EXHIBIT 99

                            BLACKHAWK BANCORP, INC.
                              BLACKHAWK STATE BANK
                       400 BROAD STREET, BELOIT, WI 53511

NEWS FOR IMMEDIATE RELEASE

For more information contact Todd J. James at 608.364-8911

                            BLACKHAWK BANCORP, INC.
                  APPOINTS McGLADREY & PULLEN LLP AS AUDITORS

Beloit, WI ... August 29, 2002  ... Blackhawk Bancorp, Inc. today announced  the
appointment of McGladrey & Pullen LLP as independent auditors for 2002 replacing
Wipfli Ullrich Bertelson LLP.

Blackhawk State Bank is  a $315 million dollar  independent community bank  with
offices in Beloit, WI;  Roscoe, Rockford, Belvidere,  Rochelle, and Oregon,  IL.
It is a wholly owned subsidiary of  Blackhawk Bancorp, which is traded over  the
counter under the symbol BKHB.

When used in this communication, the words "believes," "expects," and similar
expressions are intended to identify forward-looking statements. The Company's
actual results may differ materially from those described in the forward-looking
statements. Factors which could cause such a variance to occur include, but are
not limited to, changes in interest rates, levels of consumer bankruptcies,
customer loan and deposit preferences, and other general economic conditions.