Item 8.01. Other Events.

On July 9, 2012, FS Bancorp announced it has become the holding company for 1st Security Bank of Washington (the "Bank") in connection with the completion of the Bank's conversion from the mutual to stock form of organization. FS Bancorp has also completed its related public stock offering.

FS Bancorp sold 3,240,125 shares of common stock at $10.00 per share, for gross offering proceeds of $32,401,250. The offering was oversubscribed in the first category of the subscription offering by eligible account holders, whose valid orders were filled in accordance with the allocation procedures described in the prospectus and as set forth in the Bank's plan of conversion. Neither supplemental eligible account holders as of March 31, 2012, nor any other subscribers had their orders filled.

The Bank's Employee Stock Ownership Plan ("ESOP") was unable to purchase any shares in the offering as a result of the oversubscription. As a result, the ESOP intends to purchase, subject to regulatory approval, up to 259,210 shares of FS Bancorp, Inc. common stock in the aftermarket, equal to 8.0% of the shares sold in the offering. Directors and executive officers of the Bank also intend to purchase shares of FS Bancorp, Inc. common stock in the aftermarket to the extent that their orders were not filled as a result of the oversubscription.

The foregoing description is only a summary and is qualified in its entirety to the full text of the release which is included as Exhibit 99.1 to this report and is incorporated herein by reference.