Depositors’ interests continue to remain top priority

Haverhill Bank reports to the community for 2007

February, 2008 Dear Haverhill community, Haverhill Bank — the oldest cooperative bank in the Commonwealth — remains dedicated to providing value to its customers and giving back to the community after more than 130 years of service to the Greater Haverhill area. The bank continues to serve its customers by regularly improving staff training, identifying new products and services to better meet depositor needs and donating nearly $40,000 to worthy causes throughout the local community each year. Old-fashioned service complements today’s modern banking services. The unique combination provides each customer with the opportunity to receive individualized attention and creates a more efficient banking experience through the use of ATM, telephone and Web banking. Despite any changes, Haverhill Bank will remain a depositor-owned, mutual institution and an independent community-oriented resource for the people of Greater Haverhill. If you have any questions or comments, call or stop by any Haverhill Bank branch or visit www.haverhillbank.com. Thomas R. Faulkner President

In 2007, Haverhill Bank’s commitment to its customers remained stronger than ever. Over the past year, many opportunities were addressed. Throughout this period of time the bank proudly remained dedicated to its depositors and based all decisions on what was, and is best for bank customers and the community.

Merger supports community interest
Seeking to expand and improve upon financial services for area residents, Haverhill Bank and Northeast Community Credit Union announced plans to merge the two institutions under the name of Haverhill Bank.The resulting institution will have combined assets of approximately $260 million, deposits of $220 million and capital of $30 million, thereby enabling the ability to offer larger loans than either of the separate institutions may now provide.

Rewards Checking provides new opportunities to save
In an ongoing effort to meet the needs of depositors, Haverhill Bank recently launched Rewards Checking. This new checking account offers account holders a special bonus interest rate and provides an exclusive opportunity to grow their savings.

New technology enhances depositors’ experience
The bank’s Web site was replaced by a new site which incorporates a user-friendly navigation and innovative features such as, online account access, real-time digital rate updates, streaming video and news headlines. The new site may be viewed at its original address,
www.haverhillbank.com.

Experienced staff remains dedicated to superior service
Haverhill Bank employs a staff of 54 people. These permanent positions generate $2.4 million in annual compensation. Perhaps the largest ratio of staff to customers of any area bank, this number of employees helps ensure short wait times at all three branches. The 11 bank officers have a combined 316 years of experience in the industry. President Thomas R. Faulkner has been with the bank for 37 years, 28 of them as president. The majority of the board of directors and the bank’s officers, including the president, live in Haverhill.

An organization passionate about helping others
For more than 130 years Haverhill Bank has been committed to community service. In addition to the bank providing financial support to a long list of local charities and organizations, its employees continue to donate their time and service to a variety of causes.

Organizations benefiting from these activities included:

The bank also utilizes its Web site to bring attention to local organizations that help the community and its residents improve their lives. Each quarter a new organization is featured on the “Civic Spotlight,” page at www.haverhillbank.com.

Throughout 2007, Haverhill Bank contributed nearly $40,000 to numerous local charities, including:

Thank you for your continued support
Customer satisfaction is apparent as Haverhill Bank ranks above two local, nationally branded banks in market share. Deposits continue to remain healthy. Thank you for more than 130 years of support.