Patapsco Bancorp, Inc. Announces Quarterly and Year to Date Earnings

Business Wire, April 27, 2006

BALTIMORE -- Patapsco Bancorp, Inc. (OTC, Electronic Bulletin Board:PATD), the parent company of The Patapsco Bank, announced a 22% increase in quarterly earnings and a 3% increase in year to date earnings. E[acute accent]For the Company's third quarter, ending March 31, 2006, earnings were $301,000 or $.16 diluted earnings per share compared to earnings of $247,000 or $.13 diluted earnings per share for the same quarter in the prior year.

E[acute accent]For the first nine months of the Company's fiscal year, ending March 31, 2006, earnings were $965,000 or $.50 diluted earnings per share compared to $941,000 or $.49 diluted earnings per share for the prior year comparable period, a 3% increase in earnings and a 2% increase in diluted earnings per share. E[acute accent]On an annualized basis for the nine month period, the Company's return on average assets and return on average equity were .60% and 7.22% respectively. E[acute accent]As of March 31, 2006, Patapsco Bancorp, Inc. reported assets of $228 million and total stockholders' equity of $17.8 million compared to $205 million and $17.5 million at June 30, 2005, the Company's last fiscal year end. E[acute accent]The Patapsco Bank serves Baltimore and surrounding counties from its six offices located in Baltimore City and Baltimore County, Maryland. E[acute accent]On the reverse hereof, is a summary of the unaudited financial highlights for the periods discussed herein ending March 31, 2006.

FINANCIAL HIGHLIGHTS (unaudited)
Patapsco Bancorp, Inc. and Subsidiary

----------------------------------------------------------------------

                                 For the                For the
                            Nine Months Ended     Three Months Ended
                                March 31,              March 31,
                          ---------------------  ---------------------
(Dollars in thousands,
 except per share data)     2006       2005        2006       2005
----------------------------------------------------------------------

OPERATING RESULTS:
Interest income              $9,871     $8,911      $3,498     $2,977
Interest expense              3,481      2,823       1,315        945
                          ---------- ----------  ---------- ----------
Net interest income           6,390      6,088       2,183      2,032
Provision for loan losses        40        185           0        100
                          ---------- ----------  ---------- ----------
Net interest income after
 provision for loan
 losses                       6,350      5,903       2,183      1,932
Gain on Sale of
 Investments                      2          0           2          0
Other Noninterest income        640        485         199        176
Noninterest expense           5,453      4,915       1,908      1,720
Provision for income
 taxes                          574        532         175        141
                          ---------- ----------  ---------- ----------
Net income                     $965       $941        $301       $247
                          ========== ==========  ========== ==========

PER SHARE DATA:
Net income per share,
 basic                        $0.57      $0.56       $0.17      $0.14
Net income per share,
 diluted                      $0.50      $0.49       $0.16      $0.13

Book Value per common
 share(1)                     $9.72      $9.31
Tangible Book Value per
 Share (2)                    $7.89      $7.44
Period End Stock Price       $11.70     $12.25
Stock Price as a
 percentage of tangible
 book value                  148.29%    164.65%

PERFORMANCE RATIOS: (3)
Return on average assets       0.60%      0.61%       0.54%      0.48%
Return on average equity       7.22%      7.38%       6.75%      5.74%
Net interest margin            4.27%      4.22%       4.17%      4.27%
Net interest spread            4.02%      4.03%       3.91%      4.08%

                                   At
                          ---------------------
                           March 31   June 30
                            2006       2005
                          ---------------------
BALANCES
Net Loans                  $190,234   $161,094
Total Assets               $228,398   $204,704
Deposits                   $168,083   $164,320
Borrowings                  $40,050    $20,233
Stockholder's Equity        $17,992    $17,587

CAPITAL  & CREDIT QUALITY
 RATIOS
Stockholder's equity to
 total assets                  7.88%      8.59%
Allowance for loan losses
 to total loans                0.50%      0.66%
Nonperforming assets to
 total assets                  0.10%      0.05%


(1) Assumes conversion of preferred shares to common

(2) Tangible book value per share deducts goodwill from common equity
    and assumes all preferred shares convert to common.

(3) Amounts for the three and nine month periods ended March  31, 2006
    and 2005 are annualized.