NEWS RELEASE


FOR IMMEDIATE RELEASE                   Contact: John W. Conlon
---------------------                            Chief Financial Officer
March 11, 2003                                   (740) 373-3155


              PEOPLES BANCORP INC. ANNOUNCES EARNINGS EXPECTATIONS
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         MARIETTA, Ohio - Peoples Bancorp Inc. ("Peoples")(NASDAQ: PEBO) today
announced that it expects earnings in the first quarter of 2003 to approximate
$0.51 per diluted share. Earnings per share are expected to be lower due to net
interest margin pressures, slowing economic conditions impacting Peoples'
ability to grow loan volume, increasing turnover of investments reinvested at
lower yields and a continuing high level of loan refinancing. Earnings per
diluted share were $0.59 in the first quarter of 2002, which included $0.06 of
nonrecurring gains (net of taxes).
         "The combination of assets repricing downward and locking in
longer-term, fixed rate borrowings in this very low rate environment has slowed
our ability to grow short term earnings," commented Robert E. Evans, President
and CEO. "In addition, we have seen over $20 million of investments mature, be
called or be prepaid with reinvestment of those proceeds at lower yields.
Improving on our record-setting 2002 results is a big challenge, and margin
pressures are not helping matters in the short term."
          Jack Conlon, Chief Financial Officer, commented, "In the first
quarter, we anticipate non-interest income growth will be flat compared to the
fourth quarter of 2002, as the struggling equity markets continue to hold down
fiduciary revenue opportunities and annuity sales and deposit service charges
have stabilized. Our asset quality remains strong, and we continue to look at
opportunities for controlling current expenses in this slower economy."
         Peoples expects non-interest expense will increase in the first quarter
of 2003 by 4% to 5% compared to the fourth quarter of 2002.
         "We are looking at different alternatives in the near-term to reduce
funding costs and operating expenses," added Conlon. "Some contractual expenses
will be reduced in the second quarter of 2003. In this slower economy, we are
looking at every opportunity to control costs without sacrificing our future
opportunities."
         Evans continued, "We are now asset sensitive, and continue to position
our company for long-term growth and the inevitable increase in interest rates.
In 2003, especially with current economic conditions and the very low interest
rate environment, we expect earnings to approximate the 2002 results. If
interest rates increase, our profitability will likely improve. Until then, we
will continue to execute on our strategies and make investments that deliver
long-term value to our shareholders. Our long-term earnings per share growth
goal remains 10%."
         Peoples expects to release first quarter results of operations on April
15, 2003. A conference call to discuss earnings is currently planned for April
16, 2003.

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         Peoples Bancorp Inc., a diversified financial products and services
company with $1.6 billion in assets, offers a complete line of banking,
investment, insurance, and trust solutions through Peoples Bank's 45 offices and
30 ATMs in Ohio, West Virginia, and Kentucky. Peoples Bancorp Inc. shares are
traded on The NASDAQ National Market under the symbol "PEBO" and is a member of
the Russell 3000 index.

Safe Harbor Statement:
         The statements in this press release which are not historical fact are
forward-looking statements that involve a number of risks and uncertainties,
including, but not limited to, the interest rate environment, the effect of
banking and tax regulations, the effect of economic conditions, the impact of
competitive products and pricing, and other risks detailed in Peoples' SEC
filings. Although management believes that the expectations in these
forward-looking statements are based on reasonable assumptions within the bounds
of management's knowledge of Peoples' business and operations, it is possible
that actual results may differ materially from these statements.

                                 END OF RELEASE