PRESS RELEASE
                                  -------------


April 25, 2003                          Samuel J. Malizia, Chairman of the Board
                                        Board, Nittany Financial Corp.
                                        (814) 466-6625

Nittany Financial Corp.                 David Richards, President and CEO
State College, Pennsylvania             Nittany Financial Corp.
                                        (814) 234-7320


                   NITTANY FINANCIAL CORP. ANNOUNCES FILING OF
                         SEC REGISTRATION STATEMENT FOR
                        ADDITIONAL COMMON STOCK OFFERING


         April 25, 2003, STATE COLLEGE,  PENNSYLVANIA -- NITTANY FINANCIAL CORP.
(OTC Ticker Symbol "NTNY"),  the holding company of Nittany Bank, State College,
Pennsylvania, announced that it is filing today with the Securities and Exchange
Commission a Registration  Statement to sell up to 149,500  additional shares of
Common Stock.  The  Corporation  will offer 115,000  shares of the common stock,
with an option to sell an additional 34,500 shares, to existing stockholders and
the general  public.  A preference will be given to existing  stockholders.  The
President of the  Corporation,  David Richards,  stated "the Corporation has not
yet  determined  the price per  share.  The  proceeds  of the  offering  will be
invested by the Corporation primarily into the capital of Nittany Bank, in order
to increase the Bank's working and regulatory capital."

         Chairman  of the Board of the  Corporation,  Sam  Malizia,  stated "the
growth of Nittany  Financial Corp.  during its first four years of operation has
greatly  exceeded  our original  business  plans.  The  proceeds  from the stock
offering will allow the Corporation and its subsidiaries to continue to grow and
expand  services to the State College area. As the only  FDIC-insured  financial
institution  headquartered and operated solely in State College, the majority of
our  stockholders  reside in the State College area. The  additional  shares are
expected to be sold primarily to existing stockholders,  customers and residents
of the State College area."

         The above  information  does not  constitute  an offer to sell,  or the
solicitation of an offer to buy, any  securities.  The offer will be made solely
by the prospectus and is not being made to persons in any  jurisdiction in which
the offer or solicitation would be unlawful.