KENTUCKY FIRST FEDERAL BANCORP

The mutual holding company reorganization process that we are now undertaking involves a series of transactions by which we will convert our organization from the mutual form of organization to the federally chartered mutual holding company form of organization. In the mutual holding company structure, First Federal of Hazard will be a federally chartered stock savings and loan association, and all of its stock will be owned by Kentucky First. In addition, 45% of Kentucky First’s stock will be... owned by the public and our employee stock ownership plan and 55% of Kentucky First’s stock will be owned by First Federal MHC at the midpoint, maximum and maximum, as adjusted, of the offering range. At the minimum of the offering range, 46.1% of Kentucky First’s common stock will be owned by the public and our employee stock ownership plan and 53.9% of Kentucky First’s stock will be owned by First Federal MHC. Our depositor and borrower members on the closing date of the reorganization will become members of First Federal MHC and will have similar voting rights in First Federal MHC as members currently have in First Federal of Hazard.More