Peoples Bancorp Declares Cash Dividend Aug 27, 2010

For Immediate Release                                             

Date:  August 27, 2010

Pink Sheets Symbol - PBNI

Contact: 
Maurice F. Winkler, III

President and CEO

260-925-2500

Peoples Bancorp (PBNI) Declares Cash Dividend

(Auburn)  The Board of Directors of Peoples Bancorp (PBNI), the Holding Company for Peoples Federal Savings Bank of DeKalb County, declared a Fiscal 2010 fourth quarter dividend of $0.19 per share, according to G. Richard Gatton, Chairman.  The dividend will be paid on October 14, 2010 to Stockholders of Record as of October 1, 2010.

As of August 26, 2010, Peoples had 2,499,227 shares outstanding.  The closing price of Peoples Bancorp stock, as of August 26, 2010, was $13.95 per share as listed on the Pink Sheets under the symbol of PBNI.

Peoples Bancorp, through its subsidiary, Peoples Federal Savings Bank of DeKalb County, operates eleven full-service offices in Indiana, located in Auburn, Avilla, Garrett, Howe, Kendallville, LaGrange, Middlebury, Topeka, Waterloo, and two offices in Columbia City.  Peoples Federal operates four full-service offices in Michigan, with two offices located in Three Rivers and offices at Schoolcraft and Union.