EXHIBIT 99.1

NEWS RELEASE

FOR IMMEDIATE RELEASE

Home City Financial Corporation Reports 3rd Quarter Net Income

Springfield, Ohio, November 10, 2006 — Home City Financial Corporation (“HCFC”)(NASDAQ Capital Market: HCFC) announced net income for the nine months ended September 30, 2006, of $593,000, or $.72 basic earnings per share, compared to $643,000, or $.79 basic earnings per share, for the comparable period in 2005. Diluted earnings per share for the first nine months of 2006 and 2005 were $.71 and $.78, respectively. Net interest income decreased by $156,000 for the nine-month period, reflecting narrowing interest rate spreads. Noninterest income decreased by $380,000 from last year’s nine-month period due mostly to the $345,000 gain on redemption of Intrieve Incorporated stock recorded last year. The provision for loan losses of $118,000 was $517,000 less than the amount provided in the first nine months of last year as a result of management’s analysis of the local and national economies and specific situations covered last year. HCFC’s net income for the third quarter ended September 30, 2006, was $190,000, or $.23 basic earnings per share, compared to $246,000, or $0.30 basic earnings per share, for the quarter ended September 30, 2005. Diluted earnings per share for the quarters were $.23 and $.30, respectively.

Assets totaled $149.2 million at September 30, 2006, a decrease of $325,000, or 0.2%, from December 31, 2005. Net loans receivable decreased $3.5 million, or 2.7%, during the first nine months of 2006 and totaled $123.9 million at September 30, 2006. Deposits totaled $98.7 million at September 30, 2006, an increase of $232,000, or 0.2%, from $98.5 million at December 31, 2005. Shareholders’ equity increased $466,000, or 3.5%, from $13.4 million at December 31, 2005, to $13.9 million at September 30, 2006. Home City’s performance, considering the higher costs incurred in the “going private” process, has still resulted in improved core and risk-based capital positions which continues HCFC’s designation as “well capitalized” under OTS regulations.

HCFC paid a dividend of $.11 per share on September 15, 2006, to holders of record at September 8, 2006. Year-to-date dividends of $.33 per share have been paid for a current annualized dividend yield of 2.73%. HCFC’s stock price stood at $16.10 per share at September 30, 2006, compared to $15.15 per share at September 30, 2005. Information on transactions in HCFC’s shares is quoted on the NASDAQ Capital Market under the symbol “HCFC”.

The Annual Meeting which was convened on October 27, 2006, was adjourned without any business being conducted. The date, time and place of the adjourned meeting will be announced upon determination by HCFC’s Board of Directors.

Contact: J. William Stapleton, President, CEO and COO

(937) 390-0470

Home City Financial Corporation

Selected Consolidated Financial Condition Data:


	Sept. 30,		Dec. 31,		Incr.			%
($ In thousands)	2006		2005		(Decr.)			Change
Total assets	$	149,228	$	149,553	$	(325	)		(0.2	)%
Loans, net		123,948		127,409		(3,461	)		(2.7	)
Allowance for loan losses		1,422		1,377		45			3.3
Available-for-sale securities		1,576		5,261		(3,685	)		(70.0	)
Federal Home Loan Bank stock		2,588		2,480		108			4.4
Deposits		98,687		98,455		232			0.2
Federal Home Loan Bank advances		35,339		36,337		(998	)		(2.7	)
Shareholders’ Equity		13,872		13,406		466			3.5

Selected Consolidated Operations Data:


	Three Months Ended				Nine Months Ended
	Sept. 30,				Sept. 30,
($ in thousands except per share amounts)	2006		2005		2006		2005
Total interest income	$	2,330	$	2,293	$	6,920	$	6,810
Total interest expense		1,200		1,113		3,531		3,265

Net interest income		1,130		1,180		3,389		3,545
Provision for loan losses		37		80		118		635

Net interest income after provision for loan losses		1,093		1,100		3,271		2,910
Total noninterest income		57		116		191		571
Total noninterest expense		878		855		2,611		2,537

Income before federal income tax		272		361		851		944
Federal income tax expense		82		115		258		301

Net income	$	190	$	246	$	593	$	643

Earnings per share
Basic	$	0.23	$	0.30	$	0.72	$	0.79
Diluted	$	0.23	$	0.30	$	0.71	$	0.78

HOME CITY FINANCIAL CORP 8-K