FOR RELEASE:  Thursday, April 15, 2004

CONTACT:  Douglas Stewart President-CEO
                        Debra Geuy Chief Financial Officer


                 PEOPLES-SIDNEY FINANCIAL CORPORATION ANNOUNCES
                    QUARTERLY EARNINGS AND DECLARES DIVIDEND

Sidney, Ohio; (NASD-NMS "PSFC")

Douglas Stewart, President and CEO of Peoples-Sidney Financial Corporation,
parent company of Peoples Federal Savings and Loan Association, announced today
the Corporation's third quarter and year to date earnings for the fiscal year
ending June 30, 2004 and the declaration of a cash dividend.

Net income for the quarter ended March 31, 2004 was $250,000, or $0.18 basic and
diluted earnings per share, compared to $203,000, or $0.15 basic and diluted
earnings per share for the same quarter in 2003.

The Corporation earned net income of $736,000, or $0.54 basic and diluted
earnings per share for the nine months ended March 31, 2004. This compares to
$620,000, or $0.45 basic and diluted earnings per share for the same nine-month
period a year ago.

The increase in net income for the three and nine-month periods is primarily due
to an increase in net interest income. Net interest income increased $65,000 and
$94,000 for the three and nine-month periods ended March 31, 2004. These changes
continue to be the result of the low interest rate environment which has
provided a larger decrease in interest expense on deposits compared to the
decline in interest income on loans.

Assets of the Corporation were $136.8 million at March 31, 2004 with $17.4
million in shareholders' equity.

On April 8, 2004 the Board of Directors declared a dividend of $0.14 per share
for record holders as of April 30, 2004. This dividend will be payable on May
14, 2004. At March 31, 2004 the Corporation had 1,432,648 shares outstanding,
trading on the NASDAQ market under the symbol "PSFC".





PEOPLES-SIDNEY FINANCIAL CORPORATION ANNOUNCES QUARTERLY EARNINGS AND DECLARES
DIVIDEND

FOR RELEASE:  April 15, 2004

PAGE 2


     When used in this press release or other public or shareholder
communications, in filings by the Corporation with the Securities and Exchange
Commission and in oral statements made with the approval of an authorized
executive office, the words or phrases "should result," "will likely result,"
"will enable," "are expected to," "is anticipated," "estimate," "project" or
similar expressions are intended to identify "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995. Such
statements are subject to certain risks and uncertainties, including changes in
economic conditions in the Corporation's market area, changes in policies by
regulatory agencies, fluctuations in interest rates, demand for loans in the
Corporation's market area and competition, that could cause actual results to
differ materially from historical results and those presently anticipated or
projected. The Corporation wishes to caution readers not to place undue reliance
on such forward-looking statements, which speak only as of the date made. The
Corporation wishes to advise readers that the factors listed could affect the
Corporation's financial performance and could cause the Corporation's actual
results for future periods to differ materially from any opinions or statements
expressed with respect to future periods in any current statements.

     The Corporation does not undertake-and specifically declines any
obligation-to publicly release the result of any revisions which may be made to
any forward-looking statements to reflect events or circumstances after the date
of such statements or to reflect the occurrence of anticipated or unanticipated
events.