Montgomery Financial
                                   Corporation

       119 East Main Street - P.O. Box 776 - Crawfordsville, Indiana 47933
                              Phone (765) 362-4710




                                                           FOR IMMEDIATE RELEASE
                                                           NOVEMBER 9, 2000




                        MONTGOMERY FINANCIAL CORPORATION

               ANNUAL SHAREHOLDERS' MEETING HELD OCTOBER 17, 2000

CRAWFORDSVILLE,  INDIANA - Montgomery Financial  Corporation  (NASDAQ:  "MONT"),
holding company for Montgomery Savings, A Federal Association, announced that at
its annual  shareholders'  meeting,  held on October 17, 2000,  Earl F. Elliott,
Mark E.  Foster and Robert C. Wright were  re-elected  directors  for three year
terms.  Shareholders  also ratified the selection of Olive,  LLP as auditors for
another year.

At the  reorganization  meeting,  following the  shareholders'  meeting,  C. Rex
Henthorn  was  elected  Chairman  and  Earl  F.  Elliott  Vice-Chairman  of  the
Montgomery  Financial  Corporation  of the  board.  J. Lee  Walden  was  elected
President and Chief Executive Officer,  Steven W. Brier was named Vice President
and Chief Financial Officer and Nancy L. McCormick will continue as Secretary of
the Corporation.

Montgomery Savings, AFA's home office is located in Crawfordsville, Indiana, and
has other  offices  located  in  Montgomery,  Fountain,  Tippecanoe  and  Warren
Counties.  Elliott,  Foster and Wright  were also  re-elected  as  Directors  of
Montgomery  Savings,  AFA for three year terms. At the Montgomery  Savings,  AFA
reorganization meeting J. Lee Walden was re-elected President and was elected to
replace Elliott as Chief Executive Officer.  Elliott will remain Chairman of the
Board. Other officers named were: Steven W. Brier,  Executive Vice President and
Nancy L. McCormick, Senior Vice President and Secretary.

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