New York State Banking Board Approves Acquisition of PennFed Financial Services, Inc. by New York Community Bancorp, Inc.

  
    
  
  
    
      New York Community Bancorp, Inc. (NYSE: NYB) and PennFed Financial 
      Services, Inc. (NASDAQ/Global Market: PFSB) (“PennFed”) 
      today announced that the acquisition of PennFed by New York Community 
      Bancorp has been approved by the New York State Banking Board.
    
    
      Pending the approval of PennFed’s shareholders 
      at a special meeting to be held on Tuesday, March 13th, the acquisition 
      is expected to be completed on or about March 31, 2007. Upon completion 
      of the transaction, PennFed will merge with and into New York Community 
      Bancorp, and Penn Federal Savings Bank, the primary subsidiary of 
      PennFed, will merge with and into the savings bank subsidiary of New 
      York Community Bancorp, New York Community Bank.
    
    
      New York Community Bancorp, Inc.
    
    
      New York Community Bancorp, Inc. is the $28.5 billion holding company 
      for New York Community Bank and New York Commercial Bank, and the 
      leading producer of multi-family loans for portfolio in New York City. A 
      New York State-chartered savings bank with 137 offices serving New York 
      City, Long Island, Westchester County, and northern New Jersey, New York 
      Community Bank is the third largest thrift depository in the New York 
      metropolitan region, and operates through seven local divisions: Queens 
      County Savings Bank, Roslyn Savings Bank, Richmond County Savings Bank, 
      Roosevelt Savings Bank, CFS Bank, First Savings Bank of New Jersey, and 
      Ironbound Bank. A New York State-chartered commercial bank, New York 
      Commercial Bank has 27 branches serving Manhattan, Queens, Brooklyn, 
      Westchester County, and Long Island. Additional information about New 
      York Community Bancorp, Inc. and its bank subsidiaries is available at www.myNYCB.com.
    
    
      PennFed Financial Services, Inc.
    
    
      PennFed Financial Services, Inc. is the $2.3 billion holding company for 
      Penn Federal Savings Bank, a New Jersey-based thrift with loans of $1.7 
      billion and deposits of $1.5 billion at December 31, 2006. The Company 
      has 13 branches serving the Ironbound section of Newark and the 
      surrounding communities of Essex County, and 11 branches serving 
      customers in select communities in Ocean, Monmouth, Middlesex, Hudson, 
      and Union Counties. Additional information about PennFed, its products, 
      and performance is available at www.pennfsb.com.
    
    
      This press release does not constitute an offer to sell or a 
      solicitation of an offer to buy any securities. New York Community 
      Bancorp, Inc. has filed a registration statement containing a proxy 
      statement/prospectus that has been sent to PennFed’s 
      stockholders, and other relevant documents concerning the proposed 
      transaction, with the U.S. Securities and Exchange Commission (the “SEC”). 
      PennFed has filed relevant documents concerning the proposed transaction 
      with the SEC. WE URGE INVESTORS TO READ THE REGISTRATION STATEMENT 
      CONTAINING THE PROXY STATEMENT/PROSPECTUS, AND ANY OTHER RELEVANT 
      DOCUMENTS FILED WITH THE SEC, BECAUSE THEY CONTAIN IMPORTANT INFORMATION.
    
    
      Investors are able to obtain these documents free of charge at the SEC’s 
      web site (www.sec.gov). In addition, 
      documents filed with the SEC by New York Community Bancorp, Inc. are 
      available free of charge from the Investor Relations Department, New 
      York Community Bancorp, Inc., 615 Merrick Avenue, Westbury, New York 
      11590. Documents filed with the SEC by PennFed are available free of 
      charge from the Corporate Secretary, PennFed Financial Services, Inc., 
      622 Eagle Rock Avenue, West Orange, New Jersey 07052.
    
    
      The directors, executive officers, and certain other members of 
      management of PennFed Financial Services, Inc. may be soliciting proxies 
      in favor of the transaction from the company’s 
      shareholders. For information about these directors, executive officers, 
      and members of management, please refer to the proxy 
      statement/prospectus that has been sent to PennFed’s 
      stockholders, which is available on the SEC’s 
      web site and at the address provided in the preceding paragraph.
    
    
      Safe Harbor Provisions of the Private 
      Securities Litigation Reform Act of 1995
    
    
      This release, like other written and oral communications presented by 
      New York Community Bancorp, Inc. and PennFed Financial Services, Inc. 
      (the “Companies”) 
      and their authorized officers, may contain certain forward-looking 
      statements within the meaning of Section 27A of the Securities Act of 
      1933, as amended, and Section 21E of the Securities Exchange Act of 
      1934, as amended. The Companies intend such forward-looking 
      statements to be covered by the safe harbor provisions for 
      forward-looking statements contained in the Private Securities 
      Litigation Reform Act of 1995, and are including this statement for 
      purposes of said safe harbor provisions.
    
    
      Forward-looking statements, which are based on certain assumptions, 
      may be identified by their reference to future periods and include, 
      without limitation, those statements relating to the anticipated effects 
      of the transaction between the Companies. The following factors, 
      among others, could cause the actual results of the transaction and the 
      expected benefits of the transaction to the combined company and to the 
      Companies’ shareholders, to differ materially 
      from the expectations stated in this release: the ability of the 
      Companies to consummate the transaction; a materially adverse change in 
      the financial condition or results of operations of either company; the 
      ability of New York Community Bancorp, Inc. to successfully integrate 
      the assets, liabilities, customers, systems, and any management 
      personnel it may acquire into its operations pursuant to the 
      transaction; and the ability to realize the related revenue synergies 
      and cost savings within the expected time frames.
    
    
      In addition, factors that could cause the actual results of the 
      transaction to differ materially from current expectations include, but 
      are not limited to, general economic conditions and trends, 
      either nationally or locally in some or all of the areas in which the 
      Companies and their customers conduct their respective businesses; 
      conditions in the securities markets or the banking industry; changes in 
      interest rates, which may affect the Companies’ 
      net income, the level of prepayment penalties and other future cash 
      flows, or the market value of their assets; changes in deposit flows, 
      and in the demand for deposit, loan, and investment products and other 
      financial services in the Companies’ local 
      markets; changes in the financial or operating performance of the 
      Companies’ customers’ 
      businesses; changes in real estate values, which could impact the 
      quality of the assets securing the Companies’ 
      loans; changes in the quality or composition of the Companies’ 
      loan or investment portfolios; changes in competitive pressures among 
      financial institutions or from non-financial institutions; changes in 
      the customer base of either company; potential exposure to unknown or 
      contingent liabilities of companies targeted by New York Community 
      Bancorp, Inc. for acquisition; the Companies’ 
      timely development of new lines of business and competitive products or 
      services in a changing environment, and the acceptance of such products 
      or services by the Companies’ customers; any 
      interruption or breach of security resulting in failures or disruptions 
      in customer account management, general ledger, deposit, loan, or other 
      systems; the outcome of pending or threatened litigation or of other 
      matters before regulatory agencies, or of matters resulting from 
      regulatory exams, whether currently existing or commencing in the 
      future; environmental conditions that exist or may exist on properties 
      owned by, leased by, or mortgaged to the Companies; changes in estimates 
      of future reserve requirements based upon the periodic review thereof 
      under relevant regulatory and accounting requirements; changes in 
      banking, securities, tax, environmental, and insurance law, regulations, 
      and policies, and the ability to comply with such changes in a timely 
      manner; changes in accounting principles, policies, practices, or 
      guidelines; changes in legislation and regulation; operational issues 
      stemming from and/or capital spending necessitated by the potential need 
      to adapt to industry changes in information technology systems, on which 
      the Companies are highly dependent; changes in the monetary and fiscal 
      policies of the U.S. Government, including policies of the U.S. Treasury 
      and the Federal Reserve Board; war or terrorist activities; and other 
      economic, competitive, governmental, regulatory, and geopolitical 
      factors affecting the Companies’ operations, 
      pricing, and services. Additionally, the timing and occurrence or 
      non-occurrence of events may be subject to circumstances beyond the 
      Companies’ control.
    
    
      Readers are cautioned not to place undue reliance on these 
      forward-looking statements, which speak only as of the date of this 
      release. Except as required by applicable law or regulation, the 
      Companies disclaim any obligation to update any forward-looking 
      statements.