Premier Bancorp Announces 15% Increase in First Quarter Earnings.

Business Editors

DOYLESTOWN, Pa.--(BUSINESS WIRE)--April 30, 2001

Premier Bancorp, Inc. (AMEX: PPA), parent company of Premier Bank, headquartered in Doylestown, Pennsylvania announced today a 15% increase in net income for the first quarter 2001 over the same period in 2000.

Net Income for the quarter ended March 31, 2001 was $464,000 or $.14 per common share on a diluted basis compared to $403,000 or $.12 per diluted share for the same period in 2000.

While both net income and net interest income continued to increase, growth in net interest income was slowed by decreases in the prime lending rate during the first quarter 2001. Also, overhead expenses were higher caused in part by the bank opening two new branch offices in October 2000.

"In a rapidly growing company such as Premier Bancorp, increased overhead related to expansion is expected," said John C. Soffronoff, President and CEO of Premier Bancorp, Inc.

"Our bank essentially doubled its branch network inside of a year beginning in December 1999 with the opening of our Bethlehem branch and culminating with the opening of our Montgomeryville and Bensalem branches in October 2000. New branches normally contribute positively to earnings only after they grow and mature."