The Board of Directors of Peoples Financial Services Corp. announced the
approval of a plan to purchase, in open market and privately negotiated
transactions, up to 5% of the outstanding common stock of the Corporation over
the next 12 month period. During this time, the Board will review the progress
of the plan at three-month intervals. Available excess capital is expected to
provide the needed funds.

It is the belief of the Board of Directors that this opportunity to purchase
these shares at the current market price is very attractive for the Company and
its shareholders as well as improving our Return on Equity and earnings per
share.

Peoples Financial Services Corp. is the parent company of Peoples National Bank,
an independent community bank headquartered in Hallstead, Susquehanna County,
PA. Community offices are located in the Hallstead Shopping Plaza, Hop Bottom,
Montrose, and Susquehanna in Susquehanna County and in Nicholson, Tunkhannock,
and Meshoppen in Wyoming County.