AMENDMENT TO LETTER AGREEMENT
                          -----------------------------

     This Amendment To Letter  Agreement  (this  "Amendment") is entered into by
and between Wauwatosa Savings Bank (the "Bank") and Douglas S. Gordon ("Gordon")
this 19th day of December, 2006.

                                    Recitals
                                    --------

     1. The Bank and Gordon  entered  into a Letter  Agreement  with  respect to
Gordon's employment with the Bank, dated October 25, 2005 (the "Agreement"); and

     2. Effective  January 1, 2007,  Gordon has been elected President and Chief
Executive  Officer of the Bank and its holdings  companies  Wauwatosa  Holdings,
Inc. ("WH") and Lamplighter Financial, MHC (the "MHC"); and

     3. The parties to the Agreement  wish to amend the Agreement to reflect the
changes in Gordon's responsibilities and certain aspects of his compensation.

                                    Agreement
                                    ---------

     Upon the foregoing recitals and for good and valuable consideration,  it is
agreed  that the  Agreement  shall be  amended  as set  forth  below.  Except as
expressly amended and modified herein, the terms and provisions of the Agreement
shall  remain  of full  force  and  effect.  In the  event of any  ambiguity  or
disagreement  between  the  terms  and  provisions  of the  Agreement  and  this
Amendment, the terms and provisions of this Amendment shall control.

     1.  Effective  January 1, 2007,  Gordon shall be employed as President  and
Chief Executive  Officer of the Bank, WH and the MHC.  Gordon's  continuation of
employment in these positions is subject to the articles and bylaws of the Bank,
WH and the MHC and to his annual reelection and appointment to such positions by
the Board of Directors of the Bank, WH and the MHC.

     2. Effective January 1, 2007, Gordon's aggregate base salary for serving in
the positions listed in paragraph 1 above will be $360,000.00,  and Gordon shall
be further  eligible to receive an annual  bonus,  payable in cash and/or  stock
options and/or  restricted stock grants of WH stock, all as may be determined by
the Boards of Directors of the Bank and WH in their sole discretion.

     To signify their  agreement to the terms and provisions of this  Amendment,
the parties have executed this Amendment as of the date first set forth above.

Wauwatosa Savings Bank


By:  /s/ Donald J. Stephens                     /s/ Douglas S. Gordon
   -----------------------------------         ---------------------------------
      Donald J. Stephens                        Douglas S. Gordon
      CEO and Chairman of the Board


Wauwatosa Holdings, Inc.


By:  /s/ Donald J. Stephens
   -----------------------------------
      Donald J. Stephens
      CEO and Chairman of the Board

Lamplighter Financial, MHC


By:  /s/ Donald J. Stephens
   -----------------------------------
      Donald J. Stephens, Chairman
      CEO and Chairman of the Board