FORM 10-Q
               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

           QUARTERLY REPORT UNDER SECTION 13 or 15(d)
             OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarter ended June 30, 1999 Commission file number 2-
99779

                    National Consumer Cooperative Bank
     (Exact name of registrant as specified in its charter)

   United States of America                    52-1157795
(12 U.S.C. Section 3001 et seq.)            (I.R.S. Employer
(State or other jurisdiction of              Identification No.)
      incorporation or organization)

     1401 Eye Street, NW, Suite 700, Washington, D.C.  20005
            (Address of principal executive offices)

Registrant's telephone number, including area code (202)336-7700

     Indicate by check mark whether the registrant (1) has  filed
all  reports required to be filed by Section 13 or 15(d)  of  the
Securities  Exchange Act of 1934 during the preceding  12  months
(or  for shorter period that the registrant was required to  file
such   reports),  and  (2)  has  been  subject  to  such   filing
requirements for the past 90 days. Yes   x    No        .

     Indicate  the number of shares outstanding of  each  of  the
issuer's  classes  of common stock, as of the latest  practicable
date.

                                   Outstanding at June 30, 1999

     Class C                                      221,996
(Common stock, $100.00 par value)

     Class B                                      922,096
(Common stock, $100.00 par value)

     Class D                                            3
(Common stock, $100.00 par value)


               National Consumer Cooperative Bank
          (doing business as National Cooperative Bank)
                        and Subsidiaries

                             INDEX

PART I  FINANCIAL INFORMATION
Page No.

Item 1         Consolidated balance sheets - June 30,
          1999 and December 31, 1998 ............           4

          Consolidated statements of income - for
          the three and six months ended June 30, 1999
          and 1998...............................           5

          Consolidated statements of comprehensive
          income - for the six months ended
          June 30, 1999 and 1998.................           6

          Consolidated statements of cash flows -
          for the six months ended
          June 30, 1999 and 1998.................           7-8

          Condensed notes to the consolidated
          financial statements - June 30,
          1999....................................          9-16

Item 2    Management's discussion and analysis
          of financial condition and results of
          operations - for the three and six months
          ended June 30, 1999 and 1998...........           17-28

Item 3    Quantitative and qualitative disclosures
          about market risk......................           28

                    PART II OTHER INFORMATION

Item 6    Exhibits .............................            28

          Exhibit 10-21 - Amendment No. 2 to Third Amended and
          Restated Loan Agreement with Fleet Bank as Agent

          Exhibit 10-22 - First Amendment to Term Loan Agreement
          with Greenwich Funding Corporation and Credit Suisse
          First Boston

          Exhibit 10-27 - Executive Long-Term Incentive Plan

          Exhibit 27 - Financial Data Schedule


                    NATIONAL COOPERATIVE BANK
                   CONSOLIDATED BALANCE SHEETS
               June 30, 1999 and December 31, 1998
                               (Unaudited)

                                       June 30,    December 31,
Assets                                    1999         1998

Cash and cash equivalents          $   40,898,668 $ 66,563,160
Restricted cash                         5,690,096   13,202,725
Investment securities
  Available-for-sale                   32,994,837   39,127,948
  Held-to-maturity                      2,726,716    2,892,312

Loans held for sale                   200,556,806  184,000,331

Loans and lease financing             793,019,180  611,174,140
 Less: Allowance for loan losses      (18,457,847) (17,426,450)
 Net loans and lease financing        774,561,333  593,747,690

Other assets                           40,012,268   33,881,044

  Total assets                     $1,097,440,724 $933,415,210

Liabilities and Member's Equity
Liabilities
Deposits                           $  118,961,902 $123,419,544
Patronage dividends payable in
  cash                                  8,312,823    5,275,325
Other liabilities                      18,413,916   29,872,655
Borrowings
  Short-term                          367,053,527  220,652,186
  Long-term                           256,283,953  231,193,174
                                      623,337,480  451,845,360

  Subordinated debt                   182,667,320  182,706,417

  Total borrowings                    806,004,800  634,551,777

  Total liabilities                   951,693,441  793,119,301

Members' equity
Common stock
  Class B                              92,209,648   92,209,648
  Class C                              22,199,604   22,199,604
  Class D                                     300          300
Retained earnings
  Allocated                            10,625,930    7,245,656
  Unallocated                          17,851,157   17,097,102
Accumulated other comprehensive
  income                                2,860,644    1,543,599

   Total members' equity              145,747,283  140,295,909

   Total liabilities and members'
     equity                        $1,097,440,724 $933,415,210


                    NATIONAL COOPERATIVE BANK
                CONSOLIDATED STATEMENTS OF INCOME
                           (Unaudited)

                                   Six Months Ended      Three Months Ended
                                       June 30,              June 30,
                                   1999       1998       1999         1998
Interest income
  Loans and lease financing   $35,429,714 $32,257,380 $18,415,896 $16,395,484
  Investments securities        2,706,871   3,014,790   1,218,099   1,500,049

   Total interest income       38,136,585  35,272,170  19,633,995  17,895,533

Interest expense
  Deposits                     2,840,310   2,122,364   1,389,586    1,131,042
  Short-term borrowings        7,178,910   6,689,079   3,595,484    3,567,391
  Long-term debt, other
   borrowings and
   subordinated debt          13,319,661  13,170,918   7,489,756    6,760,332

   Total interest expense     23,338,881  21,982,361  12,474,826   11,458,765

   Net interest income        14,797,704  13,289,809   7,159,169    6,436,768

Provision for loan losses        835,036     782,881      417,536     430,002
   Net interest income after
    provision for loan losses 13,962,668  12,506,928    6,741,633   6,006,766

Non-interest income
  Gain on sale of loans        3,756,363   3,921,355    3,691,893     291,233
  Loan and deposit
   servicing fees              1,319,608   1,252,183      599,013     638,218
  Other                        2,577,823   2,403,555    1,721,661   1,124,211

   Total non-interest
    income                     7,653,794   7,577,093    6,012,567   2,053,662

Non-interest expense
  Compensation and
   employee benefits           7,478,528   7,840,291    3,864,642   4,021,268
  Contractual services         2,105,342   1,938,536    1,038,296   1,021,556
  Occupancy and equipment      2,281,927   2,133,897    1,232,147   1,184,866
  Contribution to NCB
   Development Corporation       200,000      -           150,000      -
  Other                        1,400,216   1,313,623      793,836     776,532
  Total non-interest
   expense                    13,466,013  13,226,347    7,078,921   7,004,222

Income before income
 taxes                         8,150,449   6,857,674    5,675,279   1,056,206

Provision for income taxes       727,596     669,874      403,182     377,341

Net income                   $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865

Distribution of net income
  Patronage dividends        $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865
  Retained earnings               -           -            -           -
                             $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865


                    NATIONAL COOPERATIVE BANK
         CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
                           (Unaudited)

For the six months ended June 30,             1999        1998


Net income                                 $7,422,853  $6,187,800

Other comprehensive income, net of tax:
  Net unrealized holding
   gains before tax                         1,317,045     193,517

Comprehensive income                       $8,739,898  $6,381,317




                    NATIONAL COOPERATIVE BANK
              CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Unaudited)

For the six months ended June 30,      1999            1998

Cash flows from operating activities
Net income                         $   7,422,853  $   6,187,800
Adjustments to reconcile net income to net cash
 provided by (used in) operating activities
  Provision for loan losses              835,035        782,881
  Depreciation and amortization        2,802,052      2,516,843
  Gain on sale of loans               (4,345,651)    (3,921,355)
  Loans originated for sale         (143,984,908)  (315,866,638)
  Proceeds from sale of loans
   held for sale                     131,774,082    230,613,858
  Increase in other assets            (6,868,407)    (1,195,459)
  (Decrease) increase in other
    liabilities                      (11,458,739)     2,231,203

Net cash used in operating
 activities                          (23,823,683)   (78,650,867)

Cash flows from investing activities
  Redemption of restricted cash        7,512,629      1,003,495
  Purchases of premise and
   equipment                            (421,096)        -
  Purchase of investment securities
   Available-for-sale                 (1,000,000)        -
  Proceeds from maturities of investments
   securities
   Available-for-sale                  6,558,083     10,913,301
   Held-to-maturity                      165,596         -
  Net increases in loans and
   lease financing                  (191,831,996)   (14,525,039)
  Proceeds from sale of portfolio
   loans                              10,483,123      8,156,400

Net cash (used in) provided by
 investing activities               (168,533,661)     5,548,157

Cash flows from financing activities
  Net (decrease) increase
   in deposits                        (4,457,641)    24,838,171
  Net increase in short-term
   borrowings                        146,401,341     64,466,340
  Proceeds from issuance of
   long-term debt                     45,000,000     34,800,078
  Repayment on long term debt        (20,000,000)   (21,000,000)
  Dividends paid                        (250,848)      (250,112)

  Net cash provided by financing
   activities                        166,692,852    102,854,477

(Decrease) increase in cash and
  cash equivalents                   (25,664,492)    29,751,767

Cash and cash equivalents,
 beginning of year                    66,563,160     21,689,245

Cash and cash equivalents,
 end of period                     $  40,898,668  $  51,441,012

                    NATIONAL COOPERATIVE BANK
              CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Unaudited)


Supplemental schedule of investing and financing activities:

For the six months ended June 30,          1999           1998

Unrealized gain on investment
   available-for-sale                  $ 1,317,045     $  193,518

Interest paid                          $23,374,647     $21,502,177

Income taxes paid                      $   614,694     $   600,000

Loans charged off                      $    52,739     $ 1,272,829


                    NATIONAL COOPERATIVE BANK
               CONDENSED NOTES TO THE CONSOLIDATED
                      FINANCIAL STATEMENTS
                          June 30, 1999
                           (Unaudited)

    The  accompanying  financial statements  have  been  prepared
without  audit  and reflect all adjustments (consisting  only  of
normal  recurring  adjustments) which were,  in  the  opinion  of
management, necessary to a fair statement of the results  of  the
interim  period  presented.   Certain  information  and  footnote
disclosures normally included in financial statements prepared in
accordance  with  generally accepted accounting  principles  have
been   condensed   or  omitted.   Accordingly,  these   condensed
financial  statements  should be read  in  conjunction  with  the
financial  statements and the notes thereto included in  National
Cooperative  Bank's  (NCB's)  most  current  annual  report.  The
results of operations for the interim periods are not necessarily
indicative of the results of the entire year.

1.  Cash, Cash Equivalents and Investment Securities

  As   of   June   30,  1999,  NCB's  portfolios  of   investment
securities,  cash  and cash equivalents had an  average  adjusted
maturity of approximately two years with interest rates in  those
portfolios varying from 4.15% to 8.38%.

                         Cash and      Investments Investments
  Cash                  Available-       Held-to-
                        Equivalents     for-Sale     Maturity

  Cash                  $ 7,760,031    $    -      $    -
  Federal funds           2,707,381         -           -
  Money market
   securities            30,081,256        713,936      -
     Private debt
      security               -              -          784,404
  Mutual funds               -           1,520,587      -
  Certificates of
   deposits                 350,000         -           -
  Mortgage-backed
      securities             -              -        1,942,312
  Corporate bonds            -           4,278,226      -
  U.S. Treasury and Agency
    obligations              -           1,484,060      -
  Interest-only
   receivables               -          24,998,028      -

                        $40,898,668    $32,994,837 $ 2,726,716


     At  June 30, 1999, the investments in the available-for-sale
portfolio were recorded at aggregate fair value. Restricted  cash
of $5,690,096 is held by a trustee for the benefit of certificate
holders in the event of a loss on certain loans sold in 1992  and
1993,  the  remaining balance of which totalled  $41,936,184  and
$49,256,028,  respectively.  The  restricted  cash  will   become
available  to  NCB  I,  Inc.  as the  principal  balance  of  the
respective   loans  decreases.  The  loans  sold  have   original
maturities  of ten to fifteen years. In January 1999,  $7,512,630
of  the  restricted  cash account was replaced  by  a  letter  of
credit.

   Interest-only  receivables substantially  pertain  to  blanket
loans to cooperative housing corporations.

2.  Loans and Lease Financing

  Loans and leases outstanding by category at June 30, 1999
were:

     Commercial loans                   $481,353,150
     Lease financing                      51,266,948
     Real estate loans
       Residential                       453,753,033
       Commercial                          7,202,855

                                        $993,575,986

  At  June  30,  1999 and December 31, 1998 loans held  for  sale
were $200.6 million and $184.0 million, respectively.

3.    Impaired Assets

  Impaired  loans, representing the nonaccrual loans at June  30,
1999  and  December 31, 1998, totalled $700,669  and  $2,384,691,
respectively, and averaged $1,535,670 and $3,097,000  during  the
respective periods ending on these dates. Specific allowances  of
$350,334  and  $557,267 were established at  June  30,  1999  and
December  31,  1998,  respectively. During  1999  and  1998,  the
interest collected on the nonaccrual loans was applied to  reduce
the outstanding principal.

  At  June  30,  1999  and  December  31,  1998,  there  were  no
commitments to lend additional funds to borrowers whose loans are
impaired.

  At  June  30,  1999 and December 31, 1998, NCB had real  estate
acquired   through  foreclosure  of  $3,334,465  and  $4,342,739,
respectively, which is classified as other assets.

4.    Allowance for Loan Losses

  The  following  is a summary of the activity in  the  allowance
for loan losses during the six months ended June 30, 1999:

  Balance at January 1, 1999           $17,426,450
  Provision for loan losses                835,036
  Charge-offs                              (52,739)
  Recoveries of loans previously
    charged-off                             249,100

  Balance at June 30, 1999              $18,457,847

  The  allowance  for loan losses as a percentage  of  loans  and
lease financing at June 30, 1999 was 1.9%.

5.   Statement of Changes in Members' Equity

  The following is a summary of the activity in members' equity at June 30,
1999:
<TABLE>

                                          Retained    Retained                 Total
                             Common       Earnings    Earnings    Unrealized Members'
                              Stock       Allocated  Unallocated  Gain(Loss) Equity

<S>    <C>        <C> <C>  <C>          <C>         <C>           <C>        <C>
Balance, December 31, 1998 $114,409,552 $ 7,245,656 $17,097,102   $1,543,599 $140,295,909
Net income                       -           -        7,422,853       -         7,422,853
Other dividends declared         -           -         (250,885)      -          (250,885)
1999 patronage dividends
  to be distributed in cash      -           -       (3,037,639)      -        (3,037,639)
Retained in form of equity       -        3,380,274  (3,380,274)      -            -
Unrealized gain on investment
  securities available-for-
  sale                           -           -           -         1,317,045    1,317,045
Balance, June 30, 1999    $114,409,552  $10,625,930 $17,851,157   $2,860,644 $145,747,283
</TABLE>

6. SEGMENT REPORTING

   NCB's  reportable segments are strategic business units  that
provide  diverse  products  and services  within  the  financial
services  industry. NCB has four reportable segments: commercial
lending,  real estate lending, NCB Savings Bank and  other.  The
commercial  lending  segment  provides  financial  services   to
cooperative and member-owned businesses. The real estate lending
segment  originates,  sells  and  services  real  estate   loans
nationally, with a concentration in New York City.  NCB  Savings
Bank  segment  provides  traditional banking  services  such  as
lending   and   deposit  gathering  to  retail,  corporate   and
commercial  customers.  "Other" consists  of  NCB's  unallocated
parent company income and expense, and net interest income  from
investments and corporate debt after allocations to segments.

   NCB  evaluates segment performance based on net income before
taxes. The accounting policies of the segments are substantially
the  same  as  those  described in the  summary  of  significant
accounting  policies in the most recent annual report.  Overhead
and  support  expenses are allocated to each  operating  segment
based  on  number  of employees, and other factors  relevant  to
expenses  incurred.  Also included in overhead  and  support  is
depreciation allocated based on equipment usage.


     The  following is the segment reporting for the six  months
  ended June 30, 1999 and 1998 (dollars in thousands):

     1999             Commercial Real Estate   NCBSB   Other      NCB
                        Lending    Lending                     Consolidated

Net interest income
  Interest income      $ 17,382   $ 12,318   $  5,279  $  3,158
  Allocated interest
    expense              12,264      8,352        -     (20,616)
  Interest expense         -          -         3,052    20,287
Net interest
 income                   5,118     3,966      2,227     3,487   $   14,798

Provision for
 loan losses             (1,342)      183         85     1,909          835

Non-interest income-
 external                 1,656     5,748        483      (234)       7,653

Non-interest expense
  Direct expense          2,572     2,313      1,344     7,237       13,466
  Overhead and
   support                  404       171        150      (725)     -
Total non-interest
 expense                  2,976     2,484      1,494     6,512       13,466

Income (loss) before
 taxes                 $  5,140  $  7,047   $  1,131  $ (5,168)  $    8,150

Total average assets   $396,804  $329,939   $141,576  $133,625   $1,001,944


      1998            Commercial Real Estate                        NCB
                        Lending   Leading     NCBSB     Other    Consolidated
Net interest income
  Interest income    $ 14,432    $ 13,376   $  4,076  $  3,389
  Allocated interest
   expense             10,583       9,165       -      (19,748)
  Interest expense       -           -         2,124    19,859
Net interest income     3,849       4,211      1,952     3,278   $ 13,290

Provision for loan       (505)         90         65     1,133        783

Non-interest
 income-external        1,674       4,791        367       745      7,577

Non-interest expense
  Direct expense        1,920       2,706      1,129     7,471     13,226
  Overhead and
   support                229         152        148      (529)      -

Total non-interest
 expense                2,149       2,858      1,277     6,942     13,226

Income (loss) before
 taxes               $  3,879    $  6,054   $    977  $ (4,052)  $  6,858

Total average assets $350,081    $315,541   $ 99,346  $111,437   $876,405

  The  following is the segment reporting for the  three  months
  ended June 30, 1999 and 1998 (dollars in thousands):

     1999            Commercial  Real Estate                         NCB
                      Lending     Lending      NCBSB     Other    Consolidated
Net interest income
  Interest income    $  9,538    $  5,071    $  2,842   $  2,183
  Allocated interest
   expense              6,777       3,873        -       (10,650)
  Interest expense       -           -          1,598     10,877
Net interest income     2,761       1,198       1,244      1,956   $    7,159

Provision for loan
 losses                   727         (10)         42       (342)         417

Non-interest income-
 external               1,047       5,543         232       (810)       6,012

Non-interest expense
  Direct expense        1,424       1,202         682      3,771        7,079
  Overhead and
   support                287          83          75       (445)        -

Total non-interest
 expense                1,711       1,285         757      3,326        7,079

Income (loss) before
 taxes               $  1,370    $  5,466    $    677   $ (1,838)  $    5,675

Total average assets $407,892    $306,668    $151,236   $149,448   $1,015,244

      1998            Commercial   Real Estate                        NCB
                        Lending     Lending      NCBSB   Other    Consolidated

Net interest income
  Interest income     $  7,439     $  6,789   $  2,113  $  1,556
  Allocated interest
   expense               5,487        4,906       -      (10,393)
  Interest expense        -            -         1,132    10,328
Net interest income      1,952        1,883        981     1,621    $  6,437

Provision for loan
 losses                   (279)        (204)        30       884         431

Non-interest
 income-external           801          643        204       406       2,054

Non-interest expense
  Direct expense           978        1,635        549     3,842       7,004
  Overhead and
   support                 102           68         98      (268)       -

Total non-interest
 expense                 1,080        1,703        674     3,574       7,004

Income (loss) before
 taxes                $  1,952     $  1,027   $    508  $ (2,431)   $  1,056

Total average assets  $365,458     $319,252   $ 99,955  $114,094    $898,759


7. SUBSEQUENT EVENT

    In July 1999, NCB sold approximately $122.7 million of
blanket mortgages. The gain on these sales will be reflected in
the third quarter results.
                    NATIONAL COOPERATIVE BANK
              MANAGEMENT'S DISCUSSION AND ANALYSIS
         FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998


SUMMARY

  NCB's  net  income for the six months ended June 30,  1999  was
$7.4  million.   This  was  a  19.96% or  $1.2  million  increase
compared  with  $6.2 million for the six months  ended  June  30,
1998.   The  variance resulted primarily from  $1.5  million  and
$76.7  thousand increases in net interest income and non-interest
income,  respectively, which was partially offset by  a  combined
increase in provision for loan losses and non-interest expense of
$291.8 thousand. For the three month period, net income increased
$4.6 million due primarily to an increase in non-interest income.

  Total  assets were $1.1 billion at June 30, 1999, up  17.6%  or
$164.0  million  from $933.4 million at December 31,  1998.  This
resulted from an increase in loans held for sale, loans and lease
financing and other assets of $203.5 million partially offset  by
a  decrease  in  cash and cash equivalents, restricted  cash  and
investment securities of $39.5 million.

  The  annualized return on average total assets  was  1.48%  for
the  first  six months of 1999 compared with 1.41% for  the  same
period in 1998.  The annualized return on average equity for  the
periods  ended  June  30, 1999 and 1998  was  10.38%  and  9.18%,
respectively.

NET INTEREST INCOME

  Net  interest income for the first six months of 1999 increased
11.3%  or $1.5 million over the same period a year ago. As  shown
on  Table  1, the net interest spread increased 1 basis point  to
2.20% from 2.19% for the six months ended June 30, 1999 while net
interest yield on interest earning assets was 3.07% and 3.12% for
the  six months ended June 30, 1999 and 1998, respectively. Table
2 contains  more  detailed  information  on  the  $1.5  million
increase.

   For the three months ending June 30, 1999, net interest income
increased 11.2% or $722.4 thousand from the same period  in 1998.
As shown on Table 2A, the increase was largely due to an increase
in volume of loans and leases.

  For  the  six  months  ending June 30,  1999,  interest  income
increased  8.1%  or  $2.9  million to $38.1  million  from  $35.3
million  for  the prior year's period. As shown on  Table  2,  an
increase in average volume which was due to growth in real estate
loans  (most  of which were held for sale) and in the  commercial
loan  and  lease portfolio, was partially offset  by  a  drop  in
average yield on real estate loans.

  For  the  three  month  period ended June  30,  1999,  interest
income went up 9.7% or $1.74 million from $17.9 million to  $19.6
million.   The increase in interest income was mostly  due  to  a
higher  average  balance of the interest earning assets  for  the
time period.

   Interest  expense increased $1.4 million to $23.3 million  for
the  six  months ended June 30, 1999 compared with $22.0  million
for  the six months ended June 30, 1998. The interest expense was
up  as  a  result of higher levels of notes payable and deposits.
While  interest expense was up due to the higher usage  of  notes
payable  required  to  fund  loan  volume  and  higher  level  of
deposits,  such  increase was offset by lower interest  rates  on
them.  As  shown on Table 2, a $2.6 million increase in  interest
expense was volume related while a $1.3 million decrease was  due
to interest rates.

   For  the second quarter ended June 30, 1999, interest  expense
increased  8.9%  or $1.0 million to $12.5 million  compared  with
$11.5  million for the second quarter ended June 30, 1998 due  to
increased funding of loans.  The average rate on interest bearing
liabilities  decreased to 5.96% compared with 6.20% in  the  same
quarter a year ago.

NON-INTEREST INCOME

  Non-interest income for the six months ended June 30,  1999  of
$7.7  million   increased 1% or $77.0 thousand from $7.6  million
for the same period last year. Non-interest income is composed of
gains  from  sales  of  blanket  mortgages  and  share  loans  to
secondary  market  investors, servicing fees,  origination  fees,
management  fees  and  advisory and  debt  placement  fees.   The
majority  of  the  increase resulted from fees  received  on  the
servicing  of  loans.  Servicing fee income for the period  ended
June  30, 1999 increased 5.4% or $67.4 thousand to $1.32  million
compared  with  $1.25 million for the six months ended  June  30,
1998  based on loans serviced for others of $1.9 billion and $1.5
billion at June 30, 1999 and 1998, respectively.

  Other  income  for the six months ended June 30,  1999  was  up
7.2% to $2.6 million from $2.4 million for the same six months in
the  prior  year  due to gain on sale of a real estate  note  and
increased  excess yield amortization offset by a net decrease  in
other loan fees.

  For  the  three month period ended June 30, 1999,  non-interest
income  increased 192.8% or $3.96 million from $2.05 million  for
the  same  period  in  1998.  The majority of  the  increase  was
related to the sale of loans to the secondary markets. Loans sold
during  the three month period ended June 30, 1999 and 1998  were
$154.0 million and $54.4 million, respectively.




NON-INTEREST EXPENSE

  Non-interest  expense for the six months ended  June  30,  1999
increased 1.8% or $239.7 thousand to $13.5 million compared  with
$13.2   million  for  the  six  months  ended  June   30,   1998.
Compensation  and benefits, the largest component of non-interest
expense,  decreased  4.6%  or $361.8  thousand  due  to  a  lower
employee  base and lower bonus accruals than  in the year-earlier
period. Contractual services, occupancy and equipment, and  other
expenses  increased  7.5%  or $401.4 thousand  primarily  due  to
equipment   and   technology  costs,  corporate   and   marketing
development, placement and compensation survey fees.

  Excluding   the  voluntary  contributions  to  NCB  Development
Corporation,  which was $200 thousand and zero during  the  first
two quarters of 1999 and 1998, respectively, non-interest expense
as  a percentage of average assets decreased to 1.3% for the  six
months ended June 30, 1999 compared with 1.5% for the same period
a year ago.

   For the three months ended June 30, 1999, non-interest expense
increased 1.1% or $74.7 thousand from $7.0 million for  the  same
period  in 1998.  The increase was primarily due to the voluntary
contributions  to NCB Development Corporation of $150.0  thousand
partially  offset by a decrease of $75.3 thousand  of  the  other
components of non-interest expense.

Table 1
RATE RELATED ASSETS AND LIABILITIES
(dollars in thousands)
                                       Six Months Ended June 30,
                                   1999                        1998
 ASSETS                Average    Income/  Yields/  Average   Income/  Yields/
                       Balance    Expenses  Rate    Balance   Expenses  Rate

Interest earning
 assets
   Real estate loans    $  473,710 $17,678  7.46%    $395,449  $16,498   8.34%
   Commercial loans
    and leases             402,231  17,752  8.83%     357,019   15,759   8.83%

   Total loans and
    leases                 875,941  35,430  8.09%     752,468   32,257   8.57%

   Investment securities
    and cash equivalents    87,438   2,707  6.19%      99,367    3,015   6.07%

    Total interest
     earning assets        963,379  38,137  7.92%     851,835   35,272   8.28%

 Allowance for loan
  losses                   (18,037)                   (17,865)

 Non-interest earning  assets
   Cash                     10,955                      2,636
   Other assets             45,647                     39,799

   Total non-interest
    earning assets          56,602                     42,435

   Total assets         $1,001,944                   $876,405

 LIABILITIES AND MEMBER'S EQUITY
 Interest bearing liabilities
   Subordinated debt   $  182,668 $ 5,119  5.61%     $182,542 $ 5,449   5.97%
   Notes payable          507,913  15,379  6.06%      449,380  14,411   6.41%
   Deposits               125,591   2,840  4.52%       89,624   2,122   4.74%

   Total interest bearing
    liabilities           816,172  23,338  5.72%      721,546  21,982   6.09%

 Other liabilities         42,743                      20,108
 Members' equity          143,029                     134,751

  Total liabilities and
   members' equity     $1,001,944                    $876,405

 Net interest earning
  assets               $  147,207                    $130,289

 Net interest revenues
  and spread                      $14,799  2.20%               $ 13,290  2.19%

 Net yield on interest
  earning assets                           3.07%                         3.12%


Table 1A
RATE RELATED ASSETS AND LIABILITIES
(dollars in thousands)
                                     Three Months Ended June 30,
                                   1999                       1998
 ASSETS                Average    Income/  Yields/  Average  Income/   Yields/
                       Balance    Expenses Rate     Balance  Expenses  Rate
 Interest earning
  assets
   Real estate loans   $ 488,965  $ 8,973  7.34%    $398,570 $ 8,209    8.24%
   Commercial loans
    and leases           413,230    9,443  9.14%     371,659   8,186    8.81%

   Total loans and
    leases               902,195   18,416  8.16%     770,229  16,395    8.51%

   Investment securities
    and cash equivalents  72,122    1,218  6.76%      94,540   1,500     6.35%

    Total interest
     earning assets      974,317   19,634  8.06%     864,769  17,895     8.28%

 Allowance for loan
  losses                 (18,355)                    (17,827)

 Non-interest earning assets
   Cash                   11,038                       3,215
   Other assets           48,424                      48,602

   Total non-interest
    earning assets        59,462                      51,817

   Total assets       $1,015,244                    $898,759

 LIABILITIES AND MEMBER'S EQUITY
 Interest bearing liabilities
   Subordinated debt  $  182,694 $ 2,531  5.54%     $182,542  $ 2,767    6.06%
   Notes payable         529,676   8,554  6.46%      468,521    7,561    6.46%
   Deposits              125,160   1,390  4.44%       88,250    1,131    5.13%

   Total interest
    bearing liabilities  837,530  12,475  5.96%     739,313    11,459    6.20%

 Other liabilities        33,354                     24,022
 Members' equity         144,540                    135,424

  Total liabilities and
   members' equity    $1,015,424                   $898,759

 Net interest earning
  assets              $  136,787                   $125,456

 Net interest revenues
  and spread                     $ 7,159  2.10%               $ 6,436    2.08%

 Net yield on interest
  earning                                 2.94%                          2.98%

Table 2
Changes in Net Interest Income
(dollars in thousands)

For the six months ended June 30, 1999 compared to 1998

                                  Increase (decrease) due to  change in:

                                    Average    Average
                                    Volume*    Yield      Net**

 Interest Income

 Cash equivalents and
  investment securities             $ (368)    $    60  $ (308)
 Commercial loans and leases         1,996          (3)  1,993
 Real estate loans                   3,041      (1,861)  1,180

  Total interest income              4,669      (1,804)  2,865

 Interest expense

 Deposits                              817         (99)    718
 Notes payable                       1,803        (835)    968
 Subordinated debt                       4        (334)   (330)

  Total interest expense             2,624      (1,268)  1,356

 Net interest income                $2,045     $  (536) $1,509

* Average monthly balances
**Changes in interest income and interest expense due to changes in
rate and volume have been allocated to "change in average volume" and
"change in average rate" in proportion to the absolute dollar amounts in
each.

Table 2A
Changes in Net Interest Income
(dollars in thousands)

For the three months ended June 30, 1999 compared to 1998

                                  Increase (decrease) due to  change in:

                                    Average    Average
                                    Volume*    Yield    Net**

 Interest Income

 Cash equivalents and
  investment securities             $ (374)    $    92  $ (282)
 Commercial loans and leases           942         315   1,257
 Real estate loans                   1,725        (961)    764

  Total interest income              2,293        (554)  1,739

 Interest expense

 Deposits                              426        (167)    259
 Notes payable                         988           5     993
 Subordinated debt                       2        (238)   (236)

  Total interest expense             1,416        (400)  1,016

 Net interest income                $  877     $  (154) $  723

* Average monthly balances
**Changes in interest income and interest expense due to changes in
rate and volume have been allocated to "change in average volume" and
"change in average rate" in proportion to the absolute dollar amounts in
each.

PROVISION FOR INCOME TAXES

 The  federal income tax provision is determined on the basis  of
non-member  income generated by NCB Savings Bank, FSB(NCBSB)  and
reserves  set  aside  for the retirement of  Class  A  notes  and
dividends  on Class C stock. NCB's subsidiaries are also  subject
to  varying  levels of state taxation.  The income tax  provision
for  the  six  months  ended June 30, 1999  was  $727.6  thousand
compared with the prior year's provision of $669.9 thousand.

CASH, CASH EQUIVALENTS AND INVESTMENT SECURITIES

 Cash,  cash  equivalents  and  investment  securities  totalling
$76.6  million at June 30, 1999 decreased $32.0 million or  29.4%
from $108.6 million at year-end 1998 due mostly to the funding of
loans  and  lease financing.  As a percentage of earning  assets,
cash,  cash  equivalents and investment securities  decreased  to
7.1% at June 30, 1999 from 13.5% at December 31, 1998.

ALLOWANCE FOR LOAN LOSSES

 The  allowance  for loan losses at June 30, 1999 increased  5.9%
to  $18.5  million from $17.4 million at December 31,  1998.  The
allowance  during  the period was impacted by  loans  charged-off
amounting  to  $52.7  thousand, recoveries  of  loans  previously
charged-off  of  $249.1  thousand and  the  provision  of  $835.0
thousand.  Overall, loan portfolio quality remained  both  strong
and  stable at the end of the first six months of 1999 and  1998.
NCB's  annualized provision for loan losses as  a  percentage  of
average loans and leases outstanding remained at .2% for the  six
months ended June 30, 1999 and 1998.

 The  loan  loss  allowance as a percentage of loans  and  leases
decreased  to  1.9% at June 30, 1999 from 2.2%  at  December  31,
1998.  Management considers the current allowance to be  adequate
to absorb known and inherent risks in the loan portfolio.

 As  shown in Table 3, total impaired assets (non-accruing  loans
and  real  estate  owned) decreased 40.0% from  $6.7  million  at
December  31,  1998 to $4.0 million at June 30,  1999.   Impaired
assets as a percentage of loans and leases outstanding plus  real
estate owned decreased to .4% at June 30, 1999 compared with  .8%
at  year-end 1998.  The allowance for loan losses as a percentage
of impaired assets increased to 457.4% at June 30, 1999 from 259%
at December 31, 1998.

INTEREST BEARING LIABILITIES

Interest Bearing liabilities
(dollars in thousands)
                             6/30/99    12/31/98      % Change

Deposits                    $118,962     $123,420         (3.6%)
Short-term debt              367,054      220,652         66.3%
Long-term debt               256,284      231,193         10.9%
Subordinated debt            182,677      182,706          0.0%

 Total                      $924,977     $757,971         22.0%

 Interest bearing liabilities increased $167.0 million to  $925.0
million  at  June  30, 1999 from $758.0 million at  December  31,
1998.

 For  the six months of 1999, deposits at NCBSB declined 3.6%  to
$119.0 million compared with $123.4 million at December 31, 1998.
The  decrease was due to the maturity of certificates of deposits
held  by local and national depositors. Average maturity  of  the
certificates  of  deposits is 13.9 months.  Although  NCB  relies
heavily on funds raised through the capital markets, deposits and
the  short term borrowing program are a major portion of interest
bearing  liabilities  -  16.4% and  20.9%  at  June  30,1999  and
December 31,1998, respectively.

 At  June  30,  1999,  total short-term and long-term  borrowings
(including  subordinated debt) increased 27.0% or $171.5  million
to  $806.0 million in comparison to prior year-end 1998 of $634.6
million.   Proceeds from the borrowings were used to fund  growth
in  loans  and  leases. At June 30, 1999, NCBSB had  advances  of
$28.0  million from the Federal Home Loan Bank and NCB had $339.1
million,   net   of  discount,  outstanding  on  its   short-term
facilities.  Included in the short-term borrowings were revolving
lines  of credit of $181.5 million; commercial paper with a  face
value  of  $125.0  million and $32.8 million in  the  short  term
borrowing program, which are from NCD Development Corporation and
cooperative customers. Long-term debt increased $25.0 million  or
10.9% from year-end 1998 due to the issuance of $45.0 million  of
medium  term notes and the maturity of $20.0 million under  long-
term  facilities.   At June 30, 1999, there was  unused  capacity
under short-term facilities of approximately $58.2 million.

 In  April  1999,   NCB received Board approval to  increase  the
size  of several funding programs. The new maximum amounts  under
NCB's programs are as follows:

    Short term facilities to $500.0 million
    Commercial paper program to $250.0 million*
    Medium term note program to $300.0 million
    Long term facilities to $275.0 million

 In  August  1999, NCB received Board approval for an  additional
increase  in the medium term note program from $300.0 million  to
$400.0  million. NCB also received approval to issue  up  to  $50
million  in  trust  preferred  securities,  preferred  stock   or
subordinated debt.

 *  NCB  maintains available committed capacity, under its  short
term  facilities,  in  an amount not less  than  the  outstanding
commercial paper balance.


TABLE 3
Impaired assets
(dollars in thousands)

                  June 30,  March 31, Dec. 31,  Sept. 30,    June 30,
                    1999     1999      1998      1998     1998

Real estate owned $3,334    $3,355    $4,343    $4,155   $4,272

Non-accruing         701     2,371     2,385       819    3,445

                  $4,035    $5,726    $6,728    $4,974   $7,717


YEAR 2000

     A  significant  challenge facing NCB, its  subsidiaries  and
affiliate  as  well  as all companies, is the  readiness  of  its
computer  systems for the next millennium. NCB is dependent  upon
its  internal computer systems and has external interdependencies
with other financial institutions and customers.

     NCB has surveyed all mission critical internal software  and
systems  (See   Table  (A))  and  has  determined  a  remediation
strategy.   Table (B) reflects the phase completion with  respect
to all mission critical systems. All testing was completed by May
31, 1999.

     With respect to "non-information technology items", NCB  has
surveyed  the vendors/providers with the results shown  in  Table
(C).

      NCB   has  surveyed  all  associated  banks  and  financial
institutions   with  which  a  mission  critical  interdependence
exists.   Based upon the results of this survey, NCB took actions
which  involved  testing  of  key  systems  or  transitioning  to
alternative  institutional systems.  All  associated  respondents
indicated that they were already Year 2000 compliant by  December
31, 1998.

     To date, direct costs relative to the Year 2000 efforts have
totalled  less than $100,000.  NCB does not anticipate  exceeding
this  amount in addressing all associated Year 2000 issues.   All
costs  to  date  are  and in the future will  be  funded  through
operating  income and are not considered material. NCB  converted
to  a  new Year 2000 compliant loan accounting system in November
1998 which  replaced its existing systems that were not Year 2000
compliant.  The cost of this replacement was less than $500,000.

     NCB  has surveyed the major portion of its customer base  to
determine  the ability of its customers to continue debt  service
coverage  and  will  follow  with a  specific  review  of  annual
financial statements for Year 2000 disclosure. A primary risk for
NCB lies in the ability of its customers to continue debt service
payment  on  schedule in the Year 2000.  To date, survey  results
indicated that the issue is being addressed.

     NCB  has  substantially completed all core systems  testing.
Test  results to date have indicated the systems to be Year  2000
ready.   Management completed and the Board approved  a  business
continuity  plan  in  April 1999 which will be  tested  prior  to
October 1, 1999 and updated as the year progresses.

Table (A)

Total Mission Critical Systems (MCS)   61

            Number of MCS to be:

             Repaired                  6
             Replaced                  0
             Retired                   0
             Vendor Upgraded           55
             Tested Only               0
             Outsourced                0

Table (B)
Phase Completion Status As of June 30, 1999:

  Phase     Percent Complete  Estimate or Actual #of MCS in Phase

Awareness        100.0%              A               61
Assessment       100.0%              A               61
Renovation       100.0%              A               61
Validation       100.0%              A               61
Implementation   100.0%              A               61





Table (C)
Non-Information Technology Items (Infrastructure Items)

                           Compliant (Y=Yes)
Kastle System                   Y
Montgomery Kone(HVAC)           Y
TRANE(Elevators)                Y
Willtel(Phone)                  Y
PEPCO                           Y
Sungard Business Recovery       Y


ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

     No material changes in NCB's market risk profile occurred
from December 31, 1998 to June 30, 1999.


ITEM 6. EXHIBITS

 (a)  The following exhibits are filed as part of this report:

        Exhibit 10-21 - Amendment No. 2 to Third Amended and
        Restated Loan Agreement with Fleet Bank as Agent

        Exhibit  10-22 - First Amendment to Term Loan  Agreement with
         Greenwich  Funding Corporation and Credit  Suisse  First Boston

        Exhibit 10-27 - Executive Long-Term Incentive Plan

        Exhibit 27 - Financial Data Schedule


                            SIGNATURE


 Pursuant to the requirements of the Securities Exchange  Act  of
1934, the registrant has duly caused this report to be signed  on
its behalf by the undersigned there unto duly authorized.


               NATIONAL CONSUMER COOPERATIVE BANK

Date:
                                   s/Richard L. Reed
                                  By:
                                     Richard L. Reed,
                                     Managing Director,
                                     Chief Financial Officer


                                   s/Marietta J. Orcino
                                  By:
                                     Marietta J. Orcino
                                     Vice President, Tax & Regulatory
                                     Compliance
[{"type": "10-Q", "sequence": "1", "secsgml_size_bytes": 48395}]
{"company-data": {"conformed-name": "NATIONAL CONSUMER COOPERATIVE BANK /DC/", "cik": "0000356801", "assigned-sic": "6141", "irs-number": "521157795", "state-of-incorporation": "DC", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "10-Q", "act": "34", "file-number": "002-99779", "film-number": "99689789"}, "business-address": {"street1": "1401 EYE ST N W", "city": "WASHINGTON", "state": "DC", "zip": "20005", "phone": "2023367731"}, "mail-address": {"street1": "1401 EYE ST NW", "city": "WASHINGTON", "state": "DC", "zip": "20005"}, "former-company": [{"former-conformed-name": "NATIONAL COOPERATIVE BANK", "date-changed": "19890808"}, {"former-conformed-name": "NATIONAL CONSUMER COOPERATIVE BANK", "date-changed": "19880804"}]}
FORM 10-Q
               SECURITIES AND EXCHANGE COMMISSION
                     Washington, D.C. 20549

           QUARTERLY REPORT UNDER SECTION 13 or 15(d)
             OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarter ended June 30, 1999 Commission file number 2-
99779

                    National Consumer Cooperative Bank
     (Exact name of registrant as specified in its charter)

   United States of America                    52-1157795
(12 U.S.C. Section 3001 et seq.)            (I.R.S. Employer
(State or other jurisdiction of              Identification No.)
      incorporation or organization)

     1401 Eye Street, NW, Suite 700, Washington, D.C.  20005
            (Address of principal executive offices)

Registrant's telephone number, including area code (202)336-7700

     Indicate by check mark whether the registrant (1) has  filed
all  reports required to be filed by Section 13 or 15(d)  of  the
Securities  Exchange Act of 1934 during the preceding  12  months
(or  for shorter period that the registrant was required to  file
such   reports),  and  (2)  has  been  subject  to  such   filing
requirements for the past 90 days. Yes   x    No        .

     Indicate  the number of shares outstanding of  each  of  the
issuer's  classes  of common stock, as of the latest  practicable
date.

                                   Outstanding at June 30, 1999

     Class C                                      221,996
(Common stock, $100.00 par value)

     Class B                                      922,096
(Common stock, $100.00 par value)

     Class D                                            3
(Common stock, $100.00 par value)

               National Consumer Cooperative Bank
          (doing business as National Cooperative Bank)
                        and Subsidiaries

                             INDEX

PART I  FINANCIAL INFORMATION
Page No.

Item 1         Consolidated balance sheets - June 30,
          1999 and December 31, 1998 ............           4

          Consolidated statements of income - for
          the three and six months ended June 30, 1999
          and 1998...............................           5

          Consolidated statements of comprehensive
          income - for the six months ended
          June 30, 1999 and 1998.................           6

          Consolidated statements of cash flows -
          for the six months ended
          June 30, 1999 and 1998.................           7-8

          Condensed notes to the consolidated
          financial statements - June 30,
          1999....................................          9-16

Item 2    Management's discussion and analysis
          of financial condition and results of
          operations - for the three and six months
          ended June 30, 1999 and 1998...........           17-28

Item 3    Quantitative and qualitative disclosures
          about market risk......................           28

                    PART II OTHER INFORMATION

Item 6    Exhibits .............................            28

          Exhibit 10-21 - Amendment No. 2 to Third Amended and
          Restated Loan Agreement with Fleet Bank as Agent

          Exhibit 10-22 - First Amendment to Term Loan Agreement
          with Greenwich Funding Corporation and Credit Suisse
          First Boston

          Exhibit 10-27 - Executive Long-Term Incentive Plan

          Exhibit 27 - Financial Data Schedule

                    NATIONAL COOPERATIVE BANK
                   CONSOLIDATED BALANCE SHEETS
               June 30, 1999 and December 31, 1998
                               (Unaudited)

                                       June 30,    December 31,
Assets                                    1999         1998

Cash and cash equivalents          $   40,898,668 $ 66,563,160
Restricted cash                         5,690,096   13,202,725
Investment securities
  Available-for-sale                   32,994,837   39,127,948
  Held-to-maturity                      2,726,716    2,892,312

Loans held for sale                   200,556,806  184,000,331

Loans and lease financing             793,019,180  611,174,140
 Less: Allowance for loan losses      (18,457,847) (17,426,450)
 Net loans and lease financing        774,561,333  593,747,690

Other assets                           40,012,268   33,881,044

  Total assets                     $1,097,440,724 $933,415,210

Liabilities and Member's Equity
Liabilities
Deposits                           $  118,961,902 $123,419,544
Patronage dividends payable in
  cash                                  8,312,823    5,275,325
Other liabilities                      18,413,916   29,872,655
Borrowings
  Short-term                          367,053,527  220,652,186
  Long-term                           256,283,953  231,193,174
                                      623,337,480  451,845,360

  Subordinated debt                   182,667,320  182,706,417

  Total borrowings                    806,004,800  634,551,777

  Total liabilities                   951,693,441  793,119,301

Members' equity
Common stock
  Class B                              92,209,648   92,209,648
  Class C                              22,199,604   22,199,604
  Class D                                     300          300
Retained earnings
  Allocated                            10,625,930    7,245,656
  Unallocated                          17,851,157   17,097,102
Accumulated other comprehensive
  income                                2,860,644    1,543,599

   Total members' equity              145,747,283  140,295,909

   Total liabilities and members'
     equity                        $1,097,440,724 $933,415,210

                    NATIONAL COOPERATIVE BANK
                CONSOLIDATED STATEMENTS OF INCOME
                           (Unaudited)

                                   Six Months Ended      Three Months Ended
                                       June 30,              June 30,
                                   1999       1998       1999         1998
Interest income
  Loans and lease financing   $35,429,714 $32,257,380 $18,415,896 $16,395,484
  Investments securities        2,706,871   3,014,790   1,218,099   1,500,049

   Total interest income       38,136,585  35,272,170  19,633,995  17,895,533

Interest expense
  Deposits                     2,840,310   2,122,364   1,389,586    1,131,042
  Short-term borrowings        7,178,910   6,689,079   3,595,484    3,567,391
  Long-term debt, other
   borrowings and
   subordinated debt          13,319,661  13,170,918   7,489,756    6,760,332

   Total interest expense     23,338,881  21,982,361  12,474,826   11,458,765

   Net interest income        14,797,704  13,289,809   7,159,169    6,436,768

Provision for loan losses        835,036     782,881      417,536     430,002
   Net interest income after
    provision for loan losses 13,962,668  12,506,928    6,741,633   6,006,766

Non-interest income
  Gain on sale of loans        3,756,363   3,921,355    3,691,893     291,233
  Loan and deposit
   servicing fees              1,319,608   1,252,183      599,013     638,218
  Other                        2,577,823   2,403,555    1,721,661   1,124,211

   Total non-interest
    income                     7,653,794   7,577,093    6,012,567   2,053,662

Non-interest expense
  Compensation and
   employee benefits           7,478,528   7,840,291    3,864,642   4,021,268
  Contractual services         2,105,342   1,938,536    1,038,296   1,021,556
  Occupancy and equipment      2,281,927   2,133,897    1,232,147   1,184,866
  Contribution to NCB
   Development Corporation       200,000      -           150,000      -
  Other                        1,400,216   1,313,623      793,836     776,532
  Total non-interest
   expense                    13,466,013  13,226,347    7,078,921   7,004,222

Income before income
 taxes                         8,150,449   6,857,674    5,675,279   1,056,206

Provision for income taxes       727,596     669,874      403,182     377,341

Net income                   $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865

Distribution of net income
  Patronage dividends        $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865
  Retained earnings               -           -            -           -
                             $ 7,422,853 $ 6,187,800  $ 5,272,097 $   678,865

                    NATIONAL COOPERATIVE BANK
         CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
                           (Unaudited)

For the six months ended June 30,             1999        1998

Net income                                 $7,422,853  $6,187,800

Other comprehensive income, net of tax:
  Net unrealized holding
   gains before tax                         1,317,045     193,517

Comprehensive income                       $8,739,898  $6,381,317

                    NATIONAL COOPERATIVE BANK
              CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Unaudited)

For the six months ended June 30,      1999            1998

Cash flows from operating activities
Net income                         $   7,422,853  $   6,187,800
Adjustments to reconcile net income to net cash
 provided by (used in) operating activities
  Provision for loan losses              835,035        782,881
  Depreciation and amortization        2,802,052      2,516,843
  Gain on sale of loans               (4,345,651)    (3,921,355)
  Loans originated for sale         (143,984,908)  (315,866,638)
  Proceeds from sale of loans
   held for sale                     131,774,082    230,613,858
  Increase in other assets            (6,868,407)    (1,195,459)
  (Decrease) increase in other
    liabilities                      (11,458,739)     2,231,203

Net cash used in operating
 activities                          (23,823,683)   (78,650,867)

Cash flows from investing activities
  Redemption of restricted cash        7,512,629      1,003,495
  Purchases of premise and
   equipment                            (421,096)        -
  Purchase of investment securities
   Available-for-sale                 (1,000,000)        -
  Proceeds from maturities of investments
   securities
   Available-for-sale                  6,558,083     10,913,301
   Held-to-maturity                      165,596         -
  Net increases in loans and
   lease financing                  (191,831,996)   (14,525,039)
  Proceeds from sale of portfolio
   loans                              10,483,123      8,156,400

Net cash (used in) provided by
 investing activities               (168,533,661)     5,548,157

Cash flows from financing activities
  Net (decrease) increase
   in deposits                        (4,457,641)    24,838,171
  Net increase in short-term
   borrowings                        146,401,341     64,466,340
  Proceeds from issuance of
   long-term debt                     45,000,000     34,800,078
  Repayment on long term debt        (20,000,000)   (21,000,000)
  Dividends paid                        (250,848)      (250,112)

  Net cash provided by financing
   activities                        166,692,852    102,854,477

(Decrease) increase in cash and
  cash equivalents                   (25,664,492)    29,751,767

Cash and cash equivalents,
 beginning of year                    66,563,160     21,689,245

Cash and cash equivalents,
 end of period                     $  40,898,668  $  51,441,012

                    NATIONAL COOPERATIVE BANK
              CONSOLIDATED STATEMENTS OF CASH FLOWS
                           (Unaudited)

Supplemental schedule of investing and financing activities:

For the six months ended June 30,          1999           1998

Unrealized gain on investment
   available-for-sale                  $ 1,317,045     $  193,518

Interest paid                          $23,374,647     $21,502,177

Income taxes paid                      $   614,694     $   600,000

Loans charged off                      $    52,739     $ 1,272,829

                    NATIONAL COOPERATIVE BANK
               CONDENSED NOTES TO THE CONSOLIDATED
                      FINANCIAL STATEMENTS
                          June 30, 1999
                           (Unaudited)

    The  accompanying  financial statements  have  been  prepared
without  audit  and reflect all adjustments (consisting  only  of
normal  recurring  adjustments) which were,  in  the  opinion  of
management, necessary to a fair statement of the results  of  the
interim  period  presented.   Certain  information  and  footnote
disclosures normally included in financial statements prepared in
accordance  with  generally accepted accounting  principles  have
been   condensed   or  omitted.   Accordingly,  these   condensed
financial  statements  should be read  in  conjunction  with  the
financial  statements and the notes thereto included in  National
Cooperative  Bank's  (NCB's)  most  current  annual  report.  The
results of operations for the interim periods are not necessarily
indicative of the results of the entire year.

1.  Cash, Cash Equivalents and Investment Securities

  As   of   June   30,  1999,  NCB's  portfolios  of   investment
securities,  cash  and cash equivalents had an  average  adjusted
maturity of approximately two years with interest rates in  those
portfolios varying from 4.15% to 8.38%.

                         Cash and      Investments Investments
  Cash                  Available-       Held-to-
                        Equivalents     for-Sale     Maturity

  Cash                  $ 7,760,031    $    -      $    -
  Federal funds           2,707,381         -           -
  Money market
   securities            30,081,256        713,936      -
     Private debt
      security               -              -          784,404
  Mutual funds               -           1,520,587      -
  Certificates of
   deposits                 350,000         -           -
  Mortgage-backed
      securities             -              -        1,942,312
  Corporate bonds            -           4,278,226      -
  U.S. Treasury and Agency
    obligations              -           1,484,060      -
  Interest-only
   receivables               -          24,998,028      -

                        $40,898,668    $32,994,837 $ 2,726,716

     At  June 30, 1999, the investments in the available-for-sale
portfolio were recorded at aggregate fair value. Restricted  cash
of $5,690,096 is held by a trustee for the benefit of certificate
holders in the event of a loss on certain loans sold in 1992  and
1993,  the  remaining balance of which totalled  $41,936,184  and
$49,256,028,  respectively.  The  restricted  cash  will   become
available  to  NCB  I,  Inc.  as the  principal  balance  of  the
respective   loans  decreases.  The  loans  sold  have   original
maturities  of ten to fifteen years. In January 1999,  $7,512,630
of  the  restricted  cash account was replaced  by  a  letter  of
credit.

   Interest-only  receivables substantially  pertain  to  blanket
loans to cooperative housing corporations.

2.  Loans and Lease Financing

  Loans and leases outstanding by category at June 30, 1999
were:

     Commercial loans                   $481,353,150
     Lease financing                      51,266,948
     Real estate loans
       Residential                       453,753,033
       Commercial                          7,202,855

                                        $993,575,986

  At  June  30,  1999 and December 31, 1998 loans held  for  sale
were $200.6 million and $184.0 million, respectively.

3.    Impaired Assets

  Impaired  loans, representing the nonaccrual loans at June  30,
1999  and  December 31, 1998, totalled $700,669  and  $2,384,691,
respectively, and averaged $1,535,670 and $3,097,000  during  the
respective periods ending on these dates. Specific allowances  of
$350,334  and  $557,267 were established at  June  30,  1999  and
December  31,  1998,  respectively. During  1999  and  1998,  the
interest collected on the nonaccrual loans was applied to  reduce
the outstanding principal.

  At  June  30,  1999  and  December  31,  1998,  there  were  no
commitments to lend additional funds to borrowers whose loans are
impaired.

  At  June  30,  1999 and December 31, 1998, NCB had real  estate
acquired   through  foreclosure  of  $3,334,465  and  $4,342,739,
respectively, which is classified as other assets.

4.    Allowance for Loan Losses

  The  following  is a summary of the activity in  the  allowance
for loan losses during the six months ended June 30, 1999:

  Balance at January 1, 1999           $17,426,450
  Provision for loan losses                835,036
  Charge-offs                              (52,739)
  Recoveries of loans previously
    charged-off                             249,100

  Balance at June 30, 1999              $18,457,847

  The  allowance  for loan losses as a percentage  of  loans  and
lease financing at June 30, 1999 was 1.9%.

5.   Statement of Changes in Members' Equity

  The following is a summary of the activity in members' equity at June 30,
1999:

                                          Retained    Retained                 Total
                             Common       Earnings    Earnings    Unrealized Members'
                              Stock       Allocated  Unallocated  Gain(Loss) Equity
Balance, December 31, 1998 $114,409,552 $ 7,245,656 $17,097,102   $1,543,599 $140,295,909
Net income                       -           -        7,422,853       -         7,422,853
Other dividends declared         -           -         (250,885)      -          (250,885)
1999 patronage dividends
  to be distributed in cash      -           -       (3,037,639)      -        (3,037,639)
Retained in form of equity       -        3,380,274  (3,380,274)      -            -
Unrealized gain on investment
  securities available-for-
  sale                           -           -           -         1,317,045    1,317,045
Balance, June 30, 1999    $114,409,552  $10,625,930 $17,851,157   $2,860,644 $145,747,283
6. SEGMENT REPORTING

   NCB's  reportable segments are strategic business units  that
provide  diverse  products  and services  within  the  financial
services  industry. NCB has four reportable segments: commercial
lending,  real estate lending, NCB Savings Bank and  other.  The
commercial  lending  segment  provides  financial  services   to
cooperative and member-owned businesses. The real estate lending
segment  originates,  sells  and  services  real  estate   loans
nationally, with a concentration in New York City.  NCB  Savings
Bank  segment  provides  traditional banking  services  such  as
lending   and   deposit  gathering  to  retail,  corporate   and
commercial  customers.  "Other" consists  of  NCB's  unallocated
parent company income and expense, and net interest income  from
investments and corporate debt after allocations to segments.

   NCB  evaluates segment performance based on net income before
taxes. The accounting policies of the segments are substantially
the  same  as  those  described in the  summary  of  significant
accounting  policies in the most recent annual report.  Overhead
and  support  expenses are allocated to each  operating  segment
based  on  number  of employees, and other factors  relevant  to
expenses  incurred.  Also included in overhead  and  support  is
depreciation allocated based on equipment usage.

     The  following is the segment reporting for the six  months
  ended June 30, 1999 and 1998 (dollars in thousands):

     1999             Commercial Real Estate   NCBSB   Other      NCB
                        Lending    Lending                     Consolidated

Net interest income
  Interest income      $ 17,382   $ 12,318   $  5,279  $  3,158
  Allocated interest
    expense              12,264      8,352        -     (20,616)
  Interest expense         -          -         3,052    20,287
Net interest
 income                   5,118     3,966      2,227     3,487   $   14,798

Provision for
 loan losses             (1,342)      183         85     1,909          835

Non-interest income-
 external                 1,656     5,748        483      (234)       7,653

Non-interest expense
  Direct expense          2,572     2,313      1,344     7,237       13,466
  Overhead and
   support                  404       171        150      (725)     -
Total non-interest
 expense                  2,976     2,484      1,494     6,512       13,466

Income (loss) before
 taxes                 $  5,140  $  7,047   $  1,131  $ (5,168)  $    8,150

Total average assets   $396,804  $329,939   $141,576  $133,625   $1,001,944

      1998            Commercial Real Estate                        NCB
                        Lending   Leading     NCBSB     Other    Consolidated
Net interest income
  Interest income    $ 14,432    $ 13,376   $  4,076  $  3,389
  Allocated interest
   expense             10,583       9,165       -      (19,748)
  Interest expense       -           -         2,124    19,859
Net interest income     3,849       4,211      1,952     3,278   $ 13,290

Provision for loan       (505)         90         65     1,133        783

Non-interest
 income-external        1,674       4,791        367       745      7,577

Non-interest expense
  Direct expense        1,920       2,706      1,129     7,471     13,226
  Overhead and
   support                229         152        148      (529)      -

Total non-interest
 expense                2,149       2,858      1,277     6,942     13,226

Income (loss) before
 taxes               $  3,879    $  6,054   $    977  $ (4,052)  $  6,858

Total average assets $350,081    $315,541   $ 99,346  $111,437   $876,405

  The  following is the segment reporting for the  three  months
  ended June 30, 1999 and 1998 (dollars in thousands):

     1999            Commercial  Real Estate                         NCB
                      Lending     Lending      NCBSB     Other    Consolidated
Net interest income
  Interest income    $  9,538    $  5,071    $  2,842   $  2,183
  Allocated interest
   expense              6,777       3,873        -       (10,650)
  Interest expense       -           -          1,598     10,877
Net interest income     2,761       1,198       1,244      1,956   $    7,159

Provision for loan
 losses                   727         (10)         42       (342)         417

Non-interest income-
 external               1,047       5,543         232       (810)       6,012

Non-interest expense
  Direct expense        1,424       1,202         682      3,771        7,079
  Overhead and
   support                287          83          75       (445)        -

Total non-interest
 expense                1,711       1,285         757      3,326        7,079

Income (loss) before
 taxes               $  1,370    $  5,466    $    677   $ (1,838)  $    5,675

Total average assets $407,892    $306,668    $151,236   $149,448   $1,015,244

      1998            Commercial   Real Estate                        NCB
                        Lending     Lending      NCBSB   Other    Consolidated

Net interest income
  Interest income     $  7,439     $  6,789   $  2,113  $  1,556
  Allocated interest
   expense               5,487        4,906       -      (10,393)
  Interest expense        -            -         1,132    10,328
Net interest income      1,952        1,883        981     1,621    $  6,437

Provision for loan
 losses                   (279)        (204)        30       884         431

Non-interest
 income-external           801          643        204       406       2,054

Non-interest expense
  Direct expense           978        1,635        549     3,842       7,004
  Overhead and
   support                 102           68         98      (268)       -

Total non-interest
 expense                 1,080        1,703        674     3,574       7,004

Income (loss) before
 taxes                $  1,952     $  1,027   $    508  $ (2,431)   $  1,056

Total average assets  $365,458     $319,252   $ 99,955  $114,094    $898,759

7. SUBSEQUENT EVENT

    In July 1999, NCB sold approximately $122.7 million of
blanket mortgages. The gain on these sales will be reflected in
the third quarter results.
                    NATIONAL COOPERATIVE BANK
              MANAGEMENT'S DISCUSSION AND ANALYSIS
         FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998

SUMMARY

  NCB's  net  income for the six months ended June 30,  1999  was
$7.4  million.   This  was  a  19.96% or  $1.2  million  increase
compared  with  $6.2 million for the six months  ended  June  30,
1998.   The  variance resulted primarily from  $1.5  million  and
$76.7  thousand increases in net interest income and non-interest
income,  respectively, which was partially offset by  a  combined
increase in provision for loan losses and non-interest expense of
$291.8 thousand. For the three month period, net income increased
$4.6 million due primarily to an increase in non-interest income.

  Total  assets were $1.1 billion at June 30, 1999, up  17.6%  or
$164.0  million  from $933.4 million at December 31,  1998.  This
resulted from an increase in loans held for sale, loans and lease
financing and other assets of $203.5 million partially offset  by
a  decrease  in  cash and cash equivalents, restricted  cash  and
investment securities of $39.5 million.

  The  annualized return on average total assets  was  1.48%  for
the  first  six months of 1999 compared with 1.41% for  the  same
period in 1998.  The annualized return on average equity for  the
periods  ended  June  30, 1999 and 1998  was  10.38%  and  9.18%,
respectively.

NET INTEREST INCOME

  Net  interest income for the first six months of 1999 increased
11.3%  or $1.5 million over the same period a year ago. As  shown
on  Table  1, the net interest spread increased 1 basis point  to
2.20% from 2.19% for the six months ended June 30, 1999 while net
interest yield on interest earning assets was 3.07% and 3.12% for
the  six months ended June 30, 1999 and 1998, respectively. Table
2 contains  more  detailed  information  on  the  $1.5  million
increase.

   For the three months ending June 30, 1999, net interest income
increased 11.2% or $722.4 thousand from the same period  in 1998.
As shown on Table 2A, the increase was largely due to an increase
in volume of loans and leases.

  For  the  six  months  ending June 30,  1999,  interest  income
increased  8.1%  or  $2.9  million to $38.1  million  from  $35.3
million  for  the prior year's period. As shown on  Table  2,  an
increase in average volume which was due to growth in real estate
loans  (most  of which were held for sale) and in the  commercial
loan  and  lease portfolio, was partially offset  by  a  drop  in
average yield on real estate loans.

  For  the  three  month  period ended June  30,  1999,  interest
income went up 9.7% or $1.74 million from $17.9 million to  $19.6
million.   The increase in interest income was mostly  due  to  a
higher  average  balance of the interest earning assets  for  the
time period.

   Interest  expense increased $1.4 million to $23.3 million  for
the  six  months ended June 30, 1999 compared with $22.0  million
for  the six months ended June 30, 1998. The interest expense was
up  as  a  result of higher levels of notes payable and deposits.
While  interest expense was up due to the higher usage  of  notes
payable  required  to  fund  loan  volume  and  higher  level  of
deposits,  such  increase was offset by lower interest  rates  on
them.  As  shown on Table 2, a $2.6 million increase in  interest
expense was volume related while a $1.3 million decrease was  due
to interest rates.

   For  the second quarter ended June 30, 1999, interest  expense
increased  8.9%  or $1.0 million to $12.5 million  compared  with
$11.5  million for the second quarter ended June 30, 1998 due  to
increased funding of loans.  The average rate on interest bearing
liabilities  decreased to 5.96% compared with 6.20% in  the  same
quarter a year ago.

NON-INTEREST INCOME

  Non-interest income for the six months ended June 30,  1999  of
$7.7  million   increased 1% or $77.0 thousand from $7.6  million
for the same period last year. Non-interest income is composed of
gains  from  sales  of  blanket  mortgages  and  share  loans  to
secondary  market  investors, servicing fees,  origination  fees,
management  fees  and  advisory and  debt  placement  fees.   The
majority  of  the  increase resulted from fees  received  on  the
servicing  of  loans.  Servicing fee income for the period  ended
June  30, 1999 increased 5.4% or $67.4 thousand to $1.32  million
compared  with  $1.25 million for the six months ended  June  30,
1998  based on loans serviced for others of $1.9 billion and $1.5
billion at June 30, 1999 and 1998, respectively.

  Other  income  for the six months ended June 30,  1999  was  up
7.2% to $2.6 million from $2.4 million for the same six months in
the  prior  year  due to gain on sale of a real estate  note  and
increased  excess yield amortization offset by a net decrease  in
other loan fees.

  For  the  three month period ended June 30, 1999,  non-interest
income  increased 192.8% or $3.96 million from $2.05 million  for
the  same  period  in  1998.  The majority of  the  increase  was
related to the sale of loans to the secondary markets. Loans sold
during  the three month period ended June 30, 1999 and 1998  were
$154.0 million and $54.4 million, respectively.

NON-INTEREST EXPENSE

  Non-interest  expense for the six months ended  June  30,  1999
increased 1.8% or $239.7 thousand to $13.5 million compared  with
$13.2   million  for  the  six  months  ended  June   30,   1998.
Compensation  and benefits, the largest component of non-interest
expense,  decreased  4.6%  or $361.8  thousand  due  to  a  lower
employee  base and lower bonus accruals than  in the year-earlier
period. Contractual services, occupancy and equipment, and  other
expenses  increased  7.5%  or $401.4 thousand  primarily  due  to
equipment   and   technology  costs,  corporate   and   marketing
development, placement and compensation survey fees.

  Excluding   the  voluntary  contributions  to  NCB  Development
Corporation,  which was $200 thousand and zero during  the  first
two quarters of 1999 and 1998, respectively, non-interest expense
as  a percentage of average assets decreased to 1.3% for the  six
months ended June 30, 1999 compared with 1.5% for the same period
a year ago.

   For the three months ended June 30, 1999, non-interest expense
increased 1.1% or $74.7 thousand from $7.0 million for  the  same
period  in 1998.  The increase was primarily due to the voluntary
contributions  to NCB Development Corporation of $150.0  thousand
partially  offset by a decrease of $75.3 thousand  of  the  other
components of non-interest expense.

Table 1
RATE RELATED ASSETS AND LIABILITIES
(dollars in thousands)
                                       Six Months Ended June 30,
                                   1999                        1998
 ASSETS                Average    Income/  Yields/  Average   Income/  Yields/
                       Balance    Expenses  Rate    Balance   Expenses  Rate

Interest earning
 assets
   Real estate loans    $  473,710 $17,678  7.46%    $395,449  $16,498   8.34%
   Commercial loans
    and leases             402,231  17,752  8.83%     357,019   15,759   8.83%

   Total loans and
    leases                 875,941  35,430  8.09%     752,468   32,257   8.57%

   Investment securities
    and cash equivalents    87,438   2,707  6.19%      99,367    3,015   6.07%

    Total interest
     earning assets        963,379  38,137  7.92%     851,835   35,272   8.28%

 Allowance for loan
  losses                   (18,037)                   (17,865)

 Non-interest earning  assets
   Cash                     10,955                      2,636
   Other assets             45,647                     39,799

   Total non-interest
    earning assets          56,602                     42,435

   Total assets         $1,001,944                   $876,405

 LIABILITIES AND MEMBER'S EQUITY
 Interest bearing liabilities
   Subordinated debt   $  182,668 $ 5,119  5.61%     $182,542 $ 5,449   5.97%
   Notes payable          507,913  15,379  6.06%      449,380  14,411   6.41%
   Deposits               125,591   2,840  4.52%       89,624   2,122   4.74%

   Total interest bearing
    liabilities           816,172  23,338  5.72%      721,546  21,982   6.09%

 Other liabilities         42,743                      20,108
 Members' equity          143,029                     134,751

  Total liabilities and
   members' equity     $1,001,944                    $876,405

 Net interest earning
  assets               $  147,207                    $130,289

 Net interest revenues
  and spread                      $14,799  2.20%               $ 13,290  2.19%

 Net yield on interest
  earning assets                           3.07%                         3.12%

Table 1A
RATE RELATED ASSETS AND LIABILITIES
(dollars in thousands)
                                     Three Months Ended June 30,
                                   1999                       1998
 ASSETS                Average    Income/  Yields/  Average  Income/   Yields/
                       Balance    Expenses Rate     Balance  Expenses  Rate
 Interest earning
  assets
   Real estate loans   $ 488,965  $ 8,973  7.34%    $398,570 $ 8,209    8.24%
   Commercial loans
    and leases           413,230    9,443  9.14%     371,659   8,186    8.81%

   Total loans and
    leases               902,195   18,416  8.16%     770,229  16,395    8.51%

   Investment securities
    and cash equivalents  72,122    1,218  6.76%      94,540   1,500     6.35%

    Total interest
     earning assets      974,317   19,634  8.06%     864,769  17,895     8.28%

 Allowance for loan
  losses                 (18,355)                    (17,827)

 Non-interest earning assets
   Cash                   11,038                       3,215
   Other assets           48,424                      48,602

   Total non-interest
    earning assets        59,462                      51,817

   Total assets       $1,015,244                    $898,759

 LIABILITIES AND MEMBER'S EQUITY
 Interest bearing liabilities
   Subordinated debt  $  182,694 $ 2,531  5.54%     $182,542  $ 2,767    6.06%
   Notes payable         529,676   8,554  6.46%      468,521    7,561    6.46%
   Deposits              125,160   1,390  4.44%       88,250    1,131    5.13%

   Total interest
    bearing liabilities  837,530  12,475  5.96%     739,313    11,459    6.20%

 Other liabilities        33,354                     24,022
 Members' equity         144,540                    135,424

  Total liabilities and
   members' equity    $1,015,424                   $898,759

 Net interest earning
  assets              $  136,787                   $125,456

 Net interest revenues
  and spread                     $ 7,159  2.10%               $ 6,436    2.08%

 Net yield on interest
  earning                                 2.94%                          2.98%

Table 2
Changes in Net Interest Income
(dollars in thousands)

For the six months ended June 30, 1999 compared to 1998

                                  Increase (decrease) due to  change in:

                                    Average    Average
                                    Volume*    Yield      Net**

 Interest Income

 Cash equivalents and
  investment securities             $ (368)    $    60  $ (308)
 Commercial loans and leases         1,996          (3)  1,993
 Real estate loans                   3,041      (1,861)  1,180

  Total interest income              4,669      (1,804)  2,865

 Interest expense

 Deposits                              817         (99)    718
 Notes payable                       1,803        (835)    968
 Subordinated debt                       4        (334)   (330)

  Total interest expense             2,624      (1,268)  1,356

 Net interest income                $2,045     $  (536) $1,509

* Average monthly balances
**Changes in interest income and interest expense due to changes in
rate and volume have been allocated to "change in average volume" and
"change in average rate" in proportion to the absolute dollar amounts in
each.

Table 2A
Changes in Net Interest Income
(dollars in thousands)

For the three months ended June 30, 1999 compared to 1998

                                  Increase (decrease) due to  change in:

                                    Average    Average
                                    Volume*    Yield    Net**

 Interest Income

 Cash equivalents and
  investment securities             $ (374)    $    92  $ (282)
 Commercial loans and leases           942         315   1,257
 Real estate loans                   1,725        (961)    764

  Total interest income              2,293        (554)  1,739

 Interest expense

 Deposits                              426        (167)    259
 Notes payable                         988           5     993
 Subordinated debt                       2        (238)   (236)

  Total interest expense             1,416        (400)  1,016

 Net interest income                $  877     $  (154) $  723

* Average monthly balances
**Changes in interest income and interest expense due to changes in
rate and volume have been allocated to "change in average volume" and
"change in average rate" in proportion to the absolute dollar amounts in
each.

PROVISION FOR INCOME TAXES

 The  federal income tax provision is determined on the basis  of
non-member  income generated by NCB Savings Bank, FSB(NCBSB)  and
reserves  set  aside  for the retirement of  Class  A  notes  and
dividends  on Class C stock. NCB's subsidiaries are also  subject
to  varying  levels of state taxation.  The income tax  provision
for  the  six  months  ended June 30, 1999  was  $727.6  thousand
compared with the prior year's provision of $669.9 thousand.

CASH, CASH EQUIVALENTS AND INVESTMENT SECURITIES

 Cash,  cash  equivalents  and  investment  securities  totalling
$76.6  million at June 30, 1999 decreased $32.0 million or  29.4%
from $108.6 million at year-end 1998 due mostly to the funding of
loans  and  lease financing.  As a percentage of earning  assets,
cash,  cash  equivalents and investment securities  decreased  to
7.1% at June 30, 1999 from 13.5% at December 31, 1998.

ALLOWANCE FOR LOAN LOSSES

 The  allowance  for loan losses at June 30, 1999 increased  5.9%
to  $18.5  million from $17.4 million at December 31,  1998.  The
allowance  during  the period was impacted by  loans  charged-off
amounting  to  $52.7  thousand, recoveries  of  loans  previously
charged-off  of  $249.1  thousand and  the  provision  of  $835.0
thousand.  Overall, loan portfolio quality remained  both  strong
and  stable at the end of the first six months of 1999 and  1998.
NCB's  annualized provision for loan losses as  a  percentage  of
average loans and leases outstanding remained at .2% for the  six
months ended June 30, 1999 and 1998.

 The  loan  loss  allowance as a percentage of loans  and  leases
decreased  to  1.9% at June 30, 1999 from 2.2%  at  December  31,
1998.  Management considers the current allowance to be  adequate
to absorb known and inherent risks in the loan portfolio.

 As  shown in Table 3, total impaired assets (non-accruing  loans
and  real  estate  owned) decreased 40.0% from  $6.7  million  at
December  31,  1998 to $4.0 million at June 30,  1999.   Impaired
assets as a percentage of loans and leases outstanding plus  real
estate owned decreased to .4% at June 30, 1999 compared with  .8%
at  year-end 1998.  The allowance for loan losses as a percentage
of impaired assets increased to 457.4% at June 30, 1999 from 259%
at December 31, 1998.

INTEREST BEARING LIABILITIES

Interest Bearing liabilities
(dollars in thousands)
                             6/30/99    12/31/98      % Change

Deposits                    $118,962     $123,420         (3.6%)
Short-term debt              367,054      220,652         66.3%
Long-term debt               256,284      231,193         10.9%
Subordinated debt            182,677      182,706          0.0%

 Total                      $924,977     $757,971         22.0%

 Interest bearing liabilities increased $167.0 million to  $925.0
million  at  June  30, 1999 from $758.0 million at  December  31,
1998.

 For  the six months of 1999, deposits at NCBSB declined 3.6%  to
$119.0 million compared with $123.4 million at December 31, 1998.
The  decrease was due to the maturity of certificates of deposits
held  by local and national depositors. Average maturity  of  the
certificates  of  deposits is 13.9 months.  Although  NCB  relies
heavily on funds raised through the capital markets, deposits and
the  short term borrowing program are a major portion of interest
bearing  liabilities  -  16.4% and  20.9%  at  June  30,1999  and
December 31,1998, respectively.

 At  June  30,  1999,  total short-term and long-term  borrowings
(including  subordinated debt) increased 27.0% or $171.5  million
to  $806.0 million in comparison to prior year-end 1998 of $634.6
million.   Proceeds from the borrowings were used to fund  growth
in  loans  and  leases. At June 30, 1999, NCBSB had  advances  of
$28.0  million from the Federal Home Loan Bank and NCB had $339.1
million,   net   of  discount,  outstanding  on  its   short-term
facilities.  Included in the short-term borrowings were revolving
lines  of credit of $181.5 million; commercial paper with a  face
value  of  $125.0  million and $32.8 million in  the  short  term
borrowing program, which are from NCD Development Corporation and
cooperative customers. Long-term debt increased $25.0 million  or
10.9% from year-end 1998 due to the issuance of $45.0 million  of
medium  term notes and the maturity of $20.0 million under  long-
term  facilities.   At June 30, 1999, there was  unused  capacity
under short-term facilities of approximately $58.2 million.

 In  April  1999,   NCB received Board approval to  increase  the
size  of several funding programs. The new maximum amounts  under
NCB's programs are as follows:

    Short term facilities to $500.0 million
    Commercial paper program to $250.0 million*
    Medium term note program to $300.0 million
    Long term facilities to $275.0 million

 In  August  1999, NCB received Board approval for an  additional
increase  in the medium term note program from $300.0 million  to
$400.0  million. NCB also received approval to issue  up  to  $50
million  in  trust  preferred  securities,  preferred  stock   or
subordinated debt.

 *  NCB  maintains available committed capacity, under its  short
term  facilities,  in  an amount not less  than  the  outstanding
commercial paper balance.

TABLE 3
Impaired assets
(dollars in thousands)

                  June 30,  March 31, Dec. 31,  Sept. 30,    June 30,
                    1999     1999      1998      1998     1998

Real estate owned $3,334    $3,355    $4,343    $4,155   $4,272

Non-accruing         701     2,371     2,385       819    3,445

                  $4,035    $5,726    $6,728    $4,974   $7,717

YEAR 2000

     A  significant  challenge facing NCB, its  subsidiaries  and
affiliate  as  well  as all companies, is the  readiness  of  its
computer  systems for the next millennium. NCB is dependent  upon
its  internal computer systems and has external interdependencies
with other financial institutions and customers.

     NCB has surveyed all mission critical internal software  and
systems  (See   Table  (A))  and  has  determined  a  remediation
strategy.   Table (B) reflects the phase completion with  respect
to all mission critical systems. All testing was completed by May
31, 1999.

     With respect to "non-information technology items", NCB  has
surveyed  the vendors/providers with the results shown  in  Table
(C).

      NCB   has  surveyed  all  associated  banks  and  financial
institutions   with  which  a  mission  critical  interdependence
exists.   Based upon the results of this survey, NCB took actions
which  involved  testing  of  key  systems  or  transitioning  to
alternative  institutional systems.  All  associated  respondents
indicated that they were already Year 2000 compliant by  December
31, 1998.

     To date, direct costs relative to the Year 2000 efforts have
totalled  less than $100,000.  NCB does not anticipate  exceeding
this  amount in addressing all associated Year 2000 issues.   All
costs  to  date  are  and in the future will  be  funded  through
operating  income and are not considered material. NCB  converted
to  a  new Year 2000 compliant loan accounting system in November
1998 which  replaced its existing systems that were not Year 2000
compliant.  The cost of this replacement was less than $500,000.

     NCB  has surveyed the major portion of its customer base  to
determine  the ability of its customers to continue debt  service
coverage  and  will  follow  with a  specific  review  of  annual
financial statements for Year 2000 disclosure. A primary risk for
NCB lies in the ability of its customers to continue debt service
payment  on  schedule in the Year 2000.  To date, survey  results
indicated that the issue is being addressed.

     NCB  has  substantially completed all core systems  testing.
Test  results to date have indicated the systems to be Year  2000
ready.   Management completed and the Board approved  a  business
continuity  plan  in  April 1999 which will be  tested  prior  to
October 1, 1999 and updated as the year progresses.

Table (A)

Total Mission Critical Systems (MCS)   61

            Number of MCS to be:

             Repaired                  6
             Replaced                  0
             Retired                   0
             Vendor Upgraded           55
             Tested Only               0
             Outsourced                0

Table (B)
Phase Completion Status As of June 30, 1999:

  Phase     Percent Complete  Estimate or Actual #of MCS in Phase

Awareness        100.0%              A               61
Assessment       100.0%              A               61
Renovation       100.0%              A               61
Validation       100.0%              A               61
Implementation   100.0%              A               61

Table (C)
Non-Information Technology Items (Infrastructure Items)

                           Compliant (Y=Yes)
Kastle System                   Y
Montgomery Kone(HVAC)           Y
TRANE(Elevators)                Y
Willtel(Phone)                  Y
PEPCO                           Y
Sungard Business Recovery       Y

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

     No material changes in NCB's market risk profile occurred
from December 31, 1998 to June 30, 1999.

ITEM 6. EXHIBITS

 (a)  The following exhibits are filed as part of this report:

        Exhibit 10-21 - Amendment No. 2 to Third Amended and
        Restated Loan Agreement with Fleet Bank as Agent

        Exhibit  10-22 - First Amendment to Term Loan  Agreement with
         Greenwich  Funding Corporation and Credit  Suisse  First Boston

        Exhibit 10-27 - Executive Long-Term Incentive Plan

        Exhibit 27 - Financial Data Schedule

                            SIGNATURE

 Pursuant to the requirements of the Securities Exchange  Act  of
1934, the registrant has duly caused this report to be signed  on
its behalf by the undersigned there unto duly authorized.

               NATIONAL CONSUMER COOPERATIVE BANK

Date:
                                   s/Richard L. Reed
                                  By:
                                     Richard L. Reed,
                                     Managing Director,
                                     Chief Financial Officer

                                   s/Marietta J. Orcino
                                  By:
                                     Marietta J. Orcino
                                     Vice President, Tax & Regulatory
                                     Compliance