On October 23, 2008, Jefferson Bancshares, Inc., the holding company for Jefferson Federal Bank, announced that it has received all necessary regulatory and shareholder approvals to complete its previously announced acquisition of State of Franklin Bancshares, Inc., Johnson City, Tennessee. The transaction is expected to close on October 31, 2008. For more information, see the press release dated October 23, 2008 included as Exhibit 99.1 to this report and furnished herewith.

(d) Exhibits

                Number            Description
                ------            -----------

                99.1              Press Release dated October 23, 2008

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