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EXHIBIT 99.1                  COMPANY'S PRESS RELEASE DATED SEPTEMBER 5, 2000



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                             *FOR IMMEDIATE RELEASE*


Contact:                      Marty R. Lindon
                              President and CEO
                              (740) 254-4313


                          INDIAN VILLAGE BANCORP. INC.
                       DECLARES SPECIAL CASH DISTRIBUTION

      Gnadenhutten,  Ohio;  September  5, 2000.  Indian  Village  Bancorp,  Inc.
(OTCBB: IDVB) announced today that its Board of Directors has declared a special
cash distribution in the amount of $2.00 per share on the Company's  outstanding
common shares.  The Company will pay the  distribution on or about September 29,
2000 to  stockholders  of record as of the close of  business on  September  19,
2000.

      The Company  expects  the  majority  of the  distribution  to qualify as a
return of capital,  although  the exact  qualifying  amount  cannot be confirmed
until the  Company  determines  its  operating  results  for the tax year ending
December 31, 2000.  The amount that would qualify as a return of capital will be
treated as a reduction  in the cost basis of each share and not as a dividend on
which shareholders would have to pay income tax.

      Under its rules,  the Nasdaq Stock Market will establish an  "ex-dividend"
date for the distribution. If, at the time of establishment, the distribution is
less than 25% of the  prevailing  market price for the Company's  common shares,
the  "ex-dividend"  date will be the second business day before the record date.
Otherwise,  the "ex-dividend"  date will be the first business day following the
payment date.  Shareholders who sell their shares before the "ex-dividend"  date
transfer the right to receive the cash distribution to the buyers of the shares.
Also, on the  "ex-dividend"  date,  the market price of the Company's  shares is
expected to decrease by the amount of the distribution.  The last reported trade
in the Company's shares was at $11.35 per share.

      The Employee  Stock  Ownership  Plan  ("ESOP")  sponsored by the Company's
subsidiary, Indian Village Community Bank, holds 33,261 shares of Company stock.
The  trustees of the ESOP expect to  purchase  additional  shares in open market
transactions as market conditions  permit with the $66,522  distribution it will
receive.

      Indian  Village  Bancorp,  Inc. is the holding  company for Indian Village
Community Bank, which operates from its main office in Gnadenhutten and a branch
office in New Philadelphia, Ohio.

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