Odenton Federal Savings and Loan Association is converting from a mutual association run by depositors to a holding company run by shareholders, said bank president Judy Smiechowski.

The move will enablethe bank to "increase our capital position to make us strong, give us extra money to put out in home mortgages and . . . serve the community," Smiechowski said.

Harbor Investment Corp., which Odenton Federal has incorporated to serve as the holding company, has applied with the Office of ThriftSupervision to make the transition.