EXHIBIT 99.1
                               ------------

NEWS FOR IMMEDIATE RELEASE                          CONTACT: BRIEN M. CHASE, CFO
SEPTEMBER 1, 2005                                            304-525-1600

                         PREMIER FINANCIAL BANCORP, INC.
                              REPORTS SETTLEMENT OF
                            SEC ADMINISTRATIVE ACTION

         PREMIER FINANCIAL BANCORP, INC. (PREMIER), HUNTINGTON, WEST VIRGINIA
(NASDAQ/NMS-PFBI), a $537 million community bank holding company with five bank
subsidiaries, announced today that it had reached a settlement with the
Securities and Exchange Commission ("SEC"). While neither admitting nor denying
the SEC's findings in an administrative proceeding, Premier has agreed to the
entry of a cease-and-desist order.

         The SEC Order states that the concealment of loan losses by the former
president of Farmers Deposit Bank ("Farmers") caused Farmers' financial and
accounting records to be inaccurate and that, because Premier relied on these
records to prepare its consolidated financial reports, Premier's quarterly
public filings during 2001 through 2003 and annual public filings for the years
ended 2001 and 2002 likewise contained materially inaccurate financial
information. The SEC Order also states that "certain of Premier's internal
accounting controls were inadequate during the relevant time period."

         According to the SEC Order, both the remedial acts promptly undertaken
by Premier and Premier's cooperation with the SEC Staff were taken into
consideration in reaching the settlement.

         President and CEO Robert W. Walker commented, "We are very pleased to
get this matter behind us and believe the settlement represents a constructive
conclusion. We believe that this resolution reflects our ongoing commitment to
cooperation and compliance."

         Certain Statements contained in this news release, including without
limitation statements including the word "believes," "anticipates," "intends,"
"expects" or words of similar import, constitute "forward-looking statements"
within the meaning of section 21E of the Securities Exchange Act of 1934, as
amended (the "Exchange Act"). Such forward-looking statements involve known and
unknown risks, uncertainties and other factors that may cause the actual
results, performance or achievements of Premier to be materially different from
any future results, performance or achievements of Premier expressed or implied
by such forward-looking statements. Such factors include, among others, general
economic and business conditions, changes in business strategy or development
plans and other factors referenced in this press release. Given these
uncertainties, prospective investors are cautioned not to place undue reliance
on such forward-looking statements. Premier disclaims any obligation to update
any such factors or to publicly announce the results of any revisions to any of
the forward-looking statements contained herein to reflect future events or
developments.