FOR IMMEDIATE RELEASE
February 22, 2005

For further information contact:
Craig Montanaro
First Vice President
Kearny Financial Corp.
(973) 244-4500

                             KEARNY FINANCIAL CORP.
                    ANNOUNCES RECEIPT OF REGULATORY APPROVAL
                       TO COMPLETE MINORITY STOCK OFFERING

Fairfield,  New Jersey,  February 22, 2005 - Kearny Financial Corp. (Nasdaq NMS:
KRNY) (the  "Company"),  the holding  company of Kearny  Federal  Savings  Bank,
announced  today that it has received all regulatory  approvals for its minority
stock  offering  and  expects to close the  offering at the close of business on
February 23, 2005.  Upon closing,  Kearny MHC,  which formerly owned 100% of the
Company, will hold 50,916,250 shares, or 70% of the Company's outstanding common
stock, and 21,821,250  shares,  or 30% of the outstanding  common stock, will be
issued  to  subscribers  in  the  offering,  including  1,745,700  shares  to be
purchased by the Kearny Federal Savings Bank Employee Stock Ownership Plan.

Shares of the Company are expected to begin  trading on  Thursday,  February 24,
2005, on the Nasdaq National Market under the symbol "KRNY."

The offering was  oversubscribed  by eligible  account holders of Kearny Federal
Savings Bank as of March 31, 2003.  Accordingly,  eligible  account holders will
have valid orders filled in accordance with the allocation  procedures set forth
in the Company's plan of stock issuance.  Supplemental  eligible account holders
as of September 30, 2004 and other  depositors at Kearny Federal Savings Bank as
of November 30, 2004 will not have orders filled. If you are an eligible account
holder and would like to  confirm  your  allocation,  please  contact  the Stock
Information Center at (866) 424-2161.  The Stock Information Center will be open
from 9:30 a.m. to 6:00 p.m. on  Wednesday,  February 23, 2005,  and will open at
9:00 a.m. on Thursday, February 24, 2005.

Sandler  O'Neill & Partners,  L.P. acted as financial  advisor to the Company in
connection  with the offering  and managed the  subscription  offering.  Malizia
Spidi & Fisch, PC acted as special counsel to the Company.

Kearny  Financial  Corp. is the holding company for Kearny Federal Savings Bank,
which  operates  from its main  office in Kearny,  New Jersey,  and  twenty-four
branch offices located in Bergen, Hudson,  Passaic,  Morris,  Middlesex,  Essex,
Union and Ocean  Counties,  New Jersey.  At December 31,  2004,  the Company had
total assets,  deposits and stockholders' equity of $1.89 billion, $1.49 billion
and $302.2 million, respectively.

The  foregoing  information  contains  forward-looking  statements.  The Company
cautions  that such  statements  are subject to a number of  uncertainties.  The
Company does not undertake, and specifically disclaims, any obligation to update
any  forward-looking  statement,  whether written or oral, that may be made from
time to time by or on behalf of the Company.