THIS AGREEMENT, made as of the 1st day of January 2005, among LEESPORT FINANCIAL CORP. (Company), a Pennsylvania business corporation having a place of business at 1240 Broadcasting Road, Wyomissing, Pennsylvania, LEESPORT BANK (Bank), a national banking association having a place of business at 1240 Broadcasting Road, Wyomissing, Pennsylvania, and RAYMOND H. MELCHER, JR. (Executive), an adult individual.

WHEREAS, Company, Bank and Executive have been parties to an employment agreement dated June 15, 1998, as amended January 22, 2002, which is due to expire December 31, 2005;

WHEREAS, Company and Bank desire to continue to employ Executive in the capacity of President and Chief Executive Officer of each of Company and Bank on the terms and conditions set forth herein;

WHEREAS, Executive desires to accept employment with Company and Bank on the terms and conditions set forth herein.

NOW, THEREFORE, the parties hereto, intending to be legally bound, agree as follows:

1. Employment. Company and Bank each hereby employ Executive, and Executive hereby accepts employment with Company and Bank, on the terms and conditions set forth in this Agreement. By entering into this Agreement the parties agree that Executives current employment agreement is null and void as of the date first above set forth, being superceded in all respects by this Agreement.

2. Duties of Employee. Executive shall perform and discharge well and faithfully such duties as an executive officer of Company and of Bank as may be assigned to Executive from time to time by the respective Boards of Directors of Company and of Bank. Executive shall be employed as President and Chief Executive Officer of Company and of Bank, and shall hold such other titles as may be given to him from time to time by the respective Boards of Directors of Company and of Bank. Executive shall devote his full time, attention and energies to the business of Company and of Bank during the Employment Period (as defined in Section 3 of this Agreement); provided, however, that this Section 2 shall not be construed as preventing Executive from (a) investing Executives personal assets in enterprises that do not compete with Company or Bank or (b) being involved in any other activity with the prior approval of the Board of Directors of Company and Bank.

3. Term of Agreement.

(a) This Agreement shall be for a three (3) year period (the Employment Period) commencing on January 1, 2005 and ending on December 31, 2007; provided, however, that the Employment Period shall be automatically extended on January 1, 2008 and on December 31 of each subsequent year (the Annual Renewal Date) for a period ending one (1) year from each Annual Renewal Date unless either party shall give written notice of nonrenewal to the other party at least thirty (30) days prior to an Annual Renewal Date, in which event this Agreement shall terminate at the end of the then existing Employment Period.

(b) Notwithstanding the provisions of Section 3(a) of this Agreement, this Agreement shall terminate automatically for Cause (as defined herein) upon written notice from the Board of Directors of each of Company and Bank to Executive. As used in this Agreement, Cause shall mean any of the following:

(i) Executives conviction of or plea of guilty or nolo contendere to a felony, a crime of falsehood, or a crime involving moral turpitude, or the actual incarceration of Executive for a period of forty-five (45) consecutive days or more;

(ii) Executives failure to follow the good faith lawful instructions of the Board of Directors of Company or Bank with respect to its operations, following written notice of such instructions;

(iii) Executives willful failure to substantially perform Executives duties to Company or Bank, other than a failure resulting from Executives incapacity because of physical or mental illness; or

(iv) Executives willful failure to enforce, or willful violation of, the written policies and procedures of Company or Bank.

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