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                       FIRST AMENDMENT TO RIGHTS AGREEMENT

                             DATED NOVEMBER 22, 1994

         This First  Amendment to the Rights  Agreement dated as of November 22,
1994 (the "Rights Agreement"),  between Home Federal Bancorp (the "Company") and
LaSalle  National  Bank (the  "Rights  Agent"),  is effective as of November 25,
1997.

         A. Section 27 of the Rights Agreement  permits the Company to amend the
Rights  Agreement  to  increase  the  Purchase  Price  thereunder  prior  to the
Distribution  Date  (as  defined  therein)  and the  Distribution  Date  has not
occurred yet under the Rights Agreement.

         B. On November  25,  1997,  the Board of  Directors  of the Company
approved an amendment to the Rights Agreement which increased the Purchase Price
thereunder from $26.67 to $80.00.

         NOW, THEREFORE, the Company and the Rights Agent agree as follows:

         1.    Section 7(b) shall be amended to read in its entirety as follows:

                  "(b) The Purchase  Price for each Common Share pursuant to the
         exercise  of a Right  shall be $80.00,  shall be subject to  adjustment
         from time to time as provided  in Sections 11 and 13 hereof,  and shall
         be  payable  in  lawful  money  of the  United  States  of  America  in
         accordance with paragraph (c) below."

         IN WITNESS  WHEREOF,  the parties hereto have affixed their  signatures
hereto effective as of November 25, 1997.

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                                         By:/s/ Xxxxxxxx X. Xxxxxx
                                            ------------------------

                                         LaSALLE NATIONAL BANK, as Rights Agent

                                         By:/s/ Xxxxxxx Xxxxxxx