1

                BERKSHIRE HILLS BANCORP AND FACTORY POINT BANCORP
                           SHAREHOLDERS APPROVE MERGER

Pittsfield, Massachusetts and Manchester Center, Vermont, August 28, 2007
- -Berkshire Hills Bancorp, Inc. (NASDAQ:BHLB) and Factory Point Bancorp, Inc.
(OTCBB: FAPB) announced that the shareholders of Berkshire Hills and Factory
Point approved the merger of Factory Point with and into Berkshire Hills at
their respective meetings held earlier today. Pending the receipt of all
required regulatory approvals, the companies anticipate closing the transaction
by the end of the third quarter.


Michael P. Daly, President and Chief Executive Officer of Berkshire Hills
stated, "We are pleased with the strong support that both institutions received
from their shareholders in approving this strategic union. Our contiguous
markets in Western Massachusetts, Northeastern New York, and soon Vermont, are
growing and attractive places to live and do business. Our combined company will
bring an engaging and exiting business style to our customers. As the only
locally headquartered regional bank serving these markets, we are well
positioned to supply the best combination of product variety - including
traditional banking products, along with wealth management and insurance
services - and local responsiveness. We will also continue to maintain our
strong focus on asset quality, with no sub-prime lending programs, and sound
balance sheet management as we build our regional organization."


Guy H. Boyer, President and Chief Executive Officer of Factory Point added, "We
are very pleased that we have taken this significant step forward towards
completing our merger with Berkshire Hills and Berkshire Bank. We are well along
in our integration work, and we are looking forward to continuing to provide the
service that our customers and communities have grown to expect, along with
providing additional services as part of the Berkshire family."


Berkshire Hills Bancorp, Inc. is the holding company for Berkshire Bank -
America's Most Exciting BankSM. Established in 1846, Berkshire Bank is one of
Massachusetts' oldest and largest independent banks and the largest banking
institution based in Western Massachusetts. The Bank is headquartered in
Pittsfield, Massachusetts with branches serving communities throughout Western
Massachusetts and Northeastern New York. The Bank is transitioning into a
regional bank, delivering exceptional customer service and a broad array of
competitively priced deposit, loan, insurance, wealth management and trust
services and investment products. For more information on Berkshire Hills
Bancorp, Inc. or Berkshire Bank, visit www.berkshirebank.com or call
                                       ---------------------
800-773-5601.


Factory Point Bancorp, Inc. is a publicly held, one-bank holding company whose
wholly-owned subsidiary, The Factory Point National Bank of Manchester Center
("Factory Point National

                                     Page 1
 2

Bank"), maintains its corporate offices in Manchester Center, Vermont. Factory
Point National Bank, regulated by the Office of the Comptroller of the Currency,
operates seven full-service community banking offices in Arlington, Dorset,
Ludlow, Manchester, and Rutland Vermont. Factory Point's primary lines of
business include residential real estate lending (for portfolio and sale on the
secondary market), small business loan and deposit services, as well as a
variety of consumer loan and deposit services. Factory Point National Bank is
chartered with trust powers and offers trust and investment services in the
markets it serves.


This news release contains certain forward-looking statements about the proposed
merger of Berkshire Hills Bancorp and Factory Point. These statements include
statements regarding the anticipated closing date of the transaction.
Forward-looking statements can be identified by the fact that they do not relate
strictly to historical or current facts. They often include words like
"believe," "expect," "anticipate," "estimate," and "intend" or future or
conditional verbs such as "will," "would," "should," "could" or "may." Certain
factors that could cause actual results to differ materially from expected
results include delays in completing the merger, difficulties in achieving cost
savings from the merger or in achieving such cost savings within the expected
time frame, difficulties in integrating Berkshire Hills Bancorp and Factory
Point, increased competitive pressures, changes in the interest rate
environment, changes in general economic conditions, legislative and regulatory
changes that adversely affect the business in which Berkshire Hills Bancorp and
Factory Point are engaged, changes in the securities markets and other risks and
uncertainties disclosed from time to time in documents that Berkshire Hills
Bancorp files with the Securities and Exchange Commission.

                                      ###


Contacts:

Berkshire Hills Bancorp, Inc.
Michael P. Daly, 413-236-3194
President and Chief Executive Officer

Factory Point Bancorp, Inc.
Guy H. Boyer, 802-549-5282
President and Chief Executive Officer



                                     Page 2