JosephStilwell decreased his stake in William Penn Bancorp Inc. (MHC) and noted the company'sprogress on "shareholder-friendly capital allocation."

Stilwell previouslydeclared ownership of324,943 shares, or 8.9% of the company's common stock. According to an amended13D, Stilwell now owns 139,766 shares, or 4.0%.

While notingWilliam Penn Bancorp's progress, the activist investor added that the bank's managementand board should still take further action to maximize shareholder value, suchas the completion of an annual 10% share repurchase plan or a successfulsecond-stage conversion.

"A majority of the issuer's shares are held bya mutual holding company controlled by the issuer's board. We have met withmanagement and the board to explain our views on proper capital allocation. Theissuer has announced and subsequently completed share repurchase plans and haspaid a special dividend. The issuer remains highly capitalized, and we hope tocontinue to work with management to maximize shareholder value," Stilwellsaid in the filing.