Exhibit 99.1

                   PSB Holdings, Inc. Declares Cash Dividend


Wausau, Wisconsin - PSB Holdings, Inc. (PSB), parent company of Peoples State
Bank (Peoples), announced that its board of directors on June 17, 2003 declared
a cash dividend of $.30 per share, payable July 29, 2003 to shareholders of
record as of July 8, 2003.

PSB has historically paid cash dividends twice yearly during January and July.
Although total annual cash dividends have increased each year since formation
of the Company in 1995, the increase had typically been reflected in the
January (4th quarter) dividend while the July (2nd quarter) dividend had
largely remained the same year to year.  Effective with the current dividend
declaration, PSB now intends to equalize the amounts of the semi-annual cash
dividends.  Accordingly, under PSB's new dividend policy, PSB intends that the
dividend to be paid in January, 2004 will be reduced from the January, 2003
dividend, but that the total dividends to be paid in July, 2003 and January,
2004 will equal or exceed the $.565 per share total dividends paid in July,
2002 and January, 2003.  PSB also reaffirmed its goal of increasing its
shareholder dividend on an annual basis.  Payment of any future dividends will
depend upon operating results and the financial condition of the company.

Peoples is a community bank founded in 1962 holding over $370 million in total
assets.  The bank has a network of 7 offices throughout Central and Northern
Wisconsin providing financial services to thousands of individuals and business
owners.  PSB Holdings, Inc. is publicly owned and traded under stock symbol
PSBQ.OB.