For Further Information Contact: J. Gerald Bazewicz President and Chief Executive Officer (570) 752-3671 Exhibit 99.1 PRESS RELEASE FIRST KEYSTONE CORPORATION DECLARES FIRST QUARTER DIVIDEND Berwick, Pennsylvania March 1, 2004 - First Keystone Corporation (OTC BB: FKYS), parent company of The First National Bank of Berwick, declared a $.26 per share quarterly cash dividend to shareholders of record as of March 16, 2004, payable March 31, 2004. This is an 8.3% increase in the first quarter dividend over the $.24 per share paid in March 2003. The First National Bank of Berwick now operates 11 full service offices in Columbia (5), Luzerne (4), and Montour (2) Counties providing banking and trust services. Inquiries regarding the purchase of the company's stock may be made through the following brokers: Legg Mason Wood Walker, Inc., 800-888-6673; Janney Montgomery Scott, Inc., 800-526-6397; Ferris, Baker, Watts, Inc., 800-638-7411; Ryan, Beck and Company, 800-223-8969; and Boenning & Scattergood, Inc., 800-883-8383. Note: This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various factors. These factors include operating, legal and regulatory risks; changing economic and competitive conditions and other risks and uncertainties. For more information on The First National Bank of Berwick or its parent company, First Keystone Corporation, please contact J. Gerald Bazewicz at 570-752-3671, extension 172. -5-