EXHIBIT 99
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                                     [LOGO]


June 30, 2003


Dear Stockholder:

As reported to you in March,  the  Governor of  Massachusetts  signed into law a
supplemental   budget   bill  that   included   changes  to  the  way  banks  in
Massachusetts, such as Enterprise Bank, are taxed. Specifically, the state's tax
laws were legislatively  changed, on a retroactive basis back to 1999, to impose
taxes on  income  earned  by a bank's  real  estate  investment  trust  ("REIT")
subsidiary.  As a result,  we recorded a one-time  charge of $1.9 million in our
first  quarter  ending on March 31, 2003 to account  for the  maximum  potential
income tax liability related to such retroactive taxes for 1999-2002.

The Bank  along with a  majority  of the  estimated  60-65  Massachusetts  banks
affected by this tax law change have  entered into a final  settlement  with the
Massachusetts  Department  of Revenue.  Under the terms of the  settlement,  the
one-time income tax impact to the Bank will be approximately  $1.075 million. As
such,  in  June  the  Bank  will  record  a  one-time   credit  to  earnings  of
approximately $825 thousand to reverse the excess reserve taken in March.

After the one-time credit to earnings due to the REIT settlement,  we expect net
income  for the  full  year  2003 to be in the  range  of $6.7  million  to $7.2
million, as compared to net income of $6.3 million in 2002.

On behalf of our entire Enterprise organization, I thank you for your continuing
loyalty  and  support.  If  you  have  any  questions,  please  call  either  me
(978-656-5501),  Richard Main (978-656-5511),  Jack Clancy (978-656-5502) or Jim
Marcotte (978-656-5614).


Very truly yours,


/s/ George L. Duncan


George L. Duncan
Chairman and Chief Executive Officer