Bank Mutual Corporation Completes Conversion.

Business Editors

MILWAUKEE--(BUSINESS WIRE)--Oct. 29, 2003

Bank Mutual Corporation (NASDAQ:BKMU), the holding company for Bank Mutual, announced that it has closed its second-step conversion from partial to full public ownership, including the related stock offering, as of the close of business today, Wednesday, October 29, 2003.

The Company sold shares at the adjusted maximum amount of the resolicitation offering range, which is 41,063,625 shares at $10.00 per share. In addition, each Company shareholder at the time of closing had shares converted into new shares of common stock, on the basis of 3.6686 shares of new common stock in exchange for each share then owned; approximately 37,646,076 shares in the aggregate will therefore be issued to existing shareholders in the conversion, subject to adjustments to reflect fractional share interests. Procedures for the exchange of stock certificates were included in the Company's prospectus dated July 31, 2003. Letters of transmittal for certificate exchange, and stock certificates for the shares sold in the offering, will be sent out promptly after the closing.

"We are pleased to complete this significant transaction," said Michael T. Crowley, Jr., Chairman, President and Chief Executive Officer of Bank Mutual Corporation. "We very much appreciate the support that we received from our shareholders, depositors and the community. The transaction has substantially increased our already strong capital base. We believe that the transaction better positions Bank Mutual Corporation to take advantage of opportunities which may arise. We look forward to that future."

Ryan Beck & Co., Inc. served as marketing agent in the offering.

Beginning on October 30, 2003, the new shares of common stock will trade on The NASDAQ Stock Market(R). For the first twenty trading days, the new shares will trade under the symbol "BKMUD"; thereafter, they will again trade under the BKMU symbol.

The offering was made only by means of the prospectus in accordance with federal law and applicable state securities laws; this press release shall not constitute an offer to sell, or the solicitation of an offer to buy, any securities.

The Company and Bank Mutual are headquartered in the Milwaukee suburb of Brown Deer, Wisconsin. The Company is the fifth largest banking institution headquartered in Wisconsin, with assets of $2.8 billion. Its subsidiary bank, Bank Mutual, operates 70 offices in the state of Wisconsin and one office in Minnesota.

Cautionary Statements

The discussions in this press release which are not historical statements contain forward-looking statements that involve risk and uncertainties. Statements which are not historical statements include those in the future tense or which use terms such as "believe," "expect," and "anticipate." Actual future results could differ in important and material ways from those discussed. Many factors could cause or contribute to such differences. In addition, the Company's periodic filings with the Securities and Exchange Commission discuss a number of other factors which may affect its future operations generally and in particular its ability to use additional capital. These factors include changing interest rates, changes in demand for loans or other services, competition from other institutions, the results of our lending activities and loan loss experience, general economic and political developments, and other factors discussed in those filings.

The shares of common stock are not savings accounts or savings deposits, may lose value and are not insured by the Federal Deposit Insurance Corporation or any other government agency.