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&lt;p style="MARGIN: 0in 0in 0pt 0.5in; punctuation-wrap: simple;"&gt;&lt;b&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold;" size="2"&gt;(2)&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160; Corporate Structure&lt;/font&gt;&lt;/b&gt;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt 0.5in; punctuation-wrap: simple;"&gt;&amp;#160;&lt;/p&gt;
&lt;p style="TEXT-INDENT: 0.5in; MARGIN: 0in 0in 0pt; punctuation-wrap: simple;"&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt;" size="2"&gt;In conjunction with its reorganization into the mutual holding company structure, on January&amp;#160;5, 2005, the Bank (i)&amp;#160;converted to a stock savings bank as the successor to the Bank in its mutual form; (ii)&amp;#160;organized Georgetown Bancorp,&amp;#160;Inc., (&amp;#8220;Georgetown Federal&amp;#8221;) as a federally-chartered corporation that owns 100% of the common stock of the Bank (in stock form); and (iii)&amp;#160;organized Georgetown Bancorp, MHC as a federally-chartered mutual holding company that owned 56.7% of the Common Stock of Georgetown Federal as of June&amp;#160;30, 2012. On&amp;#160;November&amp;#160;28, 2011, the Boards of Directors of Georgetown Federal, Georgetown Bancorp, MHC and the Bank each unanimously adopted a Plan of Conversion or Reorganization of the Mutual Holding Company pursuant to which Georgetown Bancorp, MHC&amp;#160; undertook a &amp;#8220;second-step&amp;#8221; conversion and now ceases to exist.&amp;#160;Georgetown Bancorp, MHC reorganized from a two-tier mutual holding company structure to a fully public stock holding company structure effective July&amp;#160;11, 2012, and, as a result, the Bank is now the wholly-owned subsidiary of the Company.&lt;/font&gt;&lt;/p&gt;
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