8-K

SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
______________

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D) OF
THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported):  October 20, 2010

______________________________

BROOKLINE BANCORP, INC.
(Exact name of registrant as specified in its charter)

Delaware	0-23695	04-3402944
(State or other jurisdiction of incorporation)	(Commission File No.)	(I.R.S. Employer Identification No.)

160 Washington Street, Brookline, Massachusetts	02447-0469
(Address of principal executive offices)	(Zip Code)

(617) 730-3500

(Registrant’s telephone number, including area code)

Not applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

⃞ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

⃞ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

⃞ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

⃞ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.   Results of Operations and Financial Condition, Declaration of Dividend

On October 20, 2010, Brookline Bancorp, Inc. announced its earnings for the 2010 third quarter and approval by its Board of Directors of a regular quarterly dividend of $0.085 per share payable November 15, 2010 to stockholders of record on October 29, 2010. See Exhibit 99.1 attached hereto for the press release issued October 20, 2010 relating to these matters.

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, hereunto duly authorized.

		BROOKLINE BANCORP, INC.
Date:	October 20, 2010		By:	/s/ Paul R. Bechet
				Paul R. Bechet
				Senior Vice President and Chief Financial Officer

EXHIBIT INDEX

The following exhibits are furnished as part of this report:

Exhibit No.	Description
99.1	Press release of Brookline Bancorp, Inc. dated October 20, 2010.

EX-99.1

Exhibit 99.1

Brookline Bancorp Announces 2010 Third Quarter Earnings and Dividend Declaration

BROOKLINE, Mass.--(BUSINESS WIRE)--October 20, 2010--Brookline Bancorp, Inc. (the “Company”) (NASDAQ: BRKL) announced today its earnings for the 2010 third quarter and approval by the Board of Directors of a regular quarterly dividend of $0.085 per share payable on November 15, 2010 to stockholders of record on October 29, 2010.

The Company earned $7,038,000, or $0.12 per share on a basic and diluted basis, for the quarter ended September 30, 2010 compared to $5,242,000, or $0.09 per share on a basic and diluted basis, for the quarter ended September 30, 2009. Net income for the nine months ended September 30, 2010 was $20,474,000, or $0.35 per share on a basic and diluted basis, compared to $13,364,000, or $0.23 per share on a basic and diluted basis, for the nine months ended September 30, 2009. Operating highlights included:

• Improvement in performance ratios both on third quarter and nine month comparisons

- annualized return on average stockholders’ equity (third quarter – 5.69% in 2010 and 4.31% in 2009; nine months – 5.55% in 2010 and 3.66% in 2009)

- annualized return on average assets (third quarter – 1.06% in 2010 and 0.79% in 2009; nine months – 1.03% in 2010 and 0.68% in 2009)

• An increase in net interest income of $2,493,000 (11.4%) in the 2010 third quarter compared to the 2009 third quarter and $8,443,000 (13.5%) in the 2010 nine month period compared to the 2009 nine month period. The 2009 nine month period included $1,614,000 of interest income from the payoff of a loan on which there was unaccreted interest.
• Continued improvement in net interest margin – 3.76% in the 2010 third quarter compared to 3.67% in the 2010 second quarter and 3.39% in the 2009 third quarter
• Lower provisions for credit losses - $551,000 in the 2010 third quarter compared to $2,473,000 in the 2009 third quarter and $2,479,000 in the 2010 nine month period compared to $7,150,000 in the 2009 nine month period. The reductions resulted from lower loan charge-offs and slower growth in loans.
• Total loans (excluding deferred loan origination costs) - $16.7 million increase in the 2010 third quarter and a $24.8 million increase in the 2010 nine month period
• Non-performing assets - $6.0 million (0.23% of total assets) at September 30, 2010 compared to $6.0 million (0.23%) at June 30, 2010 and $7.7 million (0.29%) at December 31, 2009. Restructured loans on accrual were $7.4 million, $7.0 million and $3.9 million at those respective dates.
• Allowance for loan losses - $30.4 million (1.39% of total loans outstanding) at September 30, 2010 compared to $30.6 million (1.41%) at June 30, 2010 and $31.1 million (1.44%) at December 31, 2009
• Deposit growth - $57.6 million (3.4%) in the 2010 third quarter and $126.6 million (7.7%) in the 2010 nine month period. (Transaction deposit accounts increased $170.6 million, or 21.3%, while certificates of deposit declined $44.0 million, or 5.3%).
• To lower funding costs and reduce interest rate risk, the Company prepaid borrowings from the Federal Home Loan Bank of Boston (“FHLB”) with high interest rates and re-borrowed funds from the FHLB at lower interest rates and with longer periods to maturity. Penalties from prepayments amounted to $555,000 in the 2010 third quarter compared to $533,000 in the 2009 third quarter and $1,468,000 in the 2010 nine month period compared to $1,115,000 in the 2009 nine month period.
• Gains from sales of securities were $594,000 in the 2009 third quarter (none in the 2010 third quarter), $834,000 in the 2010 nine month period and $940,000 in the 2009 nine month period. Impairment loss on securities, net of non-credit impairment loss, was $49,000 in the 2010 nine month period compared to $726,000 in the 2009 nine month period.

The quarterly and nine month period increases in net interest income were due primarily to a higher portion of interest-earning assets being funded by lower cost deposits and a more rapid decline in rates paid on interest-bearing liabilities than in the yield on interest-earning assets. Including non-interest bearing checking accounts, the average balance of deposits (excluding brokered deposits) in the 2010 nine month period was $233.1 million (16.1%) higher than in the 2009 nine month period and the average rate paid on deposits (excluding brokered deposits) declined to 1.30% from 2.21% in those respective periods. The average rate paid on deposits in the 2010 third quarter declined further to 1.17%.

Over 95% of the growth in the average balances of deposits were used to pay off higher cost borrowed funds and brokered deposits. The average balance of deposits (excluding brokered deposits) to the average balance of all deposits and borrowings increased from 68.6% in the 2009 nine month period to 79.2% in the 2010 nine month period. The average balance of loans to the average balance of deposits (excluding brokered deposits) declined from 147.0% to 128.8% in those respective periods. At September 30, 2010, deposits equaled 82.3% of all deposits and borrowed funds and loans equaled 124.4% of deposits.

The provisions for credit losses in the 2010 and 2009 third quarters were $551,000 and $2,473,000, respectively, while net loan charge-offs in those periods were $826,000 (an annualized charge-off rate of 0.15% based on average loans outstanding) and $1,820,000 (0.34%), respectively. The provisions for credit losses in the 2010 and 2009 nine month periods were $2,479,000 and $7,150,000, respectively, while net loan charge-offs in those periods were $3,200,000 (0.20%) and $5,420,000 (0.34%), respectively.

The provisions for credit losses were higher than net loan charge-offs in the 2009 quarterly and nine month periods because of growth in the loan portfolio and concern about the growing trend in problem loans and net charge-offs, especially relating to indirect auto loans and loans in the portfolio of Eastern Funding, a specialty finance subsidiary of the Company. In the 2009 nine month period, loans (excluding deferred loan origination costs) increased $65.0 million despite decreases in indirect auto loans and one-to-four family mortgage loans of $30.3 million and $19.5 million, respectively.

The provisions for credit losses were less than net loan charge-offs in the 2010 quarterly and nine month periods due primarily to a significantly lower rate of indirect auto loan net charge-offs than contemplated which resulted in a lowering of the level of allowance for loan losses considered adequate for that segment of the loan portfolio. In the 2010 nine month period, loan growth (excluding deferred loan origination costs) was modest at $24.8 million, or 1.2%. Eastern Funding loans increased $28.3 million (17.1%) due in part to the purchase of $11.8 million of seasoned loans in the 2010 third quarter. Increases in multi-family mortgage loans and commercial real estate loans of $22.0 million and $10.7 million, respectively, were offset by reductions in one-to-four family mortgage loans and commercial loans of $33.9 million and $4.5 million, respectively.

Net charge-offs of indirect auto loans declined to $627,000 in the 2010 third quarter (an annualized rate of 0.46% based on average loans outstanding during that period excluding deferred loan origination costs) and $2,227,000 (0.55%) in the 2010 nine month period from $1,348,000 (0.95%) in the 2009 third quarter and $4,438,000 (1.02%) in the 2009 nine month period. Indirect auto loan net charge-offs had equaled 1.00% in 2009 and 1.12% in 2008. Since the Company commenced originating indirect auto loans in 2003, 8% of such originations were to borrowers with credit scores below 660. In the year 2009 and the 2010 nine month period, loan originations to borrowers with credit scores below 660 declined to 2.5% and 2.0%, respectively. Indirect auto loans delinquent over 30 days declined to $7.3 million (1.35% of loans outstanding) at September 30, 2010 from $8.0 million (1.47%) at June 30, 2010 and $11.0 million (2.02%) at December 31, 2009. The allowance for loan losses related to indirect auto loans (excluding deferred loan origination costs) was $7,422,000 (1.37% of loans outstanding) at September 30, 2010 compared to $7,873,000 (1.45%) at June 30, 2010 and $8,479,000 (1.57%) at December 31, 2009.

Net charge-offs of Eastern Funding loans in the 2010 and 2009 third quarters were $212,000 and $152,000, respectively, and in the 2010 and 2009 nine month periods $664,000 and $660,000, respectively. Additionally, write-downs of assets acquired were $53,000, $72,000, $186,000 and $429,000, respectively. The annualized rate of net charge-offs, combined with write-downs of assets acquired, equaled 0.58%, 0.58%, 0.64% and 0.96%, respectively. The allowance for loan losses related to Eastern Funding loans (excluding deferred loan origination costs) was $3,602,000 (1.86% of loans outstanding) at September 30, 2010 compared to $3,643,000 (2.01%) at June 30, 2010 and $3,057,000 (1.85%) at December 31, 2009.

Additional net loan charge-offs in the 2010 and 2009 nine month periods were $309,000 and $322,000, respectively. Substantially all of those amounts related to one commercial real estate loan for which a specific reserve had been previously established. Excluding Eastern Funding loans ($2,683,000) and indirect auto loans ($121,000), other loans on non-accrual amounted to $2,340,000 at September 30, 2010, $1,241,000 of which was one-to-four family mortgage loans. Restructured loans on accrual included $4.1 million of one-to-four family mortgage loans, $2.3 million of commercial real estate loans and $1.0 million of Eastern Funding loans.

In the 2010 third quarter, $15.9 million of borrowings from the FHLB with a weighted average interest rate of 4.24% and maturing within approximately ten months were prepaid resulting in a penalty of $555,000 and, in the same quarter, $12.0 million was re-borrowed from the FHLB at a weighted average interest rate of 0.93% and a weighted average life to maturity of 2.5 years. In the 2010 second quarter, $24 million of FHLB borrowings with a weighted average rate of 4.03% and maturing within approximately one year were prepaid resulting in a penalty of $913,000 and, in the same quarter, $24 million was re-borrowed from the FHLB at a weighted average annual rate of 2.02% for 3.26 years. Prepayments of FHLB borrowings in the 2009 third quarter and nine month period resulted in penalties of $533,000 and $1,115,000, respectively.

Investment securities (primarily equity securities) were sold in the 2010 second quarter at a gain of $834,000. Mortgage-backed securities were sold in the 2009 second and third quarters at gains of $346,000 and $594,000, respectively. On an after tax basis, those gains primarily offset penalties incurred in the same periods from prepayment of FHLB borrowings. Impairment loss on securities, net of non-credit impairment loss, in the 2010 and 2009 nine month periods of $49,000 and $726,000, respectively, resulted from write-downs of perpetual preferred stock and a trust preferred security.

Fees, charges and other income remained relatively constant in the 2010 and 2009 quarters at $927,000, and $934,000, respectively, and in the 2010 and 2009 nine month periods at $2,885,000 and $2,838,000, respectively. As a result of recent overdraft legislation, overdraft fees declined and are expected to continue to decline prospectively. The amounts of decline, however, are not expected to have a significant effect on earnings.

Total non-interest expenses were $11.9 million in the 2010 third quarter compared to $11.1 million in the 2009 third quarter, an increase of 6.7%, and $35.6 million in the 2010 nine month period compared to $34.4 million in the 2009 nine month period, an increase of 3.4%. The increases resulted primarily from higher compensation and employee benefits due in part to added personnel in business banking and investment advisory services and higher bonus accruals, the opening of two new branches in June 2010, higher marketing expenses due in part to product promotions and higher professional fees related to corporate issues and initiatives, offset in part by lower FDIC insurance expense (2009 included a $1.1 million special assessment) and a reduction in loan collection related expenses.

The above text contains statements about future events that constitute forward looking statements. Projections about future events are subject to risks and uncertainties that could cause actual results to differ materially. Factors that could cause such differences include, but are not limited to, general economic conditions, changes in interest rates, regulatory considerations and competition.

BROOKLINE BANCORP, INC. AND SUBSIDIARIES Consolidated Balance Sheets (In thousands except share data)
	September 30,			June 30,			December 31,
	2010			2010			2009
ASSETS
Cash and due from banks	$	18,870		$	20,592		$	17,635
Short-term investments		49,349			67,622			48,886
Securities available for sale		310,664			306,504			293,023
Securities held to maturity (market value of $97, $124 and $121, respectively)		87			110			112
Restricted equity securities		36,335			36,335			36,335
Loans		2,189,014			2,172,465			2,164,295
Allowance for loan losses		(30,362	)		(30,637	)		(31,083	)
Net loans		2,158,652			2,141,828			2,133,212
Accrued interest receivable		8,581			8,556			9,062
Bank premises and equipment, net		11,374			11,477			10,685
Deferred tax asset		9,012			9,325			10,178
Prepaid income taxes		782			371			-
Goodwill		43,241			43,241			43,241
Identified intangible assets, net of accumulated amortization of $10,775, $10,469 and $9,857, respectively		2,177			2,483			3,095
Other assets		11,272			10,974			10,420
Total assets	$	2,660,396		$	2,659,418		$	2,615,884
LIABILITIES AND EQUITY
Deposits	$	1,760,271		$	1,702,658		$	1,633,687
Borrowed funds		378,234			439,254			468,766
Mortgagors’ escrow accounts		6,225			6,079			5,938
Income taxes payable		-			-			1,115
Accrued expenses and other liabilities		18,112			16,949			16,955
Total liabilities		2,162,842			2,164,940			2,126,461
Equity:
Brookline Bancorp, Inc. stockholders’ equity:
Preferred stock, $0.01 par value; 50,000,000 shares authorized; none issued		-			-			-
Common stock, $0.01 par value; 200,000,000 shares authorized; 64,436,889 shares, 64,411,889 shares and 64,404,419 shares issued, respectively		644			644			644
Additional paid-in capital		524,336			524,191			523,736
Retained earnings, partially restricted		30,937			28,876			25,420
Accumulated other comprehensive income		3,828			3,257			2,201
Treasury stock, at cost - 5,373,733 shares		(62,107	)		(62,107	)		(62,107	)
Unallocated common stock held by ESOP – 436,469 shares, 448,514 shares and 472,604 shares, respectively		(2,381	)		(2,445	)		(2,577	)
Total Brookline Bancorp, Inc. stockholders’ equity		495,257			492,416			487,317
Noncontrolling interest in subsidiary		2,297			2,062			2,106
Total equity		497,554			494,478			489,423
Total liabilities and equity	$	2,660,396		$	2,659,418		$	2,615,884

BROOKLINE BANCORP, INC. AND SUBSIDIARIES     Consolidated Statements of Income     (In thousands except share data)
	Three months ended						Nine months ended
	September 30,						September 30,
	2010			2009			2010			2009
Interest income:
Loans	$	30,488		$	31,722		$	92,130		$	96,583
Debt securities		1,927			2,528			5,810			8,449
Short-term investments		32			48			76			296
Equity securities		4			24			40			71
Total interest income		32,451			34,322			98,056			105,399
Interest expense:
Deposits (excluding brokered deposits)		5,096			7,300			16,355			24,060
Brokered deposits		-			-			-			424
Borrowed funds		3,087			5,247			10,560			18,217
Total interest expense		8,183			12,547			26,915			42,701
Net interest income		24,268			21,775			71,141			62,698
Provision for credit losses		551			2,473			2,479			7,150
Net interest income after provision for credit losses		23,717			19,302			68,662			55,548
Non-interest income:
Fees, charges and other income		927			934			2,885			2,838
Penalty from prepayment of borrowed funds		(555	)		(533	)		(1,468	)		(1,115	)
Gain on sales of securities		-			594			834			940
Loss on impairment of securities		-			-			(49	)		(779	)
Less non-credit loss on impairment of securities		-			-			-			53
Total non-interest income		372			995			2,202			1,937
Non-interest expense:
Compensation and employee benefits		5,895			5,195			17,008			15,455
Occupancy		1,128			1,015			3,373			3,153
Equipment and data processing		1,874			1,868			5,586			5,495
Professional services		668			566			2,599			1,787
FDIC insurance		418			435			1,246			2,438
Advertising and marketing		359			283			900			700
Amortization of identified intangible assets		306			372			918			1,116
Other		1,245			1,410			3,960			4,263
Total non-interest expense		11,893			11,144			35,590			34,407
Income before income taxes		12,196			9,153			35,274			23,078
Provision for income taxes		4,923			3,723			14,239			9,362
Net income		7,273			5,430			21,035			13,716
Less net income attributable to noncontrolling interest in subsidiary		235			188			561			352
Net income attributable to Brookline Bancorp, Inc.	$	7,038		$	5,242		$	20,474		$	13,364
Earnings per common share attributable to Brookline Bancorp, Inc.:
Basic	$	0.12		$	0.09		$	0.35		$	0.23
Diluted		0.12			0.09			0.35			0.23
Weighted average common shares outstanding during the period:
Basic	58,586,274			58,522,547			58,571,938			58,313,465
Diluted	58,588,536			58,529,929			58,576,080			58,361,623

BROOKLINE BANCORP, INC. AND SUBSIDIARIES Average Yields / Costs
	Three months ended
	September 30, 2010							June 30, 2010
	Average balance			Interest (1)		Average yield/ cost		Average balance			Interest (1)		Average yield/ cost
	(Dollars in thousands)
Assets
Interest-earning assets:
Short-term investments	$	58,766		$	32	0.22	%	$	70,586		$	29	0.16	%
Debt securities (2)		310,337			1,932	2.49			298,168			1,965	2.64
Equity securities (2)		36,810			5	0.06			38,042			16	0.17
Mortgage loans (3)(4)		1,252,610			16,466	5.26			1,251,800			16,600	5.30
Home equity loans (3)		54,208			522	3.82			52,404			499	3.82
Commercial loans -Eastern Funding (3)		183,573			3,867	8.43			175,775			3,737	8.50
Other commercial loans (3)		119,538			1,455	4.84			133,333			1,589	4.78
Indirect automobile loans (3)		556,470			8,098	5.77			557,105			8,268	5.95
Other consumer loans (3)		6,098			79	5.18			7,126			81	4.55
Total interest-earning assets		2,578,410			32,456	5.02	%		2,584,339			32,784	5.08	%
Allowance for loan losses		(30,517	)						(30,764	)
Non-interest earning assets		108,199							108,260
Total assets	$	2,656,092						$	2,661,835
Liabilities and Equity
Interest-bearing liabilities:
Deposits:
NOW accounts	$	109,890			40	0.14	%	$	108,768			40	0.15	%
Savings accounts		106,685			214	0.80			102,687			205	0.80
Money market savings accounts		629,712			1,640	1.03			592,012			1,625	1.10
Certificates of deposit		782,888			3,202	1.62			786,834			3,478	1.77
Total interest-bearing deposits (4)		1,629,175			5,096	1.24			1,590,301			5,348	1.35
Borrowed funds		401,679			3,083	3.00			459,278			3,699	3.19
Federal funds purchased		4,652			3	0.25			-			-	-
Total interest bearing liabilities		2,035,506			8,182	1.59	%		2,049,579			9,047	1.77	%
Non-interest-bearing demand checking accounts (4)		101,075							94,946
Other liabilities		22,433							23,770
Total liabilities		2,159,014							2,168,295
Brookline Bancorp, Inc. stockholders’ equity		494,890							491,508
Noncontrolling interest in subsidiary		2,188							2,032
Total liabilities and equity	$	2,656,092						$	2,661,835
Net interest income (tax equivalent basis)/interest rate spread (5)					24,274	3.43	%					23,737	3.31	%
Less adjustment of tax exempt income					6							9
Net interest income				$	24,268						$	23,728
Net interest margin (6)						3.76	%						3.67	%
(1) Tax exempt income on equity securities and municipal bonds is included on a tax equivalent basis.
(2) Average balances include unrealized gains (losses) on securities available for sale. Equity securities include marketable equity securities (preferred and common stocks) and restricted equity securities.
(3) Loans on non-accrual status are included in average balances.
(4) Including non-interest bearing checking accounts, the average interest rate on total deposits was 1.17% in the three months ended September 30, 2010 and 1.27% in the three months ended June 30, 2010.
(5) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.
(6) Net interest margin represents net interest income (tax equivalent basis) divided by average interest-earning assets.

BROOKLINE BANCORP, INC. AND SUBSIDIARIES Average Yields / Costs
	Nine months ended
	September 30, 2010							September 30, 2009
	Average balance			Interest (1)		Average yield/ cost		Average balance			Interest (1)		Average yield/ cost
	(Dollars in thousands)
Assets
Interest-earning assets:
Short-term investments	$	61,175		$	76	0.17	%	$	92,218		$	296	0.43	%
Debt securities (2)		298,313			5,827	2.60			291,562			8,474	3.88
Equity securities (2)		37,613			54	0.19			37,527			97	0.34
Mortgage loans (3)(4)		1,251,985			49,796	5.30			1,219,234			52,156	5.70
Home equity loans (3)		52,799			1,508	3.82			46,206			1,278	3.69
Commercial loans -Eastern Funding (3)		176,041			11,207	8.49			151,753			10,286	9.04
Other commercial loans (3)		128,329			4,610	4.80			120,080			4,181	4.64
Indirect automobile loans (3)		554,834			24,767	5.97			593,475			28,525	6.41
Other consumer loans (3)		6,624			242	4.87			3,878			157	5.40
Total interest-earning assets (4)		2,567,713			98,087	5.10	%		2,555,933			105,450	5.50	%
Allowance for loan losses		(30,760	)						(28,867	)
Non-interest earning assets		109,559							104,166
Total assets	$	2,646,512						$	2,631,232
Liabilities and Equity
Interest-bearing liabilities:
Deposits:
NOW accounts	$	105,696			112	0.14	%	$	89,228			127	0.19	%
Savings accounts		102,196			617	0.81			90,109			714	1.06
Money market savings accounts		590,723			4,877	1.10			354,927			4,328	1.63
Certificates of deposit		792,494			10,749	1.81			844,795			18,891	2.98
Total interest-bearing deposits excluding brokered deposits (5)		1,591,109			16,355	1.37			1,379,059			24,060	2.33
Brokered deposits		-			-	-			10,573			424	5.35
Total deposits		1,591,109			16,355	1.37			1,389,632			24,484	2.35
Borrowed funds		441,905			10,557	3.15			655,421			18,217	3.71
Federal funds purchased		1,568			3	0.22			-			-	-
Total interest bearing liabilities		2,034,582			26,915	1.77	%		2,045,053			42,701	2.78	%
Non-interest-bearing demand checking accounts (5)		94,373							73,288
Other liabilities		23,307							23,741
Total liabilities		2,152,262							2,142,082
Brookline Bancorp, Inc. stockholders’ equity		492,113							487,358
Noncontrolling interest in subsidiary		2,137							1,792
Total liabilities and equity	$	2,646,512						$	2,631,232
Net interest income (tax equivalent basis)/interest rate spread (4)(6)					71,172	3.33	%					62,749	2.72	%
Less adjustment of tax exempt income					31							51
Net interest income				$	71,141						$	62,698
Net interest margin (4)(7)						3.70	%						3.27	%
(1) Tax exempt income on equity securities and municipal bonds is included on a tax equivalent basis.
(2) Average balances include unrealized gains (losses) on securities available for sale. Equity securities include marketable equity securities (preferred and common stocks) and restricted equity securities.
(3) Loans on non-accrual status are included in average balances.
(4) In the 2009 period, interest income included $1,614 due to the payoff of a loan on which there was unaccreted interest. Excluding this income, the yield on mortgage loans and interest-earning assets would have been 5.53% and 5.42%, respectively. Interest rate spread and net interest margin would have been 2.64% and 3.19%, respectively.
(5) Including non-interest bearing checking accounts, the average interest rate on total deposits (excluding brokered deposits) was 1.30% in the 2010 period and 2.21% in the 2009 period.
(6) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.
(7) Net interest margin represents net interest income (tax equivalent basis) divided by average interest-earning assets.

BROOKLINE BANCORP, INC. AND SUBSIDIARIES Selected Financial Ratios and Other Data
	Three months ended							Nine months ended
	September 30,							September 30,
	2010			2009				2010			2009
Performance Ratios (annualized):
Return on average assets		1.06	%		0.79		%		1.03	%		0.68	%
Return on average stockholders’ equity		5.69	%		4.31		%		5.55	%		3.66	%
Interest rate spread		3.43	%		2.90		%		3.33	%		2.72	%	(A)
Net interest margin		3.76	%		3.39		%		3.70	%		3.27	%	(A)
(A) Excluding interest income of $1,614,000 due to the payoff of a loan on which there was unaccreted discount, interest rate spread and net interest margin would have been 2.64% and 3.19%, respectively.
Dividends paid per share during period	$	0.085			$	0.085		$	0.255		$	0.455

	At			At			At
	September 30,			June 30,			December 31,
	2010			2010			2009
	(dollars in thousands except per share data)
Capital Ratio:
Stockholders’ equity to total assets		18.62	%		18.52	%		18.63	%
Tangible stockholders’ equity to total assets		17.20	%		17.09	%		17.16	%
Asset Quality:
Non-accrual loans	$	5,144		$	5,119		$	6,233
Non-performing assets		6,022			6,030			7,663
Restructured loans on accrual		7,396			6,968			3,898
Allowance for loan losses		30,362			30,637			31,083
Allowance for loan losses as a percent of total loans		1.39	%		1.41	%		1.44	%
Non-accrual loans as a percent of total loans		0.23	%		0.24	%		0.29	%
Non-performing assets as a percent of total assets		0.23	%		0.23	%		0.29	%
Per Share Data:
Book value per share	$	8.39		$	8.34		$	8.26
Tangible book value per share		7.62			7.57			7.47
Market value per share		9.98			8.88			9.91

CONTACT:
Brookline Bancorp, Inc.
Paul Bechet, 617-278-6405