Willow Financial Bancorp, Inc. Provides Update on NASDAQ Listing Status

WAYNE, Pa.--(Business Wire)--
Willow Financial Bancorp, Inc. (the "Company") (NASDAQ/Global
Select Market:WFBC), the holding company for Willow Financial Bank
(the "Bank"), today provided an update on the pending NASDAQ listing
review. As previously announced on April 8, 2008, a NASDAQ Listing
Qualifications Panel (the "Panel") determined to continue the listing
of the Company's securities on NASDAQ subject to the Company meeting
certain conditions, including the filing of the Company's Quarterly
Report on Form 10-Q for the quarter ended September 30, 2007 with the
Securities and Exchange Commission (the "SEC") by May 14, 2008, and
the filing of the Company's Form 10-Q for the quarter ended December
31, 2007 with the SEC by May 22, 2008.

On May 5, 2008, the Company filed the September 30, 2007 Form 10-Q
with the SEC thereby evidencing compliance with the first term of the
Panel's decision. The Company anticipates filing the Form 10-Q for the
quarter ended December 31, 2007 prior to the May 22, 2008 deadline
imposed by the Panel.

In addition, on May 14, 2008, the Company received an additional
notice of non-compliance from NASDAQ in connection with the delay in
the filing of the Company's Form 10-Q for the quarter ended March 31,
2008. The notice indicates that the delay in the filing of the March
31, 2008 Form 10-Q constitutes an additional deficiency under
Marketplace Rule 4310(c)(14) (the "filing requirement"). Pursuant to
the notice, the Company has been invited to make a submission to the
Panel addressing the most recent filing delay, which had been
anticipated by the Company given the work necessary to prepare the
Quarterly Reports on Form 10-Q for the two preceding quarters. The
Company expects to complete and file the March 31, 2008 Form 10-Q with
the SEC in early June 2008 and plans to request a further extension
from the Panel to do so. Once this filing has been made, the Company
will be in full compliance with the NASDAQ filing requirement and all
other requirements for continued listing. While the Company is hopeful
that the Panel will grant its request for continued listing on NASDAQ
based upon the Company's recent filing, there can be no assurance that
the Panel will do so.

About Willow Financial Bancorp

See What WillPower is Worth

Willow Financial Bancorp, Inc. is the holding company for Willow
Financial Bank, a growing community bank in southeastern Pennsylvania
with $1.5 billion in assets. With 29 convenient offices, Willow
Financial Bank has a substantial community presence in Bucks, Chester,
Montgomery, and Philadelphia Counties - some of the fastest-growing
communities in southeastern Pennsylvania. The bank provides a complete
line of products and services, including: retail banking, business and
commercial banking, cash management, wealth management and
investments. Our relentless focus on customer service caters to the
distinctive needs of consumers and small business owners, through
sophisticated commercial clients and high net-worth individuals.
Willow Financial Bank has been recognized as Philadelphia magazine's
Best of Philly(R) - Best Neighborhood Bank 2007. Headquartered in
Wayne, Pa., Willow Financial Bank has the team, the resources and the
sophisticated products to compete with any bank in the region. To see
what WillPower is worth, visit www.wfbonline.com or call
1-800-639-WILLOW.

Forward Looking Statements

The information contained in this press release may contain
forward-looking statements (as defined in the Securities Exchange Act
of 1934 and the regulations thereunder) which are not historical facts
or as to management's intentions, plans, beliefs, expectations or
opinions. Forward-looking statements may be identified by the use of
words such as "believe", "expect", "will", "anticipate", "intend",
"plan", "estimate", "could", "may", "likely", "probably" or
"possibly". Willow Financial Bancorp undertakes no obligation to
update these forward-looking statements to reflect events or
circumstances that occur after the date on which such statements were
made.

Willow Financial Bancorp, Inc.
Donna M. Coughey
President and Chief Executive Officer
610-995-1700

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