Peoples Community Bancorp, Inc. Announces Entry into Purchase and Assumption Agreement with First Financial Bank, N.A. with Respect to Its Wholly-Owned Bank Subsidiary, Peoples Community Bank

CINCINNATI--(Business Wire)--
Peoples Community Bancorp, Inc. (the "Company") (NASDAQ: PCBI) a Maryland
corporation doing business primarily through its wholly-owned banking
subsidiary, Peoples Community Bank (the "Bank"), announced today that the
Company and the Bank had entered into a Purchase and Assumption Agreement (the
"Agreement") with First Financial Bank, N.A. (the "Buyer") a wholly-owned
subsidiary of First Financial Bancorp (NASDAQ: FFBC). The Agreement provides for
the purchase of certain of the Bank`s assets, which includes 17 of the Bank`s
branch offices located in southwestern Ohio and southeastern Indiana,
approximately $260 million of certain business and consumer loans and other
assets, as well as the assumption of approximately $310 million of the Bank`s
deposits and certain other liabilities by the Buyer. The total purchase price of
the transaction is expected to be approximately $12 million, which is a deposit
premium of approximately 4%.

Jerry D. Williams, President and Chief Executive Officer, stated that "we
believe that this transaction will generate the necessary capital to return the
Bank to a well capitalized status. It is our intention to return to our banking
roots in Lebanon, Ohio and the additional capital will allow us to focus both on
offering traditional banking products from our two offices in Lebanon and
reducing our levels of criticized and classified assets. We will maintain
approximately $325 million in assets after the transaction to support our
ongoing operations."

Following completion of the proposed transaction, the Bank will continue to
conduct banking operations from our two branches in Lebanon, Ohio and will
retain approximately $325 million in assets, including certain loans, investment
securities and real estate assets as well as certain liabilities.

The transaction contemplated by the Agreement is expected to close during the
third quarter of 2009, subject to the receipt of all necessary regulatory
approvals and the satisfaction of certain other closing conditions as set forth
in the Agreement.

As previously disclosed, at March 31, 2009, the Bank was considered critically
undercapitalized under the regulatory framework for prompt corrective action.
Following completion of the proposed transaction, the Bank expects to return to
a well capitalized status in accordance with the capital restoration plan filed
by the Bank with the Office of Thrift Supervision on April 30, 2009.

The Company and the Bank were represented on the proposed transaction by the
investment banking firm of Keefe, Bruyette & Woods, Inc. and by the law firm of
Patton Boggs LLP.

About Peoples

Peoples Community Bancorp, Inc., headquartered in West Chester, Ohio, is the
holding company for Peoples Community Bank, a federally chartered savings bank
with 19 full service offices in Butler, Warren and Hamilton counties in
southwestern Ohio and Dearborn and Ohio counties in southeastern Indiana. The
Bank is an independent community bank, which offers a wide variety of financial
services and products to customers throughout the Greater Cincinnati
metropolitan area and adjoining markets.

Regulatory Filings

The Company`s periodic reports as filed with the Securities and Exchange
Commission ("SEC") can be accessed at www.pcbionline.com and on the EDGAR
section of the SEC`s website at www.sec.gov.

Forward-Looking Statements

This news release may contain "forward-looking statements" within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934, and are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Such forward-looking
statements are based upon current expectations and beliefs of the Company and
its subsidiaries. These statements and the Company`s reported results herein are
not guarantees of future performance or results and there can be no assurance
that actual developments and economic performance will be those anticipated by
the Company. Actual developments and/or results may differ significantly and
adversely from historical results and those anticipated by the Company for the
fiscal year ending December 31, 2009 as a result of various factors which are
set forth in the Company`s Annual Report on Form 10-K for the year ended
December 31, 2008, Quarterly Reports on Form 10-Q, and its reports on Form 8-K
and other documents filed by the Company with the SEC from time to time. The
Company does not undertake to update or revise forward-looking statements to
reflect the impact of circumstances or events that arise after the date the
forward-looking statements are made, except as required under applicable
securities laws.

Peoples Community Bancorp, Inc.
Thomas J. Noe, Treasurer, 513-870-3530
Electronic Mail: tnoe@pcbionline.com

Copyright Business Wire 2009