EXHIBIT 10.7 EXECUTIVE SALARY CONTINUATION AGREEMENT THAT SUPERCEDES AND REPLACES THE EXECUTIVE SUPPLEMENTAL RETIREMENT PLAN AGREEMENT DATED JANUARY 1, 2004

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                                                                    EXHIBIT 10.7

                  EXECUTIVE SALARY CONTINUATION AGREEMENT THAT
                      SUPERCEDES AND REPLACES THE EXECUTIVE
                  SUPPLEMENTAL RETIREMENT PLAN AGREEMENT DATED
                                 JANUARY 1, 2004

       THIS AGREEMENT, made and entered into this 11th day of May, 2004, by and
between Hampden Savings Bank a bank organized and existing under the laws of the
Commonwealth of Massachusetts (hereinafter referred to as the "Bank"), and
Thomas R. Burton an Executive of the Bank (hereinafter referred to as the
"Executive").

                                   WITNESSETH:

       WHEREAS, the Bank and the Executive are parties to the Executive Salary
Continuation Agreement dated the 1st day of January, 2004 between Hampden
Savings Bank and Thomas R. Burton that provides for the payment of certain
benefits. This Executive Supplemental Retirement Plan Agreement and the benefits
provided hereunder shall supercede and replace the existing Executive
Supplemental Retirement Plan Agreement and the benefits provided thereby;

       WHEREAS, the Executive has been and continues to be a valued Executive of
the Bank, and is now serving the Bank as its President;

       WHEREAS, it is the consensus of the Board of Directors (hereinafter
referred to as the "Board") that the Executive's services to the Bank in the
past have been of exceptional merit and have constituted an invaluable
contribution to the general welfare of the Bank in bringing the Bank to its
present status of operating efficiency and present position in its field of
activity;

       WHEREAS, the Executive's experience, knowledge of the affairs of the
Bank, reputation, and contacts in the industry are so valuable that assurance of
the Executive's continued services is essential for the future growth and
profits of the Bank and it is in the best interests of the Bank to arrange terms
of continued employment for the Executive so as to reasonably assure the
Executive remains in the Bank's employ during the Executive's lifetime or until
the age of retirement;

       WHEREAS, it is the desire of the Bank that the Executive's services be
retained as herein provided;

       WHEREAS, the Executive is willing to continue in the employ of the Bank
provided the Bank agrees to pay the Executive or the Executive's
beneficiary(ies), certain benefits in accordance with the terms and conditions
hereinafter set forth;

       ACCORDINGLY, it is the desire of the Bank and the Executive to enter into
this Agreement under which the Bank will agree to make certain payments to the
Executive at retirement or the Executive's beneficiary(ies) in the event of the
Executive's death pursuant to this Agreement;

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       FURTHERMORE, it is the intent of the parties hereto that this Executive
Plan be considered an unfunded arrangement maintained primarily to provide
supplemental retirement benefits for the Executive, and be considered a
non-qualified benefit plan for purposes of the Employee Retirement Income
Security Act of 1974, as amended ("ERISA"). The Executive is fully advised of
the Bank's financial status and has had substantial input in the design and
operation of this benefit plan; and

       NOW, THEREFORE, in consideration of services performed in the past and to
be performed in the future as well as of the mutual promises and covenants
herein contained it is agreed as follows:

I.     EMPLOYMENT

       The Bank agrees to employ the Executive in such capacity as the Bank may
       from time to time determine. The Executive will continue in the employ of
       the Bank in such capacity and with such duties and responsibilities as
       may be assigned to him, and with such compensation as may be determined
       from time to time by the Board of Directors of the Bank.

II.    FRINGE BENEFITS

       The Salary continuation benefits provided by this Agreement are granted
       by the Bank as a fringe benefit to the Executive and are not part of any
       Salary reduction plan or an arrangement deferring a bonus or a Salary
       increase. The Executive has no option to take any current payment or
       bonus in lieu of these Salary continuation benefits except as set forth
       hereinafter.

III.   RETIREMENT DATE AND NORMAL RETIREMENT AGE

       A.     RETIREMENT DATE:

              If the Executive remains in the continuous employ of the Bank, the
              Executive shall retire from active employment with the Bank on the
              Executive's sixty-fifth (65th) birthday, unless by action of the
              Board of Directors this period of active employment shall be
              shortened or extended.

       B.     NORMAL RETIREMENT AGE:

              Normal Retirement Age shall mean the date on which the Executive
              attains age sixty-five (65).

IV.    RETIREMENT BENEFIT AND POST-RETIREMENT DEATH BENEFIT

       Upon said retirement, the Bank, commencing with the first day of the
       month following the date of such retirement, shall pay the Executive an
       annual benefit equal to 75% of Final Compensation (Subparagraph XI [O])
       at retirement, less 50% of the Social Security Benefit (Subparagraph XI
       [P]), the Single Life Annuitized Value (Subparagraph XI [N]) of the
       Executive's account balances derived from employer provided contributions
       under

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       the qualified defined contribution plan, the benefit available from the
       pension plan assuming the Single Life Annuitized Value option, and the
       benefit from the Collateral Assignment Split Dollar Plan (Subparagraph XI
       [Q]) maintained by the Bank. Said benefit shall be paid in equal monthly
       installments (1/12th of the annual benefit) until the death of the
       Executive.

V.     DEATH BENEFIT PRIOR TO RETIREMENT

       In the event the Executive should die while actively employed by the Bank
       at any time after the date of this Agreement but prior to the Executive
       attaining the age of sixty-five (65) years (or such later date as may be
       agreed upon), the Bank will pay an annual benefit equal to the accrued
       balance, on the date of death, of the Executive's accrued liability
       retirement account, to such individual or individuals as the Executive
       may have designated in writing and filed with the Bank. In the absence of
       any effective beneficiary designation, any such amounts becoming due and
       payable upon the death of the Executive shall be payable to the duly
       qualified executor or administrator of the Executive's estate. Said
       payment due hereunder shall be made the first day of the second month
       following the decease of the Executive.

VI.    DISABILITY BENEFIT

       In the event the Executive becomes Disabled (Subparagraph XI [M]) prior
       to any Termination of Service, and the Executive's employment is
       terminated because of such Disability, he shall immediately begin
       receiving the benefits in Subparagraph IV above. Such benefit shall begin
       without regard to the Executive's Normal Retirement Age and the Executive
       shall be one hundred percent (100%) vested in the entire benefit amount.
       If there is a dispute regarding whether the Executive is Disabled, such
       dispute shall be resolved by a physician selected by the Bank and such
       resolution shall be binding upon all parties to this Agreement.

VII.   BENEFIT ACCOUNTING

       The Bank shall account for this benefit using the regulatory accounting
       principles of the Bank's primary federal regulator. The Bank shall
       establish an accrued liability retirement account for the Executive into
       which appropriate reserves shall be accrued.

VIII.  TERMINATION OF EMPLOYMENT

       Subject to Subparagraph VIII (i) hereinbelow, in the event that the
       employment of the Executive shall terminate prior to Normal Retirement
       Age, as provided in Paragraph III, by the Executive's voluntary action,
       or by the Executive's discharge by the Bank without cause, then this
       Agreement shall terminate upon the date of such termination of
       employment. The Bank shall pay to the Executive as severance compensation
       an amount of money equal to the accrued balance, on the date of
       termination, of the Executive's liability reserve account multiplied by
       fifty percent (50%) plus ten percent (10%) times the number of full years
       of employment with the Bank from the Effective Date of this Agreement (to
       a maximum of 100%). This severance compensation shall be paid in one

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       hundred eighty (180) equal monthly installments with interest equal to
       the one-year Treasury bill as of the date of termination or paid in a
       lump sum.

       In the event the Executive's death should occur after such severance but
       prior to the completion of the monthly payments provided for in this
       Paragraph VIII, the remaining installments, or a lump sum, at the
       discretion of the Bank, shall be paid to such individual or individuals
       as the Executive may have designated in writing and filed with the Bank.
       In the absence of any effective beneficiary designation, any such amounts
       shall be payable to the duly qualified executor or administrator of the
       Executive's estate. Said payments due hereunder shall begin the first day
       of the second month following the decease of the Executive.

              (i)    DISCHARGE FOR CAUSE: In the event the Executive shall be
                     discharged for cause at any time, all benefits provided
                     herein shall be forfeited. The term "for cause" shall mean
                     any of the following that result in an adverse effect on
                     the Bank: (i) gross negligence or gross neglect; (ii) the
                     commission of a felony or gross misdemeanor involving fraud
                     or dishonesty; (iii) the willful violation of any law,
                     rule, or regulation (other than a traffic violation or
                     similar offense); (iv) an intentional failure to perform
                     stated duties; or (v) a breach of fiduciary duty involving
                     personal profit. If a dispute arises as to discharge "for
                     cause," such dispute shall be resolved by arbitration as
                     set forth in this Executive Plan.

IX.    MUTUAL TO STOCK CONVERSION OR CHANGE OF CONTROL

       Upon a Mutual to Stock Conversion or a Cha