Belmont Bancorp. Reports Second Quarter Results.

Business Editors

ST. CLAIRSVILLE, Ohio--(BUSINESS WIRE)--July 22, 2002

Belmont Bancorp. (Nasdaq:BLMT), parent corporation of Belmont National Bank, reported net income for the three-month period ending June 30, 2002 of $1,732,000, or $0.16 per common share, compared to $175,000, or $0.02 per common share, for the comparative period last year.

For the first six months of 2002, the Company reported net income of $3,816,000, versus $340,000 for the first half of 2001. Earnings during 2002 were positively impacted by the distribution of settlement proceeds from the Company's derivative action during the first and second quarters of 2002. President and CEO Wilbur R. Roat commented, "We are pleased these legal matters have been resolved as we shift our emphasis to origination of quality assets in both the commercial and consumer loan areas to help bolster our core business activities." Exclusive of settlement proceeds and related expenses recorded during 2002, the Company would have reported net earnings of $234,000 for the three months ended June 30 and $395,000 for the six months ended June 30.

Belmont Bancorp's credit quality continued to improve with nonperforming assets declining to $1.9 million, or 0.69% of total assets at June 30, 2002, down from $2.8 million, or 0.99% of total assets at December 31, 2001. The Company expects another substantial reduction to nonperforming assets upon the completion of bankruptcy proceedings involving a sizable nonperforming loan by the end of the year.

In addition, the Company's net interest margin improved to 3.65% during the second quarter of 2002 compared to 3.43% during the first quarter of 2002. The Company's Tier I leverage ratio increased principally as a result of the final distribution from the derivative action. The ratio stood at 9.1% on June 30, 2002, compared to 8.2% on March 31, 2002.

Belmont Bancorp. is a holding company with total assets of $281 million and Belmont National Bank offices in Bellaire, Bridgeport, Cadiz, Lansing, New Philadelphia, St. Clairsville, Schoenbrunn and Shadyside,Ohio, and in the Woodsdale and Elm Grove areas of Wheeling, West Virginia. Belmont Bancorp. stock trades in the SmallCap Market of NASDAQ under the symbol BLMT. The closing price of Belmont Bancorp. Stock on July 19, 2002, was $4.30 per share. The book value of the Company's stock at June 30, 2002 was $2.80 per share, up from $2.51 per share at March 31, 2002.

Forward-looking Statements

In addition to historic information, this press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements other than statements of historical fact, including statements regarding the Company's expectations, beliefs, hopes, intentions or strategies regarding the future. In some cases, forward-looking statements can be identified by the use of words such as "may," "will," "expects," "should," "believes," "plans," "anticipates," "estimates," "predicts," "potential," "continue," or other words of similar meaning. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those discussed in, or implied by, the forward looking statements. Readers should not place undue reliance on forward-looking statements, which reflect management's opinion only as of the date on which they were made. Except as required by law, the Company disclaims any obligation to review or update these forward-looking statements to reflect events or circumstances as they occur. Readers should also carefully review any risk factors described in Company reports filed with the Securities and Exchange Commission.

($000s except per share amounts)
                                       June 30,   December 31,
                                         2002        2001

Total assets                           $281,341    $288,856
Total loans                             119,056     115,674
Allowance for loan losses                 5,250       5,310
Nonperforming assets                      1,940       2,849
Nonperforming assets as a % of
 total assets                              0.69%       0.99%
Nonperforming assets as a % of
 allowance for loan losses                36.95%      53.65%
Total deposits                         $227,388    $238,486

Capital Ratios
Tier 1 risk-based capital ratio           15.3%        12.0%
Total risk-based capital ratio            16.6%        13.2%
Tier 1 leverage ratio                      9.1%         7.1%


For the three months ended June 30        2002       2001

Net income                             $  1,732    $    175
Provision for loan losses                    -           -
Basic and diluted earnings
 per common share                      $   0.16    $   0.02

For the six months ended June 30
Net income                             $  3,816    $    340
Provision for loan losses                    -           -
Basic and diluted earnings
 per common share                      $   0.34    $   0.03