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                                  UNITED STATES
                       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) January 27, 2005
                                                         ----------------


                           JEFFERSON BANCSHARES, INC.
                           --------------------------
             (Exact name of registrant as specified in its charter)

      Tennessee                     0-50347                  45-0508261
      ---------                     ---------                ----------
(State or other jurisdiction of    (Commission               (IRS Employer
       incorporation)              File Number)              Identification No.)

      120 Evans Avenue, Morristown, Tennessee           37814
      ---------------------------------------           ------
      (Address of principal executive offices)          (Zip Code)

      Registrant's telephone number, including area code:  (423) 586-8421
                                                           --------------

                                 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:

[ ]  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))




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ITEM 8.01   OTHER EVENTS.
            ------------

      On January 27, 2005, Jefferson Bancshares, Inc., the holding company for
Jefferson Federal Bank (the "Bank"), issued a press release providing the
experience and background of Anthony "Tony" Carasso, who was recently named
President of the Knoxville region. The release also discusses the lending
operations currently available at the Bank's new Cedar Bluff location in
Knoxville. The press release dated January 27, 2005 is included as Exhibit 99.1
and incorporated herein by reference.

ITEM 9.01   FINANCIAL STATEMENTS AND EXHIBITS.
            ---------------------------------

      (a)   Financial Statements of Businesses Acquired: Not applicable

      (b)   Pro Forma Financial Information: Not applicable

      (c)   Exhibits

            Number            Description
            ------            -----------

            99.1              Press Release Dated January 27, 2005






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                                   SIGNATURES

      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.

                                       JEFFERSON BANCSHARES, INC.


Dated: January 27, 2005                By: /s/ Anderson L. Smith
                                           ------------------------------------
                                           Anderson L. Smith
                                           President and Chief Executive Officer


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