Exhibit 8.3


                                           June 22, 2001


Board of Directors
Peoples Federal Savings Bank
Second and Bridgeway Streets
Aurora, Indiana  47001

Re:      Plan of Conversion:  Subscription Rights
         Peoples Federal Savings Bank
         ----------------------------

Gentlemen:

         All capitalized terms not otherwise defined in this letter have the
meanings given such terms in the plan of conversion adopted by the Board of
Directors of Peoples Federal Savings Bank, Aurora, Indiana ("Peoples Federal" or
the "Bank") whereby the Bank will convert from a federally chartered mutual
savings bank to a federally chartered stock savings bank and issue all of the
Bank's outstanding capital stock to PFS Bancorp, Inc. (the "Holding Company").
Simultaneously, the Holding Company will issue shares of common stock.

         We understand that in accordance with the plan of conversion,
subscription rights to purchase shares of common stock in the Holding Company
are to be issued to: (1) Eligible Account Holders; (2) the ESOP; (3)
Supplemental Eligible Account Holders; (4) Other Members of Peoples Federal; and
(5) directors, officers and employees of Peoples Federal. Based solely upon our
observation that the subscription rights will be available to such parties
without cost, will be legally non-transferable and of short duration, and will
afford such parties the right only to purchase shares of common stock at the
same price as will be paid by members of the general public in the Community
Offering, but without undertaking any independent investigation of state or
federal law or the position of the Internal Revenue Service with respect to this
issue, we are of the belief that, as a factual matter:

         (1)      the subscription rights will have no ascertainable market
                  value; and,

         (2)      the price at which the subscription rights are exercisable
                  will not be more or less than the pro forma market value of
                  the shares upon issuance.


         Changes in the local and national economy, the legislative and
regulatory environment, the stock market, interest rates, and other external
forces (such as natural disasters or significant world events) may occur from
time to time, often with great unpredictability and may materially impact the
value of thrift stocks as a whole or the Holding Company's value alone.
Accordingly, no assurance can be given that persons who subscribe to shares of
common stock in the subscription offering will thereafter be able to buy or sell
such shares at the same price paid in the subscription offering.


                                                      Sincerely,

                                                     /s/ RP Financial, LC.

                                                      RP FINANCIAL, LC.