EXHIBIT 99

FSF Financial Corp.         Contact: Donald A. Glas, Chief Executive Officer
Hutchinson, Minnesota                (320) 234-4500
                                     George B. Loban, President
                                     (320) 234-4500
                                     Richard H. Burgart, Chief Financial Officer
                                         (320) 234-4500

                                         For Immediate Release
                                         July 18, 2001

         FSF FINANCIAL CORP. ANNOUNCES DIVIDEND & STOCK REPURCHASE PLAN


         Hutchinson,  Minnesota - July 18, 2001 -- (NASDAQ:  FFHH) FSF Financial
Corp.,   whose  family  of  companies  include  First  Federal  Bank,   Firstate
Investments, Insurance Planners and Homeowners Mortgage Corporation, announced a
quarterly dividend and a common stock repurchase plan.

         Donald  A.  Glas,  Chief  Executive  Officer  of FSF  Financial  Corp.,
announced  today that the  Corporation's  Board of  Directors  has  authorized a
dividend of fifteen  cents  ($.15) to  shareholders  of record on July 31, 2001,
payable  on  August  15,  2001.  In  addition,   Mr.  Glas  announced  that  the
Corporation's  Board of Directors has authorized the repurchase of up to 110,000
shares,  approximately 5%, of the Corporation's Common Stock. The shares will be
purchased in privately negotiated and open market transactions from time to time
during the next twelve months,  subject to the discretion of management pursuant
to the terms of the stock repurchase plan.

         FSF Financial Corp., a financial services company,  has four affiliated
companies.  First  Federal  Bank is a  federally-chartered  stock  savings  bank
headquartered in Hutchinson,  Minnesota.  The Bank has eleven offices located in
Hutchinson (2), Hastings,  Apple Valley, Buffalo,  Glencoe, Inver Grove Heights,
Litchfield, Waconia, Waite Park and Winthrop, Minnesota. The Bank's deposits are
federally  insured by the Federal Deposit Insurance  Corporation.  The Bank is a
community- oriented,  full service retail bank offering a variety of deposit and
loan products.  Homeowners Mortgage Corporation  originates residential mortgage
loans  from  offices  in  Vadnais  Heights  and  Hastings,  Minnesota.  Firstate
Investments provides non-insured financial products in two locations.





Insurance  Planners of  Hutchinson,  Inc., is a property and casualty  insurance
agency with two  locations.  The Company 's common stock is traded on the Nasdaq
National Market under the symbol "FFHH".

Statements  contained in this news release,  which are not historical facts, are
forward-looking  statements  as that term is defined in the  Private  Securities
Litigation  Reform Act of 1995. Such  forward-looking  statements are subject to
risks and  uncertainties  which could cause actual results to differ  materially
from those currently anticipated due to a number of factors,  which include, but
are not limited to, factors discussed in documents filed by the Company with the
Securities and Exchange Commission from time to time.