57
       Investment securities                              170            133
       Foreclosed real estate                             175             72
      Income from real estate operations                3,349          2,475
      Deposit account service charges                   3,426          2,570
      Loan servicing fee income (loss)                   (263)           556
      Brokerage commissions                               545            678
      Other                                             1,766          1,218
       Total non-interest income                        9,859          7,759
     Non-interest expense:
      Compensation and benefits                        11,341         10,145
      Office occupancy and equipment                    2,224          1,915
      Federal deposit insurance premiums                  155            147
      Data processing                                     764            716
      Advertising and promotion                         1,248          1,002
      Amortization of goodwill                            811            684
      Amortization of core deposit intangibles            340            276
      Other                                             3,065          2,801
       Total non-interest expense                      19,948         17,686
       Income before income taxes                      22,409         20,316
     Income taxes                                       8,331          7,207
       Net income                                     $14,078        $13,109
 
     Basic earnings per share                            $.61           $.55
     Diluted earnings per share                           .60            .55
 
 
                         MAF BANCORP, INC. AND SUBSIDIARIES
                   CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
                               (Dollars in thousands)
 
                                                    March 31,   December 31,
                                                         2001           2000
                                                  (Unaudited)
     Assets
 
     Cash and due from banks                          $81,107         77,860
     Interest-bearing deposits                         31,925         53,392
     Federal funds sold                               142,648        139,268
     Investment securities, at cost (fair
      value of $13,290 at December 31, 2000)                -         12,633
     Investment securities available for sale,
      at fair value                                   229,192        174,494
     Stock in Federal Home Loan Bank of
      Chicago, at cost                                 86,475         84,775
     Mortgage-backed securities, at amortized cost
      (fair value of $79,137 at December 31, 2000)          -         80,301
     Mortgage-backed securities available for sale,
      at fair value                                   110,126         24,084
     Loans receivable held for sale                   162,115         41,074
     Loans receivable, net of allowance for
      losses of $18,279 and $18,258                 4,203,525      4,287,040
     Accrued interest receivable                       27,639         27,888
     Foreclosed real estate                             1,345          1,808
     Real estate held for development or sale           7,813         12,643
     Premises and equipment, net                       48,895         48,904
     Other assets                                      61,359         60,560
     Intangible assets, net of accumulated
      amortization of $16,181 and $15,030              67,713         68,864
                                                   $5,261,877      5,195,588
     Liabilities and Stockholders' Equity
 
     Liabilities:
      Deposits                                     $3,067,129      2,974,213
      Borrowed funds                                1,684,900      1,728,900
      Advances by borrowers for taxes and insurance    45,224         38,354
      Accrued expenses and other liabilities           73,957         66,392
       Total liabilities                            4,871,210      4,807,859
     Stockholders' equity:
      Preferred stock, $.01 par value; authorized
       5,000,000 shares; none outstanding                   -              -
      Common stock, $.01 par value;
       80,000,000 shares authorized; 25,420,650
        shares issued;
        22,768,601 and 23,110,022 shares outstanding      254            254
      Additional paid-in capital                      198,119        198,068
      Retained earnings, substantially restricted     249,523        237,867
      Stock in Gain Deferral Plan; 223,453 shares         511            511
      Accumulated other comprehensive income,
       net of tax                                       2,032          1,435
      Treasury stock, at cost; 2,875,502
       and 2,534,081 shares                           (59,772)       (50,406)
        Total stockholders' equity                    390,667        387,729
                                                   $5,261,877     $5,195,588
 
 
                       MAF BANCORP, INC. AND SUBSIDIARIES
                            SELECTED FINANCIAL DATA
                       (In thousands, except share data)
 
                                    March 31    December 31,     March 31,
                                        2001            2000          2000
 
     Book value per share             $17.16          $16.78        $15.00
     Tangible book value per share     14.18           13.80         12.42
     Stockholders' equity to
      total assets                     7.42%           7.46%         7.29%
     Tangible capital ratio
      (Bank only)                       6.35            6.32          6.27
     Core capital ratio (Bank only)     6.35            6.32          6.27
     Risk-based capital ratio
      (Bank only)                      11.86           11.98         12.13
     Common shares outstanding:
      Actual                      22,768,601      23,110,022    23,449,287
      Basic (weighted average)    23,018,839      23,097,972    23,780,241
      Diluted (weighted average)  23,493,233      23,455,319    23,953,996
 
     Non-performing loans            $17,869         $16,709       $16,254
     Non-performing assets            19,213          18,517        24,475
     Allowance for loan losses        18,279          18,258        17,567
     Non-performing loans to
      total loans                       .42%            .39%          .41%
     Non-performing assets to
      total assets                       .37             .36           .51
     Allowance for loan losses to
      total loans                        .43             .42           .44
     Mortgage loans serviced
      for others                    $843,471        $785,350    $1,231,644
 
 
                                                      Three Months Ended
                                                             March 31,
                                                         2001           2000
     Average balance data:
      Total assets                                 $5,128,657     $4,731,076
      Loans receivable                              4,368,240      3,950,441
      Interest-earning assets                       4,898,647      4,507,699
      Deposits                                      2,839,382      2,583,165
      Interest-bearing liabilities                  4,498,860      4,173,897
      Stockholders' equity                            390,169        352,317
     Performance ratios (annualized):
      Return on average assets                          1.10%          1.11%
      Return on average equity                          14.43          14.88
      Average yield on interest-earning assets           7.29           7.11
      Average cost of interest-bearing liabilities       5.11           4.76
      Interest rate spread                               2.18           2.35
      Net interest margin                                2.66           2.71
      Average interest-earning assets to average
       interest-bearing liabilities                   108.88%         108.00
      Non-interest expense to average assets             1.56           1.50
      Non-interest expense to average assets
       and loans serviced for others                     1.35           1.19
      Efficiency ratio                                  47.28          46.34
     Loan originations and purchases                 $515,455       $306,906
     Loans and mortgage-backed securities sold        126,337         35,712
     Cash dividends declared per share                    .10            .09
 
 
 SOURCE  MAF Bancorp, Inc.