NOTICE OFREDEMPTION TO THE HOLDERS OF HF Financial Capital Trust I 10,000 CAPITAL SECURITIES 310 COMMON SECURITIES (the Securities)

Exhibit 10.3

NOTICE OF REDEMPTION

TO THE HOLDERS OF

HF Financial Capital Trust I

10,000 CAPITAL SECURITIES

310 COMMON SECURITIES

(the “Securities”)

Your Securities is hereby called for redemption on December 8, 2006 pursuant to Annex I,  Section 4 of the Amended and Restated Declaration of Trust dated as of November 28, 2001 between HF Financial Corp. as the Company, Wilmington Trust Company, as the Institutional Trustee and Delaware Trustee and the Administrators named therein. The Securities will be redeemed at the Redemption Price of 100%.

On December 8, 2006, the Securities or portions thereof designated for redemption will become due and payable.  Payment will be made upon presentation and surrender to:

In the case of Securities designated for partial redemption, a new Security in the principal face amount equal to the unredeemed portion thereof will be issued.  On and after December 8, 2006, interest shall cease to accrue on the Securities or portions thereof designated for redemption.