Richard A. Grafmyre CFP®, President and Chief Executive Officer of Penns Woods Bancorp, Inc., (Nasdaq:PWOD) has announced that the Company's Board of Directors declared a fourth quarter 2012 cash dividend of $0.47 per share. The dividend represents an increase of 2.2% over the fourth quarter 2011 dividend.

The dividend is payable December 21, 2012 to shareholders of record December 13, 2012.

About Penns Woods Bancorp, Inc.

Penns Woods Bancorp, Inc. is the bank holding company for Jersey Shore State Bank. The bank serves customers in North Central Pennsylvania through its retail banking, commercial banking, mortgage services and financial services divisions. Penns Woods Bancorp, Inc. stock is listed on the NASDAQ National market under the symbol PWOD.

Previous press releases and additional information can be obtained from the company's website at www.jssb.com.

CONTACT: Richard A. Grafmyre
         (570) 322-1111
         (888) 412-5772
         jssb@jssb.com
         www.jssb.com
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