Exhibit 99.1

DIME COMMUNITY BANCSHARES, INC. INCREASES EARNINGS BY 7.5% OVER THE LINKED QUARTER

Brooklyn, NY – July 27, 2017 - Dime Community Bancshares, Inc. (NASDAQ: DCOM) (the “Company” or “Dime”), the parent company of Dime Community Bank (the “bank”), today reported net income of $12.0 million for the quarter ended June 30, 2017, or $0.32 per diluted common share, compared with net income of $11.2 million for the quarter ended March 31, 2017, or $0.30 per diluted common share, and net income of $11.2 million for the quarter ended June 30, 2016, or $0.30 per diluted common share.

Highlights for the second quarter of 2017 included:

Successfully issued $115.0 million of subordinated debt in June 2017 at 4.50%, matching the lowest coupon with similar maturity for all community bank holding company subordinated debt issuances since 2016;

Business Banking division, which includes commercial and industrial (“C&I”) and direct-sourced commercial real estate (“CRE”) loans, demonstrated continued momentum with second quarter originations of $64.7 million. In addition, we continued the expansion of Business Banking’s services by launching our Small Business Administration (“SBA”) lending program;

Strong expense discipline, with an efficiency ratio of 49.0%, compared to 53.0% in the first quarter of 2017, and 47.8% in the second quarter of 2016;

Net interest margin (“NIM”), adjusted for income related to prepayment activity and the subordinated debt issuance in June 2017, increased by 3 basis points on a linked quarter basis; and

Reported book value (“BV”) per share and tangible book value (“TBV”) per share grew to $15.41 and $13.93, respectively; the sale of the Williamsburg branch office property, which is expected to close in the third quarter, will further benefit BV and TBV per share.

Kenneth J. Mahon, President and Chief Executive Officer of the Company, commented, “In the second quarter, we continued to prudently grow the balance sheet and saw ongoing strength from our relationship-lending Business Banking division. The Business Banking division originated $64.7 million in total loans during the second quarter, of which $28.8 million was CRE and $35.9 million was C&I. Given approximately 50% of the Business Banking division’s year-to-date originations are floating rate, we are also building up our level of asset sensitivity.”

Mr. Mahon continued, “Dime also remained dedicated to its key competitive strengths of managing expenses and pristine credit quality and is well positioned for the future.”

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Management’s Discussion of Quarterly Operating Results

Net Interest Income

Net interest income in the second quarter of 2017 was $38.1 million, an increase of $566,000 (+1.5%) from the first quarter of 2017 and an increase of $2.4 million (6.9%) over the second quarter of 2016. NIM was 2.57% during the second quarter of 2017, flat with the first quarter of 2017, and down from 2.68% during the second quarter of 2016. During the second quarter of 2017, income from prepayment activity totaled $1.0 million, benefiting NIM by 7 basis points, compared to $1.4 million, or 9 basis points, during the first quarter of 2017, and $2.0 million, or 15 basis points, during the second quarter of 2016. Excluding the impact of income recognized from loan prepayment activity, which varies from quarter to quarter, NIM would have been 2 basis points higher during the second quarter of 2017 compared to the linked quarter. Additionally, the NIM for the second quarter of 2017 was negatively impacted by 1 basis point due to the issuance of the subordinated debt in June 2017. The Company used the proceeds from the subordinated debt issuance to redeem its existing trust preferred securities in July 2017.

Average earning assets were $5.92 billion for the second quarter of 2017, a 6.5% (annualized) increase from $5.82 billion for the first quarter of 2017, and an 11.5% increase from $5.31 billion for the second quarter of 2016.

For the second quarter of 2017, the average yield on interest earning assets (excluding prepayment income) was 3.47%, 3 basis points higher than the 3.44% yield for the first quarter of 2017 and 3 basis points lower than the 3.50% yield for the second quarter of 2016. The average cost of funds was 1.14% for the second quarter of 2017, up by 1 basis point compared with the first quarter 2017, and flat compared with the second quarter of 2016.

Loans

Real estate loan portfolio growth was $85.9 million (6.0% annualized) during the second quarter of 2017. Real estate loan originations were $238.4 million during the quarter, at a weighted average interest rate of 3.85%. Of this amount, $58.3 million represented loan refinances from the existing portfolio. Real estate loan amortization and satisfactions totaled $150.9 million, or 10.5% (annualized) of the portfolio balance, at an average rate of 4.0%. The annualized loan payoff rate of 10.5% for the second quarter of 2017 was lower than both the first quarter of 2017 (10.8%) and the second quarter of 2016 (16.1%). Average real estate loans were $5.76 billion in the second quarter of 2017, an increase of $72.0 million (5.1% annualized) from the first quarter of 2017 and an increase of $621.5 million (12.1%) from the second quarter of 2016. Included in total real estate loan originations during the second quarter of 2017 were $28.8 million of originations from the Business Banking division at a weighted average rate of 4.67%.

The Business Banking division originated $35.9 million of C&I loans at a weighted average rate of 4.77% during the second quarter of 2017. Total C&I loan balance at the end of the second quarter was $68.2 million.

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Deposits

Deposits declined by $90.0 million from the first quarter of 2017, and increased by $23.1 million from the fourth quarter of 2016. Within deposits, core deposits declined $16.5 million from the first quarter of 2017, and increased by $174.9 million from the fourth quarter of 2016. The decline in deposits during the second quarter of 2017 was primarily the result of a decrease in certificates of deposits as management elected not to offer higher rates in the quarter. The loan-to-deposit ratio was 133.0% at June 30, 2017 compared to 137.8% at June 30,2016 and 127.6% at March 31, 2017. The average cost of total deposits decreased one basis point on a linked quarter basis to 0.85%.

Borrowed Funds

Total borrowings, excluding the subordinated debt issued in June 2017, increased $180.9 million during the second quarter of 2017 as compared to the first quarter of 2017.

On June 8, 2017, the Company announced that it priced an underwritten public offering of $115.0 million of fixed-to-floating rate subordinated notes due June 15, 2027 (the “Notes”). The Notes will initially bear a fixed interest rate of 4.50% per year for the first five years. The Company used part of the net proceeds from the offering to redeem its $70.7 million of trust preferred securities which had a 7% annual coupon on July 17, 2017.

Non-Interest Income

Non-interest income was $1.7 million during the second quarter of 2017, which was flat compared to the first quarter of 2017 and down by $558,000 compared to second quarter 2016, which included mortality proceeds from bank owned life insurance assets.

Non-Interest Expense

Non-interest expense was $19.5 million during the second quarter of 2017, lower than the first quarter of 2017 by $1.3 million primarily related to salaries expense and related employee benefits, and higher than the second quarter of 2016 by $1.4 million related to occupancy and equipment, data processing, and marketing costs.

The ratio of non-interest expense to average assets was 1.27% during the second quarter of 2017, compared to 1.38% during the first quarter of 2017, and 1.31% during the second quarter of 2016. The efficiency ratio was 49.0% during the second quarter of 2017, lower than the 53.0% during the first quarter of 2017, and above the 47.8% during the second quarter of 2016.

Income Tax Expense

The effective income tax rate was 37.8% during the June 2017 quarter, slightly below the March 2017 quarter tax rate of 38.2%.

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Credit Quality

Non-performing loans were $3.4 million, or 0.06% of total loans, at June 30, 2017, a slight decrease from $3.8 million, or 0.07% of total loans, at March 31, 2017. The allowance for loan losses was 0.37% of total loans at June 30, 2017, consistent with March 31, 2017. At June 30, 2017, non-performing assets represented 1.0% of the sum of tangible capital plus the allowance for loan losses (this non-GAAP statistic is otherwise known as the “Texas Ratio”) (see “Problem Assets as a Percentage of Tangible Capital and Reserves” table at the end of this news release), which is comparable to 1.1% at March 31, 2017. A loan loss provision of $1.0 million was recorded during the second quarter of 2017, compared to a provision of $450,000 during the first quarter of 2017, and $442,000 during the second quarter of 2016.

Capital Management

The Company’s consolidated Tier 1 capital to average assets (“leverage ratio”) was 9.86% at June 30, 2017, in excess of regulatory requirements.

The bank’s regulatory capital ratios continued to be in excess of regulatory requirements as well, inclusive of conservation buffer amounts. Additionally, during the second quarter of 2017, the Company contributed $20.0 million of capital to the bank from proceeds of the subordinated debt issuance. At June 30, 2017, the bank’s leverage ratio was 9.25%, while Tier 1 capital to risk-weighted assets and Total capital to risk-weighted assets ratios were 11.44% and 11.88%, respectively.

Diluted earnings per common share, exceeded the quarterly $0.14 cash dividend per share by 128.6% during the second quarter of 2017, equating to a 43.8% dividend payout ratio.

Tangible book value per share was $13.93 at June 30, 2017.

Outlook for the Quarter Ending September 30, 2017

At June 30, 2017, the bank had outstanding real estate loan commitments totaling $85.2 million, at an average interest rate approximating 3.79%, all of which are likely to close during the quarter ending September 30, 2017. Loan commitments at June 30, 2017 are lower than previous quarters reflective of lower loan prepayment and refinance activity. Loan prepayments and amortization are expected to fall within a projected annualized range of 10% - 15% during the quarter.

Loan loss provision for the third quarter of 2017 is expected to be driven by loan portfolio growth, subject to management’s assessment of the adequacy of the allowance for loan losses.

The third quarter of 2017 will include two weeks of interest expense related to the trust preferred securities that were redeemed on July 17, 2017.

Non‐interest expense is expected to be approximately $20 million during the September 2017 quarter.

The previously announced sale of the Williamsburg branch office property is expected to close in the third quarter of 2017 and generate an after-tax gain of approximately $5-6 million.

The Company projects that the consolidated effective tax rate will approximate 38.5% in the September 2017 quarter.

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ABOUT DIME COMMUNITY BANCSHARES, INC.

The Company had $6.26 billion in consolidated assets as of June 30, 2017. The bank was founded in 1864, is headquartered in Brooklyn, New York, and currently has twenty-seven branches located throughout Brooklyn, Queens, the Bronx and Nassau County, New York. More information on the Company and the bank can be found on Dime’s website at www.dime.com.

This news release contains a number of forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). These statements may be identified by use of words such as “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “likely,” “may,” “outlook,” “plan,” “potential,” “predict,” “project,” “should,” “will,” “would” and similar terms and phrases, including references to assumptions.

Forward-looking statements are based upon various assumptions and analyses made by the Company in light of management’s experience and its perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate under the circumstances. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors (many of which are beyond the Company’s control) that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. These factors include, without limitation, the following: the timing and occurrence or non-occurrence of events may be subject to circumstances beyond the Company’s control; there may be increases in competitive pressure among financial institutions or from non-financial institutions; changes in the interest rate environment may reduce interest margins; changes in deposit flows, loan demand or real estate values may adversely affect the business of the Company and/or the Bank; changes in accounting principles, policies or guidelines may cause the Company’s financial condition to be perceived differently; changes in corporate and/or individual income tax laws may adversely affect the Company’s financial condition or results of operations; general economic conditions, either nationally or locally in some or all areas in which the Company conducts business, or conditions in the securities markets or the banking industry may be less favorable than the Company currently anticipates; legislation or regulatory changes may adversely affect the Company’s business; technological changes may be more difficult or expensive than the Company anticipates; success or consummation of new business initiatives may be more difficult or expensive than the Company anticipates; or litigation or other matters before regulatory agencies, whether currently existing or commencing in the future, may delay the occurrence or non-occurrence of events longer than the Company anticipates.

Contact: Anthony J. Rose

Executive Vice President and Director of Investor Relations

718-782-6200 extension 5260

Page 6

DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

(Dollars in thousands except share amounts)

	June 30, 2017			March 31, 2017			December 31, 2016
ASSETS:
Cash and due from banks	$	110,044		$	87,834		$	113,503
Investment securities held to maturity		5,315			5,332			5,378
Investment securities available for sale		4,049			4,001			3,895
Mortgage-backed securities available for sale		3,496			3,520			3,558
Trading securities		2,687			7,153			6,953
Loans:
One-to-four family residential, including condominium and cooperative apartment		70,982			75,131			74,022
Multifamily residential and residential mixed use ⁽¹⁾⁽²⁾		4,746,075			4,687,196			4,592,282
Commercial and commercial mixed use real estate		975,771			949,658			958,459
Acquisition, development, and construction (“ADC”)		4,000			-			-
Unearned discounts and net deferred loan fees		10,105			9,002			8,244
Total real estate loans		5,806,933			5,720,987			5,633,007
Commercial and industrial (“C&I”)		68,199			30,189			2,058
Other loans		1,749			973			1,357
Allowance for loan losses		(21,985	)		(20,954	)		(20,536	)
Total loans, net		5,854,896			5,731,195			5,615,886
Premises and fixed assets, net		22,315			21,620			18,405
Premises held for sale		1,379			1,379			1,379
Federal Home Loan Bank of New York capital stock		50,961			41,411			44,444
Bank Owned Life Insurance (“BOLI”)		87,424			86,873			86,328
Goodwill		55,638			55,638			55,638
Other assets		59,980			49,414			50,063
TOTAL ASSETS	$	6,258,184		$	6,095,370		$	6,005,430
LIABILITIES AND STOCKHOLDERS’ EQUITY:
Deposits:
Non-interest bearing checking	$	313,351		$	290,786		$	297,434
Interest Bearing Checking		112,867			115,914			106,525
Savings		365,668			369,457			366,921
Money Market		2,729,968			2,762,211			2,576,081
Sub-total		3,521,854			3,538,368			3,346,961
Certificates of deposit		896,626			970,114			1,048,465
Total Due to Depositors		4,418,480			4,508,482			4,395,426
Escrow and other deposits		91,196			135,817			103,001
Federal Home Loan Bank of New York advances		944,575			763,725			831,125
Subordinated Notes Payable		113,545			-			-
Trust Preferred Notes Payable		70,680			70,680			70,680
Other liabilities		39,260			43,441			39,330
TOTAL LIABILITIES		5,677,736			5,522,145			5,439,562
STOCKHOLDERS’ EQUITY:
Common stock ($0.01 par, 125,000,000 shares authorized, 53,614,924 shares, 53,614,807 shares and 53,572,745 shares issued at June 30, 2017, March 31, 2017 and December 31, 2016, respectively, and 37,675,379 shares, 37,569,348 shares and 37,455,853 shares outstanding at June 30, 2017, March 31, 2017 and December 31, 2016, respectively)		536			536			536
Additional paid-in capital		280,453			279,553			278,356
Retained earnings		516,165			509,453			503,539
Accumulated other comprehensive loss, net of deferred taxes		(5,647	)		(5,514	)		(5,939	)
Unearned Restricted Stock Award common stock		(4,433	)		(3,012	)		(1,932	)
Common stock held by the Benefit Maintenance Plan		(7,029	)		(6,859	)		(6,859	)
Treasury stock (15,939,545 shares, 16,045,459 shares and 16,116,892 shares at June 30, 2017, March 31, 2017 and December 31, 2016, respectively)		(199,597	)		(200,932	)		(201,833	)
TOTAL STOCKHOLDERS’ EQUITY		580,448			573,225			565,868
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$	6,258,184		$	6,095,370		$	6,005,430

⁽¹⁾	Includes loans underlying cooperatives.

⁽²⁾

While the loans within this category are often considered “commercial real estate” in nature, multifamily and loans underlying cooperatives are here reported separately from commercial real estate loans in order to emphasize the residential nature of the collateral underlying this significant component of the total loan portfolio.

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS

(Dollars in thousands except share and per share amounts)

	For the Three Months Ended							For the Six Months Ended
	June 30, 2017		March 31, 2017		June 30, 2016			June 30, 2017		June 30, 2016
Interest income:
Loans secured by real estate	$	51,137	$	50,475	$	47,358		$	101,612	$	93,009
Commercial and industrial (“C&I”)		474		41		6			515		11
Other loans		18		18		18			36		37
Mortgage-backed securities		14		14		2			28		4
Investment securities		164		190		265			354		438
Other short-term investments		611		717		721			1,328		1,382
Total interest income		52,418		51,455	$	48,370			103,873		94,881
Interest expense:
Deposits and escrow		9,509		9,507		7,597			19,016		14,391
Borrowed funds		4,856		4,461		5,163			9,317		10,249
Total interest expense		14,365		13,968		12,760			28,333		24,640
Net interest income		38,053		37,487		35,610			75,540		70,241
Provision for loan losses		1,047		450		442			1,497		421
Net interest income after provision for loan losses		37,006		37,037		35,168			74,043		69,820

Non-interest income:
Service charges and other fees		919		794		758			1,713		1,443
Mortgage banking income, net		65		16		27			81		55
Gain on trading securities		59		75		33			134		39
Gain (loss) on sale of real estate		-		-		(4	)		-		68,183
Gain on sale of securities and other assets		-		-		-			-		40
Income from BOLI		551		545		1,043			1,096		1,603
Other		153		348		448			501		683
Total non-interest income		1,747		1,778		2,305			3,525		72,046
Non-interest expense:
Salaries and employee benefits		8,960		10,024		8,686			18,984		17,516
ESOP and RRP benefit expense		381		296		846			677		1,724
Occupancy and equipment		3,500		3,628		3,115			7,128		5,742
Data processing costs		1,503		1,607		1,256			3,110		2,451
Marketing		1,466		1,466		1,178			2,932		2,355
Federal deposit insurance premiums		712		655		581			1,367		1,320
Other		2,947		3,093		2,430			6,040		4,853
Total non-interest expense		19,469		20,769		18,092			40,238		35,961

Income before taxes		19,284		18,046		19,381			37,330		105,905
Income tax expense		7,295		6,889		8,173			14,184		44,660

Net Income	$	11,989	$	11,157	$	11,208		$	23,146	$	61,245

Earnings per Share (“EPS”): ⁽¹⁾
Basic	$	0.32	$	0.30	$	0.30		$	0.62	$	1.67
Diluted	$	0.32	$	0.30	$	0.30		$	0.61	$	1.67

Average common shares outstanding for Diluted EPS		37,635,798		37,549,576		36,818,581			37,590,198		36,741,066

⁽¹⁾	The quarterly EPS amounts, when added, may not coincide with the year to date EPS due to rounding differences.

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED SELECTED FINANCIAL HIGHLIGHTS

(Dollars in thousands except per share amounts)

	At or For the Three Months Ended									At or For the Six Months Ended
	June 30, 2017			March 31, 2017			June 30, 2016			June 30, 2017			June 30, 2016
Per Share Data:
Reported EPS (Diluted)⁽¹⁾	$	0.32		$	0.30		$	0.30		$	0.61		$	1.67
Cash dividends paid per share		0.14			0.14			0.14			0.28			0.28
Book value per share		15.41			15.26			14.60			15.41			14.60
Tangible book value per share ⁽²⁾		13.93			13.78			13.12			13.93			13.12
Dividend payout ratio		43.75	%		46.67	%		46.67	%		45.90	%		16.77	%

Performance Ratios (Based upon Reported Net Income):
Return on average assets		0.78	%		0.74	%		0.81	%		0.76	%		2.29	%
Return on average common equity		8.32	%		7.83	%		8.23	%		8.08	%		23.28	%
Return on average tangible common equity ⁽²⁾		9.20	%		8.68	%		9.16	%		8.94	%		26.04	%
Net interest spread		2.40	%		2.40	%		2.50	%		2.40	%		2.57	%
Net interest margin		2.57	%		2.57	%		2.68	%		2.57	%		2.74	%
Average Interest Earning Assets to Average Interest Bearing Liabilities		117.18	%		116.36	%		117.91	%		116.77	%		117.27	%
Non-interest expense to average assets		1.27	%		1.38	%		1.31	%		1.32	%		1.35	%
Efficiency ratio		48.99	%		53.00	%		47.75	%		50.98	%		48.58	%
Loans to deposits at end of period		133.01	%		127.59	%		137.80	%		133.01	%		137.80	%
Effective tax rate		37.83	%		38.17	%		42.17	%		38.00	%		42.17	%

Average Balance Data:
Average assets	$	6,128,378		$	6,026,914		$	5,509,549		$	6,077,646		$	5,340,459
Average interest earning assets		5,918,173			5,824,309			5,308,434			5,871,241			5,132,039
Average loans		5,802,417			5,691,098			5,139,564			5,746,758			4,979,040
Average deposits		4,476,004			4,485,510			3,612,933			4,480,757			3,340,695
Average common equity		576,689			569,723			545,033			573,206			526,092
Average tangible common equity ⁽²⁾		521,051			514,085			489,396			517,568			470,455

Asset Quality Summary:
Non-performing loans (excluding loans held for sale)	$	3,374		$	3,801		$	4,329		$	3,374		$	4,329
Non-performing assets ⁽³⁾		4,661			5,080			5,600		$	4,661			5,600
Net charge-offs		16			32			46			48			26
Non-performing loans/ Total loans		0.06	%		0.07	%		0.08	%		0.06	%		0.08	%
Non-performing assets/ Total assets		0.07	%		0.08	%		0.10	%		0.07	%		0.10	%
Allowance for loan loss/ Total loans		0.37	%		0.36	%		0.36	%		0.37	%		0.36	%
Allowance for loan loss/ Non-performing loans		651.60	%		551.28	%		436.80	%		651.60	%		436.80	%
Loans delinquent 30 to 89 days at period end	$	1,872		$	173		$	535		$	1,872		$	535

Capital Ratios - Consolidated:
Tangible common equity to tangible assets ⁽²⁾		8.46	%		8.57	%		8.98	%		8.46	%		8.98	%
Tier 1 common equity ratio		10.78			11.08			11.91			10.78			11.91
Tier 1 risk-based capital ratio		12.17			12.53			13.53			12.17			13.53
Total risk-based capital ratio		14.96			12.98			13.98			14.96			13.98
Tier 1 leverage ratio		9.86			9.91			10.47			9.86			10.47

Capital Ratios - Bank Only:
Tier 1 common equity ratio		11.44	%		11.25	%		11.82	%		11.44	%		11.82	%
Tier 1 risk-based capital ratio		11.44			11.25			11.82			11.44			11.82
Total risk-based capital ratio		11.88			11.70			12.27			11.88			12.27
Tier 1 leverage ratio		9.25			8.88			9.13			9.25			9.13

⁽¹⁾	The quarterly EPS amounts, when added, may not coincide with the year to date EPS due to rounding differences.

⁽²⁾	See “Non-GAAP Reconciliation” table for reconciliation of tangible common equity and tangible assets.

⁽³⁾	Amount comprised of total non-accrual loans, other real estate owned, and the recorded balance of pooled bank trust preferred security investments that were deemed to meet the criteria of a non-performing asset.

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED AVERAGE BALANCES AND NET INTEREST INCOME

(Dollars in thousands)

	For the Three Months Ended
	June 30, 2017								March 31, 2017								June 30, 2016
	Average Balance		Interest			Average Yield/ Cost			Average Balance		Interest			Average Yield/ Cost			Average Balance		Interest			Average Yield/ Cost
Assets:
Interest-earning assets:
Real estate loans	$	5,759,565	$	51,137			3.55	%	$	5,687,557	$	50,475			3.55	%	$	5,138,053	$	47,358			3.69	%
Commercial and industrial loans		41,776		474			4.54			2,474		41			6.63			384		6			6.25
Other loans		1,076		18			6.69			1,067		18			6.75			1,127		18			6.39
Mortgage-backed securities		3,460		14			1.62			3,489		14			1.61			400		2			2.00
Investment securities		16,970		164			3.87			16,841		190			4.51			20,203		265			5.25
Other short-term investments		95,326		611			2.56			112,881		717			2.54			148,267		721			1.95
Total interest earning assets		5,918,173	$	52,418			3.54	%		5,824,309	$	51,455			3.53	%		5,308,434	$	48,370			3.64	%
Non-interest earning assets		210,205								202,605								201,115
Total assets	$	6,128,378							$	6,026,914							$	5,509,549

Liabilities and Stockholders’ Equity:
Interest-bearing liabilities:
Interest Bearing Checking accounts	$	114,257	$	65			0.23	%	$	110,797	$	58			0.21	%	$	84,835	$	61			0.29	%
Money Market accounts		2,767,455		6,139			0.89			2,693,219		5,780			0.87			1,892,046		3,865			0.82
Savings accounts		367,995		46			0.05			368,087		45			0.05			369,266		44			0.05
Certificates of deposit		925,535		3,259			1.41			1,022,155		3,624			1.44			1,010,864		3,627			1.44
Total interest bearing deposits		4,175,242		9,509			0.91			4,194,258		9,507			0.92			3,357,011		7,597			0.91
Borrowed Funds		875,057		4,856			2.23			811,288		4,461			2.23			1,145,058		5,163			1.81
Total interest-bearing liabilities		5,050,299	$	14,365			1.14	%		5,005,546	$	13,968			1.13	%		4,502,069		12,760			1.14	%
Non-interest bearing checking accounts		300,762								291,252								255,922
Other non-interest-bearing liabilities		200,628								160,393								206,526
Total liabilities		5,551,689								5,457,191								4,964,517
Stockholders’ equity		576,689								569,723								545,032
Total liabilities and stockholders’ equity	$	6,128,378							$	6,026,914							$	5,509,549
Net interest income			$	38,053							$	37,487							$	35,610
Net interest spread							2.40	%							2.40	%							2.50	%
Net interest-earning assets	$	867,874							$	818,763							$	806,365
Net interest margin							2.57	%							2.57	%							2.68	%
Ratio of interest-earning assets to interest-bearing liabilities				117.18	%							116.36	%							117.91	%

Deposits (including non-interest bearing checking accounts)	$	4,476,004	$	9,509			0.85	%	$	4,485,510	$	9,507			0.86	%	$	3,612,933	$	7,597			0.85	%

SUPPLEMENTAL INFORMATION
Loan prepayment and late payment fee income			$	1,029							$	1,354							$	1,978
Real estate loans (excluding net prepayment and late payment fee income)							3.48	%							3.45	%							3.53	%
Interest earning assets (excluding net prepayment and late payment fee income)							3.47	%							3.44	%							3.50	%
Net Interest income (excluding net prepayment and late payment fee income)			$	37,024							$	36,133							$	33,632
Net Interest margin (excluding net prepayment and late payment fee income)							2.50	%							2.48	%							2.53	%

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED SCHEDULE OF LOAN COMPOSITION AND WEIGHTED AVERAGE RATES (“WAR”) ⁽¹⁾

(Dollars in thousands)

	At June 30, 2017					At March 31, 2017					At June 30, 2016
	Balance		WAR			Balance		WAR			Balance		WAR
Loan balances at period end:
One-to-four family residential, including condominium and cooperative apartment	$	70,982		4.29	%	$	75,131		4.30	%	$	74,022		4.34	%
Multifamily residential and residential mixed use ⁽²⁾⁽³⁾		4,746,075		3.38			4,687,196		3.37			4,592,282		3.45
Commercial and commercial mixed use real estate		975,771		3.91			949,658		3.90			958,459		3.96
Acquisition, development, and construction (“ADC”)		4,000		5.25			-		-			-		-
Total real estate loans		5,796,828		3.49			5,711,985		3.47			5,624,763		3.55

Commercial and industrial (“C&I”)	$	68,199		4.62	%	$	30,189		4.21	%	$	501		6.55	%

⁽¹⁾	Weighted average rate is calculated by aggregating interest based on the current loan rate from each loan in the category, divided by the total amount of loans in the category.

⁽²⁾	Includes loans underlying cooperatives.

⁽³⁾

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

UNAUDITED SCHEDULE OF NON-PERFORMING ASSETS AND TROUBLED DEBT RESTRUCTURINGS (“TDRs”)

(Dollars in thousands)

Non-Performing Loans	At June 30, 2017		At March 31, 2017		At June 30, 2016
One-to-four family residential, including condominium and cooperative apartment	$	654	$	678	$	487
Multifamily residential and residential mixed use ⁽¹⁾⁽²⁾		2,618		2,623		3,784
Commercial mixed use real estate⁽²⁾		101		495		54
Other		1		5		4
Total Non-Performing Loans ⁽³⁾	$	3,374	$	3,801	$	4,329
Other Non-Performing Assets
Other real estate owned		-		-		18
Pooled bank trust preferred securities ⁽⁴⁾		1,287		1,279		1,253
Total Non-Performing Assets	$	4,661	$	5,080	$	5,600

One- to four-family and cooperative/condominium apartment		399		402		414
Multifamily residential and mixed use residential real estate⁽¹⁾⁽²⁾		639		649		676
Mixed use commercial real estate ⁽²⁾		4,218		4,240		4,303
Commercial real estate		3,330		3,347		3,396
Total Performing TDRs	$	8,586	$	8,638	$	8,789

⁽¹⁾	Includes loans underlying cooperatives.

⁽²⁾

⁽³⁾	There were no non-accruing TDRs for the periods indicated.

⁽⁴⁾	As of the dates presented, certain pooled bank trust preferred securities were deemed to meet the criteria of a non-performing asset.

PROBLEM ASSETS AS A PERCENTAGE OF TANGIBLE CAPITAL AND RESERVES

(Dollars in thousands)

	At June 30, 2017			At March 31, 2017			At June 30, 2016
Total Non-Performing Assets	$	4,661		$	5,080		$	5,600
Loans 90 days or more past due on accrual status⁽⁵⁾		1,265			719			4,534
TOTAL PROBLEM ASSETS	$	5,926		$	5,799		$	10,134

Tangible Capital - Bank only⁽⁶⁾	$	555,059		$	524,006		$	488,041
Allowance for loan losses and reserves for contingent liabilities		22,010			20,979			20,561
TANGIBLE CAPITAL PLUS RESERVES	$	577,069		$	544,985		$	508,602

TEXAS RATIO (PROBLEM ASSETS AS A PERCENTAGE OF TANGIBLE CAPITAL AND RESERVES)		1.0	%		1.1	%		2.0	%

⁽⁵⁾	These loans were, as of the respective dates indicated, expected to be either satisfied, made current or re-financed within the following twelve months, and were not expected to result in any loss of contractual principal or interest. These loans are not included in non-performing loans.

⁽⁶⁾	See “Non-GAAP Reconciliation” table for reconciliation of tangible common equity and tangible assets.

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DIME COMMUNITY BANCSHARES, INC. AND SUBSIDIARIES

NON-GAAP RECONCILIATION

(Dollars in thousands except per share amounts)

	At or For the Three Months Ended									At or For the Six Months Ended
	June 30, 2017			March 31, 2017			June 30, 2016			June 30, 2017			June 30, 2016
Reconciliation of Reported and Adjusted (“non-GAAP”) Net Income:
Reported net income	$	11,989		$	11,157		$	11,208		$	23,146		$	61,245
Less: After tax gain on the sale of real estate ⁽¹⁾		-			-			-			-			(37,483	)
Adjusted (“non-GAAP”) net income	$	11,989		$	11,157		$	11,208		$	23,146		$	23,762

Adjusted Ratios (Based upon “non-GAAP Net Income” as calculated above):
Adjusted EPS (Diluted)	$	0.32		$	0.30		$	0.30		$	0.61		$	0.65
Adjusted return on average assets		0.78	%		0.74	%		0.81	%		0.76	%		0.89	%
Adjusted return on average common equity		8.32	%		7.83	%		8.23	%		8.08	%		9.03	%
Adjusted return on average tangible common equity		9.20	%		8.68	%		9.16	%		8.94	%		10.10	%
Adjusted net interest spread		2.40	%		2.40	%		2.50	%		2.40	%		2.57	%
Adjusted net interest margin		2.57	%		2.57	%		2.68	%		2.57	%		2.74	%
Adjusted non-interest expense to average assets		1.27	%		1.38	%		1.31	%		1.32	%		1.35	%
Adjusted efficiency ratio		48.99	%		53.00	%		47.75	%		50.98	%		48.58	%

Reconciliation of Tangible Assets:
Total assets	$	6,258,184		$	6,095,370		$	5,556,197		$	6,258,184		$	5,556,197
Less:
Goodwill		55,638			55,638			55,638			55,638			55,638
Tangible assets		6,202,546			6,039,732			5,500,559			6,202,546			5,500,559

Reconciliation of Tangible Common Equity - Consolidated:
Total common equity	$	580,448		$	573,225		$	549,611		$	580,448		$	549,611
Less:
Goodwill		55,638			55,638			55,638			55,638			55,638
Tangible common equity		524,810			517,587			493,973			524,810			493,973

Reconciliation of Tangible Common Equity - Bank only:
Total common equity	$	610,697		$	579,644		$	543,679		$	610,697		$	543,679
Less:
Goodwill		55,638			55,638			55,638			55,638			55,638
Tangible common equity		555,059			524,006			488,041			555,059			488,041

⁽¹⁾	The gain on the sale of real estate was taxed at the company’s statutory tax rate of 45%.

Delaware	000-27782	11-3297463
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(IRS Employer Identification No.)

300 Cadman Plaza West, 8^th Floor
Brooklyn, New York		11201
(Address of principal executive offices)		(Zip Code)

	Dime Community Bancshares, Inc.
	(Registrant)


	/s/ MICHAEL PUCELLA
	Michael Pucella
	Executive Vice President and Chief Accounting Officer (Principal Financial Officer)

Dated: July 28, 2017

99.1		Press release of the Registrant, dated July 27, 2017, containing a discussion of the Registrant's results of operations and financial condition for the quarter ended June 30, 2017

99.2		Press release of the Registrant, dated July 27, 2017, containing a discussion of the Registrant’s declaration of a cash dividend