Bank Mutual Corporation Discusses End of Resolicitation Period.

Business Editors

MILWAUKEE--(BUSINESS WIRE)--Oct. 21, 2003

Bank Mutual Corporation (NASDAQ - BKMU), the holding company for Bank Mutual, announced today that its subscription and community resolicitation offering has expired, as scheduled, on October 20, 2003. No further orders will be accepted. The resolicitation offering is part of Bank Mutual Corporation's pending second-step conversion from partial to full public ownership.

Stock orders received exceeded the adjusted-maximum amount of the resolicitation offering range, which is 41,063,625 shares at $10.00 per share. The Company is in an ongoing process of reviewing, analyzing and clearing funds from the approximately 6,300 stock orders received. Subscription priorities and related information are disclosed in the Company's prospectus dated July 31, 2003 and prospectus supplement dated October 2, 2003. Specific information is not yet available concerning the oversubscription level and any related application of stock allocation procedures. While the Company has previously disclosed that the exchange ratio of existing shareholders would be approximately 3.6686 new shares for each existing share in the event of a sale of shares at the adjusted maximum of the offering range, final offering information and regulatory approvals will be needed before the share exchange ratio for existing shareholders can be finalized. Because of the time it will take to complete these reviews and for checks to clear, further information is not expected to be available until early next week.

Although the Company has received Office of Thrift Supervision approval to conduct this resolicitation offering, completion of the transaction remains subject to final OTS approval. Trading in the new shares of common stock to be issued in the offering will not begin, and the related share exchange will not occur, until the transactions are formally completed and the new shares are issued. Subject to OTS approval, the Company remains hopeful that the transactions will be completed in October or very early November; the anticipated closing date will be announced in advance, when known. Until closing, Bank Mutual Corporation's existing common stock will continue to trade on The NASDAQ Stock Market(R) under the symbol "BKMU".

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 year end assets of $2.8 billion. Its subsidiary bank, Bank Mutual, operates 70 offices in the state of Wisconsin and one office in Minnesota.

The offering is made only by means of a prospectus and prospectus supplement, 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. We cannot assure that we will accept any particular order, as a result of subscription priorities or otherwise.

Cautionary Statements

The final exchange ratio for existing Bank Mutual Corporation shareholders will depend upon the number of shares which are sold in the offering. The offering remains subject to final regulatory approvals. We therefore cannot assure that the final exchange ratio will be approximately 3.6686 new shares for each existing share of Bank Mutual Corporation common stock or any particular exchange ratio.

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 particular, completion of the various transactions is subject to a number of conditions, including those described above. Therefore, as with any transaction, completion cannot be assured. 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 statements made herein are only made as of the date of this press release and the Company undertakes no obligations to publicly update such statements to reflect subsequent events or circumstances.