PFDC Peoples Bancorp (MM)

The Board of Directors of Peoples Bancorp, the Holding Company for Peoples Federal Savings Bank and First Savings Bank, declared a Fiscal 2006 second quarter dividend of $0.19 per share, according to Roger J. Wertenberger, Chairman. The dividend will be paid on April 13, 2006, to stockholders of record as of April 3, 2006. Thus far during Fiscal 2006, Peoples has repurchased 42,242 shares of stock. As of February 23, 2006, Peoples had 3,333,243 shares outstanding. The closing price of Peoples Bancorp, as of February 23, 2006, was $20.506 per share as listed on the NASDAQ National Marketing System under the symbol PFDC. The Board of Directors has approved the repurchase of up to 300,000 shares of the Company's common stock over the next three years. The shares will be purchased at prevailing market prices from time to time depending upon market conditions and regulatory requirements. The Company reserves the right to discontinue this program at any time due to changes in market conditions or otherwise. The Plan shall expire in February 2009. Peoples Bancorp, through its Indiana subsidiary, Peoples Federal Savings Bank, operates nine full-service offices located in Auburn, Avilla, Garrett, LaGrange, Kendallville, Topeka, Waterloo and two in Columbia City, Indiana. Peoples Bancorp's Michigan subsidiary, First Savings Bank, operates six full-service offices located in Three Rivers (two offices), Schoolcraft and Union in Michigan and Howe and Middlebury in Indiana.