FMSB First Mutual Bancshares (MM)

First Mutual Bancshares, Inc. (NASDAQ: FMSB) announced today its Board of Directors has declared a quarterly cash dividend of $0.09 per share. The dividend is payable on October 5, 2007, to shareholders of record September 21, 2007. Earlier this week, First Mutual reported profits for the second quarter of 2007, with diluted earnings per share of $0.25. Diluted earnings per share in the second quarter of 2006 were $0.40. On July 2, 2007 First Mutual entered into a definitive merger agreement with Washington Federal, Inc. (NASDAQ: WFSL). The agreement provides, subject to certain conditions, for a merger of First Mutual with and into Washington Federal. Once the merger is complete, First Mutual�s shareholders may elect to receive stock and/or cash equal to approximately $27.05 in total consideration for each share of FMSB stock they own. First Mutual Bancshares, Inc. is the parent company of First Mutual Bank, an independent, community-based bank that operates 12 full-service banking centers in the Puget Sound area and sales finance offices in Orange Park, Florida and Mt. Clemens, Michigan. www.firstmutual.com